Dr. Can Van Luc, Chief Economist of BIDV, analyzed that stable economic growth in the period of 2024 - 2025 is an important fulcrum to create a solid foundation for real estate investment and development activities. Along with that, controlled inflation and low interest rates, gradually softening exchange rates have significantly improved purchasing power and investment sentiment of both businesses and individuals.
Sharing the same view, Mr. Nguyen Chi Thanh - Vice President of Vietnam Association of Realtors (VARS) also said that Vietnam's real estate market is entering a period of strong transformation with a series of factors playing a "constructive" role to overcome difficulties and seize development opportunities.
With the support of a new legal corridor, the drastic participation of the Government, ministries and branches, and the positive impact of economic and financial factors, 2024 is the time for the market to build a foundation. Then, 2025 will be a turning point for a stronger recovery and create growth momentum in the coming years.
Mr. Duong Duc Hieu - Director, Senior Analyst, Credit Rating and Research Department, VIS Rating, commented that when legal procedures are approved faster, it will facilitate project implementation and new sales, helping to improve sales and create a more stable cash flow for businesses. This is very important, because it helps investors minimize the risk of using excessive financial leverage. Therefore, in 2025, the debt repayment capacity of the real estate industry will improve.
Another noteworthy point is that foreign direct investment (FDI) capital has also grown strongly in 2024 and is forecast to continue to maintain growth momentum in 2025. Total newly registered FDI capital for real estate business activities reached 3.72 billion USD, accounting for 18.8% of total newly registered capital, ranking second after the processing and manufacturing industry.
If including newly registered capital and adjusted registered capital of licensed projects from previous years, registered foreign direct investment capital in real estate business activities will reach 5.09 billion USD, accounting for 15.1%. Foreign direct investment capital realized in Vietnam in 2024 in real estate business activities will reach 1.84 billion USD, accounting for 7.2%...
David Jackson, General Director of Avison Young Vietnam, commented that foreign investors' confidence in the prospects of the Vietnamese market remains positive and they continue to pour capital into approved and licensed investment projects here. This is demonstrated by the total FDI capital realized in Vietnam in 2024 of 25.35 billion USD, an increase of more than 9% compared to 2023; of which, real estate business activities reached 1.84 billion USD, an increase of 60%.
Notably, in the context of the world's major real estate markets being quite gloomy, FDI capital in Vietnam tends to flow more into the real estate sector. This has affirmed the attractiveness of the Vietnamese real estate market in the eyes of foreign investors.
In addition, the stock market is also becoming an important capital mobilization channel for real estate enterprises. According to the trend, the issuance of shares by enterprises in this field has recorded strong growth in 2024 and is expected to continue to explode in 2025.
The main driving force comes from the prospect of upgrading Vietnam’s stock market to the emerging market group, creating conditions to attract more international investment capital. This improvement not only opens up opportunities to mobilize large capital sources for the real estate industry but also plays an important role in supporting businesses to overcome challenging times, promoting growth and sustainable development.
Along with macro factors, infrastructure is also considered a "lever" for the real estate market in 2025. Economist - Dr. Nguyen Minh Phong commented that the economy is gradually recovering after fluctuations and infrastructure has emerged as a key factor, the "golden key" to open the door to growth.
The real estate market also benefits from these important supports in its recovery journey. Because these factors not only facilitate many new projects, but investment in infrastructure also contributes to increasing the value of existing assets, breathing new life into the real estate market.
According to Mr. Phong's analysis, the Government is focusing on investing in large infrastructure projects, which not only helps improve the quality of life but also enhances the competitiveness of the real estate market. Notably, the Government has set a public investment capital plan for 2025 of VND 790,727 billion, an increase of 18% compared to the plan of VND 670,000 billion for 2024. Projects using public investment capital are expected to have obstacles removed and progress accelerated to meet the Government's disbursement target.
In addition, the synchronous development of infrastructure also opens up new opportunities for the market, especially in areas undergoing urbanization. A series of infrastructure projects such as metro lines, roads, bridges, new industrial parks... are not only "leverages" to increase real estate value but also attractive opportunities for businesses and investors.
Source: https://doanhnghiepvn.vn/kinh-te/on-dinh-kinh-te-vi-mo-va-ha-tang-la-don-bay-cho-thi-truong-bat-dong-san/20250109083616029
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