Which segment will 'boom'?

(CLO) Experts believe that the real estate market will improve and opportunities for growth will be available for the following segments: industrial real estate, social housing, eco-cities, smart cities, and tourism real estate.

Key milestones in the real estate market.

At the Vietnam Real Estate Community Conference 2025 (VRECC 2025): “The Era of Breakthroughs” held on the afternoon of January 9th, Associate Professor Dr. Tran Dinh Thien, a member of the Prime Minister's Economic Advisory Group and former Director of the Vietnam Institute of Economics, outlined seven milestones shaping the real estate market.

According to Associate Professor Dr. Tran Dinh Thien, the 1987 Land Law, enacted in 1987, stipulated the system of state ownership of land and land use rights, laying the first foundations for shaping Vietnam's real estate market.

Associate Professor Tran Dinh Thien, Member of the Prime Minister 's Economic Advisory Group, former Director of the Vietnam Institute of Economics. (Photo: XD)

Subsequently, in 1993-1994, the National Assembly passed the 1993 Land Law and the Housing Ordinance, allowing for easier land transfers. From then on, the demand for land increased significantly, and real estate transactions gradually boomed.

Around this time, Decrees No. 18 and 87 on land tax, preventing speculation, and regulating the market also marked a "turning point" in combating speculation and price manipulation in the real estate market.

By 2000-2001, the 2000 Enterprise Law and the 2001 Foreign Investment Law allowed overseas Vietnamese to buy houses in Vietnam, and simultaneously, a new land price list was issued. This was also the time when the Vietnamese real estate market witnessed a sudden and sharp increase in house and land prices.

In 2003, the 2003 Land Law was officially enacted, along with Decree 181, aimed at curbing land subdivision and sale and regulating real estate prices.

In 2005, the new land price list was adjusted to closely reflect actual prices, which put pressure on real estate projects. Many projects suddenly faced difficulties due to the increased cost of land clearance.

By 2007, several new legal frameworks, such as the Law on Real Estate Business, the Law on Real Estate Registration, the Law on Land Use Tax, and the Law on Housing, marked a significant milestone in shaping the real estate market.

In particular, Vietnam's decision to pilot allowing foreigners to buy houses in Vietnam has opened a new chapter for the real estate market.

In 2013-2014, the real estate market witnessed a major transformation with the enactment of the 2013 Land Law, the 2013 Real Estate Business Law, and the 2014 Housing Law, which shaped the market.

Associate Professor Tran Dinh Thien stated: In 2007-2008, the real estate market went from a boom to a slump, and it wasn't until the end of 2013 and the beginning of 2014 that the market began to recover.

Since 2014, when the amended Land Law was passed, a 30 trillion VND housing loan support package was launched with an interest rate of 6%. With positive macroeconomic developments including reduced inflation and strong economic growth (GDP of 6.7%), interest rates have gradually stabilized...

"The market is starting to recover from here, with real estate inventory continuing to decrease and selling prices being adjusted closer to buyer demand," said Associate Professor Tran Dinh Thien.

The market is entering a new era.

Facing a new era, Associate Professor Dr. Tran Dinh Thien observed that, although the global economy still faces many difficulties and uncertainties, Vietnam possesses many favorable conditions for breakthroughs, especially in the real estate market.

However, Mr. Thien noted that Vietnam needs to clearly identify the structural imbalance – the supply-demand imbalance and its consequences – in the current real estate market segments.

In particular, in this new context and new era, real estate businesses need to grasp new trends and changes in the economy. Accordingly, current trends in urban and housing development are green; Smart Cities; connected infrastructure; industrial infrastructure, etc.

"This development is in line with the National Planning and the vision for the new era," Mr. Thien said.

Regarding the bright prospects of the real estate market, Associate Professor Dr. Tran Dinh Thien predicts that it will improve and opportunities for growth will be available for the following segments: industrial real estate, social housing, eco-cities, smart cities, and tourism real estate.

In addition, Associate Professor Tran Dinh Thien also pointed out some challenges and opportunities of the future real estate market, namely global economic factors and especially the question of whether the land market can continue to be opened up.

According to Associate Professor Tran Dinh Thien, resolving these issues involves not only removing procedural and process obstacles, but also addressing the crucial untouched aspects of property rights and market valuation mechanisms. Furthermore, unlocking capital flows into the Vietnamese real estate market is also a matter of significant concern.

Mr. Dao Quoc Viet, Board of Directors of the Real Estate Review Community. (Photo: XD)

Agreeing with this viewpoint, Mr. Dao Quoc Viet, from the Real Estate Review Community Management Board, believes that the era of breakthroughs is a powerful message about connectivity, movement, and shifts that break all boundaries for the entire real estate industry in the new era.

"It's not just about connecting businesses, investors, distributors, and key players in the real estate market, but also about connecting real values ​​with social benefits. Businesses are like trains carrying valuable goods, rolling together on the journey to build a solid real estate economy," Mr. Dao Quoc Viet remarked.

Source: https://www.congluan.vn/thi-truong-bat-dong-san-trong-ky-nguyen-vuon-minh-phan-khuc-nao-se-bung-no-post329742.html