In addition, all three revised laws related to the market, including the Land Law, Housing Law, and Real Estate Business Law, were passed, along with preferential credit packages for social housing and investment incentive policies for housing, industrial parks, and resort tourism segments, creating new momentum for the real estate sector.
According to the Vietnam Association of Realtors, housing supply across the country has improved, investor confidence has been strengthened and the absorption rate of new products has reached over 70%. However, the supply structure is still unbalanced, especially in the mid-range and affordable segments. Real estate prices in major cities such as Hanoi and Ho Chi Minh City have stabilized; in which, suburban areas recorded a price increase of 5-10% compared to the previous year.
Experts say that the stability of the macro economy has contributed significantly to the recovery of the real estate market. Strong economic growth is the fundamental foundation to promote the development of related industries, including real estate. When the economy is stable, investors' confidence is also strengthened, leading to development opportunities for the real estate market.
Despite going through a difficult period, the market has also received many good opportunities. The challenges have become the driving force for a strong transformation of the real estate market. In 2025, it is forecasted that the real estate market will focus on sustainable development and meeting real needs.
Mr. Nguyen Quoc Anh, Deputy General Director of Batdongsan.com.vn commented that the end of the year is the consolidation period of the real estate market. The important factors in choosing real estate are legality and currency. In the coming time, private houses and townhouses will be the prominent segments in the market.
"About a year and a half ago, interest in the real estate market dropped sharply. This is completely different from now, when interest has increased sharply. This shows that confidence in the market has returned, investor sentiment has improved, thereby affecting investment decisions," the expert cited.
According to Mr. Quoc Anh, there are a number of factors that have a positive impact on the market such as good credit growth, and consecutive reductions in operating interest rates since the beginning of 2023. Currently, many banks are expected to continue reducing deposit and lending interest rates. Along with that, 3 important laws that have been passed and applied early have created a strong "support" for the real estate market.
Although the "reversal" point of the real estate market falls around the third quarter of 2024, Mr. Quoc Anh believes that the market will not return directly after this time but will go through about 4 stages including exploration, consolidation, prosperity and stability. Therefore, at this stage, it is necessary to deal with issues such as legality, financial resources, etc.
Explaining the strong recovery of the Northern real estate market in recent times, Mr. Quoc Anh commented that it was because the cash flow among the people was very large. This cash flow has shown signs of shifting from the South to the North since mid-2020 until now.
"However, currently, cash flow of about 140,000 billion VND is stuck in real estate bonds and has not been released to the market. Many projects have not been cleared of legal issues for people to buy. Therefore, this problem needs to be solved before the market can move to the prosperous and stable stages," Mr. Quoc Anh shared.
Currently, the important factors that buyers prioritize when choosing real estate include meeting real estate needs, legal security, financial support, rental yield, and cost. Of which, apartments are still the prominent segment. However, it is forecasted that from the second quarter of 2025, the real estate market will enter a period of prosperity with prominent segments including land plots and project villas.
In other stages of the market, apartments will still have good profit margins but will no longer be the most attractive type of investment. If the current market operates according to the rules of previous fluctuation cycles, after the "hot" increase, apartments will move sideways and grow more slowly than other segments such as land, villas, etc.
The real estate market develops when supply is restored and prices increase. Buyers begin to pay attention to investment needs, not focusing on price and legal factors like in the gloomy period. From the beginning of 2026 onwards, the real estate market will enter a stable phase.
At this time, liquidity is increasing in various types. Speculation is developing strongly. Buyers' psychology now prioritizes looking for investment opportunities in the hottest segments, with high price growth rates, attracting attention, and small quantities - Mr. Quoc Anh predicted.
According to Mr. Nguyen Van Dinh - Chairman of the Vietnam Association of Real Estate Brokers (VARS), with the efforts of all entities, plus the "support" from the new legal corridor, the market can develop more sustainably in 2025.
In 2024, the market will record a recovery but with local characteristics - mainly focusing on certain segments and regions, especially in Hanoi and the North. But by 2025, the recovery will likely be stronger, more widespread and not limited to just one region. It is expected that the Central and Southern markets will show signs of recovery with clearer recovery results, bringing a new look to the real estate market nationwide - Mr. Nguyen Van Dinh expected.
Taking Hanoi as a typical example, Mr. Nguyen Van Dinh commented that the capital's real estate is recording many positive signals after the difficulties of the previous period. The most obvious is that the supply of real estate in Hanoi has increased relatively strongly. In the first 3 quarters of 2024, this market recorded more than 13,000 new real estate products, an increase of 25% compared to the total supply in 2023.
This shows that supply from projects is being actively supplemented, somewhat reducing the pressure on product scarcity. The absorption rate on new supply also reached an impressive level of 83%.
Source: https://doanhnghiepvn.vn/kinh-te/sau-kho-khan-la-co-hoi-cho-thi-truong-bat-dong-san/20241212104805296
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