Overnight land auction in suburban district of Hanoi, highest price 133.3 million VND/m2

TPO – After more than 19 hours, at 4:30 this morning (August 20), the auction of land use rights in Tien Yen commune, Hoai Duc district was concluded. The highest winning bid was up to 133.3 million VND/m2 for LK03-12, a corner plot with 3 frontages, wider than 113 m2, paid by the investor 18 times higher than the starting price.

On the morning of August 20, a representative of the Hoai Duc District Land Fund Development Center informed that the auction of 19 land plots in Long Khuc village, Tien Yen commune (Hoai Duc, Hanoi) had just ended at 4:30 a.m. the same day. The auction process was absolutely safe from the beginning to the end of the final auction.

The Center representative said that after 9 rounds of auction, the highest winning bid was 133.3 million VND/m2, the lowest was 91.3 million VND/m2. “This area is very beautiful, close to Ring Road 4 and the infrastructure has been invested in by the district in terms of planning. There are not many auction areas left around this area,” the representative of the Land Fund Development Center shared.

In fact, according to some real estate brokers, the price of 133.3 million VND/m2 has set a new level for land here because this price is much higher than the market price in the area surrounding the auctioned land. Accordingly, land on the main road near the auctioned land is being traded at around 80-90 million VND. Meanwhile, land plots in the car alley are fluctuating at around 60-65 million VND/m2.

The two lots with the second highest auction price are LK03-6 and LK04-6, up to 127.3 million VND/m2. The remaining 14 lots have auction prices ranging from 97.3 to 121.3 million VND/m2. There are 2 lots with the lowest auction price, also up to 91.3 million VND/m2...

At 11pm on August 19, there were still hundreds of people at the Hoai Duc District Sports Center (Hanoi) waiting for the final results of the auction of 19 land plots in Long Khuc area, Tien Yen commune. Photo: Dan Ha

Many people took advantage of the time waiting for the price announcement to eat quickly to gain strength to continue bidding. Photo: Le Quan.

Some investors participating in the auction said that at the end of the 6th round, the price was 5 to nearly 17 times higher than the starting price. Many plots of land were priced from 70 to 90 million VND. Some plots were even priced up to 121.3 million VND/m2, 16.6 times higher than the starting price (the starting price was 7.3 million VND/m2). After 7 rounds, some plots were paid up to 127 million VND/m2.

Before that, many people from neighboring provinces such as Hai Duong, Bac Ninh, Bac Giang... came to the auction site of 19 land plots in Long Khuc area, Tien Yen commune (Hoai Duc district) from 4-5 am to wait for auction procedures.

This auction has more than 700 sets of documents with 400 customers participating in the auction.

19 auctioned land lots in Tien Yen commune have an area of ​​74m2 to 118m2. The starting price for the auction is 7.3 million/m2. The auction is conducted by direct voting through at least 6 rounds.

The location of the 19 auctioned land lots in Hoai Duc district this time is close to the area where Ring Road 4 passes through.

According to Batdongsan.com.vn's Price History Tool, land prices in Tien Yen commune, Hoai Duc district are trading at an average of VND 43 million/m2, an increase of about 30% compared to the first quarter of 2024 and an increase of about 48.3% over the past year.

Many people commented that the auction price of over 120 million VND/m2 is much higher than the market in the surrounding area.

Talking to Tien Phong reporter, Dr. Tran Xuan Luong - Deputy Director of the Vietnam Real Estate Market Research and Evaluation Institute said that the land auction fever in suburban districts such as Thanh Oai, Hoai Duc... with winning prices much higher than the market price is partly due to speculative groups manipulating and "inflating prices". Because following recent auctions, there have appeared groups of investors from Hai Duong, Bac Ninh, Bac Giang... participating in the auction, paying high prices. This is a factor that will push up the price of land and real estate in the coming time, making it difficult for those with real needs to access.

Dr. Tran Xuan Luong proposed that to prevent speculation and price inflation, the deposit should be increased to 50% of the original value, and that auction winners must wait 1-2 years before being able to buy, sell, and notarize.

Ninh Phan – Tran Hoang

Source: https://tienphong.vn/xuyen-dem-dau-gia-dat-huyen-ven-ha-noi-lo-cao-nhat-tra-1333-trieu-dongm2-post1665176.tpo