HCMC apartment sales near full-2021 result in Q2

By Thuy Nguyen
Wed, July 27, 2022 | 4:29 pm GMT+7

A total 9,048 new apartments were sold in the second quarter of this year across Ho Chi Minh City, slightly lower than the total 10,145 units of 2021, Cushman & Wakefield said.

Townhouse sales in the city during the period reached 173 units, 10 less than in the first quarter, with villa sales of 45 units, down about 50%, according to a report by the real estate services company released Wednesday.

Villas and apartment towers in the Saigon Pearl area, Binh Thanh District, Ho Chi Minh City, southern Vietnam. Photo courtesy of Cushman & Wakefield.

Villas and apartment towers in the Saigon Pearl area, Binh Thanh District, Ho Chi Minh City, southern Vietnam. Photo courtesy of Cushman & Wakefield.

The report noted that due to the country’s post-pandemic economic recovery and improved living standards, the proportion of middle-class households in HCMC has increased. Consequently, investors have adapted in time to promote suitable products to meet family needs.

Starting this April, commercial banks tightened housing loans under a State Bank of Vietnam (SBV) order on intensifying credit to limit speculation and price inflation in the country. As loans are difficult to access, individual investors are more hesitant, especially toward high-value products like townhouses and villas, leading to a decrease in sales compared to the previous quarter.

Property developers with financial strength and investors less reliant on financial leverage are less affected by the central bank’s move. Cushman & Wakefield added that in order to maintain sales, most developers have supported buyers with adjustments in payment terms in line with their partner banks’ credit policy.

The Q2 average price of apartments in HCMC ranged from $1,556 per square meter (around VND36 million) to $15,009 (about VND348 million). The average prices for villas and landed houses were $11,000 per square meters (approximately VND255 million) and $9,300 per square meters (VND216 million), respectively, the firm said.

Its report showed in the first half of this year, about 10,700 new apartments were introduced in HCMC. Mid-end supply dominated the market with about 9,600 units launched, from Beverly Solari in the Vinhomes Grand Park project, Lumiere Boulevard in Masteri Center Point, MT East Mark City, Urban Green, King Crown Infinity, and Fiato Premier.

For landed houses and villas, 194 units were launched between January and June. Thu Duc city on the outskirts of HCMC is being developed into the focus area for landed houses with two large-scale projects namely Soho Shophouse in Global City, and The Rivus Elie Saab, a villa project with a Dong Nai River view.

For next year, Cushman & Wakefield expects the HCMC residential market to be dominated by supply from the east and southern areas. By 2023, about 30,000 and 35,000 apartments would become available, the report said.

However, the landed house segment in the megacity is still experiencing a supply shortage from 2019. “We expect supply will improve over the next three years with 7,859 units to be launched, driven by new policies and the government’s commitment to infrastructure development in areas far from the city center,” the company said.

Comments (0)
  • Read More
Former Government Office chairman receives $7,900 bribe from property project

Former Government Office chairman receives $7,900 bribe from property project

Mai Tien Dung, former Minister-Government Office Chairman, received a bribe worth VND200 million ($7,900) from Nguyen Cao Tri, owner of the Dai Ninh eco-resort and urban area project in Lam Dong province.

Society - Sat, November 2, 2024 | 9:13 pm GMT+7

Thai food giant CP enters public-private partnership to promote food system transformation

Thai food giant CP enters public-private partnership to promote food system transformation

Thai-invested C.P. Vietnam Livestock JSC and the Partnership for Sustainable Agriculture Vietnam (PSAV) signed a memorandum of understanding Friday on working together to advance sustainable agriculture in the country.

Companies - Sat, November 2, 2024 | 7:16 pm GMT+7

Central Vietnam province Quang Ngai to begin work on new VSIP industrial park next year

Central Vietnam province Quang Ngai to begin work on new VSIP industrial park next year

Vietnam’s central province of Quang Ngai will work with the investor to have construction of VSIP II Quang Ngai, a facility based on the Vietnam-Singapore Industrial Park (VSIP) model, begin in August 2025.

Industrial real estate - Sat, November 2, 2024 | 3:47 pm GMT+7

Vietnam likely to grow 6.5% in 2024-2025: VinaCapital

Vietnam likely to grow 6.5% in 2024-2025: VinaCapital

VinaCapital, among the biggest foreign-run asset managers in Vietnam, has forecast the country’s economy to achieve 6.5% growth in both 2024 and 2025, with the composition of the expansion to change to more domestically driven factors next year.

Economy - Sat, November 2, 2024 | 2:00 pm GMT+7

Major Vietnamese developer Novaland appoints new CEO

Major Vietnamese developer Novaland appoints new CEO

Duong Van Bac, who joined Novaland as chief financial officer in August 2023, has been appointed general director, starting Friday.

Companies - Sat, November 2, 2024 | 10:24 am GMT+7

Vietnamese conglomerate Bamboo Capital posts 36-fold profit growth in Q3

Vietnamese conglomerate Bamboo Capital posts 36-fold profit growth in Q3

Ho Chi Minh City-based Bamboo Capital Group recorded an after-tax profit of VND331.2 billion ($13.1 million) in the third quarter of 2024, an astounding 36-fold expansion year-on-year.

Southeast Asia - Sat, November 2, 2024 | 9:41 am GMT+7

ThaiBev to bag $54 mln from Sabeco’s upcoming dividend payout

ThaiBev to bag $54 mln from Sabeco’s upcoming dividend payout

Vietnam Beverage, wholly owned by Thai Beverage (ThaiBev) will rake in VND1,374 billion ($54.26 million) worth of dividend from Ho Chi Minh City-based top brewer Sabeco.

Companies - Sat, November 2, 2024 | 9:13 am GMT+7

Steel heavyweight Hoa Phat pours over $2 bln into central Vietnam complex

Steel heavyweight Hoa Phat pours over $2 bln into central Vietnam complex

Leading Vietnamese steelmaker Hoa Phat had invested more than VND52.5 trillion ($2.08 billion) in its Dung Quat Iron and Steel Integrated Complex (Dung Quat 2) in the central province of Quang Ngai as of Q3/2024.

Industries - Sat, November 2, 2024 | 8:00 am GMT+7

Vietnam becomes Australia’s fastest-growing inbound market

Vietnam becomes Australia’s fastest-growing inbound market

The number of Vietnamese tourists to Australia has grown significantly after the Covid-19 pandemic, with nearly 178,000 reported in the 12 months to August 2024, according to a Friday press release by the Australian Minister for Trade and Tourism’s Office.

Southeast Asia - Fri, November 1, 2024 | 10:02 pm GMT+7

Study finds shift in Thai consumers’ spending patterns

Study finds shift in Thai consumers’ spending patterns

Consumers in Thailand are shifting their spending focus to experiences and investments, according to the latest ASEAN Consumer Sentiment Study (ACSS) by United Overseas Bank (UOB).

Southeast Asia - Fri, November 1, 2024 | 10:00 pm GMT+7

Energy security, digitalization key to Indonesia's economic growth

Energy security, digitalization key to Indonesia's economic growth

The Indonesian government is prioritizing long-term economic growth through energy security, digitalization, and natural resource industrialization, according to Deputy Minister of Finance Thomas Djiwandono.

Southeast Asia - Fri, November 1, 2024 | 9:58 pm GMT+7

Vietnam PM's Middle East tour creates breakthroughs in economic, trade, investment cooperation: FM

Vietnam PM's Middle East tour creates breakthroughs in economic, trade, investment cooperation: FM

Prime Minister Pham Minh Chinh’s freshly ended six-day trip to the UAE, Saudi Arabia and Qatar has produced important outcomes, demonstrating the growing relations between Vietnam and the three Middle-East countries, Deputy Prime Minister and Foreign Minister Bui Thanh Son told the Vietnam News Agency.

Politics - Fri, November 1, 2024 | 9:25 pm GMT+7

Vietnam, Qatar look to tap potential for energy, oil & gas collaboration

Vietnam, Qatar look to tap potential for energy, oil & gas collaboration

Vietnam and Qatar have recognized the significant potential for further collaboration in multiple sectors such as energy, oil and gas, especially LNG, agriculture, Halal industry, and banking.

Politics - Fri, November 1, 2024 | 9:02 pm GMT+7

Thailand bans export of raw palm oil until December

Thailand bans export of raw palm oil until December

Thailand's Department of Internal Trade has temporarily banned the export of raw palm oil due to reduced production caused by drought and plant diseases.

Southeast Asia - Fri, November 1, 2024 | 8:31 pm GMT+7

Envision Energy to build $420 mln wind power plant in Vietnam from June 2025

Envision Energy to build $420 mln wind power plant in Vietnam from June 2025

Envision Energy Singapore Pte Ltd, under China-based Envision Energy, aims to kick off construction of the 300-MW Envision Nam Po wind power plant in Vietnam’s northern mountainous province of Dien Bien in June 2025.

Energy - Fri, November 1, 2024 | 8:30 pm GMT+7

Indonesia to ban plastic waste imports from 2025

Indonesia to ban plastic waste imports from 2025

The Indonesian government will start imposing a ban on the import of plastic waste from the beginning of next year, according to Minister of Environment Hanif Faisol Nurrofiq.

Southeast Asia - Fri, November 1, 2024 | 8:29 pm GMT+7