Vietnam real estate market to warm up in late 2023: experts
The Vietnamese realty market will continue to face difficulties from credit restrictions in 2023 but warm up in the last four months of the year, analysts said.

The central business district in Ho Chi Minh City. Photo courtesy of Vietnam News Agency.
End of 2022 likely market bottom
Assessing the real estate market in 2022, the director of a real estate business in Ho Chi Minh City, who declined to be named, said it became warmer in November and December after the government stabilized the macroeconomic situation. Particularly in the last month of the year, with the State Bank’s decision to raise the credit growth cap for banks by 1.5-2 percentage points, customers began to pay attention to real estate again.
“With the current lending interest rates of 11-12%, real estate or other investment channels will turn out bigger profit than bank deposits,” he said, noting that as property contributes greatly to the country's GDP, if the market becomes frozen, it will certainly affect hundreds of other industries and the economy as a whole.
Regarding market opportunities next year, he predicted that if the credit situation is positive, the segments of land plots worth below VND1.5 billion ($63,600) and apartments from VND2 billion ($84,800) will thrive. In particular, 2023 will be the year of segments that meet real demand.
Social housing in 2023 and beyond will also develop as prices become affordable. In addition, when the interest rate increases, social housing buyers will still enjoy loans with preferential interest rates of 4-5% for decades, said the director.
He also forecast the high-end housing segment will face difficulties in the next few years. In general, real estate businesses will continue to face challenges in terms of cash flow and personnel.
Nguyen Quoc Anh, deputy general director of Batdongsan.com.vn, said credit growth and policies will be the two factors positively impacting the real estate market.
“If a loosened credit policy is applied in early 2023, the market will have many opportunities for a quick recovery,” he said. According to Anh, at the end of 2022, the market received good news as the government set up a working group to remove obstacles for real estate and the revised Land Law is about to be passed by the National Assembly.
“With the positive prospects of credit growth and policies, we can expect an earlier recovery of the property market at the end of 2023,” he said.
Meanwhile, Nguyen Van Dinh, chairman of the Vietnam Association of Real Estate Brokers (VARS), put forth two scenarios for the market in 2023. The positive scenario is that after the Lunar New Year holiday in January, the government would launch some policy adjustments and the market will gradually warm up and stabilize until the end of the year. In the second, the market will still face difficulties due to capital flow congestion.
"To adapt to the situation, real estate businesses will actively restructure products in their ongoing projects toward better meeting market needs and develop more affordable real estate products in new projects, thus improving the liquidity", he said, believing that the market would follow the positive scenario next year.
Solutions to revive market
According to the Ho Chi Minh City Real Estate Association (HoREA), the real estate market is now in a very difficult situation, with a sharp fall in purchasing power and liquidity, a lack of cash flow and housing supply, an unreasonable housing product structure, and prices going beyond the financial ability of the majority of people.
In addition, real estate and housing projects also encounter a lot of legal problems. Without timely and effective solutions, the market may slide into recession, adversely affecting the goal of maintaining macroeconomic stability and social security.
Real estate developers have employed solutions to survive and wait for new business and investment opportunities, like stopping or suspending investment activities, construction of a number of projects; canceling the implementation of new projects, the issuance of shares to increase capital, initial public offerings and bond redemption. This would reduce state budget revenue, thus affecting the recovery and growth of the economy.
A number of businesses have also had to cut down workforce and wages, affecting the lives of many workers, construction workers, and brokers, especially with the Lunar New Year holiday approaching.
To solve difficulties in the real estate market, Dinh said that the Prime Minister's working groups should propose a number of specific mechanisms to facilitate the implementation of urgent projects and the conversion of high-end commercial projects into those suitable for the majority of people. “It is necessary to prioritize capital sources for these projects,” he noted.
In addition, the government needs to speed up the process of amending legal regulations, focusing on really removing existing bottlenecks. Project developers should actively follow market demand to develop product policies suited to market needs.
Meanwhile, Anh stressed the urgent need for real estate businesses to improve their credit rating because this will support them when the market returns to an uptrend. It is necessary to make the bond issuance channel transparent and ensure debt repayment ability.
In order to increase transactions, companies need to offer attractive financial options for buyers as well as speed up legal and project progresses to get more capital from customer prepayments, he said.
“They must diversify capital sources and actively explore recovery programs, especially those benefiting social and worker housing projects," he added.
- Read More
Termination of feed-in-tariff mechanism a major bottleneck in Vietnam’s electricity transition: expert
A major bottleneck in Vietnam’s electricity transition has been the termination of the feed-in-tariff (FIT) mechanism in 2021, with no suitable replacement mechanism in place, according to the director of Hanoi-based Institute of Energy Technology.
Economy - Mon, June 2, 2025 | 4:56 pm GMT+7
Vietnam Vaccine JSC launches high-quality healthcare shop chain
Vietnam Vaccine JSC (VNVC), well known for its vacciation services, on Saturday launched its VNVC Shop, a chain offering safe, high-quality healthcare products from globally recognized brands.
Companies - Mon, June 2, 2025 | 4:05 pm GMT+7
Vietnam heavyweight PV Gas plans $3 bln investment over next 5 years
PV Gas, a subsidiary of state-owned giant Petrovietnam, plans to make "strong investment" over the next five years in areas such as infrastructure and import-distribution of LNG.
Energy - Mon, June 2, 2025 | 2:01 pm GMT+7
Vietnam sees renewed output expansion, improved business confidence in May: S&P Global
May saw a more stable picture in terms of U.S. tariff policies than April, helping lead to a renewed expansion in output and improved business confidence, says Andrew Harker, economics director at S&P Global Market Intelligence.
Economy - Mon, June 2, 2025 | 9:18 am GMT+7
Vietnam considers developing 2 inter-regional renewable energy service and industry hubs
The Ministry of Industry and Trade (MoIT) has proposed building two inter-regional renewable energy service and industry hubs in the country.
Economy - Mon, June 2, 2025 | 8:00 am GMT+7
Investors advised to take profits from stocks having risen sharply
Investors should maintain a balanced stock allocation in their portfolios and consider buying opportunities if the VN-Index retreats to the 1,300-1,320 point range, say market experts.
Finance - Sun, June 1, 2025 | 8:10 pm GMT+7
Shares of Vietnam's leading jewelry maker PNJ jump over 30% ahead of gold inspection report
Shares of Phu Nhuan Jewelry JSC (PNJ), a leading jewelry producer in Vietnam, rallied sharply ahead of the central bank’s Friday release of its gold market inspection findings.
Companies - Sun, June 1, 2025 | 1:14 pm GMT+7
Vietnamese firm takes over 40-year-old Pierre Cardin shoe chain in Thailand
Emall Vietnam, which owns a network of 100 high-end business shoe stores under the Pierre Cardin and Oscar brands in Vietnam, has taken over the entire Pierre Cardin shoe system in Thailand.
Companies - Sun, June 1, 2025 | 10:29 am GMT+7
Southern Vietnam province Ba Ria-Vung Tau okays 53 projects
Ba Ria-Vung Tau authorities on Friday granted in-principle approvals or investment registration certificates for 53 projects, including a green light for a $400 million investment capital hike of the $5.4 billion Long Son Petrochemicals Complex.
Industries - Sun, June 1, 2025 | 8:00 am GMT+7
Who to receive over 97 mln ESOP shares from Vietnam's leading developer Novaland
Novaland, a major real estate developer in Vietnam, will simultaneously implement plans to issue bonus shares and offer ESOP (employee stock ownership plan) shares, with a total issuance rate of 5%, equivalent to more than 97 million units.
Companies - Sat, May 31, 2025 | 11:09 pm GMT+7
Vietnam billionaire Pham Nhat Vuong to contribute 48 mln Vingroup shares to VinSpeed
Billionaire Pham Nhat Vuong has registered to transfer more than 48 million Vingroup (VIC) shares to the newly-established VinSpeed that registered to build the North-South high-speed railway project.
Companies - Sat, May 31, 2025 | 7:14 pm GMT+7
Two investors propose $65 mln wind power project in central Vietnam
A consortium of Quang Tri Renewable Energy Investment JSC and Win Power Holding Pte Ltd, and Nam Binh Wind Power JSC have submitted an application to implement a 48-megawatt wind power plant in the central province of Quang Tri.
Energy - Sat, May 31, 2025 | 3:10 pm GMT+7
Central Vietnam city seeks investors for $209 mln LNG, LPG terminal project
The central city of Danang is calling for investment in an LNG and LPG terminal project worth over VND5.43 trillion ($208.7 million).
Infrastructure - Sat, May 31, 2025 | 10:52 am GMT+7
Thai-backed food giant C.P. Vietnam rejects pork safety accusations
C.P. Vietnam, a subsidiary of Thailand’s food giant Charoen Pokphand Foods Public Company Limited (CPF), has dismissed social media allegations of selling diseased pork, calling them fabricated and false.
Companies - Sat, May 31, 2025 | 8:54 am GMT+7
Oman Investment Authority to expand investment fund in Vietnam
Prime Minister Pham Minh Chinh has proposed Oman to enlarge the Vietnam-Oman Investment Fund (VOI) to $1 billion to better cater for the Southeast Asian country's investment needs.
Economy - Fri, May 30, 2025 | 11:26 pm GMT+7
Japanese retailer Aeon to build 2-hectare mall in Vietnam’s Mekong Delta
Retail giant Aeon will develop a 2-hectare mall in the Mekong Delta province of Tien Giang, with an estimated investment of VND1.16 trillion ($44.6 million).
Industries - Fri, May 30, 2025 | 4:44 pm GMT+7