Branded Residences racing set record prices
Apartments on golden land in District 1, rich houses in District 2, or in Thu Duc all appear at peak prices of 100-400 million VND per m².
According to a survey by VnExpress, the luxury apartment market in Ho Chi Minh City is in the hottest stage in the past decade when there are continuously many projects with a selling price of hundreds of million VND per m², the post-price opening stage. house higher than previous offers. There are many projects that have set a record for the highest selling price in the area that is located. In particular, there is a case of the project offering for sale at the peak of the market, breaking the record for the highest apartment price in Vietnam ever.
In District 1, which is positioned as “a golden inch” in the context of the Ho Chi Minh City government restricting new project licensing in the central core area, the post-sale phases of luxury projects are recorded. selling price escalates. Specifically, at the end of April 2021, in Da Kao ward, district 1, the luxury apartment project The Marq is located in front of Nguyen Dinh Chieu street, offering the rebooting price of 7,500-9,800 USD per m², yet including value added tax (VAT). This asking price is also the peak price of an apartment in Da Kao, equivalent to nearly 230 million dong per m².
Currently, the king size apartments (extremely large size) with 4 bedrooms in this project are priced at about 30 billion VND per unit, while the 3 bedroom type has the lowest price of 23 billion VND per unit. This is the mid-term sale of this project combined with the plan to open the model house in the final phase, about to hand over the house by the end of this year.
Previously, in the first offers in mid-2018, The Marq apartments were offered for sale at $ 6,500-8,000 per m², also in the group of projects with peak prices at that time. Thus, in less than 3 years, the selling price of this luxury apartment has increased by 1,000-2,000 USD per m² according to the progress of project completion.
Model house of a luxury apartment project on Nguyen Dinh Chieu Street, District 1, Ho Chi Minh City has a selling price of over 200 million VND per m². Photo: Hongkong Land.
Also positioned as a luxury housing line, the apartment project is located on the golden land of Ba Son, District 1, located on Ton Duc Thang Street, which has just successfully traded $ 18,000 per square meter, equivalent to more than 400 million dong each. m² sets the record price of Vietnam’s housing market at the end of the first quarter and the beginning of the second quarter of 2021.
2 years ago (April 2019), in the same location, the Saigon housing market once appeared a super luxury apartment project located on the river in District 1, offered for sale 168-280 million VND each. m2, is considered the highest in history as of that time. Developments show that in the area along the Saigon River, luxury home prices have increased by hundreds of million dong per square meter.
Meanwhile, in the area adjacent to the center such as District 2 also appeared a number of luxury projects Cover Residences with prices from 161 million VND per m2, The River project at the price of 138 million VND per m2. These projects are all in the top-priced apartment group in the rich house market in District 2.
Particularly in Thu Duc district, an apartment project on Vo Van Ngan street has a market price of about 4,000 USD (equivalent to 93 million VND) per m2, excluding VAT. If tax is included, the selling price of this project exceeds the threshold of VND 100 million per m2. This is also the first luxury apartment project with the highest selling price in Thu Duc district ever.
Perspective entrance hall to welcome guests of luxury apartment project on Ton Duc Thang Street, District 1, Ho Chi Minh City.
Based on apartment classification criteria of international research units announced in Ho Chi Minh City, luxury condominiums are projects with an average primary selling price of US $ 4,000 per m² or more, which is the housing segment. have the highest price in the market. In the past 2-3 years, this type of luxury house has rapidly increased in price.
CBRE’s latest report in the first 3 months of 2021 also stated that the average selling price of luxury apartments in the whole HCMC market reached $ 6,898 per square meter, an average increase of 4.7% over the same period last year. . However, the actual happenings of many luxury projects have increased prices at 5% higher than the amplitude a year, 2-3 times higher.
According to Savills Vietnam, real estate located in the central area of District 1 often has a prime location and “unique”, so the selling price of this product line always increases over time. Meanwhile, in locations adjacent to the center such as District 2 and Thu Duc, if the project is developed by reputable developers, perfect traffic connection and high commercial value, house prices are still located. is at the top of the market and is classified as luxury.
In this housing segment, if the project meets the complete legal conditions, golden position, high construction quality, managed by leading reputable companies in the country and internationally, it will still be a group of customers. high-end products to keep an eye on.
Talking to VnExpress, General Director of a real estate company located in District 1, Ho Chi Minh City, said that the luxury home market is currently divided into 2 limited and popular versions. If the limited version is usually located in the downtown core area like District 1, the popular version spreads to even the neighboring districts of the center such as District 2, 3 or appears in the heart of new cities. like Thu Duc city. The selling price of this luxury segment is often expensive but still increases because the number of completed legal projects that are eligible to open for sale is not much.
He said that, according to observations, although each luxury project can be up to several hundred units, the launches are often dripping, not mass launch at the same time. Along with the limited development of high-rise buildings in District 1 and the slow approval of projects since 2017 throughout the city, the scarcity has made luxury projects enjoy unique advantages. rights, so the next sale price is always higher than the previous one.
At the beginning of 2020, Ms. Duong Thuy Dung – Senior Director of CBRE Vietnam said that in the next 10 years, luxury house prices in the Vietnamese market may increase dramatically and reach $ 35,000 per m². This is a special housing segment serving only a few groups of super-rich customers.
Ms. Dung added that, according to the housing rankings based on selling prices, the starting price of the luxury segment is $ 4,000 per square meter, in fact the average price is currently over $ 6,000 per square meter and the high price range. Most in this segment ever appeared luxury apartments approaching 10,000-15,000 USD per m².
From 2017 to the end of 2019, luxury apartments in the central area of Ho Chi Minh City increased by 40%. In the development chart of the luxury real estate cycle in Southeast Asia, Ho Chi Minh City is located in a cycle of rapid price increases.
According to CBRE’s forecast, the rapid increase of Vietnam’s super-rich will contribute to expanding demand in this luxury housing segment. In the group of foreign investors, the potential customers of this real estate segment are Asian billionaires, in which Korean billionaires have a great deal of interest in luxury properties. This reinforces Vietnam’s position as one of the most promising and emerging markets in the luxury real estate segment.