MARKET REPORT Q3/2022 – APARTMENT CONTINUES INCREASING PRICES
Market report quarter 3-2022 Ministry of Construction said apartment prices in some areas in Hanoi and Ho Chi Minh City increased more than the last quarter 2.
According to information from the Ministry of Construction, there were more than 51,000 successful transactions of apartments and individual houses in the third quarter of 2022. These transactions are mainly concentrated in the following localities: Hai Phong, Long An, Da Nang, and Ho Chi Minh City. In which, in Ho Chi Minh City alone, there were 2,244 successful transactions.
In terms of prices, apartment transactions in the third quarter of 2022 were basically stable compared to the previous quarter. In some areas in the two largest cities in the country, Hanoi and Ho Chi Minh, apartment prices have increased more than in the previous quarter.
Specifically, commercial housing projects in the central areas of urban areas have almost no apartments at prices below 25 million VND/m2. With this price, people can only find it in projects far from the central area, even the quantity is quite scarce. In particular, in the high-end apartment segment, there are projects with beautiful locations in the city center being offered for sale at very high prices (100 – more than 150 million/m2).
In addition, data from Cushman & Wakefield Vietnam shows that, in the third quarter of 2022, apartment prices in the Ho Chi Minh City area. HCM increased by 1% (the current average price is 66 million VND/m2). However, 75% of the apartments opened for sale in the quarter were in the high-end segment (with a selling price of over VND 50 million/m2).
Ms. Trang Bui, General Director of Cushman & Wakefield Vietnam, assessed that not only in the third quarter but also in the coming quarters, real estate prices will still maintain an upward momentum. Explaining the reason for the assessment that house prices are difficult to go down, Ms. Trang said: Besides the price of land, the price of construction materials has increased very high compared to previous years, the project development costs have increased. investors must recalculate the selling price of products to the market to balance the budget.