Ho Chi Minh sees property prices rise by 9 percent amid rising COVID-19 cases

Sources attribute the rise to tight demand, but some are still optimistic that sales will increase  

Despite rising COVID-19 cases and city-wide lockdown, condominium prices in Ho Chi Minh city continue to surge, reported Khmer Times.  

According to local listing website Batdongsan.com, Ho Chi Minh City, Vietnam’s biggest city and home to 3.4 million people, saw property prices rise by nine percent last month, compared to a year earlier.  

The city has been locked down for over 100 days, with restrictions demanding residents to stay home unless necessary.  

Batdongsan attributes the city’s rise in apartment prices to tight demand during the time that fewer people shop online for homes. Condo searches on the website dropped 23 percent last month compared to August 2020.  

However, Dinh Minh Tuan, regional director at Batdongsan, is still optimistic that sales will increase when Delta cases are contained. 

Dinh said, “Despite the economic difficulties caused by the COVID-19 epidemic, the demand for housing is still high. The more the epidemic, the more people want to own safe, private homes.” 

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“In recent months, due to social distancing, cash did not directly flow into real estate but focused on securities. However, the phenomenon of selling off real estate has not occurred especially in areas adjacent to Ho Chi Minh City. This shows that many investors still keep their money and wait for opportunities to buy real estate after the pandemic,” he said. 

Managing director of estate agency CBRE Cambodia says that Vietnam’s economic performance remains strong. Along with the real estate market’s level of development and buyers’ purchasing power, the demand from foreign buyers will hold up.