Many Vietnamese homebuyers are optimistic despite the real estate price hike

Most buyers in Vietnam purchase homes to live in and for their children’s future

Vietnam’s real estate market is expected to make a return, thanks to a high expansion rate in 2022.

Batdongsan.com.vn released PropertyGuru Group’s Vietnam Property Consumer Sentiment Survey for this year. It revealed that according to more than 1,000 respondents, approximately 92 percent of them plan to buy properties in Vietnam. Sixty-seven percent of which are seeking new projects while 28 percent are considering secondary products.

“The scarce supply of new property projects has created opportunities for brokers to manipulate the market or hoarding products to keep prices soaring,” Nguyen Quoc Hiep, chairman of Vietnam Contractors Association, told The Hanoi Times.

Ultimately, more than half of the participants wish to purchase a house within the next two years.

Sushmita Mohapatra, Head of Content Marketing at PropertyGuru Group, shared that this number was the highest in Southeast Asia. Other markets such as Indonesia, Malaysia, Singapore, and Thailand were only at the 70-percent mark. 

She pointed out that most buyers in Vietnam purchase homes to live in and for their children, whereas other countries buy for retirement and investment. 

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Although 52% of respondents believe that property prices in Vietnam are too high, many are still hopeful about the price increase. According to the survey, up to 89 percent of respondents are expecting prices to increase over the next five years, with 31 percent expecting it to rise by more than 10 percent.

The report also revealed that more people are paying attention to green living spaces, as well as spacious residences that are located near public transportation and children’s areas. Potential homebuyers are considering suburbs and less-crowded areas in Hanoi and Ho Chi Minh City.

Tran Quoc Viet, Vice Director of IP Land, told The Hanoi Times that “Along with drastic changes in the upcoming Land Law and continued efforts from the Government to push for public investment, there is a strong confidence that the real estate market would return to high expansion rate in 2022.”

The Property Report editors wrote this article. For more information, email: [email protected].