Vietnam has become an up and coming property investment destination among Chinese and Hong Kong buyers with real estate prices lower than in other Southeast Asian countries. Demand for properties in Vietnam among Chinese buyers surged 300 percent year-on-year in the first quarter of 2018, Chief Executive Carrie Law of Juwai, one of the biggest international property portal in China, told South China Morning Post (SCMP). “Many investors from mainland China are hoping to see these cities [Ho Chi Minh City, Hanoi] replicate the same growth as Beijing and Shanghai,” said Stephen Wyatt, the country head of JLL Vietnam. Buyers from mainland China, Taiwan and Hong Kong last year accounted for 25 per cent of the Southeast Asian nation’s total transactions by foreign buyers, up from 21 per cent in 2016, according to data from real estate company CBRE Vietnam as quoted by SCMP. Analysts say relatively low prices in Vietnam, one of world’s fastest growing … [Read more...] about Cheap real estate in Vietnam draws scores of Chinese buyers
Buyers market real estate
With banks tightening credit to the property sector the HCM City market is cooling off, traders said. — Photo plo.vn With banks tightening credit to the property sector the HCM City market is cooling off, traders said. In District 9 for instance, unlike a month ago, many people are offering to sell their lands but cannot find buyers. The offers are much higher than bids, a broker said. Huu Tin, a broker from Binh Tan District, told Nguoi Lao Dong (The Labourer) newspaper there have been no transactions for a week. He has a 50sq.m house on Do Nang Te Street for sale for VND4 billion (US$175,000), but there are no takers, he said. Even recently everything on offer was being snapped up immediately, he said. Le Thi Hong Tham of District 7 told Viet Nam News she invested VND1.7 billion ($74,5000) to buy a piece of land near Long Hau Industrial Zone in Long An Province just off HCM City and sell it immediately. “Earlier, land could be re-sold within three or four days of buying. … [Read more...] about Tight credit cools City real estate
Real estate organizations in Vietnam are concerned that 2018 could be a difficult year for the local condotel market due to oversupply. About 23,000 condotels were built last year in Vietnam, according to the Ho Chi Minh City Real Estate Association (HoREA). In the first quarter of this year alone, 2,078 new condotels were put on the market, the Ho Chi Minh based DKRA real estate firm estimated. Despite the high number, only 387 were sold in the first three months of this year, DKRA reported. Last year, only 33 percent of new condotels were sold, just half of the number reported in 2016, the company said. Condotel investments in Vietnam have not slowed since 2016, despite a warning of oversupply issued by HoREA in August 2017. The association estimated that from 2017 to 2019, around 29,000 new condotels would be put on the market. One of the reasons for the low demand is the lack of a legal framework to manage them, as they are currently not clearly specified in Vietnamese … [Read more...] about Real estate firms in a spin over condotel oversupply in Vietnam
Land registration offices at some outlying districts in HCM City have been extremely busy due to recent rising land prices in the area. According to staff at District 12's Land Registration Office, they've been receiving a large number of local people coming to submit their files for land transactions over the past two years. “Land prices in District 12 started to increase in 2015 which has attracted a lot of investors," he said. "We’re having to work at full capacity every day to serve the high demand for land transactions." At the District 9 People's Committee Administrative Office one morning early this year, a long queue was seen where people were discussing land trading issues. A middle-aged woman, Nguyen Thi Sau, said that she came to complete papers to sell a 100-square-metre land lot on Do Xuan Hop Street. “I bought the lot three months ago at the prices of VND3.6 billion (USD158,660)," Sau said. "Now I'm going to sell it at VND4 billion (USD176,289). That … [Read more...] about HCM City sees busy real estate transactions in outlying districts
Real estate experts believe that selling condotels can bring huge profits to investors and savings in fees that apartment developers usually pay. The first condotels appeared in Vietnam several years ago and have been developing very rapidly since then. According to the Ministry of Construction (MOC), there are 148 ongoing condotel projects developed by 52 investors. It is expected that 27,000-29,000 condotels will be launched into the market in 2017-2019. Despite the existence of numerous products, condotels have not been recognized by the law. Condotels remain out of the management of state agencies. Many investors, when advertising condotels, give unclear information which does not coincide with the purpose of projects approved by state management agencies. This has led to misunderstandings among buyers not knowledgeable about the law. However, in the last six months, ministries and branches have urged to legalize condotels. At the same time, condotel developers have been … [Read more...] about Why do real estate developers want to legalize condotels?