The price growth rate of real estate will hit its peak in 2016, according to the Vietnam Market Outlook released recently by CB Richard Ellis Vietnam Co. Ltd. (CBRE) .
CBRE: Real estate price to peak in 2016 (Source:VNA)
Hanoi (VNA) – The price growth rate of real estate will hit its peak in 2016, according to the Vietnam Market Outlook released recently by CB Richard Ellis Vietnam Co. Ltd. (CBRE) .
Real estate leasing has enjoyed good growth in both value and across segments. Positive impacts such as signed trade agreements and low-labour costs are showing auspicious influences on foreign investment inflow to the country.
However, the CBRE said in order to protect foreign investors’ benefits, Vietnam should improve transparency in project approval and developers should study market demands in order to effectively attract capital.
Confidence among customers has improved remarkably which has been reflected by the surge in the number of new projects and real estate transactions.
While the growth of real estate value is forecasted to reach a pinnacle in 2016 with abundant supplies, customers’ demands are expected to be higher.
Since January, many luxurious projects have been offered to the market by prestigious investors such as Vingroup. However, experts acknowledged rising prices are seen mostly in “golden” locations and in the central areas of Hanoi and Ho Chi Minh City.
Despite an increase in supply, the number of properties sold in 2016 in all segments is expected to be lower than 2015, and the trend is likely to continue in following years.
But, the rising demand for home ownership in Vietnam from overseas Vietnamese and foreign investors is expected to create some momentum.
The Housing Law 2015 has opened opportunities for foreign investors to buy houses in the country, but the number of property sold so far is modest.
ꦆ Experts say professionalism, language proficiency and convenience in payment are concerning factors in attracting customers.-VNA
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CBRE: Real estate price to peak in 2016 (Source:VNA)
