Illustrative image (Source: VNA)
Hanoi (VNA) - The domestic real estate market continued its recovery in November, and conditions are expected to last into the New Year, experts said.

The Housing and Real Estate Market Management Department under the Ministry of Construction reported that the Hanoi property market in November gained a year-on-year increase of 11 percent with 1,550 successful business transactions.

In the first 11 months of this year, successful transactions in the capital city's property market showed a year-on-year surge of 80 percent with 17,750 transactions.

Meanwhile, the number of successful transactions in the HCM City property market in November reached a year-on-year high of 23 percent with 1,600 units, while it gained a year-on-year increase of 92 percent in the first 11 months of this year with 17,050 successful transactions, the department reported.

During the first 11 months of this year, the total value of property inventory on the national market reached 53.24 trillion VND (2.37 billion USD), a reduction of 3.04 trillion VND against the first 10 months of this year.

Tran Ngoc Quang, General Secretary of the Vietnam Real Estate Association, said that both demand and supply had increased and a huge volume of capital had entered the property market. Meanwhile, property enterprises had changed the way they do business and were recovering lost ground after a long and difficult period.

The confidence of customers in the local property market has also increased, he said.

Quang expected the establishment of the ASEAN Economic Community (AEC) to support the local property market during its recovery in the coming years. Mergers and acquisitions on the local property market would increase strongly in the 2016-2017 period, the Thoi bao Kinh te Viet Nam newspaper reported.

Now, the local real estate market has entered a new phase and is seeing positive changes in payment and policies, but property enterprises should have specific development strategies and improve quality of their products, he said.

Nguyen The Diep, Chairman of Reenco Song Hong property market, said property investors must have real ability in terms of capital along with knowledge of regulations and laws about real estate to make the right decisions on investments. Buyers should also choose carefully the investors and property segments to invest in.

Economic expert Le Xuan Nghia said the number of investors in the real estate sector had increased on the world market and Vietnam too would see an upward trend in property transactions. The Trans Pacific Partnership deal (TPP) would promote urbanisation in Vietnam and that would increase the demand in properties in the future.

There would no bubble in the local property market because the market would be more transparent and have closer management, he said.-VNA