A number of high-end apartments in Hanoi have been converted into medium-end apartments and offered at lower prices to attract more customers and reduce large inventories, experts said.

The price of high-end apartments was reduced from 38 million VND (around 1,800 USD) to 45 million VND (approximately 2,140 USD) per square meter a few years ago to 30 million VND (1,420 USD) per square metre today, reported Infonet online newspaper.

Investors took out high-end interiors and delivered nearly-completed instead of completed apartments to be able to bring down prices.

Affected projects include Ho Guom Plaza, Golden Palace, Golden Land and Spark Hoang Quoc Viet, as well as CT1 Trung Van and Green Star.

The market for high-end apartments has remained gloomy for several years while the market for medium- and small-end apartments has remained bright because the latter were priced within most people’s incomes.

Nguyen Van Duc, deputy chairman of the Ho Chi Minh City Real Estate Association, said investors are more concerned about increasing sales, reducing inventory and paying debts than they are about protecting their reputation.

The Thoi bao Ngan hang (Banking Times) newspaper quoted Nguyen Vinh Tran, Nam Long Investment Joint Stock Company general director, as saying the scaling down of high-end apartments to make them more affordable is a temporary trend and that the domestic property market is not recovering as quickly as expected.

The recovery of the domestic property market requires cooperation among investors, customers and State management offices, as well as general solutions on State and investors' financial and customer care policies, Tran added.-VNA