Vietnamese investors will dominate thedomestic real estate market for the immediate foreseeable future,experts said at a seminar on property trends held in HCM City on Sept.29.
Marc Townsend, managing director of CBRE, a realestate service provider, said the prolonged global economic downturnhas forced a lot of foreign investors to halt or reconsider theirproperty projects in Vietnam.
Besides, many factors in Vietnam ’s real estate market are lesstransparent than other countries including the regulations on land,investment formalities and site clearance, causing difficulties forforeign investors, he said.
He noted that several big projects in the heart of HCM City were builtby Vietnamese enterprises, like the high-rise building by Vincom, a64-storey financial tower by Bitexco, Times Square by Kinh Do and theSJC building by Saigon Jewelry Co.
Townsend identified the increase in demand for accommodation withsmaller areas and reasonable prices as another merging property trend.This demand is set to increase remarkably by the end of this year, hesaid.
He said from the fourth quarter of this year until the end of nextyear, about 22,560 apartments will go on sale in HCM City , up from14,967 from the beginning of 2008 to the third quarter of this year.
Nguyen Phuoc Duc, deputy director of Dia Oc Dat Lanh Ltd Co saidalthough small apartments fetched lower profits, they were easier tosell. Such housing products are suitable for a large number ofnewly-weds, retirees and young people, he added.
Duc said there are 109,000 State employees and 43,000 newly marriedcouples who look to buy small, affordable houses, while 328,500students from 70 universities and colleges need rental housing everyyear.
Most of them do not have much money and don’t need large houses. Small apartments can meet their demand, he said.
The small apartment projects that are being planned and constructed aimto lower the pressure on the Government’s social housing policy andaddress the housing shortage faced by low-income residents, Duc added.
Bui Tien Thang, deputy general director of Sacomreal, said investorsneed to consider several aspects, including good infrastructure,convenient transportation and proximity to public services when eyeingproperty projects.
The chosen projects must have proper legal documentation and have high liquidity as well as market demand, he said./.
Marc Townsend, managing director of CBRE, a realestate service provider, said the prolonged global economic downturnhas forced a lot of foreign investors to halt or reconsider theirproperty projects in Vietnam.
Besides, many factors in Vietnam ’s real estate market are lesstransparent than other countries including the regulations on land,investment formalities and site clearance, causing difficulties forforeign investors, he said.
He noted that several big projects in the heart of HCM City were builtby Vietnamese enterprises, like the high-rise building by Vincom, a64-storey financial tower by Bitexco, Times Square by Kinh Do and theSJC building by Saigon Jewelry Co.
Townsend identified the increase in demand for accommodation withsmaller areas and reasonable prices as another merging property trend.This demand is set to increase remarkably by the end of this year, hesaid.
He said from the fourth quarter of this year until the end of nextyear, about 22,560 apartments will go on sale in HCM City , up from14,967 from the beginning of 2008 to the third quarter of this year.
Nguyen Phuoc Duc, deputy director of Dia Oc Dat Lanh Ltd Co saidalthough small apartments fetched lower profits, they were easier tosell. Such housing products are suitable for a large number ofnewly-weds, retirees and young people, he added.
Duc said there are 109,000 State employees and 43,000 newly marriedcouples who look to buy small, affordable houses, while 328,500students from 70 universities and colleges need rental housing everyyear.
Most of them do not have much money and don’t need large houses. Small apartments can meet their demand, he said.
The small apartment projects that are being planned and constructed aimto lower the pressure on the Government’s social housing policy andaddress the housing shortage faced by low-income residents, Duc added.
Bui Tien Thang, deputy general director of Sacomreal, said investorsneed to consider several aspects, including good infrastructure,convenient transportation and proximity to public services when eyeingproperty projects.
The chosen projects must have proper legal documentation and have high liquidity as well as market demand, he said./.
