Business

Economic recovery, new laws prop up property market

A steady economic growth rate, the new Property Business Law and the revised Housing Law, which took effect on July 1, are encouraging the recovery of the property market which has suffered a long period of downturns.
A steady economic growth rate, the new Property Business Law and therevised Housing Law, which took effect on July 1, are encouraging therecovery of the property market which has suffered a long period ofdownturns.

Statistics showed since thebeginning of this year, 5,137 flats have been made available in themarket, up to 1,518 of which are considered high-grade.

Despite an increase in prices, around 4,480 high-class flats weresold in the second quarter, up 80 percent against the same period, andaccounted for about 22 percent of the total transactions in the firstsix months, as compared with 6 percent in 2013 and 18 percent in 2014.

Prices of luxury flats are also rising,increasing from 4-6 percent from one year ago, especially for projectswith advantageous locations.

Meanwhile, therewas a decline in the real estate market’s segment of plain flats withthe number of transactions accounting for only 26 percent, a strong dropfrom 49 percent in 2013 and 33 percent in 2014.

According to experts, the luxury real estate market will continue togrow with positive economic prospects and key infrastructure projects.-VNA
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