Property experts are issuing positive predictions for the second half ofthe year, claiming that a recovery in the real estate sector is in thecards, the Vietnam Investment Review (VIR) reported.
Vu Van Phan,Deputy Head of the Ministry of Construction’s Housing and Real EstateMarket Management Department said the market had seen positive moves inthe first half of the year, especially among cheaper and medium-valueresidential developments. Phan believed that this upswing would continueinto the new year.
Former Vice Chairman of the NationalFinancial Supervisory Commission Le Xuan Nghia believed the recovery inthe second half of this year would greatly depend on the economy’soverall growth. A real estate boom would go hand-in-hand with a moreoptimistic view of the macro-economy’s development.
However Nghiastressed that apart from economic growth and dealing with bad debts,the real estate market still needed more transparent policies andfinancial mechanisms.
“If this is the case we can hope to see a medium-paced recovery in the second half of the year,” he predicted.
MeanwhileCBRE Vietnam’s Managing Director Marc Townsend commented that the realestate market was likely to have a good second half, particularly in thelower-priced segments, but he cautioned about a major boom in thesector.
“Developers will begin dusting-off their old residentialand township developments and we’ll see construction resume. As priceshave fallen, it could well be the case that buyers may choose to move upto a higher quality bracket,” Townsend suggested.
Townsendexpected that the mid to high-end segments would see more interest whilethe high-end segment will see speculators return. Overpricedprime-location projects may still remain frozen or converted to otheruse.
However Nguyen Van Duc, Deputy Director of the Dat Lanh RealEstate Company struck a note of caution. He said that despite a warmerfirst half, the second half could still face difficulties. “I stillsee a tough business environment, especially for projects that haven’treceived any financial support from the Government,” he said.
TheMinistry of Construction reported that in the first half of the year,there was a strong increase in transactions for small and medium-scalehouses at reasonable prices. Some developers that had haltedconstruction restarted their housing projects.
The ministry saidthe supply of apartments in large cities like Hanoi and Ho Chi Minh Cityhad increased and transactions for relatively cheaply-priced apartmentshad surged. The report said that in the first half of this year, Hanoisaw 4,000 successful transactions, double the same period last year. HoChi Minh City echoed this with apartments priced at 15 million VND (714USD) per square metre selling well.-VNA
Vu Van Phan,Deputy Head of the Ministry of Construction’s Housing and Real EstateMarket Management Department said the market had seen positive moves inthe first half of the year, especially among cheaper and medium-valueresidential developments. Phan believed that this upswing would continueinto the new year.
Former Vice Chairman of the NationalFinancial Supervisory Commission Le Xuan Nghia believed the recovery inthe second half of this year would greatly depend on the economy’soverall growth. A real estate boom would go hand-in-hand with a moreoptimistic view of the macro-economy’s development.
However Nghiastressed that apart from economic growth and dealing with bad debts,the real estate market still needed more transparent policies andfinancial mechanisms.
“If this is the case we can hope to see a medium-paced recovery in the second half of the year,” he predicted.
MeanwhileCBRE Vietnam’s Managing Director Marc Townsend commented that the realestate market was likely to have a good second half, particularly in thelower-priced segments, but he cautioned about a major boom in thesector.
“Developers will begin dusting-off their old residentialand township developments and we’ll see construction resume. As priceshave fallen, it could well be the case that buyers may choose to move upto a higher quality bracket,” Townsend suggested.
Townsendexpected that the mid to high-end segments would see more interest whilethe high-end segment will see speculators return. Overpricedprime-location projects may still remain frozen or converted to otheruse.
However Nguyen Van Duc, Deputy Director of the Dat Lanh RealEstate Company struck a note of caution. He said that despite a warmerfirst half, the second half could still face difficulties. “I stillsee a tough business environment, especially for projects that haven’treceived any financial support from the Government,” he said.
TheMinistry of Construction reported that in the first half of the year,there was a strong increase in transactions for small and medium-scalehouses at reasonable prices. Some developers that had haltedconstruction restarted their housing projects.
The ministry saidthe supply of apartments in large cities like Hanoi and Ho Chi Minh Cityhad increased and transactions for relatively cheaply-priced apartmentshad surged. The report said that in the first half of this year, Hanoisaw 4,000 successful transactions, double the same period last year. HoChi Minh City echoed this with apartments priced at 15 million VND (714USD) per square metre selling well.-VNA
