Real estate makes up 23 percent of Vietnam’s FDI injection. (Photo: VNA)Hanoi (VNA) – Real estate attracts 23 percentof the total FDI injection into Vietnam in the first three quarters of 2018,property services firm CBRE Vietnam said on October 4.
A decade ago, FDI inflow to the real estate market onlymade up 10 percent of the total FDI in Vietnam. It later grew continuouslybetween 2015 and 2017, compared to the non-stop decline of the 2010-2013period.
As of July 2018, the sector had held onto its spot ofsecond place in terms of FDI attraction, with 704 valid projects worth 56.3billion USD.
In Hanoi, there were nearly 5,000 apartments offered forsale from 24 projects in the third quarter of 2018, down 25 percent from theprevious quarter, Nguyen Hoai An, Director of Professional Services at CBREVietnam’s Hanoi branch, told a press briefing on the capital city’s real estatemarket from July to September. About 4,300 units were sold, down 27 percent, Anadded.
She blamed the falling sales on the “Ghost Month”, whichis the seventh month in the lunar calendar. People often avoid making importantdecisions like home purchase during the month as it is believed to be a periodof bad luck.
Besides, many people have been waiting for the launches ofbig projects at the end of this year that will give them more choices, shenoted.
Despite the home sales slowdown, the number ofreservations at those large projects was on the rise, proving that the propertymarket still drew buyers’ attention, she explained.
According to the CBRE, among the hottest propertyprojects expected to be launched in the last three months are middle-endVincity Ocean Park and Vincity Tay Mo Dai Mo. Supplies from the middle segmentwere forecast to continue dominating the market, accounting for more than 60percent of the total launches in Hanoi this year.
Projects launched in this quarter are mostly located inthe western and northern parts of the city, representing over 70 percent of thetotal new units.
Notably, developers are likely to find their way to theoutskirts of the capital city with various new projects in the districts ofThanh Tri and Hoai Duc.
Prices of condominium apartments in Hanoi are expected topick up 3 – 5 percent in the remaining months. Dismissing some concerns over a“bubble” in the condo segment, An said the increase will not be significant, sothe market will still see a healthy development. –VNA
VNA
