According to the ministry of construction- houses and residential land are more expensive than people's earnings

In particular, housing and residential land prices are growing about people's wages. In cosmopolitan cities like Hanoi and Ho Chi Minh City, In Ho Chi Minh City, there are nearly no flats priced below 25 million VND/m2.

The Ministry of Construction has published a report on housing and real estate market data for the first quarter of this year.

According to the ministry, the supply of commercial housing did not increase in the first quarter; in particular, the number of newly approved projects is only approximately 41%. which represents an almost 50% increase in the number of flats in the projects compared to the same time in 2021.

The volume of land and land transfer transactions climbed significantly in the first quarter. There were 153,537 successful transactions, a 242 per cent increase in overall transaction volume compared to the fourth quarter of 2021 and 20,726 transactions in the northern area; 42,722 transactions in the central region; and 90,089 transactions in the southern region.

In terms of apartment pricing, the Ministry of Construction notes that apartment prices in areas are growing, with an average annual rise of around 3% since 2021.

Whereas apartment prices in Hanoi climbed by 4-5 per cent in comparison to the end of 2021, they increased by 1-2 per cent in comparison to the end of 2021 in Ho Chi Minh City.

Affordable flats now cost between 25 and 30 million VND/m2. Commercial housing developments in metropolitan cores nearly never include inexpensive units priced below 25 million VND/m2.

It's only possible to buy a flat at this price point in a few small projects in Hanoi and Da Nang districts, the Ministry of Construction says.

The Ministry of Construction said that the primary items on the market are still mid-range flats priced between 30 and 50 million VND/m2.

According to this organization, individual homes and land plots are expected to rise at a faster pace than flats, with an average increase of about 5-10 per cent compared to the previous quarter.

The price and volume of land transactions surged fast in various places, including the suburbs of Hanoi and Ho Chi Minh City, as well as the provinces of Thai Binh, Lam Dong, Khanh Hoa, Da Nang, and Dong Nai.

 In certain areas, prices have grown by 15–20% since the end of 2021. (similar to the end of the first quarter and the beginning of the second quarter of 2021, but the spread and the price increase margin are lower).

Ministry of Construction stated housing and residential land prices are growing about people's wages. There are no flats under 25 million VND/m2 in major cities like Hanoi and Ho Chi Minh City.

One of the reasons for the increase in housing prices is that "there is a phenomenon of real estate trading floors colluding with one another to" hold goods," "make prices," "create waves," and "inflate prices," thereby causing "virtual fever" and disrupting the real estate market.

This demonstrates that real estate exchanges have not effectively controlled real estate transactions, thereby facilitating money laundering in this sector.

Additionally, the division of plots and the subdivision of plots for sale in certain locations violated the law, offering chances for speculative activities and artificially inflating real estate values for profit.

"In certain locations, the phenomenon of auctioning land use rights has taken on aberrant characteristics, with high bidding followed by deposits, wreaking havoc on the real estate market and the issuance of corporate bonds, particularly corporate bonds.

Recently, real estate bonds have violated the law, posing several threats to the market. recognized by the Ministry of Construction.

Bao Tran