Real estate market situation in 2023 Which real estate projects have the opportunity to increase prices

DNHN - Investors believe that this year, projects with exceptional advantages in terms of location, progress, and utilities will offer numerous value-added opportunities, thereby reviving the market.

According to a new report on real estate consumer sentiment published by Batdongsan.com.vn, eighty per cent of survey respondents believe that real estate prices will rise within the next one to five years. 40% of them anticipate an increase of 5-10%, while 23% anticipate an increase of greater than 10%.

Ms Thu Nguyet, a real estate broker for a large sales agent in Gia Lam, Hanoi, stated that although legal and credit control policies have affected the market, there are still opportunities. The economic region is stable. Her contracts signed for more than one month indicate that the selling price continues to rise, albeit marginally. "Investors are no longer interested in small projects; they seek urban areas that are simultaneously developed and invested in." This is a shrewd move that allows them to not only preserve their capital but also increase its value in the future, as Nguyet explained.

According to experts, the price increase is attributable to the growing demand for real housing, particularly in regions with developed infrastructure and high-quality projects. When economic activities have fully recovered from the pandemic and countries have opened up, demand will increase, creating a growth engine for the real estate market.

Foreign direct investment represents a further "push" (FDI). Despite economic fluctuations, real estate remains one of the industries that attracts the most foreign direct investment (FDI), with a total of more than 4.45 billion dollars, an increase of approximately 70 per cent compared to the same period last year. It is anticipated that this record will be broken again this year. This provides Asia-Pacific investors with unwavering confidence in Vietnam's economic growth prospects and real estate market.

Moreover, the Government's efforts to remove obstacles from the real estate market are being realized through specific decisions and will soon produce results.

Superb price appreciation potential of "super-urban marine complex"

When bottlenecks are removed and the real estate market recovers in its entirety, projects with numerous exceptional advantages will continue to experience a rapid increase in price momentum. This phenomenon has recently appeared in the East region of the Hanoi market, specifically in the urban mega-population Vinhomes Ocean Park 1,2,3.

Customers will base their decision to "close an order" at the 1,200-ha marine urban mega-population on the investor's capacity and ability to meet its construction and handover commitments. It is worth noting that approximately 10,000 apartments in Vinhomes Ocean Park 1 have been delivered to customers after approximately 20 months of construction. Or, at Vinhomes Ocean Park 2, more than 12,000 low-rise apartments are expected to be completed by the middle of this year, more than a year after the launch of the large city.

The mega-urban marine complex's residential community has always developed quickly due to its early construction and turnover. Similar to Vinhomes Ocean Park 1, after only four years of operation, over 50,000 individuals have chosen this as their primary residence. This also applies to the following puzzle pieces, including Vinhomes Ocean Park 2 and Vinhomes Ocean Park 3. Because, when customers move in, the service-utility ecosystem will be fully developed and all of their needs will be met locally.

The quality of life in Vinhomes coastal megacities has always differed when it is prioritized by investors with many world-class "wonders" such as Four Seasons Paradise Bay at Vinhomes Ocean, which spans more than 12 hectares. Park 3 or the largest artificial wave-generating sea complex in the world, Royal Wave Park, is located in Vinhomes Ocean Park 2.

The prime location is one of the primary factors driving the sustained price increase. The mega-population of a marine urban area is comparable to the "Ocean District" in the centre of the area with the most advanced transportation infrastructure in the nation's capital. It consists of a series of bridges spanning the Red River and key routes such as the Hanoi-Hai Phong highway, the Co Linh intersection, and others. There will be more trillion projects in the future. Completed, creating hyperconnectivity, encouraging the growth of commercial activities, and creating leverage for real estate prices to rise.

Concurrently, due to the convergence of numerous advantages, previous projects in Vinhomes coastal megacities have seen an average price increase of 45 to 70 per cent per year. When the market recovers in the second half of 2023, investors anticipate a recurrence of this rise.

An Nguyen