There is a situation of pushing up apartment prices
The above information was said by Mr. Hoang Hai, Director of the Housing and Real Estate Market Management Department (Ministry of Construction) at the Ministry of Construction’s regular press conference for the first quarter of 2024 this morning (April 26).
Assessing the real estate market in the first 3 months of the year, Mr. Hai said that the apartment market continues to attract the attention of groups with real housing needs and medium and long-term investors. .
According to surveys by a number of research organizations, the average selling price of some projects in the city. Hanoi and Ho Chi Minh City fluctuate around 50-70 million/m2.
In Hanoi, the price of apartments for sale recorded a continuous increase on both the primary market (selling from the investor) and secondary market (buyers from the investor then reselling).
Specifically, it was recorded that some projects had an average price increase in the first quarter of 2024 such as: 536A Minh Khai Apartment (Hai Ba Trung) increased by about 3.8% (to 43.7 million VND/m2). ), Ha Do Park View (Cau Giay) increased about 3.3% (to 49.9 million VND/m2), Sunshine Garden (Hai Ba Trung) increased about 3.8% (to 45.9 million VND/m2). m2), Vinhomes Nguyen Chi Thanh (Dong Da) increased by about 4.2% (to 72.4 million VND/m2),…
Also according to the above survey, there are apartment projects that have been in use for 5-10 years, and even old high-rise dormitories are priced quite high. Apartment prices in Hanoi in early 2024 increased by about 38% compared to 2019.
However, Mr. Hai commented, some apartment buildings with sudden price increases have very few transactions and almost no transactions.
In Ho Chi Minh City, on the secondary market, apartment selling prices tend to increase compared to the previous quarter and increase a lot in some districts such as District 7, Tan Phu, Tan Binh, Phu Nhuan.
For example, the Thu Thiem Green House project (District 2) costs from 25.5-30 million VND/m2; Happy City project (Binh Chanh district) from 23-27 million VND/m2; Garden Gate project (Phu Nhuan district) ranges from 58.8-69.5 million VND/m2…
Responding to the reporter’s question about the lack of supply that has lasted for many years, causing real estate prices, including apartments, to increase sharply, Mr. Hoang Hai admitted that the market in some places has been pushed up. price.
According to Mr. Hai, not only is there a lack of supply, the structure of real estate products is also not reasonable. High-end apartments account for a high proportion, while affordable housing, housing for workers and low-income people is still small.
The Director of the Department of Housing and Real Estate Market Management emphasized that to solve the problem of market supply, it is necessary to clearly identify 5 bottlenecks from institutions, capital sources, information, etc. In the coming time, When the amended laws take effect, the above bottlenecks will be removed and supply will be boosted.
Land is flourishing, land auctions are vibrant
For the segment of individual houses, villas, townhouses, and land plots in the project, according to the Ministry of Construction, in the first 3 months of the year, the demand for individual houses and land plots increased compared to the previous quarter and compared to the same period last year.
Selling prices in Hanoi are expected to increase by about 5-15% compared to the end of 2023 (selling prices range from 80-220 million VND/m2) and in Ho Chi Minh City (selling prices range from 90 million VND/m2). – 250 million VND/m2).
Meanwhile, the villa and townhouse market in Ho Chi Minh City has not seen many positive changes. The market absorption rate is only 20-30%, with no significant change compared to the previous quarter.
In some other localities, products with an average value of less than 5 billion VND have transaction volume increasing by 3-5% compared to the end of 2023.
As in Ha Nam, the market recorded many signs of improvement in transactions with the land segment with a selling price of about 2 billion VND/land thanks to the newly approved planning and convenient location adjacent to Hanoi and Hanoi. invested heavily in infrastructure.
According to the survey, after the Lunar New Year holiday, in some areas, selling prices increased slightly and transactions were quite active; The organization of land auctions in urban areas and new residential areas has been implemented by localities more than the same period in 2023.
As in Hanoi, hundreds of plots of land in Chuong My, Dong Anh, Son Tay, Me Linh… were successfully auctioned.
The Ministry of Construction said that this is considered a factor that can help make the land market more vibrant in the near future.
Hanoi has not reported unusual apartment price increases
Information at the press conference, Deputy Minister of Construction Nguyen Van Sinh said that recently, the Ministry had sent a written request to the City People’s Committee. Hanoi inspects and reviews real estate business transactions in the area, especially in projects and apartment complexes with unusual price increases.
At the same time, take measures to correct and handle price inflation, price manipulation, speculation and other violations of real estate business laws (if any).
City People’s Committee. Hanoi needs to complete and send the report to the Ministry of Construction before April 20. However, up to now, Hanoi has not yet reported on the above issue.
Behind the galloping price increase of Hanoi apartments, in 3 months the price ‘skyrocketed’ to half a billionAn apartment’s price in the west of Hanoi increased by half a billion VND in just 3 months, after 2 transactions. Alley house prices in Hanoi have also increased rapidly in price. However, data on changes in land and housing registration do not show any sudden changes.
Apartment prices are skyrocketing, experts warnAccording to experts, apartment prices are increasing dramatically. If we do not promote new supply, such as social housing and low-cost housing, to increase competition, the apartment market is at risk of bursting the ‘bubble’.
