Abundant supply, Binh Duong apartment market is competitive in selling price

A series of projects are about to open

In the context of hundreds of housing projects in Ho Chi Minh City that have not cleared legal procedures, recently, many real estate businesses have shifted their investment to neighboring provinces, including Binh Duong. .

Complete transportation infrastructure and location adjacent to Ho Chi Minh City are considered two factors promoting the development of Binh Duong housing market, especially apartments. Entering the second quarter of 2024, the apartment market here continues to be vibrant as a series of apartment projects are about to launch.

Last weekend, the apartment project located on Cach Mang Thang Tam Street, Lai Thieu Ward, Thuan An City was introduced to the market by A&T Binh Duong. This project has a scale of nearly 1,000 apartments, however to gauge the level of customer interest, the investor has only offered prices for a few apartments.

Also in Thuan An City, the apartment supply in this area also comes from the Astral City project. Although this project has been launched on the market before, with a total supply of 5,000 apartments plus newly completed legal procedures and restart will help home buyers have more choices.

Not long ago, information about the selling price of apartments at the PiCity Sky Park apartment project located in front of National Highway 1A, passing through P.An Binh, Di An City was made public. This project provides more than 1,500 apartments, office-tels and shophouses, and is currently still under construction.

Previously, 2,000 apartments belonging to a 12ha apartment project on Thong Nhat Street, Dong Hoa Ward, Di An City were also announced to the market. This year, investor Bcons plans to continue implementing more apartment projects in Di An City but in a higher segment.

A new apartment project expected to open for sale in the near future is Phu Dong SkyOne of Phu Dong Group. This project is located on DT743C Street, Tan Dong Hiep Ward, Di An City, with 780 apartments. Most apartments in this project are priced from 1.4 to 1.8 billion VND/unit.

Binh Duong apartment supply in 2024 is forecast to lead the southern region, and will also establish a new selling price level. Specifically, according to Savills Vietnam, this year, Binh Duong and Dong Nai will have more than 9,000 apartments for sale.

However, according to information PV VietNamNet collected from projects that are about to open for sale, in Binh Duong province alone, the apartment supply this year is about 10,000 units.

Competitive on selling price

Assessing the supply and selling price of apartments in the past year, Binh Duong Department of Construction said that in 2023, the apartment segment in Thuan An City and Thu Dau Mot City shows signs of saturation, transactions are slow due to high selling price.

Binh Duong is a province with a large population of migrant workers, most of whom are staying in rented accommodation and want to access cheap housing. Small apartments with prices ranging from 150 – 450 million VND/unit in housing projects invested by the State are always “sold out”.

Meanwhile, many projects invested in and built by private enterprises have too high selling prices, the lowest being 700 million VND for an apartment with an area of ​​38m2, or 1.8 billion VND for an apartment with an area of ​​60m2. This price is beyond the affordability of most low-income workers.

Sharing about the selling price of houses in Binh Duong, according to Mr. Dinh Minh Tuan – Director of Batdongsan in the Southern region, apartments with a selling price of around 2 billion VND here are scarce. It is not easy to find apartments with prices ranging from 1.3 – 1.6 billion VND.

Currently, the average selling price of apartments in Di An City and Thuan An City ranges from 40 – 45 million VND/m2. Although the demand for buying apartments priced under 30 million VND/m2 is very large, the supply in this segment is small.

According to Mr. Ngo Quang Phuc – General Director of Phu Dong Group, there are 5 factors that make up house prices, including costs such as land, construction, sales, finance and the investor’s expected profit. Costs cannot be cut, so if the investor wants to sell quickly and bring cheap houses to customers, the only way is to reduce profits, which means competing on selling prices.

Hanoi apartment prices are about to ‘catch up’ to Ho Chi Minh CityCurrently, primary apartment prices in Ho Chi Minh City are about 10% higher than Hanoi. Experts predict that in 2024, this gap will be “levelled”.