Real estate

The Law on Housing and the Law on Real Estate Business have partially lifted the barriers for foreigners investing in Vietnam’s real estate market and thus opened the floodgate for foreign investment in the sector.

Hanoi`s property market was bolstered by high economic growth and fresh FDI inflows, mostly from Japan.

The value went down 82.24% from the peak in the first quarter 2013.

Vietnam appears to be a potential market for branded residences with the future destinations like Hanoi, Ho Chi Minh City, and Danang.

A large number of industrial and commercial lease deals related to the automobile sector have been made over the past three years.

Transparency and clarity in budget spending are decisive factors to gain support from the public for the new tax law, which is complicated in nature and difficult to collect.

The office market in Ho Chi Minh City is heating up with the presence of high-end tenants from outside the country.

The majority of inventories come from mid- and high-end housing projects (priced at least VND25 million (US$$1,086)/sq.m.

The ratio of transactions by Chinese homebuyers in Vietnam’s biggest economic metropolis rocketed from 4% in 2017 and 2% in 2016 to 31% in the first three quarters this year.

The number of foreign expats from multinational corporations coming to Vietnam has increased since 2017.

In a latest move, the city’s authorities have made efforts to tackle long-lasting problems that have slowed down the real estate market.

Property services company Savills Vietnam believes that growing foreign direct investment and moving up in the value chain mean Vietnam’s industrial real estate sector has a bright future.

With the high growth potential, coworking space is promising to bring tremendous utility not only for the users but also a ‘piece of cake’ which is attractive for both foreign and domestic investors.

Thanks to high demand for retail space, the vacancy rate fell to 6% in Q3/2018 from 11% in the same period last year, Cushman & Wakefield Vietnam’s report showed.

The presence of foreign brokers, who have good experience and financial status, has forced local brokers to improve their services for survival.

Many key developers are still very optimistic about the future of vacation property sector, according to CBRE.

WeWork is scheduled to launch its first co-working space center with area of over 5,000 square meters in Ho Chi Minh City in December, making it the largest in Vietnam to date.

The real estate market in Hanoi is becoming a lucrative piece of cake for foreign investors given its profitability and high potential.

Vietnam’s merger and acquisition (M&A) has been attractive to foreign investors in recent years, but there remain obstacles hindering the M&A market to further grow, experts said.

A high-end resort at the coastal province of Quang Nam has received an order of 250 condotels from its partner to resell to South Korean buyers.