Dec 10, 2018 / 16:42

Vietnam potential for serviced apartments for foreigners

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

Demand for serviced apartments for foreigners living in Vietnam is on the rise thanks to utilities that they bring about amid high prices of hotel segment. 
 
A serviced apartment. Photo: Internet
A serviced apartment. Photo: Internet
Savills Vietnam said that the serviced apartment segment remains potential as the country is home to nearly 100,000 expats who are executives of multinational corporations, consultants of big companies, experts, and employees of foreign organizations and non-governmental organizations.   

This kind of accommodation is safe, spacious, comfortable, private, and luxurious enough for those who come for both short and long stay, according Do Thu Hang, associate director of Advisory Services at Savills Vietnam. 

Accordingly, the occupancy of the serviced apartments hits 80%-85% and even over 90% recently, showing signs of good movements for the coming years. 

The number of foreign expats from multinational corporations coming to Vietnam has increased since 2017 and the figure is predicted to continue rising through 2020, mostly in the second half of each year. This factor is expected to drive up the demand for serviced apartments. 

Savills Vietnam emphasized the convenience which serviced apartments offer, namely swimming pools, modern gymnastics, library, vehicles, cleaning and maintenance services. Above all, security has caught tenants’ attention, the real estate consulting company noted.   

Statistics by Savills Vietnam showed that expats prefer serviced apartments to hotel rooms thanks to outstanding utilities with reasonable prices (compared to hotel segment). Each apartment is priced at US$900-US$5,000/month.