Land sector to be predicted to increse strongly in 2017
In 2016, Vietnam`s real estate saw a strong growth in the land segment, especially at the end of 2016, becoming a "bright spot" of the market. So, the year of 2017 is forecast to remain a successful year to this sector, particularly in urban`s outside areas.
That is the statement of Mr. Le Tien Vu - Chief Executive Officer of the Cat Tuong Duc Hoa Real Estate Company.
According to Vu, during the previous year, the affordable apartment segment remained the mainstream of the nation's propery market. However, the apartment demand focused on luxury and resort segments, he added.
Meanwhile, the land segment recorded an impressive increase in the reviewed period. Notably, as of the end of last year, land in the coastal areas of Ho Chi Minh City such as Can Giuoc, Duc Hoa (Long An), Bien Hoa, Nhon Trach (Dong Nai) became more active when a series of new projects have been offered to attract more investors as well as customers with demand.
He said that in 2017, gold and foreign exchange are predicted to be no longer attractive investment channel, while the apartments is forecast to grow slighly. So, the land segment, especially in the urban's outside areas could become the key channel to attract investment, he noted.
According to Vu and some business leaders, high housing price, which is forecast to continue to rise, will lead the high demand to land in coastal areas of HCM City where have completed infrastructures, convenient transportation and abundant land.
According to Boston Consulting Group, Vietnam’s upward trajectory looks set to continue, despite the slowdown affecting other Asian countries. It posted GDP growth of 6.2 percent last year – a figure that’s forecast to rise to 6.7 percent this year amid the growing affluence and higher consumption levels of the country’s middle class.
Vietnam’s middle class is expected to double to 33 million people by 2020 while Ho Chi Minh City is home to Southeast Asia’s fastest-growing middle class.
According to Vu, during the previous year, the affordable apartment segment remained the mainstream of the nation's propery market. However, the apartment demand focused on luxury and resort segments, he added.
Meanwhile, the land segment recorded an impressive increase in the reviewed period. Notably, as of the end of last year, land in the coastal areas of Ho Chi Minh City such as Can Giuoc, Duc Hoa (Long An), Bien Hoa, Nhon Trach (Dong Nai) became more active when a series of new projects have been offered to attract more investors as well as customers with demand.
Illustrative image
|
According to Vu and some business leaders, high housing price, which is forecast to continue to rise, will lead the high demand to land in coastal areas of HCM City where have completed infrastructures, convenient transportation and abundant land.
According to Boston Consulting Group, Vietnam’s upward trajectory looks set to continue, despite the slowdown affecting other Asian countries. It posted GDP growth of 6.2 percent last year – a figure that’s forecast to rise to 6.7 percent this year amid the growing affluence and higher consumption levels of the country’s middle class.
Vietnam’s middle class is expected to double to 33 million people by 2020 while Ho Chi Minh City is home to Southeast Asia’s fastest-growing middle class.
12:17, 2025/02/25
Vietnam eyes top 3 in investment environment in ASEAN next 2 years: Party Chief
A key objective is to trim off at least 30% of administrative procedures and cut both business costs and unofficial fees.
18:03, 2025/02/22
Vietnam attracts South Korean tech investment at SEMICON Korea 2025
The event provided a platform for Vietnam to showcase its semiconductor potential and reaffirm its commitment to developing high-tech industries and strengthening international cooperation.
16:46, 2025/02/20
Swedish group plans US$1 billion investment in Binh Dinh recycling plant
By creating a large number of jobs and promoting a green economy, the initiative is important in establishing Vietnam as a global hub for the circular textile sector.
10:52, 2025/02/13
Samsung plans to invest in AI, semiconductors in Vietnam
Vietnam will continue improving its investment environment and driving strategic breakthroughs in order to usher in a new era of economic development.
17:20, 2025/02/07
Vietnam's data center construction costs among the lowest in Asia Pacific
The country has a lot of potential to become one of the most important data markets in the region.
21:05, 2025/02/03
Bright prospects for FDI inflows into Vietnam in 2025
Market size, growth potential, low labor costs, and stable political and social conditions continue to be Vietnam’s selling points in attracting foreign investors.
- Foreign companies confirm investment expansion in Vietnam in 2025
- PM invites Skoda to manufacture electric vehicles in Vietnam
- US Berggruen Holdings to help Vietnam set up investment funds
- Vietnam releases Esports White Book 2022-2023
- Aircraft manufacturer Embraer seeks comprehensive aviation partnership with Vietnam
- Better links with FDI firms to support Hanoi businesses