In the first two months of 2024, the real estate business revenue in Ho Chi Minh City reached 42.3 trillion VN...
In the first two months of 2024, the real estate business revenue in Ho Chi Minh City reached 42.3 trillion VND, accounting for 59.4% in the group of other consumer service revenues, an increase of 20.1% compared to the same period.
This information was provided by the Statistics Office of Ho Chi Minh City in the Report on the socio-economic situation in February and the first two months of 2024.
Specifically, according to the report, in the first two months of 2024, the real estate business revenue in Ho Chi Minh City reached 42.3 trillion VND, accounting for 59.4% in the group of other consumer service revenues, increasing by 20.1% compared to the same period. Meanwhile, in the first two months of the previous year, this revenue decreased by 13%.
"The recovery is thanks to the policies of clearance and promotion of the real estate market issued by the Government recently. At the same time, enterprises operating in this field have cooperated to implement many payment policies and incentives for customers," the Statistics Office of Ho Chi Minh City said.
Earlier, the report on the real estate market in the fourth quarter and the whole year 2023 released by the Department of Construction of Ho Chi Minh City also provided information that although real estate business activities still faced many difficulties, they had gradually recovered, with growth in the following quarters less negative than the previous ones.
Specifically, while in the first six months of the year, the real estate industry had a negative growth of 11.58%, by the ninth month, the negative growth decreased to 8.71%, and by the end of the year, it was only negative 6.38%.
According to the report, in 2023, Ho Chi Minh City had 19 commercial housing projects announced to meet the conditions for sale, lease, or purchase of future residential products with over 17,700 units (including 16,500 apartments and over 1,200 low-rise houses).
The supply in 2023 increased by 20.6% compared to the same period in 2022, and all of these houses have been sold, with no inventory remaining.
Notably, in the recent market report, Savills stated that the supply of apartments in Ho Chi Minh City throughout 2023 reached a record low in the past 10 years with only 10,700 units. The decrease in new projects led to a continuous decrease of 7% in apartment transactions each year over the past decade. In 2023, the market only recorded 6,300 transactions.
Ms. Giang Huynh, Deputy Director, Head of Market Research and S22M Department, assessed that the market is facing an increasingly expensive housing situation. Accordingly, 90% of transactions belong to the 2-5 billion VND segment. The city no longer has products priced below 2 billion VND in the past year.
The liquidity of expensive projects has also slowed down. After many high-end segment projects had to temporarily close some sales baskets, the primary selling prices of apartments in Ho Chi Minh City returned to the average level of 2020 at 69 million VND per square meter, a decrease of 45% annually.
"In the next two years, the new supply will mainly be priced at 5-10 billion VND per unit, while the 2-5 billion VND segment is increasingly scarce," Ms. Giang said.
Via Vnmedia