Although the real estate market is still very challenging, there are reasons to firmly affirm the prospect of ...
Although the real estate market is still very challenging, there are reasons to firmly affirm the prospect of a recovery from the second half of 2024 and further growth in the direction of safe and sustainable development.
The Ho Chi Minh City Real Estate Association (HoREA) has just released its property market report for the first 10 months of 2023. As a result, overall, the current real estate market is still very difficult but the difficulty level tends to decrease with time, next month is better than the previous month, next quarter is better than the previous quarter, which is very clear about the real estate market in Ho Chi Minh City
Home prices have been rising steadily since 2017 and are still "anchored" beyond the affordability of middle-income earners.
The rental real estate market, including houses for rent, offices for rent, commercial premises and services, is still very challenging. Mr. Le Hoang Chau, Chairman of HoREA, said that the real estate market of the country in general and Ho Chi Minh City in particular continues to be misaligned with supply and demand, the lack of supply of projects, which leads to a lack of housing supply, especially the lack of supply of affordable housing and social housing.
As of September 30, the real estate inventory was very large, with a total value of up to VND301.6 trillion, up 5 percent from the same period
Mr. Le Hoang Chau, President of HoREA, said that although the real estate market is still very challenging, it is well founded to firmly affirm the prospect of recovering and continuing to grow in the direction of safe, healthy and sustainable development through driving forces.
First, Central Committee Resolution No. 18-NQ/TW of June 16, 2022 orders the completion of amendments to the Land Law and related laws to ensure uniformity and compliance with the Competent state authorities are working to remove the "legal barriers" that are the biggest obstacles in the real estate market.
In addition, the Prime Minister's Working Group headed by Minister of Construction Nguyen Thanh Nghi and the strong participation of provincial people's committees will promote land resources, create favorable conditions for capital and credit markets, and remove legal barriers for about 1,000 real estate projects in the province across the country.
Another driving force is that the total demand for housing to meet the real needs of society is still very large, especially the demand for affordable housing, social housing for a large number of middle- and low-income people in society is very large. The middle class continues its trend of sustained growth, although the incomes of the general population are declining.
Via Cafef