Daily Real Estate Briefing: New Developments in Interest Rates, Infrastructure and Major Projects

Vietnam’s real estate market is seeing notable developments in lending, prices and project progress. Following calls for continued reductions in funding costs, several banks have adjusted lending rates, while experts say real estate credit should be classified according to risk levels rather than governed by a single mechanism. Although home loan rates remain above 11% a year, the market has begun to show greater competition on interest rates, with potential opportunities emerging from discounted properties. However, several townhouses in Ho Chi Minh City remain difficult to sell despite price reductions of VND10 to 16 billion, as prices remain high and sellers face heavy financial pressure. Apartment buyers at the A&T Saigon Riverside project have also been warned of the risk of losing hundreds of millions of dong paid to secure purchase priority if the amount collected under a consulting agreement is not refundable.

In policy and infrastructure, the mechanical application of land price tables and adjustment coefficients could sharply increase land-use fees and land rents, pushing up the prices of homes, warehouses and factories. Hanoi has introduced an online, fee-free process for correcting certain land certificates when errors were made by State agencies. The city is also proposing special compensation mechanisms for seven railway projects, under which compensation for recovered land could reach twice the regulated level. The Ministry of Construction is calling for investment through public-private partnerships in a series of key expressway projects for 2026 to 2030, with total capital of nearly VND923 trillion. Vietnam also plans to develop criteria and a list of infrastructure projects with national symbolic significance.

In Hanoi, a Sun Group project in Van Don has had a site-clearance plan approved for more than 182 hectares, of which over 138 hectares have been handed over. Another Sun Group-affiliated company has proposed a nearly 581-hectare eco-tourism complex with a safari park in Ba Vi, with planned investment of VND10 trillion. After two allocations, the Red River Future Group has received more than 429 hectares of land to develop a nearly 700-hectare mixed-use urban area in northern Hanoi. Meanwhile, The Heritage Tay Ninh, Thanh Phu Centre Point and The Windsor Galleria have recorded cooperation activities, sales office openings and project introductions. Developments in Phu My and Tan Thanh indicate that the shift from an industrial city toward a professional, logistics, commercial and service-oriented urban area is creating new real estate demand. Internationally, Japanese land prices have risen for the fifth consecutive year despite a declining population, reflecting a more polarized market in which demand is concentrated in major cities and tourist destinations. Alongside market news, tips on cleaning stainless-steel kitchenware and refrigerators, as well as discussions about residents’ arrangements when old apartment buildings are demolished, continue to attract attention.