Daily Real Estate Briefing: Social Housing, Urban Planning and Financial Pressures

Vietnam’s real estate market saw notable developments in social housing, planning and corporate activity. The Government has proposed that buyers of social housing may resell their homes only to eligible buyers five years after fully paying for the property and receiving the ownership certificate. However, access to the policy remains a major issue, as nearly half of the 500 surveyed construction workers had not obtained information about their rights, support contacts or application procedures for social housing. In the luxury segment, apartments in Thu Thiem are commonly priced at 200 million to 500 million VND per square meter, with many units priced above 100 billion VND. In Ho Chi Minh City, apartment prices along Metro Line 1 have continued to surge after nearly two years of operation, with some projects recording increases of more than 400%, making housing near stations increasingly difficult for low-income earners to afford. Regarding planning and projects, Da Nang’s master p...
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Daily Real Estate Brief: Home Prices Outpace Affordability as Hanoi Reviews 250 Projects

Vietnam’s real estate market continues to face a paradox as home prices may equal more than 30 years of income and remain beyond the reach of most residents, while the urban homeownership rate is still among the highest in the world. This pressure is increasingly evident in Hanoi and Ho Chi Minh City, where scarce land, rising input costs and the dwindling supply of affordable apartments are pushing prices higher. At the same time, real estate inventory is tending to increase, highlighting the need to expand supply in line with actual demand. The Ministry of Construction is also clarifying when social housing may be resold after five years and the regulations governing such transfers.

In Hanoi, the management and handling of delayed projects and violating buildings remain key priorities. The city is reviewing 250 delayed projects funded outside the state budget, involving approximately 7,013 hectares of land, to mobilize resources for development. Regarding HH Linh Dam apartments, a draft resolution states that allowing a violating building to remain does not legalize the violation. The developer is proposed to pay the illegally obtained benefit and cover all costs of remedying the consequences. Once financial obligations are completed, homebuyers in violating projects may have their procedures for obtaining ownership certificates addressed in accordance with regulations. Residents of Vinh Hung Ward are also reviewing and commenting on a draft plan for the renovation, upgrading and reconstruction of the urban area, with total investment approaching VND 186 trillion. The Red River urban planning scheme continues to be adjusted after Hanoi annulled an earlier decision, while land clearance progress for the Gia Binh Airport project remains under attention.

In Ho Chi Minh City, the municipal administration has proposed support of up to VND 10 billion for each old apartment renovation project, along with mechanisms for planning, investment and resettlement. In Thu Thiem, a series of major works and mega real estate projects with total investment reaching hundreds of trillions of dong are gradually shaping a new urban appearance. In Quy Nhon, the coastal site returned after the demolition of Binh Duong Hotel is being considered primarily for a park and public space. Nha Trang is gaining momentum from the trend of international visitors spending winters, working remotely and settling for longer periods. Meanwhile, BIDV Bac Saigon announced the seizure of 37 land lots at Lang Sen Residential Area in Tay Ninh Province to handle secured assets and recover debt. Internationally, China is facing questions over users’ rights and property values as 40-year commercial land leases approach expiration, while new homes in Hong Kong are selling considerably faster than previously owned homes.

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