Multi Million Dollar Apartments Up For Sale Despite COVID 19
Despite the pandemic impacting the resort, hotel and rental market, the housing and apartment segment still
HCMC - High-end apartments will dominate HCMC’s real estate market and there will be ultra-luxury apartments priced at VND700 million (US$30,000) per square meter in the city this year, according to DKRA Vietnam’s report on HCMC’s real estate market in the first quarter of 2021.
DKRA Vietnam said many of the new apartment projects are located in the eastern and southern areas of the city. The A-grade (luxury) segment will overwhelm the market, while the C-grade (low-cost) segment is disappearing.
The prices of luxury apartments are predicted to rise sharply and could reach US$20,000-30,000 per square meter for some projects in District 1.
Data of DKRA Vietnam showed that in the first quarter of 2021, there were five projects offering 2,539 apartment units for sale in HCMC, equivalent to 35% of the fourth quarter of 2020 but increasing 1.6 times compared with the same period last year. Some 77% of the apartments have been sold, equivalent to 34% of the previous quarter.
Up to 89% of the new launch supply belonged to the eastern area. Prices of apartments in this area have also soared and many of them are categorized as luxury apartments.
In HCMC and four neighboring provinces---Binh Duong, Dong Nai, Ba Ria-Vung tau and Long An, there were 13 projects offering 5,515 apartment units in the first three months of 2021, equivalent to 51% of the fourth quarter of 2020.
Growth of the Binh Duong market slowed down due to the strong competition and recovery of the HCMC market, while Dong Nai and Long An provinces recorded stronger growth. The new launch supply of Bien Hoa City in Dong Nai Province accounted for 20% of this region’s total supply.