return icon Vietnamnet.vn

Are houses in Vietnam the cheapest in the world?

Housing prices in Vietnam are higher than the income of the majority of Vietnamese, but the houses in Vietnam are cheaper than many other countries, according to Nguyen Xuan Quang, president of Nam Long Investment JSC. 

VietNamNet Bridge - Housing prices in Vietnam are higher than the income of the majority of Vietnamese, but the houses in Vietnam are cheaper than many other countries, according to Nguyen Xuan Quang, president of Nam Long Investment JSC. 


{keywords}



Quang made the statement when he was interviewed on the sidelines of the company’s shareholders’ meeting.

Quang said the apartments in HCM City are 7-8 times cheaper than in other regional countries.

One would have to spend $300,000 to possess a medium-class apartment in Bangkok, Hong Kong and Manila. Meanwhile, an apartment of the same class offered by Nam Long is just $30,000-40,000, or VND650-850 million.

He said the profitability rate enjoyed by real estate firms is very modest and the investments are risky for investors. However, they still have to set low prices for their products because of the low Vietnamese average income.

“The low selling prices and low margin of profit are the two big challenges for the sustainable development of the Vietnamese real estate market,” he said.

Chair of the HCM City Real Estate Association, Le Hoang Chau, agrees with Quang, saying that houses at reasonable prices in Vietnam are cheaper than in other countries.

“The price gaps are also very big in the middle-class and high-end apartment markets,” he said.

However, Mai Duc Hung, CEO of Viet Do Real Estate Development, disagreed with the statement that the houses in Vietnam are cheapest in the world, saying that the prices alone cannot say products are expensive or products. 

It is still necessary to compare the prices and the quality of the products, and the house price and people’s income.

Hung confirmed that the middle-class and high-end houses in Singapore, Shanghai and Malaysia hover around $500,000-600,000, or 3-4 times more expensive than in Vietnam. 

He said low-cost houses in Hong Kong, the Philippines, Thailand and Malaysia are seven times more expensive than in Vietnam. However, the income per capita in the countries is higher than in Vietnam. 

“Vietnam is not a country where houses are cheapest in the world as the majority of Vietnamese still don’t have houses of their own,” he commented.

Dat Viet newspaper quoted a report by the Institute of Labor and Social Sciences Research Institute as saying that a worker in agriculture, forestry and aquaculture can earn VND2.85 million a month only, while a worker in the construction sector can earn VND4.24 million and a worker in tourism sector VND4.9 million.

They would have to save their salary for 15-20 years and not spend money on food and basic needs to be able to buy an apartment.

Dat Viet


MORE NEWS

Former State President Nguyen Xuan Phuc explains his resignation

Former President Nguyen Xuan Phuc decided to resign and retire as he was fully aware of his responsibilities before the Party and the people when a number of officials under him committed violations during his stint as prime minister in 2016-2021.

Vietnam remains third largest seafood supplier to RoK

The nation remained the third largest seafood supplier to the Republic of Korea (RoK) last year with the country’s seafood market share as part of the RoK’s total imports reaching 10.2%, according to statistics released by the Korea Customs Service.

Airline agencies asked to tighten control over smuggling by air

The Civil Aviation Administration of Vietnam (CAAV) has asked agencies under its wing to strengthen inspection and supervision to promptly detect and handle smuggling by air.

Vietnamese FM meets Cambodian, Philippine, Malaysian counterparts

Foreign Minister Bui Thanh Son met with his Cambodian, Philippine and Malaysian counterparts on February 3 on the sidelines of the 32nd ASEAN Coordinating Council Meeting (ACC-32) in Jakarta, Indonesia.

Vietnam to help Timor Leste soon become official member of ASEAN: FM

Vietnam will work with other ASEAN member states to discuss, agree on processes, procedures and necessary measures to support Timor Leste to become an official member of the group soon, Foreign Minister Bui Thanh Son said.

Vietnamese circus artists Quoc Co, Quoc Nghiep set new world record

Circus artists Giang Quoc Co and Giang Quoc Nghiep on February 3 (Vietnam time) set a new head-to-head balancing walk plus blindfold record in Milan, Italy.

HCM City faces shortage of teachers at all levels

The Ho Chi Minh City People’s Committee has held a press conference to provide information about socioeconomic issues and epidemic prevention and control in the city.

Female People's Army officer works at EU Training Mission in Africa

Of the seven officers of the Vietnam People’s Army sent by the President to international missions, Lieutenant Colonel Vu Thi Lien is the first officer performing duties at the European Union Training Mission in Central African Republic (EUTM RCA).

VIETNAM NEWS HEADLINES FEBRUARY 4/2023

Minister requests fruitful cooperation in defence industry with other countries

Vietnamese cyber users advised to be cautious about ChatGPT registration

ChatGPT has recently been so popular in various fields. Since there are limits in ChatGPT registration from Vietnam, Internet users here are warned to be careful to proceed with the process to avoid being scammed.

2-3 more submarine fiber cable routes needed for Vietnam

The Vietnam Internet Association’s (VIA) Secretary General Vu The Binh said Vietnam needs at least two or three more submarine fiber cable routes in the next five years to serve mounting demand.

Vietnam still approves use of Covid antibody treatment

Vietnam still approves use of Covid antibody treatment Evusheld as it is still effective against subvariants circulating in the Southeast Asian country.

Former Coast Guard generals accused of embezzling $2.1 million

The crime allegedly started in 2019 when the Vietnam Coast Guard’s Department of Technology was allocated VNĐ150 billion (US$6.3 million) to purchase equipment.

Transport Ministry told to disburse VND94 trillion in 2023

The Government has tasked the Ministry of Transport with disbursing nearly VND94.2 trillion of public investment in 2023, up 1.7-fold against the 2022 figure and 2.2-fold versus 2021.
back_to_top