Chua Boc Street, the busy fashion center of Hanoi, currently has extremely high house prices reaching more than VND1.2 billion per sqm.

Over the past decade, apartment prices in central Ho Chi Minh City have tripled, with current primary market prices ranging between $8,000 and $20,000 per square meter.

As land prices in Hanoi continue to reach new highs, many buyers wonder if a budget of just over 1 billion VND (around 40,000–70,000 USD) can buy them a house in the heart of the capital.

In the small alleys around Hanoi's old quarter, houses that are only a few sqm in size, lacking light and amenities, are still listed for sale at up to VND800 million/sqm.

People are often provided information multiple times when registering land and applying for red books (land use right certificates).

Legal obstacles and fear of accountability, which have led to supply shortages, and rising input costs are the major factors keeping housing prices high.

Vietnam’s housing market faces mounting pressure as prices rise to 60 years of an average worker’s income, double the recommended limit by the IMF.

Though housing market activity remains tepid, people increasingly find the cost unaffordable.

Optimism rose among urban dwellers early this year as several medium and large-sized businesses revealed plans to build affordable housing projects.

The Government’s focus on infrastructure development and the involvement of major property developers from the South would make the market more attractive.

 VietNamNet Bridge – Housing prices in Viet Nam are still too high in comparison with people's average income, said Tran Ngoc Quang, general secretary of the Viet Nam Real-Estate Association.

VietNamNet Bridge – The construction ministry will focus on housing development this year, especially social housing projects, said Minister Trinh Dinh Dung at a recent meeting.