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Update news real estate market
The real estate market was lackluster last year. The land fever in early 2019 was followed by a sharp decline in supply and the number of transactions.
The market was quiet most of the time in 2019 though it witnessed many transactions in some segments in the first months of the year.
2019 was a tough year fot the real estate market when many projects remained stagnant. However, the situation may be even more serious in 2020.
Additional foreign investment inflows in real estate went up during 2019 while credit in the sector bucked a downward trend, signalling its reduced heavy reliance on bank loans.
Legal bottlenecks have affected the real estate market since the beginning of the year.
After the short golden age, the condotel market is witnessing decline with the number of successful transactions just accounting for 25 percent compared to 70 percent in 2016-2017.
Khang Dien, Phat Dat, Dat Xanh and Nam Long are the most powerful realtors thanks to their big capitalization value.
Cocobay's breaking its commitment of 12 percent profit has lowered the confidence of condotel investors.
As the real estate market is on the decline, cash flow will shift to other investment channels, analysts say.
High demand and short supply have pushed up prices for A-class office rentals.
Merger and acquisition activity is growing across Asia Pacific's real estate market, and in Vietnam there are signs that institutional investors are continuing to increase their allocations in the industry.
It is expected that kieu hoi (overseas remittance) will continue to flow into Vietnam, especially HCM City, which receives 50 percent of total remittances.
Several months ago, the condotel market was described as ‘falling into decay’, but now it is heating up again.
Outstanding loans to the real estate sector have been increasing steadily although Vietnam has been keeping tight control over lending.
After a hot development period, resort real estate is facing challenges because of an oversupply of villas and condotels.
The clean land fund in central areas is becoming depleted, which has prompted investors to eye land plots in neighboring provinces.
Here are the opinions of local and foreign industry players on Vietnam's property market.
Large car parks can be seen as a big plus for real estate projects in urban areas.
The real estate market in the northeastern province of Quang Ninh is booming this year, in line with previous forecasts.
The domestic real estate market in the second half of this year is not expected to witness significant changes in price due to stability in supply.