Vietnam’s real estate market saw a sharp rise in apartment prices in 2024, especially in major cities like Hanoi and Ho Chi Minh City. According to the Ministry of Construction, some Hanoi apartments—nearly a decade old—are now priced at 90 million VND per square meter (approx. 25,000 RMB).
Prices Soar Despite Lower Transactions
The total number of apartment and residential property transactions in 2024 reached 125,545 units, down 1.5% year-on-year. In Q4 alone, transactions fell by 33.8% compared to Q3, indicating a cooling in sales. However, inventory levels dropped sharply, especially for apartments, which saw supply reduced to just 1,072 units.
Hanoi and Ho Chi Minh City Lead the Price Boom
- Hanoi: Apartment prices surged by 40% to 50% year-on-year
- Ho Chi Minh City: Prices rose 20% to 30%
- Other cities: Da Nang and Can Tho also experienced price increases
Outlook for 2025: High Prices and Limited Supply
The Vietnam Association of Real Estate Brokers (VARS) predicts that apartment prices will remain high in 2025. Most new developments are high-end or luxury units located in suburban areas. Affordable housing remains limited.
Experts also warn that second-hand apartment sales may decline due to prices being inflated above market value.
Infrastructure and Lending Support Market Growth
According to the Vietnam Institute of Building Economics, commercial housing supply will grow in 2025, especially in the mid-to-high-end segments. They expect the real estate market to grow 8–10% year-on-year. Favorable housing loan interest rates and major infrastructure projects are expected to boost local housing markets further.
