The number of newly-established real estate companies continued to fall in the first five months of 2023 while the number of those dissolving or ceasing operations increased, according to the Vietnam Association of Realtors.

Only 1,744 enterprises were set up in the period, down 61.4 per cent year-on-year.

The number of businesses dissolving stood at 554, increasing 30.4 per cent.

In the first quarter of the year, revenue from real estate businesses was down 6.46 per cent year-on-year.

Difficulties have forced many real estate businesses to cut their workforce.

Real estate companies have met many problems since early in the year, particularly in access to credit. Rising prices of fuel and construction materials also resulted in higher operation costs, which affected business activities.