Product absorption in most segments of the real estate market was high in the first half of 2022, with almost no new inventory generated, and the market has regained a balance between investment, business activities, and buying and selling.

There was no improvement in the supply of commercial housing in the first half, with supply at about 12,000 units.

Meanwhile, the total number of transactions for apartments, individual houses, and especially land plots rose sharply, to an estimated 70,000. This proves that demand for housing and real estate investment remains substantial.

Prices of apartments, individual houses, and land plots also rose in the first half compared to the end of 2021. Price growth was mostly seen at the end of the first quarter and did show signs of slowing in the second.

Data from the Housing and Real Estate Market Management Agency shows that apartment prices in all localities tended to increase, at an average of about 3 per cent compared to the end of 2021. Apartment prices in Hanoi increased 4-5 per cent; higher than Ho Chi Minh City’s 1-2 per cent.

However, according to the Ministry of Construction, the real estate market is also showing signs of instability. Specifically, legal procedures remain complex and inconsistent, causing a decline in the supply of commercial housing in most localities.

To ensure the stable, healthy, efficient, and sustainable development of the real estate market, Minister of Construction Nguyen Thanh Nghi said it is necessary to implement seven solutions, including completing legal documents, closely monitoring the market, and controlling and restricting real estate credit.