Property

Coastal real estate prices in Ha Long city in northern Quang Ninh province have increased sharply over recent years. They are still, however, only two-thirds of those seen in traditional coastal real estate markets such as Da Nang, Nha Trang, and Phu Quoc Island. According to investors, price rises will therefore be difficult to stop in Ha Long city, especially given the shortage of real estate in prime locations.

Ho Chi Minh City is considering shortening the time needed to complete procedures for social housing projects from 500 days to 133-217 days, and will propose the government allow investors in the field to access preferential credit. The city will also soon issue a policy on supporting and managing individual housing and houses invested in by households and individuals for rent.

The government has issued a decree amending and supplementing a number of specific mechanisms on investment, finance, budget, and the decentralization of management in central Da Nang city. The city’s People’s Committee is permitted to decide on the urban development area, and its People’s Council may consider and decide on investing in industrial clusters.

The Quang Binh Provincial People’s Committee has established three working groups to remove difficulties and obstacles in public investment projects that have fallen behind schedule. The groups are responsible for handling difficulties in the disbursement of public investment and proposing solutions.

Ho Chi Minh City plans to build 367,000 more houses by 2025, totaling 50 million sq m. The average housing area in the city will increase to 23.5 sq m per person by 2025 and 26.5 sq m by 2030. According to calculations by the city’s Department of Construction, about VND1.52 quadrillion ($65.62 billion) is needed to implement projects within the city’s housing development strategy in the 2021-2030 period.

At a recent conference on opening up capital for the real estate market, while businesses said capital from banks to real estate was slowing, the State Bank of Vietnam confirmed that it would not tighten real estate credit but would strengthen management of loans to the real estate sector, especially where there is risk. According to analysts, Vietnam should choose a flexible credit policy for each market segment to better match reality.