Price increased strongly, apartment classification in Ho Chi Minh City continuously changed

Bordering district 1, a series of high-class apartments in District 4 also increased in price. For example, the Millennium Masteri project launched at the beginning of 2017 priced at 33-45 million VND / m2 is currently trading from 66-80 million / m2. Charmington Iris, Grand Riverside, De La Sol all increased by at least 30-40% compared to the first session price. District 9 was primarily a condominium for low-income earners who also reached an average level of over VND 30-35 million / m2.

Similarly, apartment prices also skyrocketed in the area adjacent to the center of District 2 and District 4. For example, in 2017, the price of Vista Verde apartment (District 2) from 33-35 million / m2 is said to be high, so far this area has recorded the price from 70-85 million / m2. Diamond Island project offered for sale in 2017 priced from 42 million / m2 has now increased to 68-90 million / m2. Another area is Cat Lai, the average price of just over 15-20 million VND / m2 is now going up to over 33-40 million / m2. Even the new project launched in early this year is Rome Diamond Lotus also increased from 75 million / m2 to nearly 90 million / m2 after only a few months.

Not only in the East, the price of houses in the West and the South also fluctuated. If quarter 1/2018, housing projects in Tan Phu, Go Vap, District 12 only cost from 18-28 million VND / m2, currently, the average selling price of apartments in these districts is about from 23-35 million / m2. District 7 and Nha Be recorded the price of apartments from 20-45 million / m2 to 25-60 million / m2.

3 reasons to push apartment prices

Firstly, the average income of young families is increasing, the rejuvenation of real estate buyers and the flexibility of sales policies of investors have a great impact on psychology and liquidity. of the market, stimulating selling prices.

The scarcity of new project supply is one of the reasons for the price of apartments in Ho Chi Minh City

Second, the city's land fund is gradually scarce. Meanwhile, the legal procedures in the projects are still difficult, the process of project approval and project licensing is slow, causing the real estate supply in the market to decline, not to mention in Ho Chi Minh City. The project was canceled, revoked the decision because it did not implement the annual land use plan, affecting new housing supply.

Thirdly, people in Ho Chi Minh City are increasingly in need of housing, the supply-demand ratio only reaches 17 apartments per 1,000 people. The pressure from the land value and construction cost increases continuously over the years, causing investors to compute reasonable selling prices in the profit and capital flow problem. Therefore, in 2019, the housing market shows signs of serious shortage of supply, limited supply also greatly affects the market price. The rapid increase in housing prices has made many people in need actually fall into misery because of not enough money to buy houses.

The trend of increasing apartment prices continuously in recent years has changed the way of classification between apartment types. Specifically, luxury apartments are adjusted to the primary selling price of over USD 4,000 / m2 instead of USD 3,500 / m2 at the time of 2018. High-end lines are projects with primary prices ranging from USD 1,500-3,500. / m2 is adjusted to 2,000-4,000 USD / m2; Intermediate prices range from US $ 1,000-2,000 / m2, instead of US $ 800-1500 / m2 and affordable apartments are projects with primary prices of less than US $ 1,000 / m2, an increase of US $ 200 / m2 compared to the level class of 2018.

Phuong Uyen

(According to Enternews.vn)