Foreign investors are seeking new investments in real estate projects inVietnam with attention on those at good locations in Hanoi and Ho ChiMinh City, according to Saigon Giai phong newspaper.
The trend began in late 2014 and has become obvious this year, as thedate the new law on housing takes effect is nearing. The law will allowforeigners and overseas Vietnamese to own houses in Vietnam.
Savills Vietnam Managing Director Neil MacGregor said while Vietnam isat the trough of its real estate cycle, many other Asian markets are atthe peak of their cycles. The Southeast Asian country iswell-positioned for a big number of investors to take advantage of themarket recovery, especially in the hotel and office segments, he added.
According to Savills Vietnam, many foreign investorsare excited to buy houses in Vietnam, especially those from Singapore, aleading nation in foreign direct investment (FDI) in Ho Chi Minh City,followed by the Republic of Korea and Japan.
As aresult, the high-end property segment is attracting attention. Thedemand for high-end apartments is continually rising. The price ofrenting a flat in one of the tallest buildings in Ho Chi Minh City isestimated at 36-42 USD per one square metre per month – an incredibleincrease from several years ago.
According to theMinistry of Construction’s Agency for Management of Housing and RealEstate Market, Ho Chi Minh City had about 1,600 successful real estatetransactions in May, up nearly 6 percent from the previous month, and isexpected to reach 1,700 in June. Hanoi saw 1,650 successfultransactions in May and hopes to have 1,700 in June as well.
The rising demand for home ownership in Vietnam from overseasVietnamese and foreign investors is expected to create major momentumfor the local real estate market.
The Housing Law2015 states that foreigners with current Vietnam visas are allowed tobuy property in the country, as are foreign investment funds and banks,Vietnamese branches and representative offices of overseas companies.
Such property must be in commercial housing developments and not in areas that limit or ban foreigner access.
For investment projects with separate houses for sale or lease,foreign organisations and individuals may not own more than 10 percentof the total number of units within any given administrative area.-VNA
The trend began in late 2014 and has become obvious this year, as thedate the new law on housing takes effect is nearing. The law will allowforeigners and overseas Vietnamese to own houses in Vietnam.
Savills Vietnam Managing Director Neil MacGregor said while Vietnam isat the trough of its real estate cycle, many other Asian markets are atthe peak of their cycles. The Southeast Asian country iswell-positioned for a big number of investors to take advantage of themarket recovery, especially in the hotel and office segments, he added.
According to Savills Vietnam, many foreign investorsare excited to buy houses in Vietnam, especially those from Singapore, aleading nation in foreign direct investment (FDI) in Ho Chi Minh City,followed by the Republic of Korea and Japan.
As aresult, the high-end property segment is attracting attention. Thedemand for high-end apartments is continually rising. The price ofrenting a flat in one of the tallest buildings in Ho Chi Minh City isestimated at 36-42 USD per one square metre per month – an incredibleincrease from several years ago.
According to theMinistry of Construction’s Agency for Management of Housing and RealEstate Market, Ho Chi Minh City had about 1,600 successful real estatetransactions in May, up nearly 6 percent from the previous month, and isexpected to reach 1,700 in June. Hanoi saw 1,650 successfultransactions in May and hopes to have 1,700 in June as well.
The rising demand for home ownership in Vietnam from overseasVietnamese and foreign investors is expected to create major momentumfor the local real estate market.
The Housing Law2015 states that foreigners with current Vietnam visas are allowed tobuy property in the country, as are foreign investment funds and banks,Vietnamese branches and representative offices of overseas companies.
Such property must be in commercial housing developments and not in areas that limit or ban foreigner access.
For investment projects with separate houses for sale or lease,foreign organisations and individuals may not own more than 10 percentof the total number of units within any given administrative area.-VNA
