The house price index in Hanoi and Ho Chi Minh City both increased

According to Savills, the housing price index in Hanoi increased by 1 point on a quarterly basis and 3 points on a yearly basis; In Ho Chi Minh City, the home price index remained stable quarterly.


According to Savills, the price index of houses in Hanoi and Ho Chi Minh City has increased...


Savills Vietnam - a real estate research and consultancy unit, has just announced the real estate price index in May 2019 for Hanoi and Ho Chi Minh City markets. Accordingly, in Hanoi, in the first quarter of 2019, the housing price index increased by about 1 point on a quarterly basis and 3 points on a yearly basis, reaching 107.2 points.


Total units sold increased by 70% YoY but decreased by 14% QoQ. The average absorption rate reached 29%, down 3 percentage points quarter-on-quarter but up 4 percentage points year on year.


According to Savills, the large demand resulted in high units sold in Grade B, equivalent to 70% of total transactions and the highest growth in the three segments reaching 99% year on year.


“Approximately 44,000 apartments from 34 current and future projects will be launched. Gia Lam and Tu Liem districts with fast-growing infrastructure will witness strong competition” said Savills. 
In Ho Chi Minh City, in the first quarter of 2019, the housing price index of Savills reached 95.4 points, stable quarterly and up 1 point year on year.


Total transactions reached 6,900 units, decreasing 37% quarter-on-quarter and 49% year-on-year, due to long holidays in January and February. Absorption rate reached 52%, down 8 percentage points quarter-on-quarter, but increased 4 percentage points by year.


According to Savills, apartments in all grades recorded reduced transactions. Grade C apartments continue to account for a large share of the total transaction, with 58% market share. Savills forecasts, by 2021, more than 163,000 apartments are expected to open for sale. In particular, districts 2 and 9 account for 57% of future supply.


According to Minh Thu