Smart urban flourishes in Vietnam

The use of new technology platforms in real estate development inevitably creates new market data, enabling customers to easily access products and markets. According to Jones Lang Lasalle (JLL), Ho Chi Minh City and Hanoi are among the cities with the largest number of young tech-savvy people in the world. The two largest cities of Vietnam have about 70% of the population under 35 years of age, of which the literacy population from 15 to 35 years old accounts for 98.5%.

The flourishing of smart urban areas has a direct impact on Vietnam's real estate market

The 2017 Consumer Payment Behavior Report shows that 84% of Vietnamese surveyed said they bought goods online at least once a month. This rate is only 1% lower than Thailand and the second highest in Southeast Asia. The above consumer behavior is the basis for many real estate developers to quickly realize the potential and trend of technology with residential real estate. Therefore, they are making moves to keep up with the technology revolution and build smart urban areas to attract young customers.

In Vietnam, a series of smart housing projects have been launched to the market since the beginning of the year as projects of Sunshine Group. This developer has built smart houses with smart ecosystems by integrating new technology into products such as Sunshine Cab vehicle application, intelligent butler functions, online supermarket ...

In early April this year, Vingroup upgraded the 280 ha project into a smart urban area called Vinhomes Smarty City in the west of Hanoi. The project uses artificial intelligence (AI) with facial recognition features and a technology center to provide full information and services to residents, from air quality monitoring to the environmental pollution report.

In the near future, it is expected that many smart urban projects will continue to be introduced in the market such as BRG Smart City in Hanoi, Ecopark Smart City in Hung Yen, Dragon Smart City in Da Nang and Thu Thiem Eco Smart City at Ho Chi Minh City. These projects are expected to provide a range of new technological features including intelligent landscape planning with advanced infrastructure, to build modern and environmentally friendly cities where residents can enjoy integrated services with just a few walking steps.

According to JLL, smart urban areas offered by domestic investors have impressive liquidity. Since its debut in 2016, Hanoi real estate market has welcomed over 10,000 smart housing units with an average selling rate of 70%.

The flourishing of smart urban areas has a direct impact on Vietnam's real estate market. Technology housing can be a good choice for investors, but it is important for buyers to note that each real estate developer will provide different technology solutions at different levels, depending on their investment strategy. Besides, not applying any smart technology can meet the practical needs or improve the efficiency of living ecosystems for residents. Therefore, customers need to thoroughly understand the application before deciding to settle.

In fact, the government and many businesses are trying to change the urban landscape by incorporating technology into construction works to improve the living environment. For future real estate projects, the application of smart technology will not only be a trend but also an important "must-have" element in the project.

Using new technology platforms creates new, more accessible market data, which is the key to improving the transparency of Vietnam's real estate.

According to Thuy An – Dien dan doanh nghiep