Both businesses and individual investors are tending to move strongly to areas with beautiful beaches, and potential for tourism makes real estate prices here tend to rise sharply. Phan Thiet, Mui Ne, Quy Nhon, Thanh Hoa... are considered new lands attracting strong cash flow of investors at this stage.
Warm up transaction
According to experts, if previously in the tourism markets, the majority of real estate types such as hotel apartments, villas, townhouses, and shophouses are now emerging in the emerging market. Land plots, which are considered to attract strong cash flow and demand of real estate investors because of soft prices while the ability to increase prices and profit margins are quite high.
The investment movement of both real estate enterprises and individual investors has led to investment activities in emerging real estate areas such as Quy Nhon (Binh Dinh); Mui Ne, Phan Thiet (Binh Thuan), Quang Nam, Quang Ngai, Thanh Hoa... are busy recently.
Compared to the tourism capitals like Da Nang, Nha Trang, and Phu Quoc, these emerging markets have only really been known by investors in the last 1-2 years. A series of well-known real estate enterprises such as VinGroup, FLC, Novaland, Phat Dat, Hung Thinh, DKR... at the same time attacked this market, making this place a focus of individual investors recently.
The land plot segment is considered to attract the cash flow and demand of real estate investors because of the soft price while the ability to increase prices and profit margins are quite high.
Transactions on projects therefore also increased heat. Some 1,300 plots of Nhon Hoi New City project have been ordered, thousands of second house products belonging to Novaworld projects of Novaland Group have also been registered to buy, Quy Nhon Melody project in Binh Dinh has also attracted the attention of investors; Or another recent land project is causing "hot status" for investors in the North is the Quang Phu Residential Area (Sunrise Residence) in Thanh Hoa with the price of land sold from only 9 million VND/m2 is also attracting. be investors...
Meanwhile, some other emerging markets such as Mui Ne, Phan Thiet (Binh Thuan), although some projects have been incomplete, there is an undeniable level of interest from real estate investors coming to new projects in the market are quite high. In particular, according to businesses, affordable products are best absorbed.
According to experts, coastal real estate, especially in markets with plenty of tourism development space, is receiving great attention from buyers because of the scarcity of clean land, high profitability, in when the investment cost is low. Besides, the secondary price increased strongly along with the preference for land plots, which made trading in these markets so hot.
Prices rose sharply on the secondary market
Businesses noted that in the last 1 year in the markets such as Da Nang, Nha Trang, and Phu Quoc, the price increase was very low due to the excessive supply, leading to the saturation situation, partly due to the legal status of the condotel. also affected a lot to psychology of investors' money. Meanwhile, Binh Dinh and Binh Thuan are two emerging markets with significant price increases in the past 6 months.
Mr. Nguyen Hoang Son, Deputy General Director of Sales and Marketing of Danh Khoi Real Estate Company (DKR), said that Quy Nhon market is not much in terms of supply, while the demand from investors is increasing.
From a geographical perspective, Quy Nhon is unlikely to expand its land bank, because the East borders the sea, the West borders on the mountains, the North is forming industrial parks, so the ability to expand the land fund is only left. is in the South, meaning the area that is forming Nhon Hoi Economic Zone. It is the scarcity of land, while the demand is high, that has led to a rise in housing prices.
Indeed, according to the survey, the neighborhood of the city with connected transport infrastructure, which is the center of Quy Nhon tourism such as Nhon Ly and Nhon Hoi has a price increase of 4-5 times compared to the period of 2014 - 2017. Especially for projects near large resort populations in Nhon Hoi Economic Zone, land prices are also on the rise.
According to experts, the level of price increase will continue when these areas have the advantages of complete transportation infrastructure thanks to the synchronous construction investment planning and the gateway to many domestic and international tourist attractions in Binh Dinh such as Ky Co, Cu Lao Xanh, Eo Gio...
Meanwhile, the golden land plots in the center of Quy Nhon city have a strong growth rate. There are routes that reach the threshold of VND 100-200 million/m2, a number of times higher than the previous years.
Talking about the secondary price increase of real estate in coastal areas, Mr. Ngo Duc Son, General Director of DRH Holding said, from the beginning of the year, only Quy Nhon recorded the strongest increase from 40-60 % and the south of Binh Thuan like Ham Tan, Lagi; In Bac Ba Ria like Binh Chau, the price growth is about 20-30%/year.
According to Mr. Son, from June 2017 to December 2018, coastal real estate prices generally increased sharply. Long Hai, Long Dien and Ba Ria area increased by about 70%. In Cam Ranh, Phan Rang, some places in Phan Thiet such as Thien Nghiep, Lagi and Tien Thanh, the price increased by 150%. Particularly, Da Nang and Nha Trang had previously increased sharply, so this period only increased slightly by 20-30%/year.
According to experts, although coastal real estate has had a strong growth in recent years, it is still relatively "soft" and the room for the increase is still large. The scarcity of land fund and the intensive hunting of businesses are considered the reasons for the sharp increase in coastal land prices over the past time.
In addition, the potential for tourism in emerging markets is also the reason for the sharp rise in the price of secondary real estate. For example, according to statistics, the number of international tourists as well as domestic tourists to Quy Nhon in general and Nhon Hoi in particular has increased in recent years. It is forecasted that by 2020, the province will welcome 5.5 million visitors, including 800,000 international visitors, the average tourist growth rate is more than 20% per year and will continue to increase when inter-regional infrastructure From road to air are interested in investing.
Regarding the total, according to CBRE, in the first 10 months of 2018, the number of international visitors to Vietnam reached 12.8 million, up 22.4% over the same period in 2017 - the leading growth rate in Asia, especially In the first 6 months of 2019, international visitors to Vietnam reached approximately 8.5 million (up 7.5% compared to the same period in 2018). In particular, the number of tourists flocking to emerging tourism markets, still wild as Mui Ne, Quy Nhon, some areas of Quang Nam, Quang Ngai increased sharply is considered the cause of the real estate market in these areas bustling according to real estate investors.
According to Ha Vy