Ho Chi Minh City real estate market faces transaction decline

The real estate market in Ho Chi Minh City is currently characterized by high interest rates and cautious consumer behavior. Homebuyers are increasingly prioritizing legal clarity, developer reputation, and flexible payment policies to manage cash flow. Current mortgage rates are reported to be around 11-12% per year, creating significant pressure on both investors and those seeking primary residences.

Hoàng Liên Sơn, General Director of Alpha Real, noted that transaction volumes have decreased by approximately 50-60% compared to the beginning of the year. While demand for affordable housing remains, the market supply is currently dominated by mid-to-high-end products. Due to rising costs in land, construction, and labor, developers have limited room to lower prices and are instead focusing on extended payment schedules and financial support policies to attract buyers.