Vietnam real estate draws foreign investment as domestic buyers pause

Foreign investors poured about $5.1 billion into Vietnam's real estate sector in the first half of 2026, making it the second‑largest recipient of new FDI after manufacturing. Total registered FDI reached $34.65 billion, a 61 % year‑on‑year rise, with Singapore leading the inflows followed by South Korea and Japan.

At the same time, Vietnamese home‑buyers are holding back because of high loan interest rates and price uncertainty. Developers such as E.R Group, Shize Home, VP and Bluemarq have postponed sales launches, shifted marketing to attract partners, or diverted resources to other businesses. The cautious mood is reflected in a roughly 5 % drop in nationwide real‑estate search interest in May and a decline in buyer intent surveys.

Housing prices have shown modest declines: average apartment prices in Hanoi fell from about 88 million VND to 85 million VND per square metre, while Ho Chi Minh City prices remained around 69 million VND per square metre. Despite the slowdown, supply remains ample, with tens of thousands of new units slated for completion later in 2026.