Vietnam real estate market sees price cuts and supply drops

The Vietnamese real estate market is experiencing significant shifts in both supply and demand across major urban centers. In Ho Chi Minh City, individual houses and townhouses are seeing price reductions of billions of VND, yet transactions remain sluggish. Real estate brokers report that while some owners are lowering prices to resolve financial difficulties, potential buyers remain cautious due to location, pricing, and financial constraints. Data from Batdongsan.com.vn indicates that searches for private houses in Ho Chi Minh City have dropped from approximately 37% a few years ago to 27% currently.

In Hanoi, the apartment market is facing a sharp decline in new supply. According to a Knight Frank Vietnam report, new apartment launches in the third quarter fell by nearly 60% compared to the same period last year. Total primary supply reached 7,776 units, consisting of 2,558 new launches and 5,218 units from existing inventory. Developers are adopting a cautious approach to launching new projects, weighing high property prices and rising interest rates against the risk of low absorption rates and liquidity pressures.