Vietnam Real Estate & Mortgage Market Size
| Study Period | 2020 - 2029 |
| Base Year For Estimation | 2023 |
| Market Size (2024) | USD 47.59 Billion |
| Market Size (2029) | USD 87.46 Billion |
| CAGR (2024 - 2029) | 12.94 % |
| Market Concentration | Medium |
Major Players
*Disclaimer: Major Players sorted in no particular order |
Vietnam Real Estate & Mortgage Market Analysis
The Vietnam Real Estate & Mortgage Market size is estimated at USD 47.59 billion in 2024, and is expected to reach USD 87.46 billion by 2029, growing at a CAGR of 12.94% during the forecast period (2024-2029).
- The real estate market in Vietnam experienced difficulties in 2023 due to the economic downturn. However, the market started to improve in the latter half of the year. Over 70% of the viewers in HCMC and 90% in Hanoi projected the market would improve in 2024.
- Despite the economic difficulties in the first half of 2023, Vietnam鈥檚 industrial sector showed good growth in all asset types and regions, driven by high demand. New high-tech industries, such as electric vehicles and semiconductors, as well as traditional industries, showed interest in Vietnam, pointing to promising market growth in 2024.
- In both Hanoi and HCMC, there was a significant rise in office supply, which resulted in an increase in office vacancy rates in 2023. While rental rates for grade A stayed stable, grade B saw a drop in asking rents as new supply entered the market. On the other hand, in HCMC, asking rates for both grade A and grade B offices showed little change, and absorption was mainly driven by grade A buildings. Looking ahead, the office market is projected to witness flexible rental rates, tenant-friendly lease terms, and green and sustainable considerations.
- Vietnam鈥檚 retail market saw a number of new projects open in the past year, with the most notable being Lotte Mall Westlake Hanoi, which became the biggest shopping mall in the Hanoi area for the first time in four years. Other projects that had been in decline for some time also made a comeback in the last year, such as the renovated The Loop in Hanoi and the refurbished Hung Vuong Plaza in HCMC. Both cities saw strong rental growth in the last year due to the growth of luxury brands and lower vacancy rates.
- The year 2023 saw the lowest new supply in 10 years in both Hanoi (13,000 units) and HCMC (8,700 units) due to macroeconomic headwinds. Condominium prices in Hanoi increased by almost 15% Y-o-Y, while condominium prices in HCMC showed a flattening trend. In 2024, factors such as stable interest rates and forthcoming policy and legal changes were projected to boost buyer sentiment and help the market recover.
Vietnam Real Estate & Mortgage Market Trends
Residential Segment Experiencing Rapid Growth in the Market
In Hanoi, property prices continued to increase in Q4 2023 due to limited supply and high market demand in anticipation of better road infrastructure.
In Q4 of 2023, there were approximately 4,500 apartments on the market in Hanoi, with a total supply of approximately 11,400 units.
According to CBRE, this was the lowest supply level in 10 years, and most of the available units were classified as luxury apartments. On a quarterly and yearly basis, the average price for new apartments increased by 7% and 14%, respectively, reaching around VND 50,800,000 (USD 2,100,000) per square meter.
The average price per square meter for an apartment in a resettlement building in a Slot A10 residential area of Nam Trong Yen district was between VND 42 million and VND 47 million per square meter (from USD 1,723 to USD 1,928 per square meter).
In Thanh Xuan district, the average per square meter price for mid-range apartments ranged between VND 45 million and VND 60 million (from USD 1,846 to USD 2,461 per square meter).
Apartment projects under construction saw the highest prices, ranging from VND 60 to VND 65 million per square meter (USD 2,461 to USD 2,666). Villa and luxury townhouses were also in high demand, with prices having been projected to reach VND 470 million per square meter (USD 19,280).
Increase in Commercial Developments Driving the Market
Industrial and logistics have become one of the fastest-growing sectors over the last five years, with more institutional investors entering the space.
GLP announced the launch of its new venture, GLP Vietnam Development Partner, with a total investment of USD 1.1 billion across six logistics center projects covering 900,000 sq. m.
Cold Storage and Data Centre Gaw Capital Partners entered the cold storage and data center space in the first six months of 2022, acquiring land in HCMC鈥檚 High-Tech Park for the development of an IDC Level 3 Data Centre.
Lineage Logistics LLC, the world鈥檚 largest and most innovative temperature-controlled industrial real estate investment trust (REIT) and logistics solutions provider, shared its ambition to expand business in Vietnam.
Diversification of investment asset classes has allowed investors to expand their horizons beyond major metropolises such as Hanoi, Ho Chi Minh City, and Danang. In Dong Nai, Logos Property Services (LPS) partnered with Manulife Financial to invest more than USD 80 million in a new logistics project covering 116,000 sq. m.
Vietnam Real Estate & Mortgage Industry Overview
The Vietnamese real estate and mortgage market has many local and global players. The Vietnamese real estate market includes pure Vietnamese capital-based local companies and foreign investment funds from foreign companies and joint venture firms.
Various prop-tech startups and traditional real estate firms are aiming to leverage technology to improve their operations and competitive edge by providing effective solutions to enhance home buying, selling, renting, and living experiences in Vietnam.
In hospitality real estate, there is a need for developers in Vietnam to diversify the market by paying attention to the non-traditional market and bringing in professionals to manage their property. There is a growing demand for quality office and retail stock in centralized places, with the Hanoi CBD in focus. The strength of the manufacturing and tourism industries is expected to keep demand buoyant for retail, office, and industrial units.
Key players in the residential real estate market are Novaland Group, Dat Xanh Group, FLC Group, Hung Thinh Real Estate Business Investment Corporation, and Nam Long Investment Corporation.
Vietnam Real Estate & Mortgage Market Leaders
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Vingroup
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Dat Xanh Group
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FLC Group
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Toong
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Nam Long Investment
*Disclaimer: Major Players sorted in no particular order
Vietnam Real Estate & Mortgage Market News
- November 2023: Phat Dat Real Estate Development Joint Stock Company and Military Commercial Joint Stock Bank (MB Bank) signed a comprehensive cooperation agreement with the purpose of financial sponsorship for investors and customers. The sponsored project is the Thuan An 1 and 2 high-rise housing complex with a scale of 4.47 hectares, located in a prime location right in the central area of Thuan An City, connected to many large industrial clusters in Binh Duong. The project completed its legality with an investment of more than VND 10,800 billion, including apartment products, shophouses, and townhouses.
- June 2023: The world's largest contract electronics maker and assembler, Foxconn, received approval from Vietnam to invest USD 246 million in two new projects in the northern province of Quang Ninh.
Vietnam Real Estate & MortgageMarket Report - Table of Contents
1. INTRODUCTION
1.1 Study Deliverables
1.2 Study Assumptions
1.3 Scope of the Study
2. RESEARCH METHODOLOGY
3. EXECUTIVE SUMMARY
4. MARKET INSIGHTS
4.1 Current Economic Scenario and Consumer Sentiment
4.2 Real Estate Buying Trends - Socioeconomic and Demographic Insights
4.3 Government Initiatives and Regulatory Aspects for the Real Estate Sector
4.4 Insights into Existing and Upcoming Projects
4.5 Insights into Interest Rate Regime for General Economy and Real Estate Lending
4.6 Insights into Rental Yields in Real Estate
4.7 Insights into Capital Market Penetration and REIT Presence in Real Estate
4.8 Insights into Public-private Partnerships in Real Estate
4.9 Insights into Real Estate Tech and Startups Active in Real Estate (Broking, Social Media, Facility Management, Property Management)
4.10 Impact of the COVID-19 Pandemic on the Real Estate Market in Vietnam
5. MARKET DYNAMICS
5.1 Market Drivers
5.1.1 Ho Chi Minh City and Hanoi Experiencing Rapid Urban Expansion
5.1.2 Streamlined Real Estate Lending Services
5.2 Market Restraints
5.2.1 Declining Property Values as a Result of Volatile Housing Markets
5.3 Market Oppurtunities
5.3.1 Increasing Need for Money Among Businesses and Individuals to Purchase Real Estate
5.4 Industry Attractiveness - Porter's Five Forces Analysis
5.4.1 Bargaining Power of Suppliers
5.4.2 Bargaining Power of Consumers/Buyers
5.4.3 Threat of New Entrants
5.4.4 Threat of Substitute Products
5.4.5 Intensity of Competitive Rivalry
5.5 Industry Value Chain/Supply Chain Analysis
6. MARKET SEGMENTATION
6.1 By Type
6.1.1 Residential
6.1.2 Retail
6.1.3 Logistics/Industrial
6.1.4 Hospitality
6.1.5 Office
6.2 By Value
6.2.1 Premium
6.2.2 Luxury
6.2.3 Affordable
6.3 By Key Cities
6.3.1 Ho Chi Minh City
6.3.2 Hanoi
6.3.3 Quang Ninh
6.3.4 Da Nang
7. COMPETITIVE LANDSCAPE
7.1 Market Concentration
7.2 Company Profiles
7.2.1 Vingroup
7.2.2 Dat Xanh Group
7.2.3 FLC Group
7.2.4 Toong
7.2.5 Nam Long Investment
7.2.6 Sun Group
7.2.7 Colliers Internatio
7.2.8 Novaland Group
7.2.9 Hung Thinh Real Estate Business Investment Corporation
7.2.10 Phat Dat Corporation鈥�
7.2.11 Vinhomes鈥�*
- *List Not Exhaustive
8. FUTURE OUTLOOK AND OPPORTUNITIES
9. INVESTMENT ANALYSIS OF THE MARKET
10. APPENDIX
Vietnam Real Estate & Mortgage Industry Segmentation
Real estate is private property in the form of buildings and land. Real estate can be used for residential, commercial, or industrial purposes. The real estate market refers to the selling of real estate services by entities (organizations, sole traders, and partnerships) that rent, lease, and allow the use of buildings and land.
The real estate and mortgage market in Vietnam is segmented by type (residential, retail, logistics/industrial, hospitality, and office), value (premium, luxury, and affordable), and key cities (Ho Chi Minh City, Hanoi, Quang Ninh, and Da Nang). The report offers the market sizes and forecasts in value (USD) for all the above segments.
| By Type | |
| Residential | |
| Retail | |
| Logistics/Industrial | |
| Hospitality | |
| Office |
| By Value | |
| Premium | |
| Luxury | |
| Affordable |
| By Key Cities | |
| Ho Chi Minh City | |
| Hanoi | |
| Quang Ninh | |
| Da Nang |
Vietnam Real Estate & MortgageMarket Research FAQs
How big is the Vietnam Real Estate & Mortgage Market?
The Vietnam Real Estate & Mortgage Market size is expected to reach USD 47.59 billion in 2024 and grow at a CAGR of 12.94% to reach USD 87.46 billion by 2029.
What is the current Vietnam Real Estate & Mortgage Market size?
In 2024, the Vietnam Real Estate & Mortgage Market size is expected to reach USD 47.59 billion.
Who are the key players in Vietnam Real Estate & Mortgage Market?
Vingroup, Dat Xanh Group, FLC Group, Toong and Nam Long Investment are the major companies operating in the Vietnam Real Estate & Mortgage Market.
What years does this Vietnam Real Estate & Mortgage Market cover, and what was the market size in 2023?
In 2023, the Vietnam Real Estate & Mortgage Market size was estimated at USD 41.43 billion. The report covers the Vietnam Real Estate & Mortgage Market historical market size for years: 2020, 2021, 2022 and 2023. The report also forecasts the Vietnam Real Estate & Mortgage Market size for years: 2024, 2025, 2026, 2027, 2028 and 2029.
Vietnam Real Estate & MortgageIndustry Report
Statistics for the 2024 Vietnam Real Estate & Mortgage market share, size and revenue growth rate, created by 糖心vlog传媒鈩� Industry Reports. Vietnam Real Estate & Mortgage analysis includes a market forecast outlook to for 2024 to 2029 and historical overview. Get a sample of this industry analysis as a free report PDF download.
