According to experts, the real estate market will still have many difficulties in 2023, but there will still be positive signs.
It can be said that 2022 is a year of many levels of the real estate market. After being hit by the Covid-19 epidemic for 2 years, the beginning of 2022 is an exciting time for the market, not only for apartments, but also for the land segment.
Many investors look to the countryside to “hunt” land, causing local land fever in some places.
According to the Ministry of Construction, the average house price in the first quarter of 2022 increased by 6% compared to October 2021. Even in some places land prices rose from 50% to 100%.
The real estate market in 2022 has the opposite situation.
Halfway through the year, the market started to slow down. The land segment in rural areas will be affected first, followed by the medium and more expensive apartment segment in large cities. Transactions were bleak, liquidity was down.
In the last quarter of the year, the downturn in the market gradually came to light. To stimulate demand, project owners launched many unprecedented rebate programs. However, the overstretched sources of credit capital in the real estate sector had a bad impact on the market.
A bright spot in the real estate market in 2023
According to Mr. Nguyen Van Dinh, President of the Vietnam Real Estate Brokers Association, the real estate market is predicted to move in two opposite scenarios next year. This depends on the government’s macro management policy.
If there is no credit policy adjustment after the Lunar New Year, the real estate market will continue to struggle as it is now.
If there is an adjustment in capital and bond policies after the Tet holiday, the positive scenario, according to Mr. Dinh, is that the real estate market gradually warms up and develops stable in 2023.
Commenting on the liquidity of the real estate market in 2023, Dr. Su Ngoc Khuong – Senior Director of Investment Consulting Division Savills Vietnam that the residential segment will still maintain stable levels.
However, limited supply, especially in the affordable housing segment, will affect the overall liquidity of the market. Industrial and office real estate are two segments that are still doing well, companies will continue to have expansion needs.
The segment that meets real demand will lead the real estate market in 2023.
Meanwhile, some experts believe the market will show signs of reversal and equilibrium by the end of 2023, with growth returning in 2024. Products that meet real demand, such as apartments or townhouses, will lead the market.
Mr. Dinh Minh Tuan – Director of Batdongsan.com.vn in the southern region said that the housing segment that meets real demand is a “bright spot” to solve problems in the current market. Therefore, investors have restructured their debt and sales policies to focus on serving this buyer need.
“In order to activate the cash flow of real homebuyers, real estate prices have to fall further. In the short term, the prices of some segments in some regions may remain the same. Owners who have been under pressure from high interest rates for a long time are being forced to sell, and this is also when the market is attractive enough to kick-start bottom-fishing cash flows, helping to increase liquidity and reduce congested capital flow.” said Mr Tuan.
The recovery of the rental market is a trend that according to experts will continue in 2023. Rental demand will increase in all types, especially in apartments.
With the price of apartments in major cities still at a high level, people have less and less choice of apartments in the price range of less than 2 billion VND, so they will continue to rent.
In addition, a portion of homebuyers are psychologically waiting for the price to drop before closing to buy. Therefore, townhouses, villas and offices for rent are also expected to continue to recover from 2022 onwards.
@ Vietnam net
