Foreigners are snapping up investments in Vietnam.
There are approximately 90,000 expatriates living in Vietnam, half of which live in Ho Chi Minh City. Taking advantage of the relaxing of the laws relating to foreigners owning property, approximately 700 property transactions of high-end houses in Ho Chi Minh City have been purchased by foreigners from 1 July 2015 to the end of the first quarter of 2016, according to the Ho Chi Minh City Real Estate Association.
Japanese and South Koreans are active investors in Vietnam’s residential market, drawn to projects developed by companies from their home country. A local newspaper has even reported that a Japanese footballer player for a club in Italy has bought a luxury house in district 2 of Ho Chi Minh City that was purchased through an investment fund.
In a response to the growing economy and the attraction that property is generating from overseas, seemingly Vietnam is adapting to meet these demands.
“Vietnam is a trading hub of Asia, so it has to be able to put in that infrastructure support,” comments Khanh Vu, investment director at investment at the asset management fund Vina Capital. “We are seeing a tremendous amount of money being spent on railroads and ports”.