Next year is set to see more of the same with an encouraging forecast predicted.
It has been revealed that the property market for 2017 in Vietnam is expected to remain on the same positive footing. As the country’s economy continues to improve and developers become astute to concentrating on satisfying demand, the property industry will continue to take steps in the right direction.
Competition among properties will develop due to improved product quality as developers build products to meet market demands. Hotting up the market, demand is anticipated to surpass that of this year with a particular attention on the housing and the hospitality sectors.
Experts claim that the supply and demand model is currently slightly skewed. There is an oversupply at the top end of the market surpassing demand, whereas the lower end of the market is seeing demand outstrip supply. This is why there has been a call on more social housing to be built as urged by the government. However it has been argued that developers should seek to actively resolve these issues without just being lured by government incentives.
Real estate developer Vingroup has recently announced plans to launch lower end housing branded Vincity to fill this gap in the market. It will take time for demand and supply to become balanced but these are tentative steps in the right direction.
As the market matures and transactions are on the up, experts have called for a centralised system to record property market information. This is to improve market transparency which will only go to boost the market further as people will be able to make better informed decisions when investing in the market, whether that is an individual looking to purchase property or developers who are building.