In the fourth quarter, JLL predicts that the high-end apartment and villa/townhouse segments in Ho Chi Minh City will record low new supply, so the total new supply for the whole year 2022 is expected to be about 7,556 units and 2,846 units.

Capital value of luxury apartments in Ho Chi Minh City is estimated to increase by 5.7% by the end of 2023
Recently, global real estate data company JLL has published a forecast for the high-end real estate market in Ho Chi Minh City, Vietnam. According to JLL, the amount of supply in 2023 is expected to be restored. However, the forecast figures are largely subject to change due to the uncertainty of the global economy and the regulatory framework in Vietnam.
Future completion of higher priced projects is likely to drive capital appreciation (full property value, including renovation costs) growth for the high-end segment as well. level and villas/townhouses from the fourth quarter onwards as real estate is still a safe investment choice.
The capital value is expected to reach USD 3,498/m2 (up 5.7% compared to 2022) and USD 3,738/m2 (up 8.4% compared to 2022) for the luxury and luxury apartment segments, respectively. villas/detached houses by the end of 2023 in Ho Chi Minh City.
Demand recovers, new supply increases
The surge in new supply led to an increase in consumption in the luxury apartment segment, with 2,235 units sold. Despite the explosion of new supply, the selling rate of new sales still fell to 61.2%, reflecting the trend of trading volume slowing down.
Therefore, many domestic developers are continuing to promote advertising programs and discounts for investors, in order to increase interest in the high-end real estate market.
Demand for villas/townhouses in HCMC in the third quarter increased by 39.3% qoq, with 819 units filled, paralleling an increase in new supply. Some notable projects in the quarter can be mentioned as The Global City apartment (Masterise Homes) and The Classia (Khang Dien), achieving sales rates of 88% and 96%, respectively, despite higher selling prices. medium.

Large sales from many investors
The third quarter saw the supply of new high-end apartments increase to 3,305 units (up 155.6% compared to the previous quarter), coming from both ongoing and newly launched projects. In terms of location, the East area, especially Thu Duc City, contributed 73.3% of new supply in the quarter to the high-end real estate market in Ho Chi Minh City thanks to the next phase of the Vinhomes Grand Park urban area. Highway Masterise Lumiere) goes into operation.
The supply of villas/townhouses reached 921 units in the third quarter, up 15.3% compared to the previous quarter. The dominant new supply is projects located in developing urban areas such as The Global City (696 shophouses) and Vinhomes Grand Park (74 shophouses), while other new supply comes from residential areas. as busy as The Classia in District 9 (110 townhouses and villas).
Luxury apartments increase selling price and rental price
The average net effective rent (NER) of the luxury apartment segment in the third quarter increased by 3.8% compared to the second quarter and 12.4% year-on-year (9.2). USD/m2/month).
Rental demand has largely recovered thanks to the economic reopening following the Covid-19 pandemic and recent record high rents for high-quality finished inventory.
The average selling price of luxury apartments in the primary market in the third quarter was $5,915/m2 (up 6.3% compared to the second quarter and 16% over the same period last year), due to the large supply (accounting for 20 .7% of total new sales) from the luxury segment.
Prices in other segments remained stable. Likewise, capital value recorded a new high in the third quarter, at $3,254/m2, up 5.2% q-o-q and 18% y-o-y.
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