Heat from infrastructure, "fueling" the real estate market in early 2023

In the context that real estate is showing signs of "flattering", facing the risk of freezing, both businesses and investors waiting for the exit of goods are expecting the infrastructure wave.

The survey shows that, along the axis of Ring Road 3 running through Thu Duc City (HCMC), there are a series of real estate projects "catching the waves", from brands not many people know to names. Industry leaders such as Vinhomes, Novaland, CityLand, Masterise Homes…

Heat from infrastructure

One outstanding project is The Global City has a scale of more than 117ha at Do Xuan Hop street (An Phu ward, close to Long Thanh - Ho Chi Minh highway), with all types of apartments, villas, houses. street to shophouse…

The Global City urban area is located next to An Phu intersection (key infrastructure in 2023).

According to information from the investor Masterise Homes, this project is divided into 2 areas, including low-rise with 1,800 townhouses, high-rise with 10,000 luxury apartments. The selling price of houses here has a terrible level, the highest is up to 350 million VND/m2.

Another project that is also receiving the wave of Belt 3 infrastructure is MT Eastmark City, invested by Dien Phuc Thanh company. The project is located on the front of Truong Luu Street (Thu Duc City), just a few hundred meters from the Ho Chi Minh City - Long Thanh - Dau Giay highway.

An Phu intersection is the key infrastructure of Thu Duc city in 2023

The infrastructure push is the hope to help the real estate market have more warmth to thaw.

Not only in Ho Chi Minh City, the provinces with Belt 3 running through are Long An, Dong Nai, Binh Duong also appear many "follow-up" projects. Typically, in Bien Hoa (Dong Nai) there is Aqua City project, Bien Hoa Universe Complex project. Or in Thuan An (Binh Duong) there is Lavita Thuan An project…

Sharing with Vnbusiness, Mr. Hoang Lam - owner of a project of 350 apartments with shophouse in Thu Duc City, said that his company is actively looking for land fund to develop more "follow-up" projects of Belt 3.

However, since the route information is shaped to pass through the wards of Long Binh, Long Truong, Truong Thanh, Long Thanh My, land prices in these areas quickly inflated very quickly.

Similarly, in the North, the heat from infrastructure is also blowing strongly into the real estate market in Hanoi such as Gia Lam, Thuong Tin, Dong Anh... In particular, the land fever "follows" the planning of Ring Road 4. or urban areas along the Red River has taken place since the beginning of 2022.

Mr. Nguyen Van Dinh, Vice Chairman of the Vietnam Real Estate Association (VNRea), cited in Dong Anh, when the urban planning along the Red River was announced, many projects were abandoned, without infrastructure, but the price was very expensive. up to more than 100 million VND/m2, on par with the central areas.

Meanwhile, in Thuong Tin, a survey by Batdongsan showed that land prices have increased sharply, in some places exceeding the threshold of 100 million/m2, an increase of 200% compared to 2020. Most of the hot spots are in the communes along the road planning. Ring 4, such as Khanh Ha, Hien Giang, Hoa Binh, Nhi Khe, Van Binh, Duyen Thai...

Waiting for the "exit"

Not only blowing the heat to help businesses' projects get excited again, the planning wave is also expected to become an "exit" for many investors who need to exit goods and recover capital in a short time. next.

For example, Mr. Le Luan, an investor who owns 3 plots of land near the Moc Bai border gate (the section through Ben Cau district (Tay Ninh), next to the Ho Chi Minh City - Moc Bai highway project), said: “The price of land in this area is being advertised at 800 million – 1.2 billion VND/lot (70 – 90m2), I am hoping to sell “take profit” and then move to another place after nearly 3 years of investing here. ".

Or as the case of Mr. Vu Thanh Danh (Hanoi) shared at the end of 2020, he poured more than 4 billion dong to buy 2 adjacent plots of land along route 28, located in the central urban area of ​​Nha Trang City, Khanh Hoa province.

Although he bought it at a time of land fever, at the current price level, if he sold it, Mr. Danh would have a profit difference of more than 1 billion dong. But his current problem is that he cannot sell to "take profit".

Under pressure to recover capital for reinvestment, Mr. Danh said he was "waiting" for the time when the project to adjust the general planning of Nha Trang city was approved by the Prime Minister. This is not only the hope of investors but is also expected to be a new "push" for the Nha Trang real estate segment.

It can be seen that, in the context of public investment, upgrading of connection infrastructure, and improvement of regional utilities are being promoted, the planning wave is expected to become a push for the real estate market, opening up opportunities. exit for investors.

The fact also shows that land prices in many planned areas are on an upward trend, attracting the attention of investors. However, taking advantage of this, many brokers or those who want to sell have released hot news, causing a virtual fever.

Therefore, for those wishing to buy, experts recommend caution. Not only with plans that are "drawn cakes", but even with published plans, there can still be adjustments to be appropriate.

“If buying and selling around increases land prices, it is very likely that investors will face risks when buying land for planning parks and green trees. For example, according to the planning project along the Red River, the percentage of green trees accounts for over 30%, so investors need to be very cautious," advised VNReal Vice Chairman Nguyen Van Dinh.