Waves spreading affordable housing

Mr Dang Hung Vo, a senior adviser to the Ministry of Natural Resources and Environment said that the real estate market is forming two different segments, luxury condominiums and affordable housing. While many luxury apartments due slack remains beyond the affordability of the majority of the cheap products dominate the market truong. Apartment for rent in Hanoi has attracted most people.

Vo evidence, previously a condominium project offering 10 apartments million per m2 had fever for the market. Buyers naturally excited, but investors are resentful many other businesses that are dumped. However, after the wave has spread sharply reduced prices on the market and dumping debate has ended. According to Vo, the introduction of real estate to a lower level is regarded as a crucial principle of the market.

"Many investors have diverted business like the other 10 million project was made ​​and has the capacity to lower prices," said Vo. The story is a cheap Vo mentioned at the workshop manager real estate market with the experience of Japanese banks by the Bank and Trust recently held Sumi has caused a lot of people cared.

Department of Housing Management and Real Estate Market Nguyen Manh Ha said the market is still in the process of restructuring in order to develop a variety of commodities in real estate, especially housing to suit the needs of majority. After a long time falling prices stabilized, investors increasingly turn to the apartment to meet market demand. "The supply of real estate continues to rise, especially in the segment of small and medium-sized, moderately priced," Mr Ha said.

VnExpress recognition in Hanoi showed the price of apartments under one billion, the area ranges between 45-70 m2, is helping to warm up the market. In the first half, Hanoi had 4,000 successful transactions, double the previous year.

Besides the affordable segment heated market, experts said, the overall price is still high, exceeding the affordability of the majority of people. According to Vo, the land rush in the 1993, 2000 and 2007, creating bubbles, causing many paradoxes. High average house prices 25 times annual income of workers, while in other countries this ratio is 2-4 times. "With the price Meanwhile, workers are saving 25% of income must also be 100 years to buy a house," said Vo frankly.

Experts said that besides inadequacy of price, the real estate market Vietnam share many queer unreasonable as supply and demand, mass psychology ... The main reason is the lack of stable development , spontaneous investment, lack of transparency and not professional. The majority opinion that, to-do's Vietnam is now lower home prices continue to go down at the same time keep the policy in time to remove difficulties for real estate.

Director Kazuhisa professional Koashi of Sumitomo Mitsui Trust Bank said that the Japanese real estate market experienced a bubble period leading up to the financial crisis lasted 15 years (1990-2005). When the bubble burst, land prices plummeted and many individuals and organizations have gone bankrupt. "Bubbles can not maintain stability that will surely break, it is necessary to move mentally prepared," he said. According to experts, Vietnam needs to learn to avoid the real estate market has turned.

Mr. Nguyen Manh Ha, director of the Department of Housing and real estate market that MOC will continue to remove difficulties for the real estate market. "For the market to develop a stable and healthy, it must continue to perfect the legal system of housing is urgently needed," Ha said.