High-end apartments account for nearly one-third of all new launches in the capital in the third quarter according to CBRE.
High-end apartments continued to count for the largest share in newly-launched stock of condominiums for sale in Hanoi during the third quarter, according to CBRE’s quarterly report released on September 29. Some 2,900 high-end units were launched in the quarter, accounting for 32 per cent of total new launches.
In the first nine months of this year the supply of high-end apartments accounted for 25 per cent of total new supply, up from 20 per cent in the first half.
Overall, positive market sentiment remained in the quarter, spurring cash inflow from buyers. An estimated 6,880 units were sold, up by 154 per cent against the third quarter of 2014. Continuing the trend from the previous quarter, high-end apartments accounted for an increasing share of units sold.
High-end sales accounted for 29 per cent in the first nine months, up from 25 per cent in the first half.
In terms of pricing, the average resale price fell 0.2 per cent quarter-on-quarter in USD terms but increased 2 per cent in VND terms.
On a year-on-year basis, average prices were on an upward trend in both USD and VND terms, increasing 1.4 per cent and 7 per cent, respectively. New projects under construction saw sharper price increases than completed projects.
Primary prices were on the rise in most segments, especially in high-end and luxury projects, by an average of 5-7 per cent year-on-year.
“In Quarter 3, 2015, positive market momentum continued in Hanoi, boosting new launch activities and sales performance,” said Ms. Nguyen Hoai An, Associate Director of CBRE Vietnam. A total of 9,160 new units were launched from 26 projects, double that in Quarter 2, 2014.
By location, it was noted that new supply in the south of the CBD (Hai Ba Trung district) and the south (Hoang Mai district) in Hanoi accounted for 48 per cent of total newly-launched stock in the quarter, while that in the west and the south-west accounted for a more modest 42 per cent.
In the three months since new regulations came into effect there has been increasing interest from foreign buyers though no high jump in sales, as more legal guidance is still on the way.
“Professionalism, language proficiency, and ease of payments are among the key matters once foreign buyers are involved,” the CBRE report stated.