Reflecting the dynamic growth in Ho Chi Minh City, the landscape of property development is set to transform significantly by 2025. A slew of new housing and commercial projects aim to reshape urban living with innovative designs and sustainable solutions. The city's active push to complete the construction of 2,025 social housing units by the end of 2026 and to achieve 35,000 social housing units by 2030 is a testament to this effort1.
Central districts such as District 1, Thao Dien, and Binh Thanh are leading the way in these developments. With economic growth, urbanization, and favorable governmental policies, property prices in these areas might increase by 5% to 10% in 20251. Infrastructure developments and growing foreign investment further boost the potential for these new homes in Vietnam.
Meanwhile, firms are keen to expand their land portfolios to prepare for the sector's recovery. For instance, a new residential project spanning 215 hectares in Long An is underway, and companies are eyeing prime localities like Binh Phuoc and Dong Nai provinces for future expansions2.
Key Takeaways
Ho Chi Minh City aims to complete 35,000 social housing units by 20301.
Significant property developments are foreseen in District 1, Thao Dien, and Binh Thanh1.
Property prices might hike between 5% and 10% in 2025 due to strong economic growth and urbanization1.
Long An province sees a massive residential project covering 215 hectares2.
Expanding land portfolios is a key strategy for real estate firms in anticipation of future demand2.
Recent Legislation Impacting Property Development
New legal frameworks play a crucial role in shaping the real estate market in Vietnam, introducing transformative changes to property development laws in 2023 and beyond. Key industry figures such as Marc Townsend and Andy Han Suk Jung have highlighted these transformative new laws, which are anticipated to enhance transparency and market operations significantly, ultimately fostering a climate of optimism among developers3.
Recent legislative changes are particularly noteworthy. The REB Law 2023, for example, has capped the maximum deposit for real estate purchases at 5% of the selling price3. Additionally, bank guarantees for future purchases have been made optional, potentially leading to cost savings for buyers3. These steps are poised to streamline project approvals, ensuring a more transparent process and boosting investor confidence4.
Moreover, transitioning from one-time land rent payments to an annual land rent system is expected to reshape the business landscape, contributing to market confidence by enabling better financial planning for developers3. The replacement of fixed land prices with annual adjustments based on local land price tables will further align real estate values with market realities3. New legal frameworks also include a shift towards multi-purpose combined land use under the Land Law 2024, facilitating enhanced land-use efficiency3.
Eliminating the requirement for a land-use right certificate simplifies real estate project transfers, thereby encouraging more investment in the sector3. Distinguishing between "foreign-treated" and "domestic-treated" entities in the new laws aims to provide clarity and ease of operations for businesses with foreign investment capital3. This detailed legal restructuring underscores a commitment to making Vietnam's real estate market more competitive and attractive to both local and international investors.
Nguyen Quoc Anh and Michael Kokalari have provided insights on how these recent legislative changes are anticipated to boost investor confidence by making processes more transparent. Specifically, the new regulation is expected to lead to a price increase of around 15-20% in the real estate market in Ho Chi Minh City4. Furthermore, the Can Gio coastal urban area project in Ho Chi Minh City is projected to attract nearly $9 billion in private investment across 2,870 hectares, reflecting positive market sentiment4.
Several international real estate investment and networking events were held in Ho Chi Minh City from October 7-114. Additionally, the first metro line in Ho Chi Minh City is conducting trial runs at full capacity from November 11 to 17, connecting Ben Thanh Market to Suoi Tien4. These developments indicate the profound impact of new legal frameworks on the real estate market, aiming to enhance market confidence and facilitate substantial investments.
New Construction Developments in 2025
Ho Chi Minh City is poised to witness remarkable growth in new construction developments in 2025, significantly impacting the Ho Chi Minh City real estate landscape. Exciting projects like the Conic Boulevard project have already launched, offering 1,000 apartments priced at VND37 million (US$1,450) per square meter, and impressively, over 100 units were purchased within just two days5. The Global City project by Masterise Homes in Thu Duc City is another notable development, featuring 616 apartments that will be available to buyers by 20265. Moreover, the TT AVIO apartment building project in Binh Duong Province will introduce 2,000 apartments with prices starting at VND1.23 billion (US$48,490)5. This shows the serious demand and planning within the region.
The 2025 construction projects are diversified, including residential, commercial, and mixed-use properties that cater to various demographics and market needs. For instance, the Orchard Hill project in Binh Duong Province saw 694 out of 774 apartments booked shortly after its launch5. Meanwhile, Nam Long Investment Corporation is making significant strides with their housing projects in Ho Chi Minh City and Long An Province, offering attractive incentives such as vouchers worth up to VND1.5 billion ($59,150) for buyers in the Izumi City project and discounts up to VND546 million ($21,500) for the Akari City project5.
Project
Location
Total Units
Price Range
Conic Boulevard
Ho Chi Minh City
1,000
VND37 million per sqm
The Global City
Thu Duc City
616
To be announced
TT AVIO Apartment Building
Binh Duong Province
2,000
Starting VND1.23 billion
Orchard Hill
Binh Duong Province
774
To be announced
Izumi City
Ho Chi Minh City
—
Up to VND1.5 billion in vouchers
Akari City
Ho Chi Minh City
—
Discounts up to VND546 million
According to the Ministry of Construction, an impressive 3,300 new apartments were completed in the third quarter of 2024 nationwide, with 21,300 units in 55 housing projects meeting the requirements for selling finished apartments — marking a 17% increase year on year5. This momentum is expected to continue into 2025, with more properties being launched to keep up with the surging demand for modern living spaces in Ho Chi Minh City real estate and beyond.
Despite the rising inventory levels, the market remains robust. The primary supply in Ho Chi Minh City reached 4,871 units in 2024, although it saw a decline of 13% quarter-on-quarter and 36% year-on-year6. Interestingly, Grade B apartments accounted for 60% of this supply, followed by Grade C at 38% and Grade A at a mere 2%6. In terms of transaction volume, it decreased by 16% quarter-on-quarter and 4% year-on-year, totaling 1,915 units6. Yet, the absorption rate for new supply was relatively high at 62%, indicating a sustained interest in 2025 construction projects6.
The future supply looks promising, with projections suggesting that suburban areas will play a crucial role, accounting for 59% of the 5,182 units expected by 20276. This trend reflects a strategic shift in new construction developments to address the evolving needs of the region's growing population, ensuring a balanced expansion across the Ho Chi Minh City real estate market.
Luxury Apartments in Saigon
The demand for luxury apartments in Saigon has seen significant growth, driven by economic stability and promising FDI inflows. The Premium Residential Projects such as The Conic Boulevard and The Global City showcase sophisticated living spaces with state-of-the-art amenities, reflecting the high demand and robust pricing trends in high-end residential units7.
One of the standout developments is the Vinhomes Central Park, which spans an impressive 43.91 hectares, featuring over 10,000 apartments and more than 70 villas across three main subdivisions8. This massive project is tailored to provide a seamless blend of comfort and luxury for its residents. Another notable project is the Vinhomes Golden River, also known as Vinhomes Ba Son, which boasts a total area of 22.8 hectares with a low construction density of only 18%8, offering expansive green spaces amidst the urban landscape.
Masteri Thao Dien is another prime example of Premium Residential Projects, housing over 3,021 apartments within its five towers, which range from 39 to 45 floors8. Sunwah Pearl, comprising three high-rise apartment towers, features units ranging from 48 to 121m2, with stunning views of the Saigon River and Bitexco tower8.
In terms of villa spaces, the high-end market in Saigon offers a variety of options. For instance, luxury villas in District 2, including those in the Lucasta Khang Dien, range between 416m2 to 487m29. The area of high-class villas in Thao Dien goes up to 326.8m2 for sale9. With a consistent emphasis on opulence, these Premium Residential Projects cater to the discerning tastes of affluent buyers and investors.
According to Michael Piro, this rapid growth in the luxury segment is strongly supported by economic stability and enhanced desirability of high-end residential units7.
Interestingly, the price range for luxury villas in Saigon is quite diverse. For instance, high-class villas for sale in the Thao Dien area encompass 326.8m29. On the other hand, rental prices for luxury single-unit villas in Phu My Hung can reach up to 140 billion VND9, illustrating the premium value associated with these properties.
Apart from traditional luxury villas, there are also remarkable penthouse options available. At Diamond Island, a penthouse apartment spans 353m2 with an additional 209m2 outdoor yard9. Such offerings are well-suited for those seeking a blend of opulent indoor and outdoor living experiences.
For further exploration of Vietnam's top luxury apartments, you can visit the comprehensive guide provided by Savills on luxury apartments in Ho Chi Minh8. This resource provides detailed insights into the unique features and design elements that distinguish each Premium Residential Project.
Commercial Properties for Sale
With the rapid modernization of Ho Chi Minh City and increasing foreign investments, there are abundant commercial real estate opportunities for investors. The economic contribution of Ho Chi Minh City to Vietnam's GDP stands at almost 20%, bolstering the demand for commercial properties for sale10. As businesses continue to boom, the need for strategically located commercial real estate is more significant than ever.
One of the significant advantages of real estate investment in Vietnam is the promising growth projections. By 2028, the commercial real estate market in Vietnam is projected to grow to $33.83 billion from the current value of $16.52 billion, reflecting a compound annual growth rate (CAGR) of 15.42% over five years11. This dramatic growth showcases the favorable environment for investors keen on securing high returns.
Looking into specific properties, a mini hotel in Binh Chau is priced at $975,000, while a hotel in downtown Ho Chi Minh City is available for $17.6 million11. Moreover, a resort complex in Quang Nam can be purchased for $2.76 million, demonstrating varied options for potential investors11. Each property's price reflects its strategic location, surroundings, and profitability potential.
For expats and foreigners, the real estate investment landscape in Vietnam is welcoming, with flexibility to navigate local regulations. Although there are restrictions on direct purchases of commercial properties, alternatives like forming joint ventures with Vietnamese shareholders or setting up local real estate companies are viable solutions11. This approach allows for capitalizing on the thriving commercial real estate market without facing direct ownership limitations.
The average price of property in the city center of Ho Chi Minh City stands at $4,606 per square meter, while outside the city center, it's $2,048 per square meter10. Moreover, properties situated near the new metro system under construction are anticipated to see a price increase of around 20. These statistics highlight the myriad opportunities available in this rapidly growing market.
In conclusion, with the vast array of commercial properties for sale and the city's dynamic economic activities, real estate investment Vietnam presents a lucrative opportunity. By leveraging strategic locations and understanding the market intricacies, investors can achieve significant returns on their investments.
Real Estate Market Trends
The real estate market trends in Ho Chi Minh City indicate a significant undersupply of condos and houses over the last 18 months, driving a surge in demand especially in the mid-market segment (60-80 sq.m units) as more first-time buyers enter the market12. Retail sales of goods and services in Ho Chi Minh City culminated in a remarkable US$63 billion in Q1/2024, reflecting the city’s robust economic vitality13.
In paralleling national trends, the primary apartment stock in Ho Chi Minh City fell by 35% quarter-on-quarter and 28% year-on-year13. However, sales of villas and townhouses have notably improved by 72% quarter-on-quarter and 143% year-on-year, demonstrating the dynamic shifts within market sectors13. The Ho Chi Minh City property market is also expected to see increased activity and investments due to enhanced market transparency and investor protection measures implemented in 202512.
The future real estate outlook highlights the anticipation of rapid price growth in the residential sector as foreign direct investments (FDI) rise, such as the 13% increase to US$6.2 billion in Vietnam in Q1/202413. Hotel occupancy in Ho Chi Minh City has also seen steady growth, averaging 66% in Q1/202413. This sector is further bolstered by the significant recovery in Vietnam's tourism industry over the past two years, along with increased demand for high-end hotels particularly for business and meetings industry travel12.
Property Investment Opportunities in Vietnam
Vietnam continues to attract substantial Foreign Direct Investment (FDI) into its burgeoning real estate sector. According to Michael Piro, the nation's political stability and robust economic growth have been pivotal in sustaining investor confidence14.
Vietnam is also gaining preference over China as companies look towards Southeast Asian markets like Cambodia, Thailand, and Vietnam for expansion. This trend underscores the strategic advantages of property investment in Vietnam14.
A key highlight is the liberalization of foreign ownership rules in 2015, making it easier for foreign investors to participate in the market. Foreigners are now permitted to purchase property in numerous Vietnamese towns, cities, and neighborhoods14.
Ho Chi Minh City emerges as a prime location, with District 1 renowned for high rent and property costs, while District 2 offers a high standard of living and gated communities, and District 3 is popular among expats and upper-class locals14.
The city contributes nearly 20% to Vietnam’s GDP and hosts 19 districts, each offering unique investment potential10.
Real estate values are anticipated to surge by approximately 20% with the completion of a new metro system, further enhancing the appeal of property investment in the region10.
With a continuing influx of both local and international developers like Nam Long and CapitaLand, the outlook for both commercial and residential property investments remains promising.
Mid-Market Residential Projects
Mid-market residential projects are becoming increasingly popular in Ho Chi Minh City as they offer a balance of affordability and quality, targeting middle-class families and first-time homebuyers. Currently, the city boasts 80,000 apartments, with 42% being mid-end, which indicates a strong market presence for this segment15.
The burgeoning demand for affordable housing in Vietnam has been influenced by favorable mortgage rates and economic stability. Foreigners can purchase up to 30% of the units in a single residential complex, making Vietnam an attractive destination for real estate development16. Additionally, foreigners have access to mortgage loans, with banks offering 70–80% financing, further driving the trend16.
Projected annual increases in apartment prices of 5-7%, especially for mid-range housing, highlight the investment potential in this sector15. This trend is further boosted by an expected 74% increase in the supply of all apartments over the next three years, which will cater to the rising middle class in Southeast Asia15.
Mid-market residential projects in Ho Chi Minh City generally offer a range of amenities that appeal to middle-income families. The average price of apartments here has seen a significant rise, with the end-users willing to invest in quality housing that is still within their financial reach. The average price of apartments as of mid-2023 was 125 million dong per square meter ($5,400), indicating a 44% increase from the previous year16.
These projects are strategically located in areas with high growth potential, such as Nam Rach Chiec near the Saigon River and districts like Global City and Saigon Quays, further enhancing their appeal and investment value16. Below is a comparative overview of key aspects affecting mid-market residential projects:
Aspect
Details
Price Range
₫ 250 million - ₫ 15,681,159,447
Average Listing Price (Condos)
₫ 15,868,155,530
Popular Areas
Nam Rach Chiec, Global City, Saigon Quays
Annual Price Increase
5-7%
Foreign Ownership Limits
30% of units in a building or 250 houses in an administrative ward
The increasing middle-class population and stable economic conditions continue to fuel the demand for mid-market residential projects, making them a cornerstone of affordable housing in Vietnam and a promising avenue for real estate development1715.
Infrastructure Developments Boosting Real Estate
Significant infrastructure developments are reshaping Ho Chi Minh City (HCMC), leading to a notable impact on property supply. Enhancements in transportation systems, such as the upcoming completion of HCMC's Metro Line 1—which includes three underground and eleven elevated stations—are especially influential18. This line is anticipated to boost nearby property values substantially, with real estate prices along Metro Line 1 having risen by 50-150% over the past eight years19.
In addition, HCMC aims to develop eight more metro lines, one tramway, and two monorail lines by 2030. Improved connectivity from these projects is central to increasing the region's real estate supply, as better transport links make areas more attractive for residential and commercial purposes18. HCMC's plan aligns with the city's broader goal of establishing a sustainable urban environment while attracting more foreign investment for various industries18.
The newly constructed Long Thanh International Airport, set to handle 100 million passengers annually by 2035, is another significant infrastructure project driving real estate growth. Demand for residential properties in surrounding areas is expected to rise due to the economic activity generated by the airport20. Similarly, the North-South Expressway is attracting high-value industries, notably in electronics and electric vehicles, further fueling the real estate market20.
Further fortifying the impact of new infrastructure on property supply, the Vietnamese government has allotted VND 657 trillion for public investments earmarked for infrastructure development in 202420. Lucas Loh remarks that these funds, complemented by policies in the land law to enhance connectivity via roads, bridges, and public transport systems, will support the ongoing surge in the real estate sector20.
Notable projects like the Marina Central Tower directly connected to Metro Line No.1 have already become prime locations for businesses and retailers, illustrating the symbiotic relationship between infrastructure and real estate value20. Furthermore, areas within 1-3 kilometers of a metro station typically experience a 15% increase in property prices, while those 3-5 kilometers away see a 5% rise19.
Property Developments Ho Chi Minh City
Ho Chi Minh City, as an economic powerhouse contributing to approximately 20% of Vietnam's GDP, is seeing a significant surge in interest for modern living spaces due to its expanding infrastructure and appealing lifestyle options10. New residential projects in the pipeline are catering to this demand, with developments like the Conic Boulevard and Orchard Hill providing a blend of luxury and convenience21.
One of the upcoming housing launches that stands out is Vinhomes' condo projects such as Vinhomes Central Park, where units typically cost around $300,00022. Meanwhile, mid-market residential projects by Dat Xanh, such as Opal Riverside condos, average around $70,000, making these homes accessible to a broader range of buyers22.
Another noteworthy development is Novaland's high-end projects like Sun Avenue and Lakeview City, with starting prices upwards of $250,000, indicative of the demand for sophisticated and fully equipped living spaces in the city22. These projects are part of the planned new residential projects in the pipeline that are set to redefine urban living standards.
Upcoming housing launches also include Panomax River Villa with 7 units for sale, and Holm Villas offering 55 units for sale and 10 units for rent, catering to diverse preferences and budgets21. On the more affordable side, Nam Long's Valora Fuji condos are priced about $250,000, showcasing the variety within property developments in Ho Chi Minh City22.
To get a comprehensive view of these upcoming housing launches, exploring the different offerings from various districts like District 1, District 2, District 5, and District 7 can be very enlightening. With property prices averaging around $4,606 per square meter in the city center, these new residential projects are poised to attract keen investors and new residents alike10.
Project
Units for Sale
Units for Rent
Average Price
Conic Boulevard
N/A
N/A
$250,000+
Orchard Hill
N/A
N/A
$300,000+
Panomax River Villa
7
0
N/A
Holm Villas
55
10
N/A
Vinhomes Central Park
N/A
N/A
$300,000
Opal Riverside
N/A
N/A
$70,000
Valora Fuji
12
0
$250,000
Conclusion
The future of real estate in Vietnam, particularly in Ho Chi Minh City, appears exceptionally promising. The city's property market has shown robust growth, driven by its growing population, which reached 8.7 million by the end of 2018, alongside an average population density exceeding 4,500 people per square kilometer23. This increased demand has resulted in approximately 45% of the total new supply in the residential market in 2023 comprising mixed-use developments24. Consequently, the city offers lucrative investment opportunities for both local and international investors.
Key factors contributing to the city's property development include the vast economic activities occurring in the Southern Key Economic Region, which attracted 50% of the Foreign Direct Investment (FDI) capital in Vietnam in 201823. The city's economic potential is further supported by the government's strategic plans to transform Ho Chi Minh City into a multi-core economic zone by 2030, focusing on infrastructure and specific industries23. Furthermore, green building certifications increased by 20% in 2023 compared to the previous year24, underscoring a heightened focus on sustainability, an essential consideration for modern investors and developers.
From a residential perspective, the market aligns well with contemporary needs, as 76% of respondents in a CBRE Vietnam survey consider lifestyle amenities and wellness facilities crucial when selecting a property in Ho Chi Minh City24. The trend towards digitalization is also influencing property decisions, with 68% of property seekers in Vietnam utilizing online platforms and mobile apps to search for properties24. Investors should keep these insights in mind to make informed, strategic decisions, and capitalize on these numerous opportunities. For an in-depth understanding of these trends, the full analysis can be explored here.
In summary, Ho Chi Minh City's real estate market continues to thrive on a conglomerate of factors, including favorable economic conditions, increased demand for modern housing, and strategic urban planning. These aspects highlight the immense potential of the city's property sector, making it an attractive destination for real estate investments and ensuring that the future of real estate in Vietnam remains bright and full of promise.
FAQ
What are the most notable property developments in Ho Chi Minh City slated for completion by 2025?
The landscape of property development in Ho Chi Minh City is set to be transformed significantly by 2025, with notable projects such as the Conic Boulevard, The Global City, and the Orchard Hill projects leading the way. These initiatives focus on innovative designs and sustainable developments that aim to redefine urban living in the city.
How are new legal frameworks expected to impact property development in Vietnam?
Recent legislative changes are set to enhance market transparency and operations, making it easier for developers to get project approvals and safeguarding investors. Key industry figures such as Marc Townsend and Andy Han Suk Jung highlight how these transformative new laws are infusing optimism in the market.
What types of new construction developments are expected in Ho Chi Minh City by 2025?
By 2025, Ho Chi Minh City will see a range of new construction developments including residential, commercial, and mixed-use properties. These projects are designed to meet the growing demand for modern living spaces and to significantly enhance the city’s infrastructure.
Which luxury apartment projects in Saigon are gaining the most attention?
Projects like The Conic Boulevard and The Global City are among the luxury apartments that have garnered significant buyer interest. These high-end residential units, with their state-of-the-art amenities, reflect robust pricing trends and high demand in the premium segment.
What are the key locations for commercial properties for sale in Ho Chi Minh City?
Strategic locations that promise high returns on investment due to growing economic activities include District 1, District 3, and Phu Nhuan District. The expansion of both local and international businesses makes these areas particularly attractive for commercial real estate opportunities.
What are the major trends shaping the real estate market in Ho Chi Minh City?
Trends impacting the market include influences from global economic conditions, local market demands, and demographic shifts. These factors predict future developments, with significant opportunities seen in both the luxury and mid-market residential sectors.
What are the prominent property investment opportunities in Vietnam and Ho Chi Minh City?
Increasing FDI into Vietnam’s real estate sector, bolstered by political stability and economic growth, makes Ho Chi Minh City a hotspot for property investments. Key developers like Nam Long and CapitaLand are actively involved in the market.
What are the current trends in mid-market residential projects in Ho Chi Minh City?
Mid-market residential projects are gaining traction, targeting the growing middle-class families and first-time home buyers. Affordable pricing and favorable mortgage rates are key factors driving the popularity of these developments.
How will infrastructure developments boost the real estate market in Ho Chi Minh City?
Improved infrastructure, including better roads, bridges, and public transport systems, will enhance connectivity and fuel real estate growth. New infrastructure policies under the land law are set to increase property supply, significantly benefiting the market.
Which upcoming housing launches should we look out for in Ho Chi Minh City?
Upcoming residential projects like the Conic Boulevard and Orchard Hill are set to meet the increasing demand for modern, well-facilitated living spaces in and around Ho Chi Minh City. These projects are highly anticipated and are expected to redefine urban housing significantly.
Source Links
https://bambooroutes.com/blogs/news/ho-chi-minh-city-price-forecasts
https://vir.com.vn/real-estate-businesses-expand-interest-in-available-land-to-thrive-in-2025-117990.html
https://vil.asia/deep-dive-key-changes-in-vietnams-2024-real-estate-laws/
https://vir.com.vn/ho-chi-minh-city-revamps-land-status-117989.html
https://tuoitrenews.vn/news/business/20241109/vietnamese-real-estate-developers-unveil-a-series-of-condo-projects-yearend-promotional-programs/82835.html
https://theinvestor.vn/no-new-apartment-projects-launched-in-hcmc-for-3-consecutive-quarters-savills-d12621.html
https://saigonluxury.com.vn/en/
https://skyworldgroup.vn/luxury-apartments-in-ho-chi-minh-city/
https://saigonluxury.com.vn/en/home-page/
https://vietnam-real.estate/property/ho-chi-minh/
https://vietnam-real.estate/property/commercial/
https://vir.com.vn/fresh-hopes-for-real-estate-in-2025-119487.html
https://www.savills.com/research_articles/255800/215710-1
https://www.investasian.com/country-guides/invest-vietnam-property/
https://www.retalkasia.com/blog/stephen-wyatt-jll-vietnam/opportunities-abound-home-builders-ho-chi-minh-city/jll-vietnam/hcmc
https://vietnam-real.estate/property/ho-chi-minh/apartments/
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https://vir.com.vn/infrastructure-focus-sets-stage-for-real-estate-bonanza-110052.html
https://www.savills.com.vn/blog/article/219371/vietnam-eng/how-infrastructure-investment-drives-real-estate-growth-in-viet-nam.aspx
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https://www.linkedin.com/pulse/evolution-residential-real-estate-trends-shaping-ho-chi-lisa-cheuk-mqjzc
Reflecting the dynamic growth in Ho Chi Minh City, the landscape of property development is set to transform significantly by 2025. A slew of new housing and commercial projects aim to reshape urban living with innovative designs and sustainable solutions. The city’s active push to complete the construction of 2,025 social housing units by the end of 2026 and to achieve 35,000 social housing units by 2030 is a testament to this effort1.
Central districts such as District 1, Thao Dien, and Binh Thanh are leading the way in these developments. With economic growth, urbanization, and favorable governmental policies, property prices in these areas might increase by 5% to 10% in 20251. Infrastructure developments and growing foreign investment further boost the potential for these new homes in Vietnam.
Meanwhile, firms are keen to expand their land portfolios to prepare for the sector’s recovery. For instance, a new residential project spanning 215 hectares in Long An is underway, and companies are eyeing prime localities like Binh Phuoc and Dong Nai provinces for future expansions2.
Key Takeaways
Ho Chi Minh City aims to complete 35,000 social housing units by 20301.
Significant property developments are foreseen in District 1, Thao Dien, and Binh Thanh1.
Property prices might hike between 5% and 10% in 2025 due to strong economic growth and urbanization1.
Long An province sees a massive residential project covering 215 hectares2.
Expanding land portfolios is a key strategy for real estate firms in anticipation of future demand2.
Recent Legislation Impacting Property Development
New legal frameworks play a crucial role in shaping the real estate market in Vietnam, introducing transformative changes to property development laws in 2023 and beyond. Key industry figures such as Marc Townsend and Andy Han Suk Jung have highlighted these transformative new laws, which are anticipated to enhance transparency and market operations significantly, ultimately fostering a climate of optimism among developers3.
Recent legislative changes are particularly noteworthy. The REB Law 2023, for example, has capped the maximum deposit for real estate purchases at 5% of the selling price3. Additionally, bank guarantees for future purchases have been made optional, potentially leading to cost savings for buyers3. These steps are poised to streamline project approvals, ensuring a more transparent process and boosting investor confidence4.
Moreover, transitioning from one-time land rent payments to an annual land rent system is expected to reshape the business landscape, contributing to market confidence by enabling better financial planning for developers3. The replacement of fixed land prices with annual adjustments based on local land price tables will further align real estate values with market realities3. New legal frameworks also include a shift towards multi-purpose combined land use under the Land Law 2024, facilitating enhanced land-use efficiency3.
Eliminating the requirement for a land-use right certificate simplifies real estate project transfers, thereby encouraging more investment in the sector3. Distinguishing between “foreign-treated” and “domestic-treated” entities in the new laws aims to provide clarity and ease of operations for businesses with foreign investment capital3. This detailed legal restructuring underscores a commitment to making Vietnam’s real estate market more competitive and attractive to both local and international investors.
Nguyen Quoc Anh and Michael Kokalari have provided insights on how these recent legislative changes are anticipated to boost investor confidence by making processes more transparent. Specifically, the new regulation is expected to lead to a price increase of around 15-20% in the real estate market in Ho Chi Minh City4. Furthermore, the Can Gio coastal urban area project in Ho Chi Minh City is projected to attract nearly $9 billion in private investment across 2,870 hectares, reflecting positive market sentiment4.
Several international real estate investment and networking events were held in Ho Chi Minh City from October 7-114. Additionally, the first metro line in Ho Chi Minh City is conducting trial runs at full capacity from November 11 to 17, connecting Ben Thanh Market to Suoi Tien4. These developments indicate the profound impact of new legal frameworks on the real estate market, aiming to enhance market confidence and facilitate substantial investments.
New Construction Developments in 2025
Ho Chi Minh City is poised to witness remarkable growth in new construction developments in 2025, significantly impacting the Ho Chi Minh City real estate landscape. Exciting projects like the Conic Boulevard project have already launched, offering 1,000 apartments priced at VND37 million (US$1,450) per square meter, and impressively, over 100 units were purchased within just two days5. The Global City project by Masterise Homes in Thu Duc City is another notable development, featuring 616 apartments that will be available to buyers by 20265. Moreover, the TT AVIO apartment building project in Binh Duong Province will introduce 2,000 apartments with prices starting at VND1.23 billion (US$48,490)5. This shows the serious demand and planning within the region.
The 2025 construction projects are diversified, including residential, commercial, and mixed-use properties that cater to various demographics and market needs. For instance, the Orchard Hill project in Binh Duong Province saw 694 out of 774 apartments booked shortly after its launch5. Meanwhile, Nam Long Investment Corporation is making significant strides with their housing projects in Ho Chi Minh City and Long An Province, offering attractive incentives such as vouchers worth up to VND1.5 billion ($59,150) for buyers in the Izumi City project and discounts up to VND546 million ($21,500) for the Akari City project5.
Project
Location
Total Units
Price Range
Conic Boulevard
Ho Chi Minh City
1,000
VND37 million per sqm
The Global City
Thu Duc City
616
To be announced
TT AVIO Apartment Building
Binh Duong Province
2,000
Starting VND1.23 billion
Orchard Hill
Binh Duong Province
774
To be announced
Izumi City
Ho Chi Minh City
—
Up to VND1.5 billion in vouchers
Akari City
Ho Chi Minh City
—
Discounts up to VND546 million
According to the Ministry of Construction, an impressive 3,300 new apartments were completed in the third quarter of 2024 nationwide, with 21,300 units in 55 housing projects meeting the requirements for selling finished apartments — marking a 17% increase year on year5. This momentum is expected to continue into 2025, with more properties being launched to keep up with the surging demand for modern living spaces in Ho Chi Minh City real estate and beyond.
Despite the rising inventory levels, the market remains robust. The primary supply in Ho Chi Minh City reached 4,871 units in 2024, although it saw a decline of 13% quarter-on-quarter and 36% year-on-year6. Interestingly, Grade B apartments accounted for 60% of this supply, followed by Grade C at 38% and Grade A at a mere 2%6. In terms of transaction volume, it decreased by 16% quarter-on-quarter and 4% year-on-year, totaling 1,915 units6. Yet, the absorption rate for new supply was relatively high at 62%, indicating a sustained interest in 2025 construction projects6.
The future supply looks promising, with projections suggesting that suburban areas will play a crucial role, accounting for 59% of the 5,182 units expected by 20276. This trend reflects a strategic shift in new construction developments to address the evolving needs of the region’s growing population, ensuring a balanced expansion across the Ho Chi Minh City real estate market.
Luxury Apartments in Saigon
The demand for luxury apartments in Saigon has seen significant growth, driven by economic stability and promising FDI inflows. The Premium Residential Projects such as The Conic Boulevard and The Global City showcase sophisticated living spaces with state-of-the-art amenities, reflecting the high demand and robust pricing trends in high-end residential units7.
One of the standout developments is the Vinhomes Central Park, which spans an impressive 43.91 hectares, featuring over 10,000 apartments and more than 70 villas across three main subdivisions8. This massive project is tailored to provide a seamless blend of comfort and luxury for its residents. Another notable project is the Vinhomes Golden River, also known as Vinhomes Ba Son, which boasts a total area of 22.8 hectares with a low construction density of only 18%8, offering expansive green spaces amidst the urban landscape.
Masteri Thao Dien is another prime example of Premium Residential Projects, housing over 3,021 apartments within its five towers, which range from 39 to 45 floors8. Sunwah Pearl, comprising three high-rise apartment towers, features units ranging from 48 to 121m2, with stunning views of the Saigon River and Bitexco tower8.
In terms of villa spaces, the high-end market in Saigon offers a variety of options. For instance, luxury villas in District 2, including those in the Lucasta Khang Dien, range between 416m2 to 487m29. The area of high-class villas in Thao Dien goes up to 326.8m2 for sale9. With a consistent emphasis on opulence, these Premium Residential Projects cater to the discerning tastes of affluent buyers and investors.
According to Michael Piro, this rapid growth in the luxury segment is strongly supported by economic stability and enhanced desirability of high-end residential units7.
Interestingly, the price range for luxury villas in Saigon is quite diverse. For instance, high-class villas for sale in the Thao Dien area encompass 326.8m29. On the other hand, rental prices for luxury single-unit villas in Phu My Hung can reach up to 140 billion VND9, illustrating the premium value associated with these properties.
Apart from traditional luxury villas, there are also remarkable penthouse options available. At Diamond Island, a penthouse apartment spans 353m2 with an additional 209m2 outdoor yard9. Such offerings are well-suited for those seeking a blend of opulent indoor and outdoor living experiences.
For further exploration of Vietnam’s top luxury apartments, you can visit the comprehensive guide provided by Savills on luxury apartments in Ho Chi Minh8. This resource provides detailed insights into the unique features and design elements that distinguish each Premium Residential Project.
Commercial Properties for Sale
With the rapid modernization of Ho Chi Minh City and increasing foreign investments, there are abundant commercial real estate opportunities for investors. The economic contribution of Ho Chi Minh City to Vietnam’s GDP stands at almost 20%, bolstering the demand for commercial properties for sale10. As businesses continue to boom, the need for strategically located commercial real estate is more significant than ever.
One of the significant advantages of real estate investment in Vietnam is the promising growth projections. By 2028, the commercial real estate market in Vietnam is projected to grow to $33.83 billion from the current value of $16.52 billion, reflecting a compound annual growth rate (CAGR) of 15.42% over five years11. This dramatic growth showcases the favorable environment for investors keen on securing high returns.
Looking into specific properties, a mini hotel in Binh Chau is priced at $975,000, while a hotel in downtown Ho Chi Minh City is available for $17.6 million11. Moreover, a resort complex in Quang Nam can be purchased for $2.76 million, demonstrating varied options for potential investors11. Each property’s price reflects its strategic location, surroundings, and profitability potential.
For expats and foreigners, the real estate investment landscape in Vietnam is welcoming, with flexibility to navigate local regulations. Although there are restrictions on direct purchases of commercial properties, alternatives like forming joint ventures with Vietnamese shareholders or setting up local real estate companies are viable solutions11. This approach allows for capitalizing on the thriving commercial real estate market without facing direct ownership limitations.
The average price of property in the city center of Ho Chi Minh City stands at $4,606 per square meter, while outside the city center, it’s $2,048 per square meter10. Moreover, properties situated near the new metro system under construction are anticipated to see a price increase of around 20%10. These statistics highlight the myriad opportunities available in this rapidly growing market.
In conclusion, with the vast array of commercial properties for sale and the city’s dynamic economic activities, real estate investment Vietnam presents a lucrative opportunity. By leveraging strategic locations and understanding the market intricacies, investors can achieve significant returns on their investments.
Real Estate Market Trends
The real estate market trends in Ho Chi Minh City indicate a significant undersupply of condos and houses over the last 18 months, driving a surge in demand especially in the mid-market segment (60-80 sq.m units) as more first-time buyers enter the market12. Retail sales of goods and services in Ho Chi Minh City culminated in a remarkable US$63 billion in Q1/2024, reflecting the city’s robust economic vitality13.
In paralleling national trends, the primary apartment stock in Ho Chi Minh City fell by 35% quarter-on-quarter and 28% year-on-year13. However, sales of villas and townhouses have notably improved by 72% quarter-on-quarter and 143% year-on-year, demonstrating the dynamic shifts within market sectors13. The Ho Chi Minh City property market is also expected to see increased activity and investments due to enhanced market transparency and investor protection measures implemented in 202512.
The future real estate outlook highlights the anticipation of rapid price growth in the residential sector as foreign direct investments (FDI) rise, such as the 13% increase to US$6.2 billion in Vietnam in Q1/202413. Hotel occupancy in Ho Chi Minh City has also seen steady growth, averaging 66% in Q1/202413. This sector is further bolstered by the significant recovery in Vietnam’s tourism industry over the past two years, along with increased demand for high-end hotels particularly for business and meetings industry travel12.
Property Investment Opportunities in Vietnam
Vietnam continues to attract substantial Foreign Direct Investment (FDI) into its burgeoning real estate sector. According to Michael Piro, the nation’s political stability and robust economic growth have been pivotal in sustaining investor confidence14.
Vietnam is also gaining preference over China as companies look towards Southeast Asian markets like Cambodia, Thailand, and Vietnam for expansion. This trend underscores the strategic advantages of property investment in Vietnam14.
A key highlight is the liberalization of foreign ownership rules in 2015, making it easier for foreign investors to participate in the market. Foreigners are now permitted to purchase property in numerous Vietnamese towns, cities, and neighborhoods14.
Ho Chi Minh City emerges as a prime location, with District 1 renowned for high rent and property costs, while District 2 offers a high standard of living and gated communities, and District 3 is popular among expats and upper-class locals14.
The city contributes nearly 20% to Vietnam’s GDP and hosts 19 districts, each offering unique investment potential10.
Real estate values are anticipated to surge by approximately 20% with the completion of a new metro system, further enhancing the appeal of property investment in the region10.
With a continuing influx of both local and international developers like Nam Long and CapitaLand, the outlook for both commercial and residential property investments remains promising.
Mid-Market Residential Projects
Mid-market residential projects are becoming increasingly popular in Ho Chi Minh City as they offer a balance of affordability and quality, targeting middle-class families and first-time homebuyers. Currently, the city boasts 80,000 apartments, with 42% being mid-end, which indicates a strong market presence for this segment15.
The burgeoning demand for affordable housing in Vietnam has been influenced by favorable mortgage rates and economic stability. Foreigners can purchase up to 30% of the units in a single residential complex, making Vietnam an attractive destination for real estate development16. Additionally, foreigners have access to mortgage loans, with banks offering 70–80% financing, further driving the trend16.
Projected annual increases in apartment prices of 5-7%, especially for mid-range housing, highlight the investment potential in this sector15. This trend is further boosted by an expected 74% increase in the supply of all apartments over the next three years, which will cater to the rising middle class in Southeast Asia15.
Mid-market residential projects in Ho Chi Minh City generally offer a range of amenities that appeal to middle-income families. The average price of apartments here has seen a significant rise, with the end-users willing to invest in quality housing that is still within their financial reach. The average price of apartments as of mid-2023 was 125 million dong per square meter ($5,400), indicating a 44% increase from the previous year16.
These projects are strategically located in areas with high growth potential, such as Nam Rach Chiec near the Saigon River and districts like Global City and Saigon Quays, further enhancing their appeal and investment value16. Below is a comparative overview of key aspects affecting mid-market residential projects:
Aspect
Details
Price Range
₫ 250 million – ₫ 15,681,159,447
Average Listing Price (Condos)
₫ 15,868,155,530
Popular Areas
Nam Rach Chiec, Global City, Saigon Quays
Annual Price Increase
5-7%
Foreign Ownership Limits
30% of units in a building or 250 houses in an administrative ward
The increasing middle-class population and stable economic conditions continue to fuel the demand for mid-market residential projects, making them a cornerstone of affordable housing in Vietnam and a promising avenue for real estate development1715.
Infrastructure Developments Boosting Real Estate
Significant infrastructure developments are reshaping Ho Chi Minh City (HCMC), leading to a notable impact on property supply. Enhancements in transportation systems, such as the upcoming completion of HCMC’s Metro Line 1—which includes three underground and eleven elevated stations—are especially influential18. This line is anticipated to boost nearby property values substantially, with real estate prices along Metro Line 1 having risen by 50-150% over the past eight years19.
In addition, HCMC aims to develop eight more metro lines, one tramway, and two monorail lines by 2030. Improved connectivity from these projects is central to increasing the region’s real estate supply, as better transport links make areas more attractive for residential and commercial purposes18. HCMC’s plan aligns with the city’s broader goal of establishing a sustainable urban environment while attracting more foreign investment for various industries18.
The newly constructed Long Thanh International Airport, set to handle 100 million passengers annually by 2035, is another significant infrastructure project driving real estate growth. Demand for residential properties in surrounding areas is expected to rise due to the economic activity generated by the airport20. Similarly, the North-South Expressway is attracting high-value industries, notably in electronics and electric vehicles, further fueling the real estate market20.
Further fortifying the impact of new infrastructure on property supply, the Vietnamese government has allotted VND 657 trillion for public investments earmarked for infrastructure development in 202420. Lucas Loh remarks that these funds, complemented by policies in the land law to enhance connectivity via roads, bridges, and public transport systems, will support the ongoing surge in the real estate sector20.
Notable projects like the Marina Central Tower directly connected to Metro Line No.1 have already become prime locations for businesses and retailers, illustrating the symbiotic relationship between infrastructure and real estate value20. Furthermore, areas within 1-3 kilometers of a metro station typically experience a 15% increase in property prices, while those 3-5 kilometers away see a 5% rise19.
Property Developments Ho Chi Minh City
Ho Chi Minh City, as an economic powerhouse contributing to approximately 20% of Vietnam’s GDP, is seeing a significant surge in interest for modern living spaces due to its expanding infrastructure and appealing lifestyle options10. New residential projects in the pipeline are catering to this demand, with developments like the Conic Boulevard and Orchard Hill providing a blend of luxury and convenience21.
One of the upcoming housing launches that stands out is Vinhomes’ condo projects such as Vinhomes Central Park, where units typically cost around $300,00022. Meanwhile, mid-market residential projects by Dat Xanh, such as Opal Riverside condos, average around $70,000, making these homes accessible to a broader range of buyers22.
Another noteworthy development is Novaland’s high-end projects like Sun Avenue and Lakeview City, with starting prices upwards of $250,000, indicative of the demand for sophisticated and fully equipped living spaces in the city22. These projects are part of the planned new residential projects in the pipeline that are set to redefine urban living standards.
Upcoming housing launches also include Panomax River Villa with 7 units for sale, and Holm Villas offering 55 units for sale and 10 units for rent, catering to diverse preferences and budgets21. On the more affordable side, Nam Long’s Valora Fuji condos are priced about $250,000, showcasing the variety within property developments in Ho Chi Minh City22.
To get a comprehensive view of these upcoming housing launches, exploring the different offerings from various districts like District 1, District 2, District 5, and District 7 can be very enlightening. With property prices averaging around $4,606 per square meter in the city center, these new residential projects are poised to attract keen investors and new residents alike10.
Project
Units for Sale
Units for Rent
Average Price
Conic Boulevard
N/A
N/A
$250,000+
Orchard Hill
N/A
N/A
$300,000+
Panomax River Villa
7
0
N/A
Holm Villas
55
10
N/A
Vinhomes Central Park
N/A
N/A
$300,000
Opal Riverside
N/A
N/A
$70,000
Valora Fuji
12
0
$250,000
Conclusion
The future of real estate in Vietnam, particularly in Ho Chi Minh City, appears exceptionally promising. The city’s property market has shown robust growth, driven by its growing population, which reached 8.7 million by the end of 2018, alongside an average population density exceeding 4,500 people per square kilometer23. This increased demand has resulted in approximately 45% of the total new supply in the residential market in 2023 comprising mixed-use developments24. Consequently, the city offers lucrative investment opportunities for both local and international investors.
Key factors contributing to the city’s property development include the vast economic activities occurring in the Southern Key Economic Region, which attracted 50% of the Foreign Direct Investment (FDI) capital in Vietnam in 201823. The city’s economic potential is further supported by the government’s strategic plans to transform Ho Chi Minh City into a multi-core economic zone by 2030, focusing on infrastructure and specific industries23. Furthermore, green building certifications increased by 20% in 2023 compared to the previous year24, underscoring a heightened focus on sustainability, an essential consideration for modern investors and developers.
From a residential perspective, the market aligns well with contemporary needs, as 76% of respondents in a CBRE Vietnam survey consider lifestyle amenities and wellness facilities crucial when selecting a property in Ho Chi Minh City24. The trend towards digitalization is also influencing property decisions, with 68% of property seekers in Vietnam utilizing online platforms and mobile apps to search for properties24. Investors should keep these insights in mind to make informed, strategic decisions, and capitalize on these numerous opportunities. For an in-depth understanding of these trends, the full analysis can be explored here.
In summary, Ho Chi Minh City’s real estate market continues to thrive on a conglomerate of factors, including favorable economic conditions, increased demand for modern housing, and strategic urban planning. These aspects highlight the immense potential of the city’s property sector, making it an attractive destination for real estate investments and ensuring that the future of real estate in Vietnam remains bright and full of promise.
FAQ
What are the most notable property developments in Ho Chi Minh City slated for completion by 2025?
The landscape of property development in Ho Chi Minh City is set to be transformed significantly by 2025, with notable projects such as the Conic Boulevard, The Global City, and the Orchard Hill projects leading the way. These initiatives focus on innovative designs and sustainable developments that aim to redefine urban living in the city.
How are new legal frameworks expected to impact property development in Vietnam?
Recent legislative changes are set to enhance market transparency and operations, making it easier for developers to get project approvals and safeguarding investors. Key industry figures such as Marc Townsend and Andy Han Suk Jung highlight how these transformative new laws are infusing optimism in the market.
What types of new construction developments are expected in Ho Chi Minh City by 2025?
By 2025, Ho Chi Minh City will see a range of new construction developments including residential, commercial, and mixed-use properties. These projects are designed to meet the growing demand for modern living spaces and to significantly enhance the city’s infrastructure.
Which luxury apartment projects in Saigon are gaining the most attention?
Projects like The Conic Boulevard and The Global City are among the luxury apartments that have garnered significant buyer interest. These high-end residential units, with their state-of-the-art amenities, reflect robust pricing trends and high demand in the premium segment.
What are the key locations for commercial properties for sale in Ho Chi Minh City?
Strategic locations that promise high returns on investment due to growing economic activities include District 1, District 3, and Phu Nhuan District. The expansion of both local and international businesses makes these areas particularly attractive for commercial real estate opportunities.
What are the major trends shaping the real estate market in Ho Chi Minh City?
Trends impacting the market include influences from global economic conditions, local market demands, and demographic shifts. These factors predict future developments, with significant opportunities seen in both the luxury and mid-market residential sectors.
What are the prominent property investment opportunities in Vietnam and Ho Chi Minh City?
Increasing FDI into Vietnam’s real estate sector, bolstered by political stability and economic growth, makes Ho Chi Minh City a hotspot for property investments. Key developers like Nam Long and CapitaLand are actively involved in the market.
What are the current trends in mid-market residential projects in Ho Chi Minh City?
Mid-market residential projects are gaining traction, targeting the growing middle-class families and first-time home buyers. Affordable pricing and favorable mortgage rates are key factors driving the popularity of these developments.
How will infrastructure developments boost the real estate market in Ho Chi Minh City?
Improved infrastructure, including better roads, bridges, and public transport systems, will enhance connectivity and fuel real estate growth. New infrastructure policies under the land law are set to increase property supply, significantly benefiting the market.
Which upcoming housing launches should we look out for in Ho Chi Minh City?
Upcoming residential projects like the Conic Boulevard and Orchard Hill are set to meet the increasing demand for modern, well-facilitated living spaces in and around Ho Chi Minh City. These projects are highly anticipated and are expected to redefine urban housing significantly.
