5 years ago, the price of Hanoi apartment for lease was higher than that of Ho Chi Minh City. But in the period 2014-2019, when the Hanoi market slowed down, the price of apartments in Ho Chi Minh City continued to increase sharply, now is 35% higher.
Previously, the Hanoi apartment market always had higher price ground than Ho Chi Minh City. However, this price difference was increasingly shortened and “leveled” in 2014.
The milestone marking the price reversal is the period of the real estate market crisis in 2009-2013. When the real estate bubble burst, Hanoi apartment prices continuously dropped without dropping. Ho Chi Minh City apartment market has developed more stably, prices have decreased at this stage but the decrease is lower than in Hanoi.
This discount cycle only ends when the real estate market enters a recovery phase in 2014. From this point, the evolution of the apartment market gradually improved, however, the growth rate at 2 Big market is Hanoi and Ho Chi Minh City are not the same.
In 2014 alone, the price of apartments over the quarters reversed to increase, at an average of 2% in Hanoi and 6% in Ho Chi Minh City. From March 2015 until now, Hanoi apartment market has kept the price relatively stable. According to the survey, the selling price of apartments in Hanoi market did not change significantly after a long time, the total increase was only about 16% within 5 years from the first quarter. / 2014 to the first quarter of 2019. Based on the annual price increase amplitude, the highest price increase is only 5% (from Q1 / 2015 to Q1 / 2016), the lowest is 0.5% (from Q1 / 2016 to Q1 / 2017). . Currently, the average price is about VND 24.16 million / m2.
Notably, the HCM City apartment market has experienced a spectacular breakthrough in price over the past 5 years with a price increase more than 3 times higher than the Hanoi market. Specifically, as of the first quarter of 2019, the apartment selling price has increased by 53% compared to the first quarter of 2014, currently about VND 32.7 million / m2. The amplitude of annual increase in prices in Ho Chi Minh City market increases gradually year by year, the highest reaches 14.5%.
Thus, if in the past, real estate prices in Ho Chi Minh City were always lower than the Hanoi market, this is now over and the price gap is widening further. Specifically, in 3 years of 2017, 2018, 2019, Ho Chi Minh City apartment prices are 13%, 23% and 35% higher than Hanoi respectively.
