{"id":15944,"date":"2016-06-09T08:00:42","date_gmt":"2016-06-09T01:00:42","guid":{"rendered":"http:\/\/www.siamlandbank.com\/propertynews\/property-news\/with-usd2-32-billion-in-fdi-vietnamese-real-estate-paints-a-rosy-picture\/"},"modified":"2016-06-09T11:12:23","modified_gmt":"2016-06-09T04:12:23","slug":"with-usd2-32-billion-in-fdi-vietnamese-real-estate-paints-a-rosy-picture","status":"publish","type":"post","link":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/with-usd2-32-billion-in-fdi-vietnamese-real-estate-paints-a-rosy-picture\/","title":{"rendered":"With USD2.32 billion in FDI, Vietnamese real estate paints a rosy picture"},"content":{"rendered":"


\nAfter a few years in the doldrums, Vietnam\u2019s property sector is\u00a0rising phoenix-like out of a deep valley
\nDanang continues to tempt investors due to its high quality of life and fine selection of properties
\nThis is Part Two\u00a0of\u00a0Property Report\u2019s three-part series on the rebirth of Vietnam\u2019s property market. Read the Part One here.
\nBy Thomas Maresca
\nVietnamese real estate has been a strong draw recently for foreign investors, attracting USD2.32 billion, ranking third among sectors that attract foreign direct investment (FDI). Credit growth has also been on the rise, up 17.2 percent in 2015, while bank lending rose 18 percent in the past year.
\nIt is a pretty rosy picture, and further evidence that the Vietnamese real estate market is rising phoenix-like out of a deep valley. A rapidly inflated bubble from 2005-07 was punctured by the global economic downturn in 2008, a massive credit crunch and huge inflation.
\n\u201cThe key aspect is that we are coming out of the bottom of our real estate market cycle,\u201d says Neil MacGregor, managing director of Savills Vietnam. \u201cWe are in a recovery phase. So it\u2019s an exciting period.\u201d
\nAlong with an influx of FDI and foreigners coming to work and live in the country, Vietnam\u2019s growing middle class is also driving demand. Vietnamese have traditionally focused on gold, dollars, and land as ways of stashing money. But while the last boom was driven by speculation mania, buying with cash and flipping properties, this cycle is seeing a much stronger proportion of owner-occupiers or buy-to-lease owners.
\nMore: Japanese firms take bigger slice of Vietnam property pie
\n\u201cOn some projects up to 50 percent of transactions now involve some form of mortgage,\u201d adds MacGregor. \u201cThe fact that we\u2019re seeing more mortgages is a result of there being more owner-occupier purchases.\u201d
\nMany of the current and future developments are clearly intended to appeal not just as investment opportunities, but as places to live, offering lifestyle amenities and facilities such as healthcare and services for the aged. Both Ho Chi Minh City and Hanoi are cities that lack public green spaces and recreation opportunities, and in many ways the residential market is vying to fill in that gap.
\n\u201cHomebuyers are becoming more discerning and are on the lookout for quality properties with strong value offerings in prime and upcoming locations developed by reputable developers,\u201d says Linson Lim, president of Keppel Land Vietnam.
\nPipelined projects with strong lifestyle components include Saigon Sports City, an activity focused project in Ho Chi Minh\u2019s District 2 developed by Keppel Land, Vinhomes Golden River, a full mixed-use development with a school system, hospital, supermarkets and boutiques located on the Saigon River and, in Hanoi, Green Pearl, another sophisticated green oasis.
\nOutside of Vietnam\u2019s two main cities, a major production boom is also happening on second, or holiday homes, with resort-style residences springing up in locations such as Danang, Hoi An, Nha Trang, Cam Ranh, Ho Tram and Phu Quoc.
\nNha Trang (Image credit: Vietnam-Travel.org)
\nSecond Home Sweet Home
\nResidential property growth isn\u2019t just concentrated in Vietnam\u2019s biggest cities. The second-home market has been expanding rapidly as well, in many cases driven in conjunction with resort development. Beachfront and coastal areas are showing large growth in sales, especially in the very recent months.
\nAccording to CBRE Vietnam, Nha Trang has seen sales of 1,387 units in Q1 2016, up from 481 units in all of 2015. Danang\u2019s second home market has boomed to 1,335 units sold in Q1 2016, up from 185 last year. Phu Quoc has gone from a sleepy tropical island to massive development destination, with massive resort, safari, and hotel projects transforming the landscape.
\nSome high-end mixed-use residential properties around Vietnam include Naman Residences between Hoi An and Danang, The Point in Danang, The Residences Mia Nha Trang and The Hamptons Ho Tram.
\nCome back for the conclusion tomorrow: Part Three
\n
\nSource : property-report.com
\nRead more…With USD2.32 billion in FDI, Vietnamese real estate paints a rosy picture<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

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Real\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":18236,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/exciting-growth-for-the-vietnam-property-market\/","url_meta":{"origin":15944,"position":2},"title":"Exciting growth for the Vietnam property market","date":"July 1, 2016","format":false,"excerpt":"\r All signs point to a growing year ahead There\u2019s plenty to smile about in Vietnam. Image Credit: Davidlohr Bueso (Flickr) Despite the devastating weather effects of climate change and China\u2019s decelerating economy, Vietnam\u2019s growth in the property sector appears to be unstoppable this year. The Vietnam Real Estate Association\u2026","rel":"","context":"In "Property News"","img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":14356,"url":"https:\/\/www.siamlandbank.com\/propertynews\/property-news\/japanese-firms-take-bigger-slice-of-vietnam-property-pie\/","url_meta":{"origin":15944,"position":3},"title":"Japanese firms take bigger slice of Vietnam property pie","date":"May 25, 2016","format":false,"excerpt":"\r Vietnam\u2019s star is rising in the Land of the Rising Sun Image credit: Vietnamplus.vn Lured by an upwardly mobile and young populace, investors from Japan are making inroads into the Vietnamese real estate market. 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