Looking for bright spots in real estate at the end of the year

Confidence in the market recovers

The real estate market is expected to have positive movements in the fourth quarter of 2023 and the first half of 2024. From North to South, many investors have prepared to launch products for sale in the fourth quarter of 2023. Positive signals from the Government's regulatory policies on the real estate market have helped customers search and listen more about the market.

There are two bright spots in the real estate market at the end of 2023 that analysts have assessed. First, interest rates have cooled down. Since the beginning of the year, the State Bank has adjusted the operating interest rate four times to support economic growth recovery. When bank interest rates decrease, people can access loans at better and more reasonable interest rates for investment.

Second, investors are promoting preferential policies and promotions to stimulate market demand, so market purchasing power is expected to increase in the coming time.

The real estate market is expected to recover in the last months of 2023 thanks to policy factors and the motivation to disburse public investment capital. The government is speeding up the completion of relevant bills by October 2023, as well as lowering lending interest rates and disbursing projects that meet legal conditions.

The recovery and prosperity of the real estate market became more evident during this period when policies to remove obstacles for the bond market and real estate market began to take effect.

Regarding removing legal bottlenecks, by the end of 2023, the revised Land Law, Housing Law, and Real Estate Business Law are expected to be passed, along with the Government's efforts to remove obstacles and difficulties in the real estate market. By the end of 2023, the real estate market will have positive changes.

Where to invest, which segment?

Analysts say this is the time for medium and long-term investors to choose good assets to buy. The real estate market is still a stable investment channel in the long term. Real estate prices are expected to increase in the future. The growth momentum of Vietnam's real estate prices comes from 4 factors.

Limited supply, increasing demand; Vietnam's infrastructure is strongly developed; the State's land management policy is increasingly improved and economic growth rate is good.

The real estate market is said to have bottomed out and investors are probing the bottom to seize opportunities. Starting from the fourth quarter of 2023, the market will warm up again with the search of many investors. At this time, where to invest, which segment has good growth and safe investment is a question that many investors are interested in and discuss.

Land is forecasted to be a potential segment in the second half of 2023, especially land products near residential areas and industrial parks. In particular, residential land in provincial markets with growth opportunities is of interest to investors. For example, Quang Ninh, an important link connecting the golden triangle of Hanoi - Hai Phong - Quang Ninh, is developing strongly with modern infrastructure, highways connecting easily with the capital Hanoi and neighboring localities, creating momentum for the vibrant development of the real estate market in the mining area.

In recent years, Dong Trieu has attracted attention as a new bright spot in Quang Ninh when it is included in the planning to become a city, becoming one of the three new cities of Quang Ninh before 2030. The boost in infrastructure in Dong Trieu, the development of industrial parks, young population and the motivation to prepare to become a city attract investors.

Mr. Nguyen Van Tuan, an investor in Dong Trieu market, Quang Ninh, said that after a period of accumulation, investors are ready to put money down. The land and residential land segment is still quite attractively priced at under 10 million VND/m2, attracting many people's attention.

Investors are now more proactive in researching the market. Investors are also preparing plans to launch products with breakthrough sales campaigns to support buyers. Many business leaders have directly contacted customers and participated in project introductions to create trust in the market.