In the last quarter of 2011, the volume of offered
condominium projects surged 5% quarter on quarter while the secondary offering
price declined in all areas of the capital city, the Saigon Economic Times
reported, citing Savills Vietnam’s latest report.
The report was announced on
January 6.
Accordingly, in Q1, Hanoi had
31 projects being offered with 10,100 apartments. However, the absorption ratio
of the whole market reached only 12%, down 20 percentage points against the
previous quarter.
Do Thu Hang, a representative
of Savills consulting firm, said that the average secondary offering price went
down in all districts due to low liquidity. She noted that the supply of
condominium mainly is those who have real demand. Their demand focuses on
medium and low-price apartment market segment.
“Condos at less than 3 billion
dong each are suitable to people’s affordability”, she added. Savills reported
that condo Grade A reached the lowest selling rate of only 2% while condo Grade
C gained the highest selling rate in Q4, around 20%.
During the forth quarter of
2011, the price of villas and associated houses in Hanoi also slumped and the
price reduction trend took place in all areas. Hanoi’s secondary market had 117
projects being offered (under the trading contracts of capital contribution
deals) with total 38,600 villas and associated houses. Yet, there were small
number of transactions in the segment.
Hang explained that the supply
of villas and associated houses was affected by high bank loan rates as well as
credit tightening policies that are expected to be continued in 2012 whereas
the price of villas and associated houses calculated based on each unit, each
square meter is very high.
Average villa price ranged
between 20.7 million dong and 203 million dong per sqm or 6.2 billion dong and
47 billion dong per unit in Q4. Such high prices made capital mobilization
harder.
Most projects which had been
offered earlier 2011 were adjusted down in prices so as to be suitable to the
current market movement.
VietBiz24
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