Vibrant Q1 for HCM City’s apartment segment
Ho Chi Minh City’s apartment segment witnessed high absorption rate in the first quarter of the year despite the long Tet holiday and abundant supply, the property service provider CBRE said on April 3.
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A total of 9,260 units were sold during the January-March period, up 4% from the previous quarter and surging 26% against the same time last year. Of the total, mid-end apartments accounted for 65%.
In terms of pricing, the average sales price slightly fell 1.5% quarter-to-quarter while declining 2.6% year-on-year to US$1,515 per square metre in the primary market. The drop was attributed to the increase in mid-end apartment supplies in the period.
The city’s real estate saw the launch of 9,503 apartments, up 11% from the previous quarter and 79% from the same period last year. Mid-end apartments made up 71% of the total units offered. The property market is shifting to meet demands of the buyers and create foundation for a sustainable development, according to the company.
CBRE Managing Director Dang Phuong Hang noted that the investors started to roll out their property market in the first quarter of 2018 after studying the market in 2017. During the months, they focused on the introduction of new utilities and safety standards for the residents.
The retail property segment recorded highest occupancy levels ever. Vacancy rate in suburb areas remained unchanged with 6.9%, down 6.1 compared to the same time last year.
Total supply as of the end of the first quarter was 880,940 square metres net leasable area (NLA).
Rental price of CBD areas increased 5.4% to US$121.6 per square metre per month while that of non-CBD areas fell 1.1% to US$36.4 per square metre per month.
