The prime minister has asked several ministries, agencies and local governments to report on the risk of the domestic real estate market being dominated by foreign entities, given the recent influx of foreign investment into the sector.
Real estate was the most attractive sector for foreign direct investment (FDI) in Ho Chi Minh City in the first four months of the year with 164.58 million USD, or 46.8 percent of total FDI.
Saigon Telecommunication and Technologies Corporation (SaigonTel), a HCMC-based telecom service provider, has announced that it will boost investment in the real estate sector, including in an upcoming luxury residential project in HCMC’s District 4.
The property sector will continue to be a fertile ground for foreign investors, largely due to the country’s rising demands for housing as well as deeper global integration with a line-up of bilateral and multi-lateral new-generation trade pacts.
One year after winning the coveted title of Best Developer (Vietnam) at the PropertyGuru Vietnam Property Awards, including 10 golden trophies and commendations, CapitaLand Vietnam has witnessed a significant transformation in their business.
Overseas remittances will continue adding a vital impetus to the economy, including the property sector in 2018, according to Le Hoang Chau, Chairman of the Ho Chi Minh City Real Estate Association.
The real estate market is busy with mergers and acquisitions (M&A), which are forecast to touch a record high this year, driven by the sector’s steady recovery.
Foreign direct investment flows into Vietnam’s real estate sector hit US$345.5 million in February, accounting for 10.1 percent in total FDI poured into the country, increasing by 12 times year-on-year.
Creed Group, a Japanese investment fund, signed a contract on March 6 with Phat Dat Real Estate Development JSC (PDR) and An Gia Investment company to implement a property project worth 500 million USD in Ho Chi Minh City.
Investment inflows into the property sector has surged, especially credit from banks, said Nguyen Tran Nam, former deputy minister of Construction and chairman of the Vietnam Real Estate Association (VREA).