High-end apartments thrive as infrastructure improves, while landed property market slows down

• In Q4 2024, the high-end apartment market recorded 559 successful transactions, mainly in the East. Infrastructure improvements and HCMC’s first Metro line operations drove market demand, as evidenced by the high absorption rates in Eaton Park and The OpusK projects.
• In Q4, landed property sales dropped 50% q-o-q to 58 units, due to high prices (over VND 1 million per unit) and buyer caution. L’Arcade Phase 1 in District 7 sold out, bucking the trend. Overall, 2,250 high-end apartments and 253 landed properties were sold in 2024.

East HCMC dominates new high-end apartment launches, while landed property supply remains limited

• Eaton Park Phase 2 added 475 high-end apartments to the primary supply. Other eastern projects also recorded significant soft-launch activities. Developers accelerated year-end launches to capitalise on expected price increases from major infrastructure projects.
• In contrast, the landed property market was subdued, with only 19 units from L’Arcade added to the primary supply. Most pre-launch projects didn’t meet sales contract conditions. Additionally, the scarce supply was due to developers’ caution amid regulatory changes.

High-end apartments and landed properties show resilience as prices climb, reflecting strong investor confidence

• High-end apartment primary prices rose 4.0% q-o-q but fell 1.7% y-o-y to VND 5,000 per sqm. The majority of primary projects remained stable, with year-end incentives. Secondary prices rose 1.0% q-o-q and 10.7% y-o-y, mirroring the price benchmark set by new projects.
• Landed property primary prices rose 9.4% q-o-q and 11.1% y-o-y to VND 16,900 per sqm, while the secondary market grew 0.4% q-o-q and 2.6% y-o-y. Steady price growth in both markets showed strong investor confidence in this property type.

Outlook: HCMC’s property market set for revival with new supply and infrastructure projects boosting investor optimism

• In 2025, HCMC expects 6,500-7,000 new high-end apartments and 2,000 RBL units to launch. Major infrastructure completions and HCMC’s efforts to resolve legal hurdles for 22 key projects are expected to stimulate the market in the coming year.
• While HCMC’s market is dominated by high-end housing and lacks affordable options, more lower-priced projects are expected in outer districts in 2025. Attractive sales policies that stimulate buyer demand are likely to continue in the coming period.