Sign up | Log in



Home  >>   Daily News  >>   Vietnam News  >>Property  >> VN property market worth $21b
NEW UPDATES Asean Affairs  22  August 2014  

VN property market worth $21b

A study by Nomura Research Institute (NRI) of Japan estimated the value of Viet Nam's property market at US$21 billion, a far cry from that of some of its neighbours.

The study provided estimates for the value of the property markets of Japan ($2.67 trillion), Singapore ($241 billion), Indonesia ($189 billion) and Malaysia ($84 billion), along with those of Thailand ($89 billion) and the Philippines ($48 billion).

Can Van Luc, Deputy General Director of the Bank for Investment and Development of Viet Nam (BIDV), explained that the country's real estate market was established and developed on a small scale in the past 10 years, in comparison with those of other countries in the region.

However, exactly 70 per cent of capital invested in the sector came from bank loans, and 65 per cent of collateral was also in the form of property.

As of December 31, 2013, real estate loans amounted to around VND262 trillion ($12.5 billion), accounting for 8 per cent of total outstanding loans. In addition, property lending in Viet Nam was also 2.5 times higher than the international standard.

Luc said foreign direct investment (FDI) in the sector has recovered following several years of sharp decline.

According to the Ministry of Planning and Investment's Foreign Investment Agency, total registered FDI capital in the sector in the first seven months of the year reached $1.13 billion, representing a 65 per cent year-on-year increase.

The market is finding it difficult to mobilise capital from people as real estate prices in Viet Nam remain high, say the experts.

Dang Hung Vo, former Deputy Minister of Natural Resources and Environment, said one of paradoxes of the market was that the average price of houses was 25 times higher than the average annual income of labourers, while that of other countries was merely two to four times higher.

Vo said that if workers saved 25 per cent of their income, it would take 100 years to buy a house. For social housing projects, the time would be 10 years.

He added that an oversupply of high-end apartments has created a high inventory and bad debts, alongside a lack of low-cost housing projects.

However, Sigrid Zialcita, Managing Director, Research Services for Cushman & Wakefield in the Asia Pacific, said the number of middle-income families in the country has doubled in the past five years, and this development could lead to an increase in the sale of houses.

She added that Viet Nam's economy was developing rapidly and was poised to attract multinational companies, thus contributing to the growth of the country's office market.

Reach Southeast Asia!
10- Nations, 560- Million Consumers
And $1 -Trillion Market
We are the Voice of Southeast Asia Media Kit
The only Media Dedicated to Southeast Asia Advertising Rates for Magazine
Online Ad Rates

Comment on this Article. Send them to

Letters that do not contain full contact information cannot be published.
Letters become the property of AseanAffairs and may be republished in any format.
They typically run 150 words or less and may be edited
submit your comment in the box below

Today's  Stories                            August 22, 2014 Subsribe Now !
• Thai alternative bourse's companies post 5.6 pct sales growth in Q2 Subcribe: Asean Affairs Global Magazine
• ASEAN Business Club to convene leaders for AEC
• Malaysians should not fear AEC 2015, says Mustapa
Research Reports
on Thailand 2007-2008

• Textiles and Garments Industry
• Coffee industry
• Leather and footwear industry
• Shrimp industry

• Thai economic growth may be lower
• VN property market worth $21b
Asean Analysis                    August 20,, 2014

• Asean Analysis August 20, 2014
Using mobile money to increase financial inclusion in RI
Advertise Your Brand

Asean Stock Watch    August  21, 2014
• Asean Stock Watch-August 21, 2014
The Biweekly Update
• The Biweekly Update  August 8, 2014

ASEAN NEWS UPDATES      Updated: 04 January 2011

 • Women Shariah scholars see gender gap closing
• Bank Indonesia may hold key rate as inflation hits 7 percent
• Bursa Malaysia to revamp business rules
• Private property prices hit new high in Singapore • Bangkok moves on mass transport
• Thai retailers are upbeat
• Rice exports likely to decline • Vietnamese PM projects 10-year socioeconomic plan


This year in Thailand-what next?

AseanAffairs   04 January 2011
By David Swartzentruber      

It is commonplace in journalism to write two types of articles at the transition point between the year that has passed and the New Year. As this writer qualifies as an “old hand” in observing Thailand with a track record dating back 14 years, it is time take a shot at what may unfold in Thailand in 2011.

The first issue that can’t be answered is the health of Thailand’s beloved King Bhumibol, who is now 83 years old. He is the world's longest reigning monarch, but elaborate birthday celebrations in December failed to mask concern over his health. More






1.  Verifier

1. Verifier

For security purposes, we ask that you enter the security code that is shown in the graphic. Please enter the code exactly as it is shown in the graphic.
Your Code
Enter Code

Home | About Us | Contact Us | Special Feature | Features | News | Magazine | Events | TV | Press Release | Advertise With us

Our Products | Work with us | Terms of Use | Site Map | Privacy Policy | Refund Policy | Shipping/Delivery Policy | DISCLAIMER |

Version 5.0
Copyright © 2007-2015 TIME INTERNATIONAL MANAGEMENT ENTERPRISES CO., LTD. All rights reserved.
Bangkok, Thailand