An older apartment complex in Phú Mỹ Hưng urban area in HCM City’s District 7 with a two-bedroom apartment priced at about VNĐ3 billion. — VNA/VNS Photo Bồ Xuân Hiệp

HCM CITY — Apartment prices in Hà Nội and HCM City, the two largest cities in Việt Nam, continue to rise due to high demand and limited supply. 

A recent report by the Ministry of Construction revealed that the primary market in both cities has seen significant increases in price, with the most sought-after apartments priced between VNĐ2-4 billion.

Hà Nội has witnessed an average price increase of nearly 7 per cent over the previous quarter and 14 per cent from a year ago, reaching nearly VNĐ51 million per square metre. 

The secondary market has also experienced price increases, with almost all districts reporting an increase compared to the previous quarter. 

HCM City has also seen a 3 per cent rise in secondary market prices compared to the previous quarter, reaching VNĐ45 million per square metre.

Several market researchers have also found that apartment prices have continued to rise despite improvements in supply. 

A Savills report showed that primary apartment prices in Hà Nội have increased for 19 consecutive quarters, rising by 77 per cent in the third quarter compared to the first quarter of 2019. 

In the third quarter, the average apartment price in Hà Nội reached VNĐ52 million per square metre, up 13 per cent year-on-year.

Both cities have seen improvements in supply compared to the previous quarter, but it still falls short of meeting the high demand, said the ministry.

The ministry said it would review and resolve real estate projects facing obstacles. 

It will also simplify procedures for project planning, evaluation, and approval, reducing the required time for these processes. — VNS