Apartment prices ease in Hanoi, Ho Chi Minh City but remain high

However, housing and land prices in Hanoi and Ho Chi Minh City remained high, while market liquidity declined and inventories continued to rise, according to the Ministry of Construction.

Secondary apartment prices fall

Vietnam’s secondary apartment market showed a clearer downward adjustment in the second quarter of 2026, with prices nationwide falling from the first quarter, according to the Ministry of Construction.

Despite the decline, apartment prices in major cities remained high.

In Hanoi, secondary apartments averaged around VND123 million (US$4,710) per square meter.

Prices ranged from VND133-140 million ($5,090-5,360) per square meter at Hateco Laroma, VND97-103 million ($3,710-3,940) at Bamboo Airways Tower, and VND80-87 million ($3,060-3,330) at Sunshine Garden.

In Ho Chi Minh City, the average secondary apartment price stood at around VND108 million ($4,130) per square meter.

Masteri Thao Dien was priced at VND114-120 million ($4,360-4,590) per square meter, Cantavil An Phu at VND80-89 million ($3,060-3,410), and An Gia Skyline at VND64-72 million ($2,450-2,760).

High apartment prices have also spread to neighboring markets such as Hung Yen Province in the northern region, where the average reached VND69 million ($2,640) per square meter.

At the Ecopark urban area, Sol Forest apartments were priced at VND65-85 million ($2,490-3,250) per square meter, while Sky Oasis ranged from VND55-70 million ($2,110-2,680).

Dinh Minh Tuan, southern regional director of Batdongsan.com.vn, told Tuoi Tre (Youth) online newspaper that apartment prices could come under downward pressure of five to seven percent whenever bank lending rates increase.

From 2021 to 2024, when interest rates remained high at 14-16 percent, apartment prices in Ho Chi Minh City fell by five to seven percent, he said.

When interest rates began easing in 2025, apartment prices rebounded rapidly. Over the past year, prices in the city surged 22.5 percent, offsetting the declines recorded in previous years.

Villa, land prices decline

Compared with apartments, land plots in property developments recorded a more pronounced decline.

Secondary land prices nationwide fell by around two to three percent from the previous quarter, bringing the average asking price down to VND40 million ($1,530) per square meter.

In Ho Chi Minh City, land prices fell nearly three percent to an average of around VND66 million ($2,530) per square meter.

Prices at many projects declined by three to six percent, particularly for high-value properties. Despite the drop, land prices remained high.

In Hanoi, land at the Dai Kim-Dinh Cong new urban area was priced at VND105-160 million ($4,020-6,120) per square meter, while Cienco 5 Me Linh ranged from VND40-56 million ($1,530-2,140).

In Ho Chi Minh City, Van Phuc City was priced at VND100-150 million ($3,830-5,740) per square meter, while Rio Vista ranged from VND95-110 million ($3,640-4,210).

Villa and townhouse prices also declined amid weak liquidity, although prices remained high, according to the Ministry of Construction.

In Hanoi, Sunshine Riverside was priced at VND390-440 million ($14,930-16,840) per square meter, while Louis City ranged from VND285-292 million ($10,910-11,180).

In Ho Chi Minh City, prices at The Global City stood at VND360-371 million ($13,780-14,200) per square meter, while Lakeview City ranged from VND220-250 million ($8,420-9,570).

Pressure from weak liquidity, high interest rates

Vietnam recorded more than 100,000 successful real estate transactions in the second quarter, equivalent to 71.5 percent of the previous quarter’s figure and 63.7 percent of the level recorded in the same period of 2025.

Transactions involving apartments and individual houses fell nearly 14 percent to 26,567.

Land transactions recorded the steepest decline, with only 73,438 successful deals, equivalent to 67.4 percent of the previous quarter and less than 60 percent of the year-earlier level.

Meanwhile, new project supply increased sharply, with 113 commercial housing projects comprising more than 103,200 units newly licensed during the quarter, nearly double the number in the first quarter and adding pressure on market absorption.

Financing costs also remained a major hurdle. Real estate lending rates are currently commonly at 12-14 percent per year.

After preferential periods expire, floating rates at many banks rise to 13-15 percent, with some reaching 15-16 percent per year.