Villa/townhouse segment in Hanoi showing promise
According to a recent report by Savills, the villa/townhouse segment in Hanoi has become vibrant after three quiet quarters of 2015.
At a conference releasing its Hanoi Real Estate Market Report in Q4-2015, Do Thu Hang - Head of Research and Consultancy at Savills Vietnam said the villa/townhouse segment in Hanoi recorded the highest quarterly transaction volume in 2 years.
During the fourth quarter of 2015, total stock of the villa/townhouse segment hit 31,125 dwellings from 121 projects, an increase of 2.5% quarter-on-quarter and 3.8% year-on-year. Additional 755 dwellings from 7 new projects and a new launch of an existing one entered the market. Townhouses dominated the segment, making up 85% of total.
On secondary market, average price of villas declined by 1.4% quarter-on-quarter and 2% year-on-year. Meanwhile, average secondary price of townhouses slightly rose, by 0.3 and 2.5% respectively.
The highest average primary price for townhouses was seen in Cau Giay district with $6,255 per square meter, while Thanh Xuan district led price of villas with $8,280 per square meter. Most of new projects are located in districts of Cau Giay, Thanh Xuan, Ha Dong and Tu Liem. Notably, good sales performance was observed in these new projects with absorption rate of 47%.
According to Savills’s report, shophouses are generally priced higher than townhouses because of their dual-purpose functionality. This type of property has attracted many home buyers. It is expected that16 projects will provide about 2,740 dwellings in 2016.
Hanoi villa/townhouse segment has entered a new development stage, Hang stressed.
She said: “Earlier, developers focused on building their projects on large land plots. But now, they focus more on location with convenient transport and utilities.”
(Vietnam Economic Times)