Vietnam’s real estate: Rising star in Southeast Asia

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Vietnam’s property market is set to rebound strongly in 2025, driven by improved investor confidence, lower borrowing costs, and heightened transaction activity across key segments.

Industry experts have pointed to Vietnam’s economic recovery, a thriving office and residential market, and surging demand for industrial real estate as significant factors solidifying the country’s status as a prime investment destination in Southeast Asia.

According to JLL’s Vietnam Real Estate Market Outlook 2025 report, Vietnam remains one of Asia’s fastest-expanding economies despite global uncertainties. In 2024, the country achieved a record 25.4 billion USD in disbursed foreign direct investment (FDI), marking a 9.4% increase year-on-year. Key infrastructure projects have played a crucial role in boosting growth across emerging property hotspots nationwide.

Trang Le, Head of Consulting and Research at JLL Vietnam, highlighted that Vietnam’s sustained economic growth, coupled with an improved investment climate, a rising middle class, and increasingly experienced investors, is enhancing the country’s appeal as a standout real estate market in the region.

Will Tran, Head of Office Leasing Advisory at JLL Vietnam, noted that businesses are increasingly seeking premium and modern workspaces that enhance productivity while meeting sustainability criteria, a trend driving demand for high-end office spaces.

Vietnam’s housing market, which hit a low point in 2024, is forecasted to recover robustly. Experts attribute this to policy reforms aimed at improving transparency and expediting project approvals, which are expected to boost new housing supply.

Developers and investors continue to focus heavily on Hanoi and Ho Chi Minh City, while also exploring surrounding satellite areas where housing demand is rising steadily.

Vietnam has also strengthened its position as a manufacturing powerhouse in Southeast Asia. The country is benefiting from proactive local policy adjustments, global supply chain shifts, and ambitious infrastructure development plans, further elevating its attractiveness in the industrial and logistics sectors.

Van Nguyen, Head of Transactions for Northern Vietnam at JLL, noted that Vietnam’s industrial market and supply chain are flourishing, with FDI reaching a record 25.4 billion USD in 2024. The manufacturing and real estate sectors remain the top recipients of these investments. As improved infrastructure encourages expansion beyond traditional hubs, Vietnam is seeing a rise in high-tech, eco-friendly industrial parks, enhancing its role in the global supply chain.

Source: Vietnam Plus

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