Resort real estate sales plummet over Covid-19 impacts
Only 19 percent of new beachfront villas were sold in May as the real estate segment felt the impacts of the latest Covid-19 outbreak.
Resort real-estate in the central town of Nha Trang. Photo by VnExpress/Vuong Manh Cuong.
Up to 116 resort villas from six projects came into the market in May, 2.2 times that of the previous month, according to real estate consultancy DKRA Vietnam.
The new villas are located in the southern province of Ba Ria-Vung Tau, the south-central province of Binh Thuan and Phu Quoc Island in southern Kien Giang Province.
However, only 22 units of the new supply were sold.
Meanwhile, a total of 193 new houses and shophouses in coastal areas were put on sale in May, down 72 percent from the previous month. This new supply was in the three markets of Phu Quoc Island and the south-central provinces of Khanh Hoa and Binh Thuan. Of these, only 81 units were sold, a 84 percent month-on-month decline.
DKRA explained that the fourth Covid-19 outbreak, which started April 27, has made investors hesitant about the resort real estate market.
It said further developments in the resort real estate market will depend on the Covid-19 situation. The market can be boosted in the long run as the pandemic is brought under control and vaccination becomes widespread, it said.