Investing in the booming shophouse segment in HCM City could end in losses, if market observers are to be believed.
Property speculation and a lack of roads and facilities such as hospitals, schools and shopping malls have led to a number of so-called “deserted towns” in real estate hotspots in HCM City.
If credit policies for luxury home puchases were tightened, it could be a shock for the property market, experts have warned.
The presence of Chinese investors and tourists in Sihanoukville continued to push real estate transactions and increase prices in the city, with major construction activities underway, say property insiders.
A recent draft circular on safety limits for banking operations, which applies a credit risk ratio three times higher than the current ratio, has created controversy among real estate consultants, developers, and buyers.
It was recently proposed in the draft to replace Circular No.36/2014/TT-NHNN that risk weights for real estate mortgages with a principal balance of VND3 billion ($130,430) and above should be tripled from 50 per cent to 150 per cent. The proposal, which would cause a large impact, shook Vietnam’s property market and its participants.
THe Ministry of Economy and Finance has – as of press time – not received any documents about the Naga 3 project development, the director-general of the General Department of Financial Industry under the Ministry of Economy and Finance, Mey Vann, said.
On May 18, 2019, HD Mon Holdings officially started sales at The Zei. Located at 8 Le Duc Tho, South Tu Liem, The Zei “vertical city” is the only premium complex developed at the centre of My Dinh.
The government has yet to create a legal framework for condotels though many people are keen to buy and sell them.
An insider has predicted a good outlook for the property market in the medium and long terms despite signs of decline in recent months.