Real estate businesses prepare to accelerate

The real estate market is entering a transitional period, businesses are preparing to accelerate.

The real estate market is entering a transitional period, businesses are preparing to accelerate.

Real estate businesses believe in the market prospects in 2025 and are preparing all resources to accelerate. Photo: Le Toan

Construction started and sales started at the beginning of the year

The Tan An Huy Residential Area Project (Nha Be District, Ho Chi Minh City) after more than two decades of unfinished implementation officially resumed on February 6 (the 9th day of the Lunar New Year). The project, invested by Tan An Huy Construction and Housing Trading Joint Stock Company, has a scale of more than 20 hectares and was first approved at the end of 2005.

Located near Phu My Hung Urban Area, the project is expected to provide accommodation for about 5,500 residents with items including 313 villas, garden houses and 1,025 luxury apartments. However, this project has been stalled for more than 20 years due to the weak capacity of the old investor, causing losses to both customers and people with land in the project area.

Currently, Tan An Huy Company has changed its leadership team and shareholders. The previous legal difficulties and problems have also been resolved by the Ho Chi Minh City government, creating favorable conditions for the project to continue.

Van Phuc will devote all its efforts to implementing the Van Phuc City Project.

- Mr. Pham Danh, Chairman of the Board of Directors of Van Phuc Real Estate Group

Regarding Van Phuc's upcoming plans, it can be summed up in the phrase "breakthrough era". In the immediate future, Van Phuc City is still a key urban area where the Group is fully committed to deploying major utilities and key projects to stay on track to become the most livable peninsula city in Vietnam.

In the context of many real estate projects in Ho Chi Minh City facing difficulties due to legal problems, the resolution of the Tan An Huy Residential Area Project brings hope to hundreds of customers who have buried their capital for the past two decades, opening up a positive direction for other legally entangled housing projects.

In addition, along with positive changes in policies, some businesses have also caught up with the market, quickly completed legal and business projects, and prepared to deploy right after the Lunar New Year holiday.

For An Gia Real Estate Group, 2025 will be a busy year for the business when 3,000 apartments at The Gio Riverside Project are expected to launch in the first quarter of 2025. Currently, the investor has connected with more than 30 distribution agents, preparing to sell right after Tet.

In addition to this project, The Lá Village and West Gate 2 Project (Binh Chanh, Ho Chi Minh City) are in the process of completing the 1/2,000 planning and investment approval procedures. In particular, The Lá Village (27 hectares) has residential land on the project - an important condition for land use conversion procedures, and is expected to start operating in the next 2 years.

Similarly, at Nam Long's Waterpoint Project ( Long An ), the next adjacent villa subdivision (The Pearl) will be sold from the beginning of 2025 with a forecasted selling price significantly higher than previous sales. In addition, two new projects, Paragon (Dong Nai) and the first project developed in Hai Phong City, are planned to launch in the first half of 2025.

Central land always has high and sustainable value

- Mr. Tran Thanh Hai, Head of Investment Department, VinaLiving (VinaCapital)

VinaLiving still pays special attention to the central area of ​​Ho Chi Minh City. Because central land always has high value and is sustainable over time. Therefore, we are focusing on researching projects to renovate old apartments in the center of Ho Chi Minh City. This is a potential direction, contributing to urban reconstruction and providing unique and quality products for special customers.

A notable point for Nam Long is that when the C4 subdivision planning (Bien Hoa City, Dong Nai ) is resolved, it is also an important basis for the Izumi City Project (170 hectares) to start the steps to adjust the detailed planning and resume business from 2025. At the same time, this is also a condition for Nam Long to pass the next legal steps at the Paragon Dai Phuoc Project.

In addition to the above projects, the real estate market in the first quarter of 2025 will also welcome many new sources of supply. After transferring 627 products at the Quy Nhon Iconic Project Phase I (commercial name of Bac Ha Thanh Urban Area), investor Phat Dat is preparing to open for sale 800 products of the next phases. The Thuan An 1 and 2 high-rise building complex in Binh Duong of this enterprise is expected to be able to launch sales from mid-2025.

Meanwhile, Novaland is trying to overcome the difficult period with practical measures. Accordingly, this enterprise closely follows the comprehensive restructuring plan, removes legal obstacles of projects, focuses all resources to implement projects, in order to restore business operations, thereby creating a basis to fulfill obligations to shareholders, bondholders, customers, etc.

Similarly, Hung Thinh Corporation also aims to restart a series of unfinished apartment projects in Dong Nai, Binh Duong, Quy Nhon, and Ho Chi Minh City in the first half of this year.

Breakthrough opportunity in the new cycle

Speaking to Dau Tu Newspaper reporters, Mr. Pham Danh, Chairman of the Board of Directors of Van Phuc Real Estate Group, said that since the second half of 2023, the real estate market has shown positive signs of change. Supply has gradually improved, a series of projects have been unstuck and restarted, and the number of people looking to buy real estate has also increased. In 2024, Vietnam's economy is expected to improve and this is also a stepping stone for market development in 2025.

“It is expected that this year, we will deploy a high-rise subdivision with a central location and the best view of the urban area, surrounded by a river - canal - lake system, or a square and water music. Although it is still in the initial stages of preparation, a good sign is that this subdivision has received a lot of attention from customers,” Mr. Danh added.

Chairman of the Board of Directors of Nam Long Group, Mr. Nguyen Xuan Quang also acknowledged that 2025 is the time to start a new development cycle of the real estate market after the bottoming period of 2022 - 2024.

According to Mr. Quang, in this new cycle, the market will be more transparent and sustainable with new laws being put into effect. This is also the time when the market will enter a period of maturity, which we can observe the trend in countries that have gone through this stage.

Proficiency in AI is a must in real estate business

- Ms. Trinh Thi Kim Lien, Sales Director of Dat Xanh Services

In the recent period, many investors have applied technology in business and sales implementation. If businesses and individual brokers do not keep up, they will be left out of the race. In the past, real estate brokers needed to know many things, from consulting, running ads, writing content to running paperwork, but now they need to know more knowledge and skills, in which proficient use of artificial intelligence (AI) tools is inevitable.

Experts and businesses analyze that, with the positive developments in 2024, the real estate market in 2025 is expected to enter a new development cycle. The phrase "change" is mentioned by most market members when talking about plans in the coming time.

Mr. Nguyen Thanh Sang, General Director of SG Holdings Real Estate Joint Stock Company, said that if in the past, legality was considered the number one criterion, in the near future, legality will become a natural factor if the project wants to sell products.

“The days when investors ignored the legal aspects of the project are long gone. After many cases of houses not being handed over, projects being suspended, not being able to issue certificates, financial obligations regarding land tax not being fulfilled, etc., now if investors want to develop a successful project, in addition to the obvious legal aspects, they must demonstrate financial capacity and professionalism in project development, so that the project is not only a place to live, but also a place worth living,” Mr. Sang emphasized.

In a recent report, VIS Rating forecasts that real estate businesses' sales revenue will increase by 25-50% in 2025. Explaining the factors that will help boost sales and cash flow into real estate in 2025, Mr. Duong Duc Hieu, Senior Analysis Director of VIS Rating, highly appreciated the recovery of housing supply thanks to a series of policies to remove legal barriers, helping to speed up the implementation of new projects to the market.

Ho Chi Minh City and its satellite cities have recorded a supply growth that is superior to that of Hanoi, after a long period of stagnation, mainly from large domestic and international investors such as Vinhomes, Masterise, Lotte... In addition, new land prices in many prime locations with projects underway are expected to increase up to 10 times compared to before. This encourages investors to prioritize beautiful land funds to develop high-end, luxury, and super luxury housing and establish a new price level.

The gross profit margin of high-end housing projects is typically 45-50%, higher than the 25-35% margin of the mid-range segment and 10% for social housing projects. This high profit margin will partly offset the increased costs of project development and bring in positive revenue for investors.

Source: https://baodautu.vn/batdongsan/doanh-nghiep-bat-dong-san-chuan-bi-tang-toc-d244602.html