Despite gloomy reports, things could still be looking up for property investment in Vietnam and especially Hanoi. Investors seeking new markets are eyeing Hanoi property market rather than the high prices of developed markets, said a project director of the major international property trade show MIPIM ASIA.
“If looking at the Vietnamese market, one can see that there are still many opportunities for foreign investors which promise good profits for them,” William Young said at MIPIM ASIA“I think that after five years, or just two years, the market will clearly show its attractiveness in terms of liquidity,” he added.
The comments come as investors have been pouring money into fragile economies, such as in European and American countries, avoiding some of the recovered and more expensive markets such as Singapore, reported VietnamNet.
CBRE Vietnam recently released data indicating a gloomy property report for Vietnam in general, but it also mentioned many golden opportunities for investors.
While many projects in Hanoi have been halted due to a lack of funds, Richard Leech, managing director of CBRE, said that this is an opportunity for others who have the financial means to launch a project.
More than 30,000 apartments in Ciputra are expected to be launched soon, yet the high-end and high-grade offices and hotels are expected to be in short supply in the long-term.
Those investors who weather the storm will Vietnam will be paid richly, as the profit level in Vietnam are high, according to CBRE.
Investors from South Korea, Singapore, Taiwan and Malaysia have returned to Vietnam commented Marc Townsend, general director of CBRE. This, in part, is due to the higher prices in other regional markets such as Thailand, Singapore, Hong Kong and the Philippines.