Three reasons why real estate is still attractive investment
(16:10' 31/12/2008)
Although
real estate market with the sudden changes in variables in recent
times, but the market still has great potential for investment in this
field.
With the conditions as the child population, increased FDI in real estate and retail markets in developing new, ... as investors are still not for real estate Vietnam.
Firstly, Vietnam is a country of high population of children. This is one of the conditions to create demand for housing and a customer that potential investors in the commercial is targeting.
According to the Department Laos - Employment (Ministry of Laos - Invalids and Social Affairs), in 2006, Vietnam has 43.44 million people aged workers, in which people aged youth (from 15-34) about 47%. Each year the population aged youth to increase about 200 thousand people per year.
Besides, the Ministry of Construction, to achieve the goal of housing the Prime Minister has approved the increase from the average floor 12m2 /'s now up to 20m2 floor / person in 2020, the annual need to build about 35 million m2 floor in the city.
Thus, according to a report by the Ministry of Construction, the demand for housing in Viet Nam has potential, each year need to build about 35 million m2 in floor shows that supply is limited. Tuy nhiên, để có sản phẩm nhà ở có chất lượng, giá cả đáp ứng được yêu cầu của người sử dụng vẫn là một bài toán khó cho các nhà đầu tư, cho nên các nhà đầu tư cần nghiên cứu để có sản phẩm phù with the buyer. Besides, it should have a policy of credit to support the purchase of a home, then the market will have the opportunity to develop more.
Second, registered capital of direct investment abroad (FDI) in Vietnam in recent years increased in 3 years, record increases in first 10 months this year reached 58.3 billion USD, accounting for property over 40%.
Statistics Department Foreign Investment (Ministry of Planning and Investment) 10 months FDI committed to Vietnam reached nearly 58.3 billion USD for 953 projects licensed new standards and the level is increased 59.3 billion USD, which makes up the field more than 40%.
Although it is only committed capital to invest in Vietnam, but it is also one of the signs that real estate market in Vietnam is one of the new market attractive for foreign investors.
If foreign investors achieved commitments to develop real estate projects in Vietnam is about 3-5 years, with registered capital, is a small non-FDI capital flows into real estate will in the coming years.
Thirdly, Vietnam growth rate of retail high number of international visitors have increased, ... This is a condition to support the market for real estate and tourism, hotel and space for rent can development.
According to General Department of Statistics, international visitors to Vietnam in first 10 months reached nearly 3.6 million people, up 3.5% compared with the same period last year.
Some factors can also make the attraction for investors in areas with retail, business, commercial leasing, which is the rate of growth of the retail market in Vietnam to grow high. Total retail currently about 45 billion USD, up 30.7% over the same period last year (figures General Department of Statistics).
It is found that the attractive, and the potential development of the real estate market in Vietnam has many prospects. However, policy tighten credit has obvious impact to the real estate market. Transaction Lose reduction in the strength of limitations is the first activity, housing prices have declined compared with the end of 2007. Office leasing them also needs to rent by the reduction in actual income by the company will cut financing in the context of economic difficulty.
Source: Cafef.vn