HCMC abundant of high-class, short of affordable apartments

The Ho Chi Minh City real estate market showed signs of slowdown with unstable elements in the first six months of 2016, was abundant of high class and short of affordable apartments for many middle income people.

A new residential area in District 2, HCMC (Photo: SGGP)

According to a representative of the Ho Chi Minh City Department of Construction, there were 34 projects with 14,901 apartments eligible for capital mobilization, up 1.8 times over the same period last year.

Of these, middle and high class apartments hiked 16 percent and affordable products reduced 18.9 percent.

These data do not include projects that have been built and opened for sale, housing land projects and project ineligible but still raising capital. Some investors took advantage of deposit leave to mobilize funds from customers before implementing these projects, heightening the risks for home buyers.

There was an increase in the number of secondary investors in middle and high class segments.

The HCMC real estate market was still under recovery and growth phase in the first six months of 2016.

By Tra Giang – Translated by Hai Mien

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