BILLION-DOLLAR INFRASTRUCTURE – A STRATEGIC LEVER FOR REAL ESTATE GROWTH IN EASTERN HO CHI MINH CITY

The development of transportation and urban infrastructure in eastern Ho Chi Minh City not only enhances the quality of life but also serves as a critical driver for real estate market growth. Experts predict that due to the implementation of multiple key infrastructure projects, the region will continue to experience stable growth in 2025 and beyond. The integration of modern infrastructure facilitates commercial activities while maximizing property values through market mechanisms and spillover effects from public investment projects.

MACROECONOMICS AND REAL ESTATE INVESTMENT TRENDS

Following economic recovery, Ho Chi Minh City's real estate market has shown positive signs. According to the Ho Chi Minh City Real Estate Association (HoREA), market growth improved from -0.5% in 2023 to 9% in 2024, reflecting significantly enhanced market liquidity and investor confidence. Additionally, in Q4 2024, the real estate absorption rate reached 75%, well above the previous average of 65%.

The municipal government has set a 2025 GRDP growth target of 10%, with total social investment expected to reach VND 620 trillion. Of this, approximately VND 110 trillion will come from public investment, while the remainder will be sourced from private and foreign direct investment (FDI). This abundant capital flow will drive real estate projects, particularly amid tax incentives, expanded property ownership rights, and improvements in the legal framework, which will help attract long-term capital into the market.

Real estate credit also plays a crucial role in investment capital structure, with an estimated VND 3.8 quadrillion expected to be funneled into the sector, accounting for a significant portion of total national credit balance. Lower lending rates will enhance investors' access to financial resources, further supporting sustainable market growth.

BILLION-DOLLAR INFRASTRUCTURE – THE MECHANISM DRIVING REAL ESTATE GROWTH IN EASTERN HO CHI MINH CITY

Eastern Ho Chi Minh City, particularly Thu Duc City, led the housing market in 2024, with an absorption rate exceeding 80%. This phenomenon is driven not only by market demand but also by the following infrastructure developments:

• Major transport corridors: Hanoi Highway (Vo Nguyen Giap Avenue), Mai Chi Tho Boulevard, Pham Van Dong Street.

• Strategic expressways: Ho Chi Minh City–Long Thanh–Dau Giay Expressway, Ben Luc–Long Thanh Expressway.

• Upcoming key projects: Metro Line 1, Ring Road 3, Long Thanh International Airport.

• An Phu Interchange – a crucial project to alleviate city center traffic congestion.

The completion of these infrastructure projects not only reduces traffic congestion but also significantly enhances market liquidity and property value appreciation. Furthermore, the development of Thu Duc Smart City and the high-tech park will attract a highly skilled workforce, providing sustainable momentum for housing demand and socio-economic development.

LAND SHORTAGE AND INVESTMENT PROSPECTS FOR LOW-RISE HOUSING

As available land resources become increasingly scarce, many developers are shifting toward high-rise residential projects to maximize land use efficiency and profitability. According to CBRE data, supply of townhouses and detached villas over the past two years has only reached 10-20% of the golden period from 2016-2022. In 2025, the market is expected to introduce only about 2,000 new low-rise housing units, while demand continues to rise.

Low-rise residential products with comprehensive planning, full amenities, and convenient transportation are becoming top investment choices. Properties located near key transport hubs, such as Metro Line 1, Mai Chi Tho Boulevard, Hanoi Highway, and the Ho Chi Minh City–Long Thanh–Dau Giay Expressway, have seen significantly higher absorption rates.

According to Avision Young's market outlook report, the Ho Chi Minh City market will introduce approximately 800 low-rise housing units in early 2025, with the eastern region accounting for a substantial portion. These properties, meeting international standards, cater to both residential and investment demands. Low-rise real estate in the east not only offers an ideal living environment but also presents long-term value appreciation potential.

CONCLUSION

Driven by economic growth, credit expansion policies, and urban infrastructure development, eastern Ho Chi Minh City has become a focal point for real estate investment. Well-planned low-rise residential properties will continue to be a scarce market resource with exceptional value appreciation potential.

Owning real estate in the eastern region is not only a strategic investment decision but also ensures future value growth. As key infrastructure projects are completed, the region will transform into a modern urban center, playing a vital role in Ho Chi Minh City's socio-economic development landscape.

#fttland #FTT越南房地產 #越南房地產 #FTT家澤越南房地產 #FTT越南房地產 #越南胡志明市 #越南不動產 #越南新聞 #越南不動產市場 #越南不動產投資 #越南房地產 #越南房 #越南買房 #越南賣房

-------------------------------------
FTT REAL ESTATE COMPANY LIMITED

Headquarters in Vietnam: EA4-01.01 Eratown Duc Khai, Nguyen Luong Bang, Phu My Ward, District 7

Receive consignments for buying, selling and renting apartments, updating the best prices in the market

HOTILINE: 081.299.1003

｜ID Line/ Zalo: 0812991003

｜ID Wechat/ Kakaotalk: FTTland88881