Current situation of property supply in Hanoi

The city has about 103,000 new apartments which are estimated available for sale from the last quarter of 2022 to 2025.

Some notable projects are Sunshine Garden in Hai Ba Trung District (12.810sqm), T&T Capella Pham Ngoc Thach in Dong Da District (1.804,6sqm), Hoang Thanh Pearl in Nam Tu Liem District (14.786sqm), Lotte Mall Hanoi in Tay Ho District (72,000 sqm), AEON Mall Giap Bat Hoang Mai District (84,000 sqm) and BRG Park Residence Thanh Xuan District (13,945 sqm).

Hanoi's retail market has recovered and returned to the growth trajectory of the pre-Covid 19 pandemic period. The occupancy rate of the whole market reached 89%, with the total accumulated supply of shopping malls, department stores, and commercial podiums reaching 1,25 million sqm. 

The average rental price was $39 per square meter per month, up 1,09% compared to the previous quarter and the same period last year.

Apartment supply in the current situation

Anticipating that there will be around 103,000 new apartments for sale in Hanoi from the last quarter of 2022 to 2025. The supply of apartments in Hanoi's districts is getting limited as the project approval process is increasingly complicated. As a result, the supply of new apartments in the third quarter reached just over 3,000 units, down 38% QoQ and 15% YoY, with the main supply from Nam Tu Liem, Hoang Mai, and Gia Lam districts. Mid-end apartments account for 84% of the total supply this quarter, other segments are affordable 12%, and high-end 3%. 

There is no supply for the luxury and super luxury segments. Some projects include Hanoi Melody Residence, Summit Building 216, and Sunshine City. Credit control also made it difficult to disburse loans to customers, leading to sales and absorption rates decreasing in the quarter, with 4,600 units sold, down 15% QoQ. To adapt to the current situation, developers have offered easier payment terms with significant discounts or alluring promotions to customers to increase market demand.

The average primary selling price reached about $1.858 per square meter, down 3.1% from the previous quarter. 

Townhouses supply in Hanoi

Tan Long Land estimates the city's total supply of townhouses in the future will reach 12,000 units. Notable projects in the implementation process from the fourth quarter include Sunshine Heritage Resort, Hana Garden Homes, and Will State.

The new supply of townhouses in Hanoi fall down significantly in the third quarter, only 625 units were launched, splitting in comparison to Q2 but still up 4.6% YoY. The total number of units sold is about 374 units. 

Leading Hanoi's new supply are Me Linh, with 50%, and Gia Lam, with 26%, with notable projects such as HUD Me Linh Central and Highway5 Residence.

The average primary price was recorded at $6,800 per square meter of land, down 0.2% QoQ and up 43.3% YoY. Investors are becoming more cautious in investing and buying properties due to a lack of liquidity and loans.