Vietnam is one of Southeast Asia's most beautiful countries and has enjoyed considerable growth and appreciation of its real estate

Vietnam is the easternmost country in the Indochina Peninsula. It sits adjacent to China, Laos, and Cambodia and shares maritime borders with Thailand, the Philippines, Indonesia and Malaysia. It is one of Southeast Asia’s most beautiful countries and has enjoyed considerable growth and appreciation of its real estate since 2013 after suffering from a collapse in prices in 2009.


Economy Vietnam’s economy is racing ahead at record strength with 2Q19 GDP growth coming in at 6.7%. Notably, the processing and manufacturing sector grew by 9.14% and the services sector grew by 6.85%. Vietnamese exports in 1H19 also rose to USD 122.7 billion, up from USD 114.4 billion in 1H18. Despite uncertainties in Asia, Vietnam may further advantage from escalating conflict between the U.S. and China, as the U.S. shifts its demand away from China to other smaller Asian countries. Tourism in Vietnam continued its forward acceleration with sturdy year-over-year growth of 7.5% in 1H19. Disbursed FDI showed a 9.1% year-over-year increase in 2018.
Legal Starting in 2015, Vietnam has substantially liberalized its restrictions on foreign investment in real estate. Foreign investors are no longer limited by the number of properties that they can own whereas previously they were limited to only one property. Foreign investors must, however, not own more than 30% of the units in a condominium project or 10% of the units in a landed project. They can also only purchase a maximum of 250 houses in any given ward. This newfound legal environment is adding fuel to the fire of Vietnam’s sustained real estate appreciation.
Regions Vietnam is often divided into eight regions: Northwest, Northeast, Red River Delta, North Central Coast, South Central Coast, Central Highlands, Southeast, and the Mekong River Delta. These regions can then be further divided into provinces, of which there are 58 in total. On a city level, large coastal cities, such as Ho Chi Minh City, Da Nang, Hai Phong, and Hanoi, have seen the most rapid appreciation in real estate. For example, high-end condos in Ho Chi Minh City have shown exceptional price growth of 17% in 2018.

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