1. Apartment Prices in Hanoi and Ho Chi Minh City declined slightly

The online real estate platform Batdongsan reports that apartment prices in Hanoi and Ho Chi Minh City (HCMC) have stabilized after rapid growth. As of early February 2025, the average listed price for apartments in Hanoi has dropped to 62 million VND per square meter, marking a 1.6% decrease compared to the previous month.

In HCMC, the situation is similar, with apartment prices falling 5%, bringing the average listing price down to 57 million VND per square meter. The figures account for both primary (developer) and secondary (resale) market listings.

This trend contrasts with the rapid growth seen in early 2024. Last year, Hanoi apartments saw an annual price increase of 11-20%, depending on the segment, while HCMC apartments experienced a 2-5% rise in the same period.

2. Market Trends and Buyer Sentiment

Data from Nha Tot, another real estate platform, indicates that pre-delivery apartments in Hanoi have remained stable since Q3 2024 but declined 5% in Q4. While prices showed slight improvement in January 2025, the growth rate is slower than in previous years.

Reports from VnExpress highlight that many projects in Hanoi have stopped increasing prices. For example:

  • A newly launched western mega-urban area project offers two-bedroom units (63-67 square meters) at 4.5-4.8 billion VND, maintaining the same pricing as late 2024.
  • Some sellers are even offering discounts of 50-100 million VND on upfront payments of 20% of the unit price.
  • In a four-year-old urban development in the eastern area, prices have remained unchanged since late 2024, with 65-square-meter apartments listed at 46-47 million VND per square meter, compared to 48-49 million VND in mid-2024.

3. Why Are Apartment Prices Stabilizing?

According to Nguyen Quoc Anh, Deputy General Director of Batdongsan, after a year of rapid price hikes, both homebuyers and investors are adopting a wait-and-see approach. Many believe prices may adjust further downward as the housing supply increases.

The uncertain global economic outlook is another factor contributing to buyer caution. Investors are evaluating their options more carefully before committing to purchases.

Pham Duc Toan, CEO of EZ Property, shares a similar perspective. He explains that in 2024, the market rebounded from a downturn, causing a surge in demand for central urban apartments, which led to significant price increases. Many investors, fearing they would miss out (FOMO effect), rushed to purchase units, especially in newly launched projects that offered incentives and flexible payment plans.

However, now that prices have reached a high plateau, and buyers are less aggressive, the demand for investment-driven apartment purchases is likely to cool in 2025.

4. Market Forecast: What to Expect in 2025?

Transaction Volume and Future Price Trends

According to One Housing, a real estate service firm backed by Masterise Homes and Techcombank, the number of resale transactions is expected to decline by 5% in 2025, following a sharp increase in 2024. However, prices are still expected to remain high due to limited land availability and ongoing urbanization.

A report by CBRE Vietnam reveals that secondary market apartment prices in Hanoi increased by over 26% in 2024—the highest rate recorded to date—reaching an average of 48 million VND per square meter. However, the firm predicts that this growth rate will slow in 2025, as new supply enters the market.

CBRE estimates that 31,000 new apartments will be launched in Hanoi this year, which should help stabilize prices. The expected price increase for 2025 is around 6-8% annually, significantly lower than the double-digit growth recorded in 2024.

5. Investment Outlook: Is It Still a Good Time to Buy?

Given the evolving market dynamics, investors and homebuyers should consider the following:

Invest in high-demand urban apartments if:

  • You prefer stable rental yields in major cities.
  • You are looking for long-term capital appreciation.
  • You are targeting areas with strong infrastructure development.

Exercise caution with investment-driven purchases if:

  • You expect rapid short-term gains.
  • Your budget relies on high-leverage or bank loans.
  • You are purchasing in areas with high upcoming supply, which may impact resale value.

With apartment prices stabilizing and supply increasing, 2025 presents an opportunity for strategic buyers who are looking for reasonable pricing and long-term investment value.