Vibrant Q1 for HCM City’s apartment segment
4/9/18 10:49 AM
Ho Chi Minh City’s apartment segment witnesses high absorption rate in the first quarter of the year. (Photo: VNA)
HCM City (VNA) – Ho Chi Minh City’s apartment segment witnessed high absorption rate in the first quarter of the year despite the long Tet holiday and abundant supply, the property service provider CBRE said on April 3.
A total of 9,260 units were sold during the January-March period, up 4 percent from the previous quarter and surging 26 percent against the same time last year. Of the total, mid-end apartments accounted for 65 percent.
In terms of pricing, the average sales price slightly fell 1.5 percent quarter-to-quarter while declining 2.6 percent year-on-year to 1,515 USD per square metre in the primary market. The drop was attributed to the increase in mid-end apartment supplies in the period.
The city’s real estate saw the launch of 9,503 apartments, up 11 percent from the previous quarter and 79 percent from the same period last year. Mid-end apartments made up 71 percent of the total units offered. The property market is shifting to meet demands of the buyers and create foundation for a sustainable development, according to the company.
CBRE Managing Director Dang Phuong Hang noted that the investors started to roll out their property market in the first quarter of 2018 after studying the market in 2017. During the months, they focused on the introduction of new utilities and safety standards for the residents.
The retail property segment recorded highest occupancy levels ever. Vacancy rate in suburb areas remained unchanged with 6.9 percent, down 6.1 compared to the same time last year.
Total supply as of the end of the first quarter was 880,940 square metres net leasable area (NLA).
Rental price of CBD areas increased 5.4 percent to 121.6 USD per square metre per month while that of non-CBD areas fell 1.1 percent to 36.4 USD per square metre per month.