Ho Chi Minh City

HCMC housing price rises due to specification

In its report to the Ho Chi Minh City People’s Committee, the Department of Construction said that city housing price has lately risen due to specification.

A corner of HCMC in the East (Photo: SGGP)

A corner of HCMC in the East (Photo: SGGP)

There has been an increase in prices of houses and land in the city. The Department affirmed the volatility of housing segment in the property market follows the laws of supply and demand.
Notwithstanding, more people bought houses as there has been rise in price of land; consequently, land price has gone up more.
Speculation and incorrect information resulted in high transaction value, even 70 percent rise compared to same period last year.
The Department said present high land price is in some areas which have poor traffic and infrastructure.
Accordingly, in its document to People’s Committee, the Department wants to take steps to curb property bubble in some areas for a transparent and sustainable development of real estate.
The Department said in its document that participation of related agencies, local governments and state bank of Vietnam is needed to curb the property bubble.
Specifically, the Department of Environment and Natural Resources, the Department of Construction and people’s committees in districts should publicize the information of construction pace of condominium projects, urban transport infrastructure.
Additionally, district administrations have to enhance management on separating farm land in urban and rural areas. Police officers and local governments will issue harsh fines on those spread incorrect information of projects or swindlers.

By NHUNG NGUYEN - Translated by UYEN PHUONG

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