Vietnam's real estate: Rising star in Southeast Asia

Vietnam's property market is set to rebound strongly in 2025, driven by improved investor confidence, lower borrowing costs, and heightened transaction activity across key segments.

Industry experts have pointed to Vietnam's economic recovery, a thriving office and residential market, and surging demand for industrial real estate as significant factors solidifying the country’s status as a prime investment destination in Southeast Asia.

According to JLL's Vietnam Real Estate Market Outlook 2025 report, Vietnam remains one of Asia's fastest-expanding economies despite global uncertainties. In 2024, the country achieved a record 25.4 billion USD in disbursed foreign direct investment (FDI), marking a 9.4% increase year-on-year. Key infrastructure projects have played a crucial role in boosting growth across emerging property hotspots nationwide.

Trang Le, Head of Consulting and Research at JLL Vietnam, highlighted that Vietnam’s sustained economic growth, coupled with an improved investment climate, a rising middle class, and increasingly experienced investors, is enhancing the country's appeal as a standout real estate market in the region.

Will Tran, Head of Office Leasing Advisory at JLL Vietnam, noted that businesses are increasingly seeking premium and modern workspaces that enhance productivity while meeting sustainability criteria, a trend driving demand for high-end office spaces.

Ho Chi Minh City's central business district has seen a notable shift, with Grade A and A+ office rental prices rising 1.3% year-on-year despite a record influx of new supply over a six-month period. This increase reflects the growing preference for high-quality, eco-conscious workspaces.

Vietnam's housing market, which hit a low point in 2024, is forecasted to recover robustly. Experts attribute this to policy reforms aimed at improving transparency and expediting project approvals, which are expected to boost new housing supply.

Developers and investors continue to focus heavily on Hanoi and Ho Chi Minh City, while also exploring surrounding satellite areas where housing demand is rising steadily.

According to Bach Ta, Director of Capital Markets Transactions at JLL Vietnam, the housing market is entering a more sustainable growth phase, supported by urbanization, a rising middle class, and regulatory reforms. He anticipates heightened transaction activity in well-planned residential projects, particularly in the mid- to high-end segments.

Vietnam has also strengthened its position as a manufacturing powerhouse in Southeast Asia. The country is benefiting from proactive local policy adjustments, global supply chain shifts, and ambitious infrastructure development plans, further elevating its attractiveness in the industrial and logistics sectors, reported VNA.

Vietnam's property market is set to rebound strongly in 2025. (Photo: VNA)

Van Nguyen, Head of Transactions for Northern Vietnam at JLL, noted that Vietnam's industrial market and supply chain are flourishing, with FDI reaching a record 25.4 billion USD in 2024. The manufacturing and real estate sectors remain the top recipients of these investments. As improved infrastructure encourages expansion beyond traditional hubs, Vietnam is seeing a rise in high-tech, eco-friendly industrial parks, enhancing its role in the global supply chain.

Experts remain optimistic about investment opportunities in 2025 as Vietnam’s real estate market enters a new phase of economic growth. Key factors driving this outlook include increased transaction volumes, a solid economic foundation, and continued legal reforms.

Michael Glancy, Managing Director for Thailand, Indonesia, Philippines and Vietnam at JLL, expressed confidence in the market’s recovery, predicting a surge in investment activity throughout 2025. He emphasized that lower borrowing costs and improved investor sentiment are fostering this positive trend.

Vietnam's core strengths, such as a youthful, dynamic workforce, advancing infrastructure, and investor-friendly policies, continue to position the nation as a top-tier destination for property investment across multiple sectors. As conditions improve, industry leaders expect a rise in transactions and fresh development projects, further reinforcing Vietnam’s status as a standout real estate market in Southeast Asia, he noted.

Vietnam, UK strengthen cooperation on int’l financial center development

Vietnam's property market is set to rebound strongly in 2025, driven by improved investor confidence, lower borrowing costs, and heightened transaction activity across key segments.

Industry experts have pointed to Vietnam's economic recovery, a thriving office and residential market, and surging demand for industrial real estate as significant factors solidifying the country’s status as a prime investment destination in Southeast Asia.

According to JLL's Vietnam Real Estate Market Outlook 2025 report, Vietnam remains one of Asia's fastest-expanding economies despite global uncertainties. In 2024, the country achieved a record 25.4 billion USD in disbursed foreign direct investment (FDI), marking a 9.4% increase year-on-year. Key infrastructure projects have played a crucial role in boosting growth across emerging property hotspots nationwide.

Trang Le, Head of Consulting and Research at JLL Vietnam, highlighted that Vietnam’s sustained economic growth, coupled with an improved investment climate, a rising middle class, and increasingly experienced investors, is enhancing the country's appeal as a standout real estate market in the region.

Will Tran, Head of Office Leasing Advisory at JLL Vietnam, noted that businesses are increasingly seeking premium and modern workspaces that enhance productivity while meeting sustainability criteria, a trend driving demand for high-end office spaces.

Standing Deputy Prime Minister Nguyen Hoa Binh (L) shakes hands with UK Deputy Prime Minister Angela Rayner in London, March 18, 2025. Photo: VGP/Dinh Hai

Ho Chi Minh City's central business district has seen a notable shift, with Grade A and A+ office rental prices rising 1.3% year-on-year despite a record influx of new supply over a six-month period. This increase reflects the growing preference for high-quality, eco-conscious workspaces.

Vietnam's housing market, which hit a low point in 2024, is forecasted to recover robustly. Experts attribute this to policy reforms aimed at improving transparency and expediting project approvals, which are expected to boost new housing supply.

Developers and investors continue to focus heavily on Hanoi and Ho Chi Minh City, while also exploring surrounding satellite areas where housing demand is rising steadily.

According to Bach Ta, Director of Capital Markets Transactions at JLL Vietnam, the housing market is entering a more sustainable growth phase, supported by urbanization, a rising middle class, and regulatory reforms. He anticipates heightened transaction activity in well-planned residential projects, particularly in the mid- to high-end segments.

Vietnam has also strengthened its position as a manufacturing powerhouse in Southeast Asia. The country is benefiting from proactive local policy adjustments, global supply chain shifts, and ambitious infrastructure development plans, further elevating its attractiveness in the industrial and logistics sectors.

Van Nguyen, Head of Transactions for Northern Vietnam at JLL, noted that Vietnam's industrial market and supply chain are flourishing, with FDI reaching a record 25.4 billion USD in 2024. The manufacturing and real estate sectors remain the top recipients of these investments. As improved infrastructure encourages expansion beyond traditional hubs, Vietnam is seeing a rise in high-tech, eco-friendly industrial parks, enhancing its role in the global supply chain.

Experts remain optimistic about investment opportunities in 2025 as Vietnam’s real estate market enters a new phase of economic growth. Key factors driving this outlook include increased transaction volumes, a solid economic foundation, and continued legal reforms, cited VNA.

Michael Glancy, Managing Director for Thailand, Indonesia, Philippines and Vietnam at JLL, expressed confidence in the market’s recovery, predicting a surge in investment activity throughout 2025. He emphasized that lower borrowing costs and improved investor sentiment are fostering this positive trend.

Vietnam's core strengths, such as a youthful, dynamic workforce, advancing infrastructure, and investor-friendly policies, continue to position the nation as a top-tier destination for property investment across multiple sectors. As conditions improve, industry leaders expect a rise in transactions and fresh development projects, further reinforcing Vietnam’s status as a standout real estate market in Southeast Asia, he noted.

Belarus calls for Vietnamese trade and investment opportunities at city seminar

Belarus, with its growing economy and open investment policies, is emerging as a highly promising destination for Vietnamese businesses and investors.

The view was shared by experts at a trade and investment promotion seminar for the Belarusian market, organized by the Ho Chi Minh City Investment and Trade Promotion Center (ITPC) in collaboration with the Consulate General of Belarus in Ho Chi Minh City on March 19.

In his remarks, ITPC director Tran Phu Lu noted that cooperation between Vietnam and Belarus has been significantly strengthened in recent years, particularly since the Vietnam-Eurasian Economic Union (EAEU) Free Trade Agreement came into effect.

Under this agreement, both sides have eliminated approximately 90% of tariff lines for trade in goods, covering more than 90% of bilateral trade volume. This presents a major opportunity for Vietnamese businesses to enter the Belarusian market and other regional countries.

In addition, the visa waiver policy for ordinary passport holders, in effect on January 30, 2025, is expected to unlock new opportunities for cultural exchange, trade promotion, and tourism development, contributing to the overall advancement of Vietnam-Belarus relations, VOV reported.

Delegates attend a trade and investment promotion seminar for the Belarusian market in Ho Chi Minh City on March 19. (Photo: hcmcpv.org.vn)

According to Vietnam Customs, two-way trade between Vietnam and Belarus has experienced robust growth in recent years. In 2024, their total trade volume reached approximately US$59.7 million, marking a 45% increase compared to 2023.

However, the figures do not yet fully reflect the potential for cooperation between the two countries or the expectations of the business community.

The ITPC director stated that despite ongoing challenges, Vietnamese enterprises are making efforts to expand their export markets, enhance production capacity and competitiveness, and integrate deeply into global value chains, especially in promising but underexplored markets like Eastern Europe. This region is seen as an untapped market with significant opportunities for business collaboration and economic development.

Kiryl Halantsou, Consul General of Belarus in Ho Chi Minh City, reaffirmed that Vietnam is a priority partner for Belarus in Southeast Asia. The Vietnam-EAEU Free Trade Agreement has paved the way for interregional cooperation, particularly between Minsk and Ho Chi Minh City.

In his view, the two economies are highly complementary, and Belarus aims to elevate economic cooperation with Vietnam to a new level through high-tech joint ventures. He encouraged businesses to participate in trade fairs and promotion programs to strengthen economic ties.

Meanwhile, Polina Girenko from the Belarus National Center for Marketing and Price Study highlighted that Belarus has a diversified economy and is a leading exporter of agricultural products, timber, and fertilizers. The country’s IT and healthcare sectors are also on the rise, alongside having a strong industrial base, particularly in machinery manufacturing.

Notably, Belarus serves as a strategic gateway to the Eurasian Economic Union (EAEU) market, offering Vietnamese businesses an efficient entry point. Through the Belarusian Universal Commodity Exchange (BUCE), Vietnamese enterprises can immediately access over 35,000 buyers and sellers from 80 countries, trading key products such as agricultural goods, timber, metals, and petrochemicals.

For Belarus, Vietnam presents numerous opportunities to expand trade in palm oil, fruits and vegetables, chemicals, pharmaceuticals, non-ferrous metals, rubber, protective clothing, rice, and grains, stated Girenko.

At the seminar, ITPC and the National Center for Marketing and Price Study of Belarus signed a strategic cooperation agreement, focusing on key areas such as information exchange, promoting foreign economic activities, and organizing joint business events.

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