Recent years have witnessed the dynamic development of Vietnam apartment market in quality, quantity as well as pricing. According to Savills Vietnam, until the first quarter of this year, the price of Hanoi and Ho Chi Minh City reached $2,720/m2 and $3,350/m2 respectively. With such high prices, customers are becoming more demanding, requiring developers to research, develop and provide diversified housing products.
According to Savills Vietnam's Director of Residential Sales Nguyen Khanh Duy, within such developments, popular projects include those focusing on 'wellness’ and as well ‘duo key’ and ‘trio key’ units.
The ‘wellness’ model has been on trend in recent years. Established in 2014, International WELL Building Institute has awarded the ‘WELL’ certificate to 101 projects across 34 countries. ‘Wellness’ apartments have also successfully entered southern Vietnam with a new project in District 2 (Ho Chi Minh City) developed specifically to prioritize beauty- and health-focused amenities. This project quickly sold out a few months after launch.
Duo key or trio key unit type is also a new entry to the market. Firstly introduced in 2009 with smart design, this unit type has one entrance for common living spaces and hallways leading to separate studio apartments equipped with all necessary amenities to cater to daily activities.
“This new apartment model is not only suitable for family with different generations but also a can optimize rental activities," said Nguyen Khanh Duy.
This was seen in the success of a project in District 4 (Ho Chi Minh City) developed with duo key and trio key apartments with sizes ranging from 84 – 100 square meters that caught the attention of prospective purchasers, with a significant number of orders made at during a launch event this May.
As well as new concepts, developers are also upgrading the design of housing products to match customers’ demands and preferences. Apartment sizes are becoming smaller, creating an attractive pricing range that suits the budget of purchasers. Minimalist design is also becoming more popular more in a number of projects; however, facilities and amenities are still the most important.
“New apartments with diversified and unique amenities are increasing competition within the market. This race between developers is expected to be extremely beneficial to both consumers and the real estate market in Vietnam," said Duy.
It can be seen that apartment products are gradually becoming smarter, which means developers are required to be more sensitive to the market preferences.
With a smart and on-trend design with not only diversified projects but also unique amenities, new apartments are gearing up for heavy market competition. This race between the developers is expected to be extremely beneficial to both consumers and the real estate market in Vietnam.