Speculation and structural contradictions have triggered a housing rush in Vietnam. Recently, major cities like Hanoi have witnessed frenzied property buying—new projects selling out on launch day, overnight queues for social housing applications, and continuously surging prices.

Some resell social housing for profit, willing to endure all-night queues for hefty price differences. Others capitalize on rumors of administrative boundary adjustments, driving prices up through speculation.

Is this Vietnam’s property rush fueled by genuine demand or a bubble inflated by rumor-driven hype? Amid structural imbalances and investment fervor, the market’s future trajectory is under close scrutiny.

**"Queueing for Homes" Becomes Commonplace** Familiar scenes—long queues, rising prices attracting more buyers, and flipping properties for profit—are now playing out in Vietnam.

Local reports indicate that in Q3 2025, new projects in Hanoi and other major cities saw higher prices year-on-year yet maintained strong sales, with many selling out on launch day.

In October, an affordable housing project in Hanoi, *Sunshine Legend City*, released 1,000 units but drew 4,000 registrations, selling out immediately upon launch.

Data from Vietnam’s Ministry of Construction shows Hanoi’s average primary market price reached 80 million VND/sqm (≈21,000 RMB/sqm) in Q3, up 5.6% from early 2025 and 33% from 2024. High-end projects soared to 150–300 million VND/sqm (≈40,000–80,000 RMB/sqm).

According to CBRE, Hanoi led Vietnam’s apartment price surge in H1 2025, with 60% of new units priced above 80 million VND/sqm. Since Q3 2024, no new projects were priced below 60 million VND/sqm (≈16,000 RMB/sqm), while high-end units often exceeded 120 million VND/sqm (≈32,000 RMB/sqm).

In Ho Chi Minh City, new apartments in Q3 ranged from 80–120 million VND/sqm, peaking at 150 million VND/sqm. Nationally, Hanoi topped price growth, followed by Da Nang, with Ho Chi Minh City also posting significant increases.

The Ministry also revealed instances of social housing buyers reselling for profits of 200–500 million VND (≈54,000–134,000 RMB).

**Social Housing Shortage Fuels Chaos** Social housing, designed for low-to-middle-income groups, workers, and young civil servants, is priced far below commercial properties. However, limited supply has led to frenzied queues, with hundreds camping overnight to secure applications.

**Rumor-Driven Speculation** Vietnam’s major cities have seen apartment prices rise for years. Data from the Vietnam Association of Realtors (VARS) shows Hanoi’s prices surged over 72% from 2019 to late 2024, while Da Nang and Ho Chi Minh City rose 50% and 34%, respectively.

Recent spikes in some areas stem from unverified rumors—like administrative mergers or infrastructure projects (e.g., Long Thanh International Airport)—boosting prices by 20–30% in months. The Ministry warns such speculation risks market volatility and buyer losses.

**Structural Imbalances** The market is skewed toward high- and mid-end commercial housing, leaving affordable options scarce, especially for industrial workers and urban low-income groups. Research highlights severe mismatches, with social housing supply falling far short of demand.

To address this, authorities aim to accelerate approvals for new and social housing projects, supported by a 12 trillion VND credit program offering favorable loans to first-time buyers under 35. The national target is 1 million social housing units by 2030, with over 100,000 expected by end-2025.

**Foreign Investor Risks** Vietnam’s property market has drawn foreign interest, with FDI in real estate hitting $6.3 billion in 2024 (16.5% of total FDI), up 35% YoY, led by Singapore, Japan, and South Korea.

However, foreign buyers face restrictions: no land ownership (50-year leases vs. locals’ permanent rights) and caps on foreign-held units (30% per apartment block; 250 villas per district).

Investment returns differ for locals (inflation hedge, VND-denominated) and foreigners (rental income, USD exposure). While infrastructure upgrades and FDI boost appeal, risks remain—future supply surges may stabilize prices, and global uncertainties loom.