In Q1, the price growth of both primary and secondary apartments in Hanoi slowed to the lowest level in nearly two years, although prices remain high.

In its Q1 market report, real estate services firm CBRE noted a slowdown in Hanoi’s apartment market in both the primary (from developers) and secondary (resale) sectors.

Following a hot growth period since early last year, the average primary selling price is now about VND 75 million per square meter (excluding VAT and maintenance fees), a slight increase from the previous quarter. "This is the lowest quarter-on-quarter increase since Q2/2023," CBRE stated. High-priced inventories mostly come from large-scale urban areas on the city's outskirts.

In the secondary market, resale price growth also decelerated in Q1. The average resale price is now around VND 50 million per square meter, up 3% from the previous quarter. Most project prices remained stable, except for a few well-located ones in central districts with strong rental potential.

Cushman & Wakefield also reported similar trends. The firm observed declining demand for Hanoi’s apartment segment. Over 4,300 units were sold during the quarter, down 53% quarter-on-quarter. Absorption slowed as buyer sentiment cooled, with many adopting a wait-and-see attitude amid ongoing economic challenges.

However, new project prices remain high. Cushman & Wakefield noted that luxury and high-end segments account for more than 77% of new supply, while affordable housing is scarce.

Data from Batdongsan indicates that Hanoi’s apartment prices started to plateau at the end of 2024. Asking prices and transaction volumes at many projects have declined compared to the same period last year. Prices dropped 2–5% from early 2024 peaks at projects such as Ha Do Park View, Trung Yen Plaza (Cau Giay), Masteri West Heights, FLC Garden City (Nam Tu Liem), CT4 Yen Nghia, and Mulberry Lane (Ha Dong).

Mrs. Nguyen Hoai An, Senior Director at CBRE Hanoi, said the slowdown is understandable after a 35–40% surge over the past two years. In previous quarters, prices could climb 8–9% monthly, but now growth has fallen to around 3%. Many homeowners have adjusted their prices after holding high expectations. If not reduced, their assets may become illiquid as buyers hesitate.

She also noted a trend where some sellers or brokers claim “cut-loss” prices to attract buyers. In reality, owners who purchased 2–3 years ago are unlikely to sell below cost. “The advertised price drop is mostly a reduction in expectations,” Mrs. An said.

Still, actual cut-loss cases have occurred at several new projects and sub-areas that once saw rapid price increases, such as in the west, east, and south of Hanoi. Mr. Pham Duc Toan, CEO of EZ Property, said most buyers of these projects were speculators aiming to flip for profit. Having only paid 15–20% of the value, many are now forced to resell due to insufficient capital for progress payments.

At the same time, the constant influx of new apartment supply has increased the urgency to sell. CBRE forecasts that Hanoi could welcome about 31,700 new units this year, mainly in suburban areas like Dan Phuong, Long Bien, and Dong Anh.

"With supply no longer scarce and buyer sentiment stabilizing, apartments are less attractive for strong investment inflows compared to last year," Mr. Toan said.