Despite strong supply and high selling prices, the condominium market still records healthy absorption, particularly in major urban centers. This has been the driving force behind developers’ recent rush to launch new projects.

According to Savills’ Real Estate Market Report, in Q2 2025, Hanoi recorded 8,000 newly launched apartments. For the first half of the year, total new supply reached approximately 14,900 units, up 121% year-on-year.

However, the average primary price remains elevated at VND 91 million per square meter, marking a 40% year-on-year increase. In Q2 2025, apartments priced above VND 4 billion accounted for the largest share at 67%, while the market continued to see no primary supply of units priced below VND 2 billion.

Ms. Do Thu Hang, Senior Director, Advisory and Research, Savills Hanoi, explained that despite abundant supply, the average primary price kept rising as most projects launched were in prime locations and positioned within the high-end segment. Furthermore, as central land reserves become increasingly scarce and development costs surge, many developers are seeking to maximize commercial value.

On liquidity, CBRE reported that total primary market transactions in Q2 2025 reached nearly 5,180 units, bringing the total sales in the first half of the year to about 9,130 units—up 31% quarter-on-quarter but down 27% year-on-year. The average absorption rate during the first launch quarter of new projects was about 60%, slightly down from 70% in 2024.

CBRE forecasts that 2025 will be a dynamic year for developers, with numerous projects completing legal procedures for launch, particularly in the northern, eastern, and southern areas of Hanoi.
“Many previously stalled projects in inner-city districts such as Cau Giay, Tay Ho, Hoang Mai, and Long Bien are now resolving legal bottlenecks and expected to restart in the second half of the year, offering more options for buyers. The total new supply for the year is projected to reach around 31,000 units, equivalent to or exceeding 2024 levels,” CBRE stated.

Experts predict that condominiums can still deliver annual returns of around 10–15%, including rental yields and capital appreciation. However, they stress that location remains the decisive factor. Additionally, handover timelines and payment policies will also be crucial considerations directly affecting profitability.

Regarding price outlook towards year-end, Mr. Nguyen Van Dinh, Chairman of the Vietnam Association of Realtors, assessed that the overall real estate price level will continue to rise in the short term due to strong profit expectations. Conversely, expectations for further appreciation remain high amid a low-interest-rate environment, ample liquidity, increasing public investment, and persistent shortage of reasonably priced supply.