Experts believe that amid rising development costs, apartment prices in Hanoi are likely to continue increasing, though the market will not experience an overheated “price bubble.”
Supply Mainly Concentrated in the High-End Segment
According to a report from a real estate research firm, as of the end of June, Hanoi’s apartment prices had increased by 6% quarter-on-quarter and 33% year-on-year.
Regarding supply, the firm noted that many previously “frozen” projects have been unblocked and are expected to restart in the second half of the year, offering more options for homebuyers. The total number of new apartment launches in Hanoi for the year is projected to reach around 31,000 units, equivalent to the level of 2024.
Another dataset showed that in the first half of the year, Hanoi recorded approximately 14,900 new units, up 121% compared to the same period last year. The average primary market price remained high at VND 91 million per square meter, representing a 40% year-on-year increase. Notably, apartments priced above VND 4 billion continued to account for the largest share, while primary supply under VND 2 billion was nearly absent.
In terms of outlook, by the end of the year, Hanoi’s market is expected to see around 11,500 units offered. However, most of this supply will remain concentrated in the mid-end and high-end segments.
Apartment Supply in Hanoi Will Continue to Increase Towards Year-End
According to a survey by Dân trí, many apartment projects in Hanoi have recently been launched. However, prices remain focused on the higher-end segment.
For instance, a project in Đại Mỗ Ward was launched at VND 80–120 million per square meter; in Từ Liêm District, an apartment project on Lê Quang Đạo Street had an asking price of about VND 130 million per square meter (excluding VAT and maintenance fees); another project in Việt Hưng Ward was projected to exceed VND 120 million per square meter; notably, a project in Cầu Giấy Ward was expected to reach VND 150 million per square meter.
Will Hanoi’s Apartment Prices Continue to Rise by Year-End?
Although apartment supply is forecast to keep increasing, experts argue that prices are unlikely to fall and may even rise slightly.
Nguyễn Văn Đính, Chairman of the Vietnam Association of Realtors (VARS), said that while supply has risen, it still does not meet the population’s housing demand. Moreover, most new supply is in high-standard developments, with escalating land and construction costs. As a result, primary apartment prices are expected to remain on an upward trajectory.
He added that in the short term, from now until year-end, Hanoi apartment prices are likely to rise further due to high input costs and strong investor profit expectations. Many investors are not under significant financial pressure, including loan-related costs, so they have little motivation to reduce prices.
On the contrary, expectations are even trending upward as low interest rates, abundant liquidity, and accelerated public investment continue to support the market, while reasonably priced housing supply remains scarce.
Real estate expert Lê Đình Chung noted that apartment supply in Hanoi will continue to increase toward the end of the year. However, in the current context of rising construction materials, labor, and investment costs, most developers are focusing on mega-urban projects and high-end segments. Therefore, prices may edge up slightly by year-end, with little chance of an immediate decline, but a “price fever” scenario similar to previous years is unlikely.