Apartment prices see slight decline across Ha Noi

Monday, Jul 28, 2014 09:10

Apartment buildings along Ton That Thuyet Road in Ha Noi. In the second quarter, apartment prices in the high-end market segment stayed the same as the previous quarter. — VNS Photo Thai Ha
HA NOI (Biz Hub) — The selling prices of apartments in the capital fell by a slight 1 to 2 per cent in the second quarter of the year compared to the previous quarter.

According to a municipal Construction Department report, the prices of middle market segment apartments in Dong Da, Ha Dong, Tay Ho and Hai Ba Trung districts saw a price decrease of 2 per cent. Apartment prices in Cau Giay, Hoang Mai, Thanh Xuan and Nam Tu Liem outer districts had fallen 1 per cent. Long Bien and Ba Dinh districts remain unchanged in the selling prices of apartments during the period.

In the high-end market segment, apartment prices in Thanh Xuan and Tay Ho districts fell by 1 per cent, while those in Cau Giay and Nam Tu Liem stayed the same as the previous quarter.

The department said that prices were based upon figures from the municipal Taxation Department, real estate transaction floors and People's Committee in the city's districts.

However, figures were different from previous reports by property consulting firms, such as CBRE Viet Nam and Savills.

According to CBRE Viet Nam, selling prices of apartments in the market in the April-June period rose 0.2 per cent against the previous quarter.

CBRE said there was additional money paid for property to intermediate agencies at projects which have been built according to schedule or were near operational as the market heated up.

Savills Viet Nam added that Ha Noi saw 1,900 apartments sold in the second quarter, a 54 per cent increase in comparison with the first quarter. Further, the rate of successful transactions in the market rose from 5 to 15 per cent.

Decree No 20, issued by the Ministry of Construction, required the publishing of two indices, including the number and prices of estate transactions in the property market at each locality.

It also proposed pilot implementations in four big cities, including Ha Noi, HCM City, Da Nang and Can Tho.

These indices are to serve as a statistical tool to monitor the market in order to help State management agencies provide suitable policies and strategies in the property sector. — VNS

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