Vietnam’s real estate sector has evolved rapidly over the past decade, reflecting Vietnam’s broader economic transformation and urbanisation.
Foreign direct investment (FDI), infrastructure development, and a burgeoning middle class are propelling demand across residential, commercial, industrial, and hospitality sectors.
Despite challenges such as regulatory complexities and market fluctuations, the outlook for real estate in Vietnam over the long term is promising as the country continues to position itself as a key player in the Southeast Asian market.
Vietnam’s real estate industry in numbers
With increasing urbanisation, particularly in cities like Ho Chi Minh City and Hanoi, the demand for residential, commercial, and industrial real estate has seen steady growth.
Vietnam’s real estate market
Vietnam’s real estate market is expected to reach a value of US$4.74 trillion in 2024, with the residential segment holding the largest share, projected at US$4.25 trillion.
Over the 2024-2029 period, the market is anticipated to grow at an annual rate of 3.94 percent, potentially reaching a volume of US$5.75 trillion by 2029, according to estimates from Statista.
Vietnam real estate firms’ revenue / US$
| 2025 | 2024 | 24 / 25 % | |
| Total | 7,478.18 | 5,514.38 | 35.61% |
| Vinhomes | 5,862.32 | 3,881.98 | 51.01% |
| No Va Land Investment Group Corporation (Novaland) | 264.97 | 345.17 | -23.23% |
| Khang Dien House Trading and Investment | 177.80 | 124.72 | 42.56% |
| Phat Dat Real Estate Development Corporation | 50.40 | 76.97 | -34.52% |
| Dat Xanh Group | 158.42 | 180.06 | -12.02% |
| Becamex Infrastructure Development | 60.64 | 38.83 | 56.19% |
| Saigon Thuong Tin Real Estate (Sacomreal) | 46.21 | 30.40 | 52.02% |
| Vinaconex Corporation | 611.12 | 489.71 | 24.79% |
| An Gia Real Estate Investment and Development Corporation | 31.54 | 72.79 | -56.67% |
| Nam Long Investment Corporation | 214.75 | 273.75 | -21.55% |
Investing in real estate projects in Vietnam offers significant opportunities for foreign firms, driven by the country’s economic growth, urbanisation, and rising demand for residential, commercial, and industrial spaces.
However, navigating the market requires a thorough understanding of local regulations, investment structures, and cultural nuances.
Read more: Investing in Real Estate Projects in Vietnam for Foreign Firms
Key developments in 2025
Key developments in 2025 include:
Legal reforms reshape the sector
Vietnam implemented a major overhaul of the legal framework governing the property market in 2025, with revised versions of the Land Law, Housing Law and Law on Real Estate Business taking effect.
The reforms aimed to improve transparency, accelerate project approvals and address long-standing bottlenecks that had stalled thousands of real estate projects across the country.
Authorities also clarified rules around land valuation, compensation and land-use rights in an attempt to reduce disputes and improve investor confidence.
Continued rise in housing prices
Residential property prices continued to rise in major urban centres, reflecting strong underlying demand and limited housing supply.
Apartment prices in Hanoi recorded particularly strong growth during the year, while Ho Chi Minh City also saw sustained price increases in many residential developments.
The shortage of new project approvals in previous years contributed to a limited supply entering the market, putting upward pressure on prices.
This trend increased concerns about housing affordability for middle-income households.
Industrial real estate expansion
Industrial real estate remained one of the strongest segments of Vietnam’s property market in 2025.
Demand for industrial parks and logistics facilities continued to grow as multinational companies expanded manufacturing operations in Vietnam.
Foreign direct investment inflows into manufacturing supported the development of new industrial zones, particularly in northern provinces and around major ports.
High occupancy rates and rising land lease prices were recorded in several key industrial clusters.
See also: Industrial Real Estate in Vietnam: Industry Overview
Office and commercial property growth
Vietnam’s office market also expanded during 2025, particularly in Hanoi and Ho Chi Minh City.
New office developments entered the market to accommodate growing demand from domestic companies, multinational corporations and technology firms.
Retail real estate also saw continued development, driven by rising consumer spending and expanding urban populations.
However, developers increasingly focused on higher-quality projects that integrate office, retail and residential components into mixed-use developments.
See also: Commercial Real Estate in Vietnam: Industry Overview
A billboard advertising a new residential tower development, roadside in Ho Chi Minh City.Hospitality and tourism real estate
Vietnam’s coastal areas like Phu Quoc, Nha Trang, and Da Nang are hot spots for luxury resorts, eco-tourism projects, and hotel developments catering to international tourists.
The increasing number of tourists, especially from Asia and Europe, is driving the demand for high-end accommodations.
The popularity of condotels (condominium hotels) and vacation home investments continued in 2025.
Challenges in 2025
Some of the key challenges for real estate in Vietnam in 2025 include:
Legal and administrative bottlenecks
Despite new legislation taking effect, many real estate projects continued to face delays due to complex administrative procedures and overlapping regulatory approvals.
Local authorities remained cautious in approving projects following earlier anti-corruption investigations in the property sector.
As a result, a large number of developments across major cities remained stalled or delayed.
Developer debt and financing constraints
Many property developers continued to face financial pressure following the tightening of credit conditions that began in 2022.
The corporate bond market, which had previously been a major funding source for developers, remained weak after regulatory crackdowns and investor concerns.
Limited access to financing slowed new project development and forced some firms to restructure debt or delay construction.
Housing affordability pressures
Rapid increases in apartment prices in major cities created growing affordability challenges for middle-income households.
Limited new housing supply, rising construction costs and land price increases contributed to higher property prices.
These trends increased pressure on the government to expand social housing and affordable housing programmes.
Slow project approvals
Although regulatory reforms were introduced, the process of implementing new laws and administrative procedures slowed the approval of new projects.
Developers reported uncertainty over how new regulations should be applied in practice.
This created delays in project licensing, land allocation and construction permits.
Weak market liquidity
Transaction volumes in many segments of the real estate market remained lower than during the property boom of 2020–2021.
Many buyers adopted a wait-and-see approach amid regulatory changes, uncertain financing conditions and high property prices.
Lower market liquidity made it more difficult for developers to sell new units and generate cash flow.
Oversupply risks in some segments
While housing supply remained constrained in major cities, some segments of the property market faced potential oversupply risks.
These included resort property developments, condotels and certain commercial projects in secondary tourist destinations.
Weak investor demand in these segments created additional financial pressure for some developers.
Implementation of new laws
The introduction of revised property legislation required significant adjustments by both developers and government agencies.
Businesses needed to adapt to new compliance requirements related to land valuation, project approvals and property transactions.
During the transition period, uncertainty surrounding regulatory interpretation remained a key challenge for the sector.
Government policies and regulations
Key real estate legislation includes:
Law on Land
In 2024, a revised Land Law was passed by Vietnam’s National Assembly.
This revised law has the potential to have a huge impact on Vietnam’s land market and could speed up foreign-invested projects considerably.
With this in mind, this cheat sheet runs through the key changes in the new Land Law and how this might impact foreign firms doing business in Vietnam.
Law on Real Estate Businesses
The Law on Real Estate Businesses, enacted by the National Assembly of Vietnam, marks a significant update to the regulatory framework governing the real estate sector.
This new law aims to address various challenges within the industry by focusing on transparency, consumer protection, and sustainable development.
Law on Housing
Vietnam’s Law on Housing 2023, enacted by the National Assembly, introduces several key reforms and updates to the housing sector.
The law aims to address current challenges, promote sustainable development, and enhance housing access and quality for all citizens.
📸SNAPSHOT: Starting a real estate business in Vietnam
Starting a real estate business in Vietnam presents many opportunities, as the country’s economic growth and rising incomes are fueling demand for both commercial and residential properties.
However, entering the Vietnamese real estate market requires a deep understanding of the country’s business environment, real estate culture, and the regulatory landscape.
FAQ: Real estate in Vietnam
These are some of the most commonly asked questions about real estate in Vietnam.
What is the overall outlook for Vietnam’s real estate market?
The long-term outlook for Vietnam’s real estate market is promising, driven by economic transformation, urbanisation, and foreign investment.
Despite short-term challenges, the market is expected to continue growing, with potential reaching US$5.75 trillion by 2029.
What are the key trends in Vietnam’s residential real estate market?
The residential market faces a supply crunch, particularly in affordable and mid-range segments.
High-rise condominium developments dominate major cities, and there’s a growing focus on mid-tier housing to address affordability. Apartment prices have seen increases, especially in Hanoi.
What are some of the challenges facing Vietnam’s real estate market?
Challenges include regulatory complexities related to land use rights, supply chain disruptions causing construction delays and increased costs, and potential oversupply in certain segments like high-end condominiums and hospitality properties.
What are the key government policies and regulations shaping Vietnam’s real estate market?
Key policies include the revised Law on Land, the Law on Real Estate Businesses (focusing on transparency and consumer protection), and the Law on Housing (aiming to improve housing access and quality).
These laws, some taking effect in August 2024, aim to create a more transparent and structured legal framework.
What’s next?
The real estate market in Vietnam is poised for continued growth, driven by urbanisation, FDI, infrastructure development, and increasing demand across residential, commercial, and industrial sectors.
While challenges remain, such as regulatory hurdles and supply chain disruptions, the long-term outlook remains positive, with significant opportunities for both local and foreign investors in Vietnam’s dynamic real estate landscape.
Vietnam’s regulatory environment, however, is dynamic and can change quickly. With this in mind, to keep abreast of changes to said regulations, foreign firms operating in Vietnam should make sure to subscribe to the-shiv.
First published September 14, 2024. Last updated March 13, 2026.