A report from SHS Securities shows Vietnam’s housing affordability has reached one of the worst levels globally, with the price-to-income (P/I) ratio standing at 27.3 by mid-2025, Nguoi Quan Sat has reported → view source.
This means the cost of an average apartment equals more than 27 years of household income if every dong were spent solely on housing.
Key details:
- Affordability gap: Even households earning VND 30 million (US$1,154) a month cannot buy without family support or preferential loans, as housing instalments should not exceed 35 percent of income.
- Price vs. income: From 2014 to mid-2025, Hanoi’s per capita income doubled from VND 4.11 million to VND 8.3 million per month, but average apartment prices more than tripled from VND 25 million to VND 75.5 million per square metre. Prices rose nearly 12 percent annually, far outpacing income growth of 6.4 percent.
- Global comparison: By Q2 2025, Hanoi apartments cost VND 75–80 million per m², while Ho Chi Minh City reached VND 77–89 million. With US$1 million, a buyer could only purchase 33 m² in Hanoi—less than London or New York (34 m² each), Shanghai (44 m²), and Tokyo (58 m²). Ho Chi Minh City allowed slightly more at 68 m².
- Structural pressures: Rising urbanisation—forecast by the World Bank to reach 50 percent by 2040, with Hanoi and HCMC accounting for two-thirds of demand—fuels prices. Land hoarding as a perceived safe investment further restricts market supply.
See also: Real Estate in Vietnam 2025: Trends, Challenges & Outlook