Real estate: Vietnam’s HCMC short 179,000 housing units as legal hurdles stall supply

Ho Chi Minh City is facing a major housing shortage, having achieved only 24 percent of its 2021–2025 housing development target, according to a Q2 market report from Savills Vietnam, The Investor has reportedview source.

Just 56,000 of the planned 235,000 new units have been delivered, leaving a gap of 179,000 units amid tightening legal bottlenecks and sluggish approval processes.

Key details:

  • Q2 apartment launches: 1,600 new units, up 38 percent year-on-year
  • Primary supply: 5,400 units; 2,400 sold (45 percent absorption rate)
  • Selling price: Around VND 90 million per square metre (US$3,440)
  • H1 2025 sales: 3,800 units sold out of 6,800 available
  • New project approvals: Only 7 projects qualified for sale, totalling 5,556 units
  • Product mix: Market remains heavily skewed toward high-end housing

Legal delays, credit shortages, and an oversupply of luxury units are exacerbating the city’s housing crisis. 

Authorities are now aiming to cool prices by fast-tracking approvals, boosting supply of affordable housing, and leveraging expanded administrative boundaries to develop satellite cities, the article says.

See also: Real Estate in Vietnam 2025: Trends, Challenges & Outlook

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