Vietnamese returning from Canada struggles to find Ho Chi Minh City home for $700,000

After living in Canada for nearly 40 years, my uncle has returned to Vietnam to settle down and retire as his wife has passed away, his daughter is married and living in France, and his son is in the U.S.

He believed that with a budget of VND18 billion (US$700,000), finding a good home in HCMC would be straightforward. But he soon discovered that even narrow tube houses deep inside small alleys were priced at over VND10 billion—some reaching as high as VND20 billion.

Even though the market is considered "frozen" right now, these tiny downtown properties, often measuring just a few dozen square meters with outdated layouts, are still listed at sky-high prices. This trend likely applies to Hanoi as well.

My uncle said he would rather buy land in a neighboring province and build a house with a small yard than spend years climbing up and down those narrow, tall tube houses. Initially, he considered buying a house in the city for convenience and access to medical services. But after weighing the pros and cons, he decided to "leave the decision for next time."

In my view, tube houses were once a practical solution during rapid urban growth when land was scarce and city planning was chaotic. Now, they have become overpriced assets. House prices no longer reflect the practical value or comfort of the home. Instead, they are driven up by speculation, land hoarding, and the belief that "downtown real estate will always rise in value."

It is true that city-center homes have advantages in location and resale potential. But when narrow houses just 4-5 meters wide are considered premium properties, it reveals a distorted market that ignores real living needs in favor of speculation and asset hoarding. Instead of enjoying a spacious, airy home with a garden, many settle for a cramped place simply because it is worth billions on paper.

Housing development should follow a comprehensive urban strategy, one that improves infrastructure in suburban areas to ease pressure on the city center, encourages affordable housing, imposes reasonable taxes on those who own multiple properties, and shifts the market away from land hoarding and treating homes purely as investments instead of places to live.

If you were in my uncle’s shoes, would you buy a tube house deep in an alley or build a spacious house on a plot of land in a province neighboring HCMC?

*The opinion was translated into English with the assistance of AI. Readers’ views are personal and do not necessarily match VnExpress’ viewpoints.