HCMC apartment prices rise 11.8% in Q1

Across HCMC, which includes the former Binh Duong and Ba Ria-Vung Tau provinces after the merger last July, prices averaged VND97 million (US$3,680).

The appreciation in prices has been largely driven by the dominance of high-end segments and the impact of infrastructure development.

In central HCMC, only around 820 units hit the primary market, nearly 90% in the high-end and luxury segments.

Even in Binh Duong and Ba Ria–Vung Tau, which were merged into HCMC in July last year, prices have risen to VND60 million per square meter in the primary market. There is little supply at below VND40 million here.

Properties in easter HCMC. Photo by VnExpress/Quynh Tran

These areas have added supply in the mid-range and affordable segments, contributing to price disparities across the city but not enough to bring down the overall average.

Infrastructure development has also been a factor. The rollout of numerous transport projects has improved connectivity, enhancing real estate value.

However, the rising prices are affecting liquidity. Knight Frank said the number transactions in the first quarter exceeded 5,000 units, up 129% year-on-year but down 66% compared to Q4 2025.

The transactions have mainly taken place at projects offering interest subsidies for three to five years, extended payment schedules or high discounts.

Alex Crane, managing director of Knight Frank Vietnam, said the upward trend in apartment prices reflects a structural shift in the market.

As inner-city land becomes increasingly scarce and expensive and development costs continue to rise, new supply perforce has to be at the high end, he explained. "The upward trend in apartment prices in HCMC will persist as new supply continues to be skewed toward the high-end segment."

From now through 2027 HCMC is expected to add around 50,000 new apartments, mostly in the high-priced segments with affordable housing shifting to suburban areas.