Real estate market shifts focus to usability and quality of life

The real estate market in Vietnam is transitioning its focus from short-term potential to long-term value, as discussed during a seminar held at Nam Long Experience 2026 in Ho Chi Minh City. This shift is driven by limited land availability, high development costs, ongoing infrastructure investment and expanding urban areas, according to Duong Thuy Dung, executive director of CBRE Vietnam.

Data shows that the former Ho Chi Minh City accounted for around 73% of total housing supply in 2026, while the former Binh Duong accounted for 19% and the former Dong Nai made up 5%. However, newly launched supply is increasingly expanding beyond the urban core. In low-rise housing, the share of new supply in the former Ho Chi Minh City fell to approximately 20-40% from 2024 onwards, while in the apartment segment, the share dropped to around 20-50% since 2024.

The shift in housing demand is also evident, with homebuyers widening their search beyond the city centre due to increasing house prices in central areas. A survey found that 69% of respondents would consider suburban areas or emerging locations for property over the next three to five years. Buyers are willing to live further from the city centre for more living space, affordable prices, and future infrastructure connectivity.

The shift is not limited to developers, as homebuyers are also expanding their search radius. Factors such as price, living space, connectivity, and quality of life are now considered when making housing decisions. This change in perspective is expected to reshape the concept of suburban areas, as transport connections improve and areas with abundant land and good infrastructure become viable growth poles.