Greater Hanoi Ready-built Landed Property 3Q21

Primary prices continued to record a strong increase

October 01, 2021
Stable supply despite the pandemic impact 

New official launches[3] in the Greater Hanoi area reached 870 units, stable q-o-q. Hanoi accounted for up to 70% of new supply, contributed by projects launched in Dong Anh and Thach That districts, less affected by the pandemic than other areas in Hanoi. However, the fourth outbreak continued to strain the supply of four selected satellite provinces, with only 273 units launched totally. Bac Ninh province accounted for up to 89% of the new supply, while Hai Phong province recorded a minimal supply of 30 units. Meanwhile, Hung Yen and Vinh Phuc recorded no new project launch in this quarter.

Except Bac Ninh, all cities/provinces posted a decrease in transactions

The total take-up in Greater Hanoi reached 625 units in 3Q21, a slight drop of 10% q-o-q.  In Hanoi, the absorption rate was 70%, with 420 units sold out. Transactions mainly took place in areas with new supply and less affected by Covid-19. Meanwhile, the four satellite provinces recorded 205 units sold, mostly in Bac Ninh. Notably, market sentiment appeared to be positive in Bac Ninh with 172 units sold, owing to its good FDI attraction and the upgrade of Tu Son from a town to a city-level administration.

Primary prices continued to record a strong increase

In 3Q21, the average primary prices in Greater Hanoi were recorded at around USD 4,468 per sqm land. The whole Northern area achieved strong price growth by year at 12%, but decreased 9.6% q-o-q, mainly due to the launch of two new projects in Dong Anh District in Hanoi within the range of USD 3,500 – 4,500 per sqm land, lower selling prices than the average base. In Hanoi, a typical increase is recorded at around 3-5% q-o-q on a project basis. Among the four satellite provinces, Bac Ninh recorded the highest price growth at 8.4% q-o-q, thanks to positive market sentiment from the establishment of Tu Son City.


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Outlook: Supply subject to uncertainty in 4Q21 but will improve in 2022

Due to the complicated situation of Covid-19  in Hanoi, along with travel control measures between provinces, new supply in 4Q21 was adjusted down compared to the previous quarter forecast. It was at 1,000–1,500 units in Hanoi and about 1,000 units in neighbouring provinces. Supply will improve in 2022 when Hanoi is expected to receive about 3,500-4,000 new units, while the estimated number in the satellite provinces is more than 4,500 units.

In addition to the good market sentiment, there are many catalysts for the RBL market in Hanoi and satellite provinces in the upcoming period, such as the development of key infrastructure projects like Ring Road No.4., Metro lines No. 2A and No. 3, and the establishment of Red River Urban Masterplan. Therefore, the primary price of RBL is expected to continue to increase.


  1. Greater Hanoi area consists of Hanoi, Hai Phong, Bac Ninhm Hung Yen and Vinh Phuc markets.
  2. Prices exclude VAT and sinking fund/maintenance fee. Price per sqm land = total unit value / size of the land plot on which the property is built.
  3. Official launch: Projects are considered as officially launched when the Sale Purchase Agreements are signed, typically upon infrastructure completion.

Source: JLL Research


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