Sunwah Group tempts Hong Kong buyers with Ho Chi Minh City property project
A majority of investors in the Vietnamese city are from Hong Kong, Taiwan and mainland China where real estate prices have doubled in the last 10 years
Investors from Hong Kong, the top buyers of property in Ho Chi Minh City where home prices have doubled in less than 10 years, got first preference on a new tower in the Vietnamese city.
Sunwah Group, a Hong Kong developer with a heavy focus on Vietnam, launched the sale of the third tower of its Sunwah Pearl project this month, giving buyers from the city dibs on 140 units priced between US$2,300 and US$2,600 per square metre. The aggregate prices of most two-bedroom and three-bedroom units range between US$250,000 and US$400,000. The entire project has a total of 1,342 units.
Tram Cao, a sales executive at Sunwah Pearl, said the project is a five-minute drive from the city’s central business district.
“About 30 per cent of our buyers are foreigners,” Cao said. “Chinese buyers rank first, followed by Japanese buyers.”
Vietnam is fast becoming the Asia’s hottest property market for Hong Kong and mainland Chinese investors, as prices continue to go through the roof after the country opened up its property market to foreign investors in 2015. Developers can now sell 30 per cent of units in each building to foreigners.
The Ho Chi Minh City Real Estate Association estimates 700 foreigners bought property in the city from July 2015 to the end of the first quarter of last year, and the market has heated up considerably.
In Ho Chi Minh City, new flat prices grew 6.9 per cent in the first quarter of 2017, and 7.3 per cent in Hanoi, Jones Lang LaSalle data shows.
