>> Expert says real estate market needs major price adjustment
The West Lake area is claimed to be the most attractive in Hanoi
Real estate experts said that land in the area is still the most expensive in Hanoi and prices are continuing to rise.
Nguyen Hai Minh, an Overseas Vietnamese who lives in France is looking for a land lot around the lake for his plan to build an apartment and service building for lease. To date, he has yet to make a final decision due to price issues.
“I was surprised to get to know that land prices around the lake could reach hundreds of millions of VND per square metre. Some good land lots are offered at as high as VND600 million (USD28,625) per square metre,” Minh said.
He estimated that it would cost him from VND80-100 billion (USD3.81 million-4.77 million) to buy an expected land lot for the plan.
Real estate broker Thanh is offering to sell a 165-square-metre villa near the Sheraton Hotel at VND350 million (USD15,698) per square metre.
According to Thanh, larger houses that have a garage often have higher prices. Buyers are mainly Overseas Vietnamese or businesspeople while lessees are often foreigners who are working in the capital.
Land prices in the area average at from VND300-500 million (USD14,312-USD23,854) per square metre. Land in Quang An Ward is the most expensive, at from VND500-600 million (USD23,854-USD28,625) per square metre.
Prices of apartments in the area reach VND85 million (USD4,055) per square metre.
Despite high prices, many better-off people are still interested in buying and trading in land there due to good geomancy and environment.
Tran Quyet Thang, from a real estate firm, said several investors have plans to build houses to lease to foreigners.
Nguyen Hai Minh has the same plan. He said that one of his friends is leasing a house in the area to a foreign agency at VND80 million (USD3,816) per month.
Reports by real estate consultancy companies showed that West Lake area is the most attractive living place in Hanoi. House rental prices in the area are the highest in the municipal market.