Resort real estate supply recovers sharply in some areas

They are part of seven projects, the Vietnam Association of Realtors said in a report.

In the entire first half 3,100 units were added to the market, double from a year ago but down 73% from the same period in 2022, it said.

Data from real estate agency DKRA Group shows new condotel supply increased by 51% year-on-year, mostly in Nha Trang beach city.

The number of resort real estate transactions also rose seven-fold from a year ago.

Resort villas costing below VND10 billion (US$395,000) and condotels below VND3 billion sold the most, it added.

Vo Hong Thang, director of consulting and project development at DKRA Group, said primary market prices remained stable at high levels.

The most expensive condotels are currently priced at around VND140-180 million per square meter, he added.

Michael Piro, co-CEO of property developer Indochina Capital, said the resort real estate sector is attracting less foreign investment than industrial and residential properties.

Instead of launching their own projects, foreign investors often prefer to enter the market by acquiring units developed but poorly managed by local companies, he said.

This allows them to directly engage in management and enhance quality.

Thang forecast 400-500 condotels and 100-150 resort villas would be launched in the third quarter, primarily in Da Nang City and Khanh Hoa and Quang Ninh provinces.

Piro believed that the resort real estate segment, though not performing as well as the rest, has potential for growth in the long term as tourism expands.

In the first half of the year Vietnam received over 8.8 million international visitors, up 58% from a year ago and surpassing the 8.5 million before Covid, he said.