Demand for real estate remains high amid difficult situation
Written by Administrator   
Tuesday, 14 June 2011
The real estate market in both northern and southern regions are undergoing the very difficult period, which could lead to many aftermath and different impacts. Properties companies are also struggling disadvantages in the market but searching opportunities, the VTV online news provider reported. Vietnam's realty market has some famous consulting firms such as CBRE, Savills or Knight Frank in addition to some local businesses. In the previously booming context, these companies used to be very busy but when the market was frozen, they also had to manage negative effects.

Neil Gregor, deputy general director of Savills Vietnam said, "We absolutely are affected by bad market situation and competitive pressure, but we are not investors who have to suffer pressure of loan interests. On the other hand, we have diversified marketing, sales of property items like ground land, apartment, resort real estate as well as property service management. We are doing business of realty pricing, offering market reports, which are expected to help us gain revenues in this difficult point of time".

According to Savills, realty prices in Vietnam now are very high so it requires a proper correction. The fact is that some realtor companies could not exist any more when the market was frozen. They were out of game because of lack of financial capacity and intelligent reactions against difficulties and disadvantages, and Savills is aware that this is a great chance for powerful property companies buy good projects for long term strategy.

"The market is difficult for some poor businesses but positive for strong firms. Cash now in Vietnam is "king", which is much more useful. Great opportunity is emerging in real estate field with cheaper prices for which people are excited to return the market, Neil Gregor confirmed.

From now to the end of 2011, the market is of buyers, not of sellers. Buyers have more options whereas sellers are going to the corner of market, VTV online news quoted To Hai-CEO of Ban Viet Securities Co as saying.

Specialists expected that real estate demand of Vietnamese people remained high and such a difficult market becomes an opportunity for medium and long term vision. Basically, people are able to access cheaper prices and investors who can overcome this time will likely be stronger and more powerful, professional and developed.
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