The unique appeal of Nghe An real estate market

Vinh City - Nghe An at night.

Impressive statistics

2021 - a memorable milestone forreal estateNghe An has taken the lead in many rare opportunities and achieved rapid and sustainable progress. The picturereal estateof one of the most attractive markets in the country continues to be forecast to take off with many positive signals in 2022.

The exploitation of auctioned land funds is carried out annually, transactions are closed right from the first auction, the absorption rate reaches over 90%. With the participation and "heat transfer" from the big guys, the project housing sector in Nghe An is recording a clear change in both quality and quantity. Currently, the project housing trend has exploded and occupied a unique position in the market, typically projects such as TNR, Vinh Heritage, ... attracting the attention of many investors nationwide.

From many different perspectives, investors feel secure because the Nghe An market always grows proportionally to the economic development speed and investment in infrastructure construction. Over the past years, there have been no virtual "fever", the Nghe An real estate market shows stability and sustainability, ready to enter a new growth cycle.

Vinh city has synchronous planning and developed infrastructure.

With the goal of creating a breakthrough to turn Nghe An into a key economic - cultural - commercial - service and tourism center of the North Central region, in recent years Nghe An has always made efforts in investment promotion, accelerating economic restructuring, increasing budget revenue. The Standing Committee of Nghe An Provincial Party Committee has approved the content of adjusting and expanding the Southeast Economic Zone to 80,000 hectares, an area of ​​about 15,000 hectares and changing the name to Nghe An Economic Zone.

Overview of VSIP Nghe An Industrial Park.

In particular, in 2021, the total product in the province (GRDP) is estimated to reach 6.2%. Total state budget revenue reached 18,936 billion VND, domestic revenue reached 17,279 billion VND, the highest ever. Nghe An is considered a land with stable economic potential.

Not only benefiting from the economic recovery, Nghe An real estate market is also fueled by transport infrastructure, concentrated public investment resources allocated to 206 projects. 2022 is the pivotal year for implementing the 5-year socio-economic development plan 2020-2025 and in order to successfully implement the targets and tasks of 2022, contributing to increasing production capacity, the Provincial People's Committee has set a target of disbursing 100% of public investment capital at a scale of hundreds of thousands of billions of VND. This will be a huge "springboard" for real estate prices to continue to grow.

Boost for Nghe An real estate market

If 5 years ago, Nghe An was only a playground for local businesses, now a series of real estate giants nationwide have marked their presence in this land such as VinGroup, TNR Holding, T&T, Viet Nhan Group... Forming a new wave with many brilliant colors for this land associated with the legendary Lam River.

The market developments in the 2020-2021 period are a testament to this. Despite the pandemic and economic difficulties, real estate prices are still increasing. The picture of good policies, quarantine, and vaccine "passports" also contribute to creating a "support" for the flow of money. Since the first vaccine injection was deployed, the transaction volume has increased by about 30%, demonstrating the strong absorption capacity of the market.

Cua Hoi Bridge connects the two provinces of Nghe An and Ha Tinh.

In particular, the large-scale economic stimulus package launched in 2022 is also a huge driving force affecting the real estate market. The fiscal solution package such as tax exemption and reduction, development investment... is forecasted to be able to spread to production and business, contributing to increased consumption, promoting the demand for housing and land ownership for both residential and investment purposes.

Along with inflation, profit-taking from stocks pouring into real estate... the amount of remittances at the end of the year also contributes to creating a vibrant purchasing power for the locality. In 2021, the amount of remittances sent to Nghe An is estimated to reach 500 million USD (about 10,000 billion VND) and as usual, about 25% of this amount (equivalent to 2,500 billion VND) will be invested in real estate. Modern, well-planned urban areas become the "focus" of investment for this cash flow.

On the other hand, the trend of low savings interest rates is likely to continue in 2022. Investors always compare the efficiency of real estate investment with other investment channels. According to statistics, the long-term profitability of real estate still occupies a high position in the rankings, so real estate is still a safe haven.

Finally, the majority of Vietnamese people have a strong psychology of owning real estate. The phenomena of land fever and price increases that have occurred in the past all stem from crowd psychology. Currently, the psychology of investors is very enthusiastic and optimistic after many months of "hibernation". Therefore, this variable continues to affect the increase in real estate prices this year.

In addition to the above factors, there are still factors that can push up real estate prices in 2022 such as: scarce supply, risk of inflation, increased real estate income tax due to tightened tax management, increased costs of materials, labor...

According to experts, Nghe An real estate market is heating up day by day. Early attention to Nghe An market is a wise decision of investors who know how to seize opportunities.