With multiple improvements being implemented, the “billion-dollar” route connecting Ham Tan (Binh Thuan) and Binh Chau – Ho Tram is about to start a robust growth cycle. Along with this, there has been a noticeable increase in the number of searches from consumers in the North, demonstrating that they are interested in this market.
The southward migration in the property market.
Based on statistics of user search habits from the Batdongsan information channel, 46% of northern investors tend to look for real estate investment opportunities in provincial and distant markets.
Coastal real estate remains the most popular category for investors moving to the South, according to Mr. Nguyen Quoc Anh, Deputy General Director of Batdongsan Information Channel, who states that northern investors frequently choose offshore real estate investment. Consequently, Hanoi accounts for 53% of the demand for items related to searching for beachfront real estate villas. Similarly, 38% of investors in Hanoi are seeking condotel.
Picture 1
More than 300 days of warm sunshine make it possible to exploit tourism all year round, which is an advantage of southern coastal real estate.
Mr. Quoc Anh believes that this trend of northern investors will only get stronger. These days, investors are focusing on nearby markets and the central coastal region, including Vung Tau and Binh Thuan, since these areas are expected to have significant potential for growth and an ample supply shortly.
Meanwhile, according to Ms. Trang Bui – JLL Vietnam Market Director, northern investors prefer projects from reputable developers, large scale, with multiple utilities, high liquidity, and profitability.
Binh Chau – Ho Tram: Rising stars on the tourism map
Binh Chau-Ho Tram started to grow rapidly in 2022 as a result of several initiatives being carried out, along with the recovery of tourism. Notably, projects such as Novaworld Ho Tram and Charm Resort Ho Tram are supporting the growth of key agents concurrently in the North and South at this time. Nam Group decided to move to the north early this year to advance the 90-ha project in Ke Ga.
Recently, Venezia Beach developed by Danh Viet Property has received special attention from customers in this area. According to the records, after a short time of launching the market with the pioneering trend of creating HomeResort, northern investors account for about half of the customers who are interested in the project. Comparably, statistics on regional variations in internet search results show that up to 40% of consumers are from the north, which is equivalent to Ho Chi Minh City. consumers from Bien Hoa, Vung Tau, and abroad Vietnamese clients follow.
Experts state that there are numerous infrastructure projects planned for the 2022–2025 timeframe, including the construction of Long Thanh Airport, Phan Thiet airport, the Bien Hoa – Vung Tau highway, the Dau Giay – Phan Thiet Highway, and the widening of the Vung Tau – Binh Chau coastal road. As a result, real estate prices are expected to fluctuate significantly along this coastal route. Moreover, with 300 warm days of sunshine a year, these two of the South’s biggest tourist destinations are open for business year-round. Therefore, if you only consider the problem of renting rooms, investing here is reasonable.
Previously, Ms. Duong Thuy Dung, Senior Director of CBRE, stated that rising markets like Binh Chau – Ho Tram… will be appropriate due to the low pricing, as well as being accessible to Ho Chi Minh City for resort purposes and being able to be exploited for rent. Soon, this will take over the real estate market.
Tran Khanh Quang, a Real estate expert, predicts that Binh Chau – Ho Tram real estate values will rise by a considerable amount over the next two to three years, with Long Thanh Airport generating a second wave of development in this area.
Picture 2: The market for beachfront real estate is controlled by international property management companies.
Mr. Quang Thanh (Thanh Xuan, Hanoi), an investor researching Venezia Beach, stated among the crowds of people overflowing Binh Chau – -Ho Tram: “Venezia Beach is one of the few oceanfront real estates with long-term ownerships, therefore, it is resistant to any market changes. The reason I feel comfortable renting while I’m not there is because of the stunning beach, more than 300 warm days of sunshine, and the establishment of a range of facilities by global companies Marriott International and Best Western with the needs of renting without living. Additionally, I find it fascinating that rivers, lakes, and oceans all converge at a spot with a 6-kilometer water surface.”
Based on market observation, investors across the nation have concentrated on the safety component of the accommodation exploitation equation during the current market recovery cycle, among the many other considerations affecting the choice to purchase coastal real estate. Therefore, internationally operated projects are gaining an advantage. Specifically, according to a Q1-2022 report by DKRA, projects operated and managed by international units recorded a selling price approximately 23% higher than those operated domestically and had a high revenue, accounting for 86% of total consumption in the quarter.
The increase in searches for real estate in the Binh Chau – Ho Tram region, which extends to Binh Thuan, indicates a thriving and promising real estate market and a new phase of growth for the “billion USD” tourism route.
