Land prices fall, loss of liquidity
Not an exception to the general gloomy developments of real estate market nationwide from 2022real estate Phu Quoc city (Kien Giang) is also in a state of illiquidity after a period of “price fever”. Notably, the land segment of this city is recording a price decrease of 30-40%, with some plots decreasing. up to over 50% but still difficult to find buyers.
According to a survey by Dan Tria plot of land of more than 3,000 square meters along Bai Thom beach is being offered for sale for 15 million VND/m2. The seller said that this plot of land is currently used as land for growing perennial crops but has been planned to be converted to service land. 1 year ago, the owner of this plot of land offered a price of 35 million VND/m2 but now needs money to sell price above.
Like land for growing perennial crops, some plots of land in urban resettlement areas in Phu Quoc with clear legalities are also reducing their average selling price by about 30-40% compared to the beginning of 2022. .
For example, in Bac Duong Dong urban area (Duong Dong town), a plot of land of 123m2 1 year ago had the cheapest selling price of 4453843 billion VND (equivalent to about 40 million VND/m2) but Currently, there is only about 34 billion VND (equivalent to 29 million VND/m2).
Notably, some plots of land with an area of more than 300m2 to build villas in this urban area are priced from only 19 -20 million VND/m2. The reason this land price dropped sharply is because of the large area and lower liquidity.
Similarly, the price of a plot of land about 120-130m2 in Suoi Lon resettlement area is from 27 billion VND at the beginning of the year 2022 now down to 2453232 billion VND. Some land plots with the above area but “violating feng shui” only have a selling price of 1452966 billion VND.
In fact, Phu Quoc is one of the localities with a hotly developed real estate market after stalled and then continued to revive. Especially before and after moving to the city (September 2021), Phu Quoc has had many real estate price increases.
The golden age is over, brokers quit their profession< /h4>
According to Mr. Nguyen Thanh Hung – who used to work as a real estate broker in Phu Quoc – said that the real estate market in this island district from the beginning of 2022 until now has been quite quiet. The market is “feverish” around 2020-2021 and before that was 2015-2018.
“From 2022, the market will almost stand still, transactions will only appear on a few low-value land plots. Some investors lack finance and need to sell quickly and offer deep cut-loss prices” he Hung said.
Remembering the golden age of real estate brokerage in Phu Quoc vibrant. Big investors from Hanoi or Ho Chi Minh City flock here. They buy large plots of land and even agricultural land and land for perennial crops, which are also easy to transact.
At the time of “price fever”, a broker like me can successfully close about 20-25 transactions/month. I’m busy all month with consulting and taking customers to see land…” Mr. Hung shared.
However, according to Mr. Hung, since last year, moves to tighten credit have prevented widespread subdivision of plots. has had a major impact on the Phu Quoc market. Transactions on the market are almost “frozen”. There are no people interested in land.
In the whole year of 2022, I could not broker any successful transactions. By the beginning of 2023, I decided to switch to do other jobs” Mr. Dat said and said that many brokers in Phu Quoc also quit their profession after the market fell into a slump.
According to the opinion of some experts and professional investors, although Real estate prices in Phu Quoc are decreasing, but customers when buying land here at this time need to pay special attention to planning and carefully research information from state agencies, reputable brokerage companies and trading floors to Understand clearly the planning and legalities of the project. Customers should choose projects that are legally clear and have appropriate prices to avoid the situation of buying at “peak swing” and “bogged down” prices.
In fact, many investors are interested in the real estate market Phu Quoc learned a valuable lesson during the “land fever” in the 2015-2018 period. Many people did not follow the plan, so the hot market suddenly became a virtual bubble market, so the market collapsed very quickly.
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