The market is still distressed

Key Highlight

Launched units unit in Hanoi market were worse compared to last year figure but sold unit improved (-20% YoY and +15% YoY). Not many developers bring in new supply to the market although absorption rate is good.

In HCMC, there are only 884 units were launched in Q1, down 87% QoQ and 48% YoY. Sold unit faced similar hit, with only than 1,247 units, -55% YoY and -78% QoQ. This reflected very tight supply in HCMC.

The credit growth of real estate sector was at 2% ytd, lower than total credit growth at 5% ytd. Ÿ Credit to the sector has been limited to avoid asset bubble

Comment

Property market has been distressed phase since presale across the segments was reduced significantly. We are still observing the market to see whether the recovery come back. Government lifts off the restriction, however presale still lower than last year, supply remained tight.

We remain Neutral for residential property sector.