Vietnam Special Report – Rent vs Buy September 2014
In the perception of most Vietnamese, buying a home is a wiser choice and rental payment would be a wasted expense. Therefore, there has been relatively little discussion in Vietnam on whether renting or buying makes more sense. However, when it comes to financial consideration of the two options, the situation could be different. In recent years, with the development of the residential market offering wider range of housing products and pricing, people are having more options to choose from depending on their budget. For those who cannot yet afford, the rental market also has various choices offering them accommodation in locations of choice and in more modern apartments.
This paper looks into Hanoi and Ho Chi Minh City residential markets in comparison between buying and renting. It highlights the traditional preference of Vietnamese and how it is changing. It also points out the costs that are associated with buying and renting and compares the two. Market players who are considering between buying their own homes, or renting a property of choice that they are yet able to buy would realize the findings relevant and helpful in making their decision.