Vietnam Major Report - Vietnam Market Outlook February 2016
CBRE Vietnam Market Outlook is a trend and forecast publication which debuts in February 2016. In the Outlook, CBRE will highlight the performance and trends of the real estate industry of Vietnam in the recent years to predict what is coming next.
As we look forward to 2016, the macroeconomic environment is expected to keep improving. The country’s GDP structure is gradually shifting from agriculture, forestry and fishery to manufacturing, construction and services. Thanks to its positive fundamentals, recently signed trade agreements, and affordable work force, Vietnam will continue to attract more foreign investment. However, competition will intensify and force the government to conduct proper changes in policies, especially in taxes, to stay competitive in the regional market.
In terms of real estate, leasing activities continue to gain momentum. Rent growth and occupancy levels witnessed sustained improvements across all property types. In many ways, the commercial and residential real estate market of Vietnam is becoming more solid since the World Financial Crisis in 2008. Nevertheless, the industry still needs more transparent approvals and a regulatory body to safeguard the interest of foreign investors. Developers should understand the objectives and investment pattern of these investors in order to spur more foreign capital.