Why is the Vietnamese real estate market not necessarily as attractive as one might imagine as an investment?
Many people think that the Vietnamese real estate market is a good investment. The million dollar question is: is the Vietnamese real estate market a good investment and even if it is, is it necessarily for all investors regardless of their personal characteristics? Well, let's not beat around the bush: the answer to that question is far from automatically yes. Indeed, the mistake often made here is easy to understand. Less experienced investors assume (and no one can claim they are wrong about this) that Vietnam is a developing country with a booming economy and so much potential.
This is a good start to reasoning, but only a start and by no means a full analysis. Indeed, as an investor, if your reason for investing in a specific country is based on a single criterion such as economic growth here, you have many chances of failing and could even fail miserably. You should always keep in mind that it is necessary to base your investment decisions on a comprehensive analysis of a set of criteria. We of course agree that investing in Vietnam as a rule is a good idea simply because of the country's economic growth and incredible potential. However, you should also look at the current valuation. What we mean by valuation is not just looking at the prices, but rather analyzing those prices and trying to make sense of them. Do you know the current prices to buy a small house in Hanoi or Ho Chi Minh City?
If you do, how do you think they stack up when looking at comparable real estate markets? But wait a minute, how do you define comparable real estate markets? That's a lot of questions to answer. At Anh Thomas Investment, we have a team of experts who know how to do good business. We would be happy to help you find the right real estate market to invest in.
Comments