After the third quarter of 2019, the market is somewhat quiet, the real estate in Da Nang exciting againwith a series of projects launched in the fourth quarter of 2019. Is this a golden time for investors to pay attention to this market after a long time of waiting?
Real estate always has a clear growth cycle, it will be time to fall back after peaking and prepare platform for the next leap. Typically, after 9 months of slowdown due to many factors of legal tightening at the Da Nang market, investors started to slow down to more carefully prepare for their projects with the most important purpose of bringing absolute peace of mind for customers. Because of that reason, most of the major projects were "silent" during the third quarter, causing many investors across the country to languish waiting for the golden time.
Catch up the current real estate status
Before revealing the hot spots of the current real estate market in Danang, we could review some of the product lines that have been "hot" in recent years. Contrary to the market picture 2 years ago, the leisure real estate is no longer the story of condotels and beach villas in Danang of 2019. According to Ms. Vo Thi Khanh Trang- Head of Savills Ho Chi Minh City Research & Consulting, she said that after a period of superheat developing, the Condotel has revealed a number of management and legal shortcomings and if the price increase of this product line is unsustainable and the growth rate is not high.
Customers tend to change investment in the fourth quarter of 2019
In the context that the legal framework of condotel has not been completed and Da Nang coastal land for resort villas is increasingly limited, the market is shifting attention inevitably to replaced product lines including land plots, suburban river villas. Ms. Do Thi Thu Hang, Director of Savills Hanoi Research & Consultancy Department commented: “Following the direction of adjusting the general planning of Da Nang city with one of the two key directions included Southeast - the area near Quang Nam and Co Co River, the villa segment is expected to receive more products of villas and townhouses next to coastal villas in the future. If the developers capture the favorable position as well as have the leading investment orientation in the market, the real estate flow towards the adjacent to the river area is very smart”.
On the other hand, most of the upper class from the big cities tend to come to Danang to enjoy the wonderful holiday atmosphere. However, the fact of the number of villas with high standards in Da Nang is too limited. Luxury customers set the very high standard of perfect villa for their travels from architectural space to location and accompanying services ... Thus, the question for investors is how to meet the increasingly scarce and difficult market at the present?
Recovery stage and speed up
The coastal area of Danang has been overloaded with the series of projects over the past time, thus investors are advised to shift the trend to adjacent to the river areas, particularly the southern area of Danang City. Because most of its riverside projects are close to the beach that suitable for developing tourism services and especially resorts. Just opening the door, the owners will feel the natural wind with harmonious green scenery and quiet space. In particular, the Co Co river connecting Da Nang - Hoi An (Quang Nam) will be cleared for the entire route before September 2020. The early opening of the river as a "silk road" connecting Hoi An and Da Nang will create a lot of potential opportunities for developing tourism products as well as tourism real estate products- Condotel products along the river. By the end of April 2019, the leaders of the two provinces agreed to coordinate in the planning of the destination system and entertainment centers for tourism development along the Co Co river in the most effective way to promote and maximize potential tourism exploitation of the two localities.
Co Co River - New paradise for luxury real estate projects
Moreover, this area also welcomes VV Mall in the JW Marriott hotel complex which is being built on Non Nuoc beach, Ngu Hanh Son district. According to experience in the world, the country has many entertainment venues, trade centers which will be an economic attraction, contributing to improving the appearance of local infrastructure, promoting excess development and Da Nang are learning to conduct it step by step. In addition, the attractive facilities are such as clean beaches, international golf courses, international schools, extremely livable environment with convenient transportation, no traffic jam, the movement between Danang and Hoi An easily that fully meets the rigorous requirements of fastidious investors who wish to invest in this area.
Adjacent entertainment facilities are a plus point for projects in the southern of Danang
It is known that the southern region has been revealed the information on some riverside villa projects. These projects have been invested trillions VND dong for completing the infrastructure and utilities before launching. This is a good sign for investors because no one has focused on infrastructure even often implementing slow progress compared to the contract. Especially in the context that investors are still afraid of the legality of real estate in Quang Nam area with having red book of each apartment before opening for sale, these villa projects will be won the full trust of customers.