In 2015, the Vietnam government finally relaxed its laws and welcomed foreign investors. Here’s why you should consider getting a Vietnam property investment:
More affordable property than neighboring countries
Property in Vietnam is more affordable than in neighboring countries. Upscale residences in prime locations with amenities are reportedly more affordable than those in Singapore, Hong Kong, and even mainland China. With the government also relaxing its laws on foreign investment, this naturally led to an increase in investments. Around 700 foreign investments were made in 2015 compared to just 250 investments during 2009 to 2013.
Saigon’s skyline at dusk
Its young demographic means potential capital appreciation
Vietnam is the 14th most populated country in the world. Moreover, it has a young population with a median age of 30. This demographic indicates a population with growing demand for Vietnam real estate. Vietnam’s demographics reportedly look better than China’s and Thailand’s who are going through a population decline. Adding to this Vietnam’s steadily rising economy and high urbanization rates, the country’s potential for long term capital appreciation seems highly prospective.
Good geographic location for tourism and country relations
Vietnam is located in Southeast Asia. It borders China in the north, Laos in the northwest, Cambodia in the southwest, and the South China Sea on its eastern side. This makes for easy connections, trading, and good government relations between these Southeast Asian countries. Being in the middle of Southeast Asia gives Vietnam easy travel routes to its neighboring tourist hotspot countries like Thailand, Cambodia, and China. So getting a Vietnam property would mean less travel time to Asian countries and more time to explore them.
A stable government and a rising economy
Vietnam’s economy had its downturns during the 2008 global recession until 2013, but the country has since proved to be resilient and strong. One factor for its quick recovery would be its stable communist government that takes time in making sure policies is efficient and effective before fully implementing them. Vietnam’s economy reportedly increased over 6% last year, a clear sign that opening up its laws to foreign investments was a good move.
Hanoi’s cityscape at night
Furthermore, lead Economist Sebastian Eckardt said “Vietnam’s economy is strong, as a result of strong momentum of Vietnam’s fundamental growth drivers — domestic demand and export-oriented manufacturing. These are good conditions to address critical structural bottlenecks to medium term growth while solidifying macroeconomic stability and rebuilding policy buffers.”
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