State urged to help turn unsold apartments into social housing

A high level of unsold apartments have prompted real estate and economic experts to propose ways to spur the domestic property market.

However, the market lacked medium and small apartments or houses that were suitable for first home buyers.

Nguyen Van Duc, deputy director of Dat Lanh Real Estate Company, told an online dialogue the high level of unsold property was due to apartments being built for rich people, which were out of reach of mid- and low-income people.

Le Thuy Huong, general director of Truong Thinh Phat Real Estate Company, said apartments were not selling because the prices were too high for most people.

Also inconvenient locations, high interest rates, large apartment areas and low quality were factors against buying apartments, Huong said.

Therefore, enterprises would have to reduce prices with support from the Government, bank, contractors and material suppliers to sell the properties, she said.

Le Huu Nghia, general director of Le Thanh Company, said the State should provide market research and forecasts for the real estate industry like foreign firms used to do. Then enterprises could plan design their developments to suit the market.

However, economist Dinh The Hien said enterprises should do their own market research.

Nguyen Phung Thieu, director of the Sai Gon Gia Dinh Joint Stock Company, said the State should provide solutions for specific projects to help rescue the property market, like creating favourable conditions for enterprises to convert housing projects into social housing, which was where the demand was. 

 

Source: VNS