Vietnam’s real estate market is emerging as one of Asia’s strongest magnets for foreign capital, cementing its position as the second-largest recipient of newly registered FDI after processing and manufacturing. Fresh figures show that by the end of October, the sector had attracted 2.75 billion USD in new commitments and about 1.5 billion USD in disbursed funds, underlining both its continued appeal and the growing confidence of global investors.
Analysts say this momentum reflects a policy shift that is reshaping Vietnam’s investment landscape. The government has streamlined administrative procedures, expanded digital governance and tightened transparency in land allocation—moves that reduce delays and risks in a sector often weighed down by regulation. Revisions to the Land Law, Housing Law and the Law on Real Estate Business have further opened the door for foreign participation through mergers and acquisitions, equity deals and joint investments. As a result, overseas buyers are scouting aggressively for development-ready parcels and distressed assets.
Infrastructure expansion and rapid urban growth are also drawing money in. Vietnam is pumping capital into highways, bridges, metro lines and airports, fuelling interest in industrial parks, logistics hubs and new urban clusters. Foreign investment is now flowing not only into traditional zones but also into green industrial parks, port-linked logistics facilities and satellite townships tied to improving connectivity.
At the Vietnam Industrial Property Forum (VIPF) 2025, experts described the moment as a “turning point” for developers to reposition themselves to tap into new global capital cycles. This confidence is reflected at home too. Nearly 4,700 new real estate firms were launched in the first nine months of 2025, a sharp 20% rise over last year, signalling renewed optimism among domestic players.
According to Troy Griffiths, Deputy Managing Director of Savills Vietnam, the quality of FDI is improving. Investment is increasingly focused on industrial and technology-driven projects, alongside real estate. Hanoi alone received 3.5 billion USD in FDI last quarter, of which more than 3.1 billion USD went into property, reinforcing the city’s status as a preferred investment destination.
Griffiths said the country is moving away from competing on low-cost labour and is instead attracting investment in high technology, semiconductors and value-added manufacturing. He expects infrastructure to remain the key growth engine over the next decade, with rising urbanisation driving the growth of satellite cities.
Assoc. Prof. Dr. Le Thu Ha of Hanoi University of Architecture said new expressways, ports and airports are giving foreign investors strong reasons to expand in Vietnam. She pointed to growing demand for green industrial parks and high-quality logistics facilities but cautioned that integrated planning will be crucial to avoid fragmented development.
Vietnam’s long-term outlook strengthens the optimism. GDP is projected to rise to 480–500 billion USD by 2035, supported by 7–8% annual growth. Urbanisation is expected to reach 50%, with the middle class expanding to 75% of the population—creating sustained demand for homes, offices, retail, hospitality and healthcare.
Experts say the country is shifting from a “land accumulation” phase to a “value creation” model, attracting more institutional capital with a focus on sustainability. Reforms in legal frameworks, funding tools such as infrastructure bonds and digital market oversight are set to make the investment environment more transparent. While risks from global inflation, currency volatility and implementation delays remain, Vietnam is still seen as one of Asia’s most attractive investment destinations.
