For decades, Vietnam’s communist government enforced a strict policy pertaining to the ability of foreigners to invest in Vietnamese property, business, and real estate. However, recent economic developments have opened up this previously secretive Asian country to entrepreneurs. Incongruously, many westerners once wrote Vietnam off as a tropical war zone, perhaps influenced by the war between the Vietnamese and the United States in the late 1960s and early 1970s. These naysayers couldn’t be more wrong about the beautiful, tropical country of Vietnam, which boasts a friendly population, a booming economy, and the subtle influence of French culture throughout its capital cities.
Vietnam’s recent history has seen the Southeast Asian country rise through the economic ranks of Asian powers, and at a rapid rate. In fact, the rate of growth enjoyed by the Vietnamese economy outstrips that of most countries in the world, including the powerhouse tiger economies that have characterized the growth of Southeast Asia over the past decade. There has never been a better time to buy property in Vietnam, so you have no reason not to jump on the bandwagon and enjoy all that the Vietnamese property mark has to offer.
Property Strategies in Vietnam
Thanks to their close geographical proximity to Vietnam, Australians were among the first westerners to turn their attention to Vietnam in search of their next lucrative property investment. In 2015, the Vietnamese government passed laws allowing for controlled investment in Vietnamese property by foreign investors. In the intervening months, a burgeoning property boom has taken Ho Chi Minh City and Hanoi by storm, so it’s well worth your time and energy to look into investing in Vietnamese property. Even if you aren’t a property investor, Vietnam’s climate and culture make it a fantastic place to live, and its booming tourist and industrial economy allows for a great quality of life.
Taking the Tourist Dollar
Tourists from both Asia and other parts of the world visit Vietnam every year in droves, pumping their money into the Vietnamese economy and, critically, the Vietnamese property market. One of the most popular strategies for property investors in Vietnam is to pick up real estate for a relatively low price through a service such as Dotproperty Vietnam as a first step. The next move generally entails gradually refurbishing and renovating the property with the aim of selling it down the line for a massive profit. This is a standard strategy around the world—but one edge the Vietnamese market has over many of its neighbors is its year-round market for tourists. Backpackers and other visitors to Vietnam will need somewhere to stay during their trip, and are rarely discerning about where they stay as long as it’s secure and provides protection against the saturating rains that pass through Vietnam every year. This year-round tourist market provides a steady, fresh supply of potential tenants to live in your property as you renovate it, and as your renovations go on, you’ll be able to command a progressively higher price as time goes on. Taking advantage of Vietnam’s lucrative tourist market is just one way that clever investors can make the most of the country’s recently opened borders.