Vietnam positive about slumping property market

Recent declines in property prices are actually a positive sign as it means many people will have better opportunities to afford the home they want, the Ministry of Construction says in a new report.

Hanoi apartment market heating up and real estate companies posting huge profits a few years ago had led to misconceptions about market demand, which encouraged more companies to enter the market despite their lack of experience, said the Ministry.

The report comes as the Vietnamese property market has experienced steep declines in property prices as the industry is challenged by lack of liquidity and Asias highest inflation rate.