Pros & Cons of Buying Primary Property in Vietnam

For those not familiar with the concept, when we talk about Primary property in real estate in Vietnam we are referring to the houses in Vietnam which are bought directly from the property developer and not from an individual (known as the secondary market). When you are looking to invest in the Vietnamese housing industry depending on your specific needs (short/long-term investment, or buying for living) you might find more suitable to buy either kind of property.

Define, Ho Chi Minh City – Sales Gallery

The first thing you should know is that buying a property in the primary market refers in most cases to when a property is acquired from the developer before its construction is finished (early stages of planning). For this reason, this stage is perfect for those investors who are looking for long-term investments and flexible payment schemes (remember local banks do not give loans to foreigners).


  • Flexible Payment Schemes: One of the most positive sides of buying property from the developer in early stages is the great flexibility of payment. As the property will take several years to be delivered, it is common for developers to offer 1-2 year installment-based payment schemes which allows the buyer to organize the finances with plenty of time ahead.
  • Promotions & Benefits: In addition to justifying the time on which the property will be delivered to the buyer, developers often offer discounts to early-bird investors. One of the most common discounts offered is given based on the payment scheme the investor decides to follow to finance the property. Developers often give 2-3 payment scheme options, one standard and the others shorter, if the buyer chooses one of the short-payment schemes, a small discount on the final price of the apartment will be given (usually 2-5%). At the same time, the earlier you buy the property the better. It is very common for developers in Vietnam to launch their projects in different stages (which are related to the stages of construction) throught the year. For every new stage the new batch of units will have a higher selling price compared to its previous stage (10-15% higher). Buying a property in early stages will always be much cheaper than buying it on advance stages of construction or after the project has been completed.
  • Choose any apartment you want: Another great PRO of buying property in the primary market is the ability to choose any apartment you like. The earlier the stage the better (remember foreigners are limited to a 30% quota of the entire number of units in one project). For example, you can choose a unit in a specific floor, with a specific layout and a specific view.
  • Capital Gain: Buying on early stages at a lower price pretty much guarantees a high capital gain in return just by waiting enough time.
  • Exit Clauses: Another underrated advantage of buying property in the primary market is related to the exit clauses on your contract. If the project is delayed or it can’t be delivered, the project investor will return the invested capital plus interest.


  • Handover time: One of the most common issues that investors face with is the delays on handover time. The handover date on the original contracts end up being just estimated and not exact dates. So if you are one of those investors that need to know exactly when the handover date is, then this type of market might not be for you.
  • Regrets: Another disadvantage of buying a property in the early stages of the primary market is the fact that once the initial deposit is paid, non of it is refundable in case you regret or aren’t able to complete the payment. In case you are no longer willing to keep the unit, your best choice would be to hire a broker to support you selling your property as soon as possible.

Other articles that might interest you:

Handover Of Apartment In Vietnam Through Power Of Attorney

How To Open An Offshore Bank Account In Vietnam

Foreign Property Ownership In Vietnam

Compare listings