Explore 9 factors affecting the price of apartments

Explore 9 factors affecting the price of apartments

There are many factors affecting the price of apartments such as the project location, investors’ prestige, legality,… Understanding these factors will help investors as well as buyers to assess which apartments in the low price segment, which apartments in the high one. From there, it will be easier to invest in apartment projects and find an apartment suiting your budget.

1. Project location

Towards factors affecting the price of apartments, the location is the key factor to determine the price. A beautiful location will account for 50% of the value of the apartment. What is a beautiful apartment location? The apartment project with a beautiful location is a project owning the advantageous traffic, easy connection to surrounding areas,…

Obviously, the future liquidity of projects with good location is also much better.

2. Investor’s prestige

Projects from well-known investors will be adjusted “better” than projects of small investors. However, when buying projects from these investors, you can feel more secure in many aspects such as construction quality, progress and legality.

3. Legality

In addition to location, legality is also a crucial factor affecting the price of apartments. In order to feel secure when buying an apartment, you should choose projects that have started the foundation and pile or project that have finished over 20% of civil work. If you have the condition, obviously, it is the best to buy completed apartments.

4. Area and location of the apartment

With the large area, the price of apartments will be high and vice versa. Moreover, the floor location also affects to the apartment price. Towards projects located in big residential areas, apartments in the ground floor are often very expensive because buyers can combine between living and trading. Yet, apartments from the 8^th to 16^th floor have the higher price because of owning the nice view and saving time to move.

Conversely, apartments from the 2^nd to 7^th floors which are less chosen will have a significantly lower price. The reason comes from the perception that the lower floors will be noisy and have many mosquitoes.

5. Quality and construction progress of the project

Once the project is built with good quality and on schedule, the selling price will be higher. You can grasp the quality of the work by referring to previously completed projects of the same investors.

6. View of the apartment

This is understood as the space, the outside view of both landscapes and utilities that the owner can see from the apartment.

Normally, an apartment with a beautiful and clear view such as park view, lake view, garden view,… will own a higher price compared to other apartments in the same project with “bad” view (street view, apartment view,…).

Particularly, for corner apartments, they possess up to 2 beautiful views. Therefore, their price is usually higher than other apartments in the project, on average from 2 million/sqm.

7. The direction of the apartment

The direction of the apartment is also a factor affecting to the price of apartments. Accordingly, apartments with cool directions such as East, South, Southeast will own a higher price than apartments with hot directions such as West, North, Northwest,… In which, apartments in the West is the cheapest.

However, in case the apartment has a hot direction of Northwest, Southwest but has a nice view or is located in the mid floors, the price may still be a little bit higher than other apartments with the same direction.

8. Utilities

Usually with a big apartment project, there are many apartments in the project. The ability to connect from the apartment to common utilities in the project also directly determines the price of apartment. The apartment that is close to utilities, in the center of the project and easy to move to internal routes will have a higher price than other apartments in the same project.

Yet, prestigious investors currently always prioritize the customers’ needs. Thus, the construction of internal utilities is also designed to meet all residents’ needs of the project.

9. Feng shui factor

In different regions, people have different beliefs and taboos. Therefore, feng shui is also one of factors affecting to the price of apartments. For Vietnamese, the numbers such as 13 (12A), 14 (15A) are usually considered as unlucky numbers. That is the reason why apartments located on these floors or having these numbers have a lower price than the remaining apartments in the same project.

Saigon Apartment has synthesized 9 factors affecting the price of apartments. We hope that you will have a subjective view about the apartment market to make appropriate investment decisions or buy apartments suiting your budget. Contact us via hotline +84 903004226 if you have any concerns with regard to choosing the most appropriate, safe and effective projects and apartments.

Dennis