Urban land price changes in the period of 2017–2020: case study in Da Nang city

Abstract

This study aimed at clarifying the situation of the urban land use rights market in Da Nang city in the period of 2017–2020, as well as assessed the impact of the Covid-19 pandemic on the real estate market in Da Nang city. The research results have shown that, , the price of residential land in urban areas increased continuously from 2017 to 2019 and decreased when appearing the Covid-19 epidemic in 2020. The average rate of increasing prices in the period of 2017 – 2018 and 2018 – 2019 corresponded with 80%/year, and 50%/year. Since the period of 2019–2020, land prices have decreased markedly with -11%/year on average. In comparison with 2017, land price in 2020 increases from 100 to 160%, equivalent to an average of 25–40%/year. The magnitude of land price has a significant relationship with the rate of increasing price during the study period. Land plots have smaller or equal to 16 million VND/m² price which have ahigher rate of increasing price than those priced greater than 16 million VND/m². When the land market increases strongly, and signs of a “bubble”, the State's credit policy, and the supervision of the local government on real estate brokerage and trading activities are effective solutions to control the market.