Apartments cost tens of billions to hundreds of billions, so where do customers buy them?

In recent years, luxury real estate has continuously reached new price peaks, particularly in well-planned areas with strong absorption rates and upward price momentum.

A quick browse of Saigonluxury.com.vn reveals a clear trend: apartments valued from tens of billions to hundreds of billions VND in premium high-end projects now dominate the market. Notable examples include the Diamond Island Penthouse priced at 150 billion VND and the Empire City Penthouse at 230 billion VND.

Remarkably, luxury apartments valued at tens of billions—sometimes exceeding the price of prime townhouses in central locations—continue to attract buyers despite the current market slowdown. According to industry experts, this represents a new but rational market reality.

Affluent buyers driving luxury apartment demand

According to Mordor Intelligence’s latest report, Vietnam’s luxury real estate segment is projected to grow by 3% through 2027. “Vietnam’s affluent population—both domestic and international—continues to expand, driving demand for luxury apartments. Vietnam has emerged as a regional luxury real estate hotspot, buoyed by strong economic growth and rising incomes. Wealthy investors from Hong Kong, Taiwan, Thailand, and Singapore are increasingly drawn to the market, recognizing that while prices are climbing, they remain competitive with attractive appreciation potential,” the report states.

Strategically planned areas in East and South Saigon remain the most sought-after, thanks to superior connectivity, strong economic fundamentals, sophisticated lifestyle offerings, and comprehensive infrastructure systems.

Mr. Vo Huynh Tuan Kiet, Director of Residential Marketing at CBRE Vietnam, notes that luxury and ultra-luxury apartments represent a premier product category developed by investors to serve an exclusive clientele. This discerning segment demands exceptional standards in location, design, quality, and service.

“These products are typically located in prime central locations, which establishes a distinctive market position. To capitalize on this exclusivity, developers invest heavily in product differentiation—including superior design, premium amenities, and specialized services—to elevate the experience for discerning clientele. This refinement is precisely what captures the attention of high-end buyers,” Mr. Kiet observed.

According to market analysts, affluent families increasingly prefer apartments to detached homes because of the in-residence amenities, curated community environment, comprehensive security, and lifestyle convenience that individual houses cannot readily provide. High-net-worth residents prioritize safe, secure, spacious, and well-ventilated living spaces while also desiring convenient access to premium services both within and surrounding the development. These factors are instrumental in attracting buyers to ultra-luxury residences.

Moreover, affluent clients themselves seek to reside within a sophisticated residential community of peers. “Cultivating an exclusive residential community is a core strategy developers employ to appeal to high-net-worth clients. This demographic maintains stringent standards regarding security, privacy, and property quality. By attracting such discerning residents, ultra-luxury projects naturally establish a distinct community while maintaining elevated standards across security, amenities, and services.”

To foster such a community, developers prioritize understanding client needs and designing products accordingly, rather than developing buildings and subsequently seeking a market.

“Project developers aim to create residences that attract and retain residents, not merely to construct occupied structures. The product’s pricing strategy is inherently selective, as prospective buyers must assess their financial capacity before purchasing. Rather than developers actively curating buyers, the project itself naturally creates a distinct market segment suited to this product category.

Furthermore, choosing to reside in a spacious home that offers enhanced quality of life, combined with premium amenities and an established community, creates distinct added value for residents and contributes significantly to the property’s long-term appreciation.

Are Luxury Apartments Suitable for Residents or Investors?

Developers have carefully curated premium elements to deliver a living experience that justifies the property’s value. Combined with prime locations and comprehensive amenities, luxury segment offerings are ideally suited to meet the residential aspirations of discerning, high-net-worth clientele.

From an investment perspective, the higher price point and selective buyer base mean rapid short-term appreciation is less likely than in lower-segment products. However, luxury properties’ distinctive characteristics, prime locations, and scarcity make them excellent vehicles for long-term investment,” explains Mr. Vo Huynh Tuan Kiet.

These superior living amenities appeal to many homebuyers seeking long-term residency, resulting in anticipated lower turnover on the secondary market. As demand grows over time, these luxury properties solidify their enduring value proposition.