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Wall Street Journal: Luxury Home Sales Return To Danang!

In a recent article by Wall Street Journal, the growth of Luxury Property Sales in Danang is discussed.

Author claims that the high-end market in the Vietnamese city on the South China Sea is ramping up and  there are clear signs that the market is picking up again after a slower period. The correspondent recounts that:

Five out of eight oceanfront villas in the latest phase of the Danang Beach Resort have sold in the past three months for $1.6 million to $2.8 million. The most luxurious homes in the 642-acre resort have five to seven bedrooms, large terraces for indoor/outdoor living and multiple private swimming pools. About a third of the homes also have sold at the Estates at Montgomerie Links, south of Da Nang with 66 contemporary homes along an 18-hole golf course designed by European golf pro Colin Montgomerie.

The development, which opened in 2009, sells homes that range from $500,000 to $850,000. Jai Mehta, a banking executive in Hong Kong, was looking for a vacation home with access to golfing. He considered popular destinations such as Phuket, Thailand, and the Maldives, but instead was lured to Vietnam’s investment potential and proximity to Hong Kong. In November, he closed on a two-bedroom, two-bathroom, 1,463-square-foot condo at the Hyatt Regency Residences in Da Nang. The unit has floor-to-ceiling windows, teak veneer closets, terrazzo floors and limestone bathroom countertops. Listed for $473,825, the condo was about 20% to 30% less than it would have cost in other luxury Southeast Asia resort destinations, real-estate agents say.

The semi-developed beachfront with fine sand and clear water is somewhat of a newcomer to the Southeast Asia resort scene, and it is attracting local and international buyers with its celebrity-designed golf courses, a new airport terminal and a location about 60 miles from three Unesco World Heritage sites, including Hoi An, an old port town. “The opportunities here are what people had in Phuket 15 or 20 years ago,” says one of the agents.

Many condos in Da Nang are priced from $200,000 for a one bedroom to $1 million for a three- or four-bedroom penthouse. Oceanfront villas with private infinity pools, living- room pavilions and marble countertops represent particularly good deals, real-estate agents say, with asking prices between $700,000 and $2 million. At the end of 2013, one of the largest waterfront villas with more than 30,000 square feet sold to a Chinese buyer for about $3.1 million—a relative bargain for Southeast Asia.

The author also notices that:

The government is considering making it easier for foreigners to buy property, particularly in coastal and resort regions, according to real-estate firms. The changes, which would take effect in July 2014, would allow foreigners to sign a 50-year lease with the option to extend it another 50 years, or a 70-year lease with no extension. The recent renovation of Da Nang’s airport has helped create momentum. Before the renovation, only a handful of international flights came each week. Today the weekly count exceeds 50, a number expected to double over the next two years. Last year, Silk Air added four direct flights from Singapore and Dragonair started offering direct flights from Hong Kong (…)

Attention from Wall Street Journal is yet another confirmation that now is the time to invest in Luxury Property in Danang!