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2008 looking great in Vietnam

The beginning of the new year is the time many property investors begin speculating about which markets will be the most important in the year to come, and Vietnam hasn't escaped the eyes of many investors this year. In fact, more property developments than ever are planned to be completed, and most experts expect prices to remain up, which is great news for investors.

In the capital city alone, current rent and purchase rates are nearly ninety-five percent, and even with the promise of high end apartment developments on the horizon throughout the year, IMC Industrial and Property Investment Co director Edwin Yu Kwok Kam recently said, "As the political situation is stable and the economy has experienced growth for many consecutive years, the Vietnamese people are getting richer and their demand for housing is high. I suppose this is a potential market."

With each new development, investors scramble to place a deposit, creating almost more speculation than the country can handle. As a result, hundreds of property development companies have huge projects planned for the year. Keppel Land, one of the country's largest building and development firms, has plans for nearly ten thousand apartments in various spots around the city this year. Another large company, CapitaLand, plans to construct 2,100 apartments over the course of the year.

While the numbers may discourage some, others suggest even numbers like these won't stop the property craze in the country. "Apartments won't come onto the market all at once but in drips and drabs," CityPlus Real Estate Consultating Co director Vu Quang Hien commented. That fact alone is the one that still drives the investment market in the area.