Is Vietnam property better than Thailand?

Authored by the expert who managed and guided the team behind the Vietnam Property Pack

Everything you need to know before buying real estate is included in our Vietnam Property Pack

Who is the author of this content?

BAMBOOROUTES

A team specialized in real estate investing in APAC countries (Japan, Thailand, Indonesia, Australia, etc.).

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Vietnam. If you'd like to learn more about us, you can check our presentation page.

How this content was created 🔎📝

At BambooRoutes, we explore the Vietnamese real estate market every day. Our team doesn't just analyze data from a distance—we're actively engaging with local realtors, investors, and property managers in cities like Ho Chi Minh City, Hanoi, and Danang. This hands-on approach allows us to gain a deep understanding of the market from the inside out.

These observations are originally based on what we've learned through these conversations and our observations. But it was not enough. To back them up, we also needed to rely on trusted resources

We prioritize accuracy and authority. Trends lacking solid data or expert validation were excluded.

Trustworthiness is central to our work. Every source and citation is clearly listed, ensuring transparency. A writing AI-powered tool was used solely to refine readability and engagement.

To make the information accessible, our team designed custom infographics that clarify key points. We hope you will like them! All illustrations and media were created in-house and added manually.

What are the current property market trends in Vietnam and Thailand?

As of September 2025, Vietnam's property market is experiencing explosive growth with 30% price increases nationally, driven by infrastructure expansion and urban migration.

The Vietnamese market benefits from regulatory reforms, a rising middle class, and strong demand for mid-market and luxury housing. Major cities like Hanoi and Ho Chi Minh City lead this growth trajectory, with condominium sales volumes increasing significantly compared to 2024.

Thailand's property market is in a more measured recovery phase, with annual home price growth of 2-3% nationwide and slightly higher rates in tourism hotspots. Bangkok's residential market shows stability but caution, characterized by rising supply, measured buyer activity, and steady price increases of approximately 3.5% annually.

The Thai market reflects a mature economy with established patterns, while Vietnam represents an emerging market with rapid transformation and modernization.

Both markets show resilience, but Vietnam clearly demonstrates stronger momentum and growth potential for investors seeking capital appreciation.

How do property prices compare between the two countries?

Vietnam offers significantly lower property prices compared to Thailand across all categories, making it more accessible for first-time investors and those seeking value.

Property Type	Vietnam (Monthly Rent)	Thailand (Monthly Rent)	Price Difference
1BR Apartment City Centre	9.7M ₫ ($400)	12.7M ₫ ($500)	Thailand 32% higher
3BR Apartment City Centre	20.7M ₫ ($850)	31.6M ₫ ($1,300)	Thailand 53% higher
Purchase Price per sq.ft. City Centre	7.4M ₫ ($300)	10M ₫ ($400)	Thailand 35% higher
Suburban Properties	40-50% below city center	30-40% below city center	Vietnam more affordable
Luxury Condominiums	$2,000-4,000 per sqm	$3,500-6,000 per sqm	Thailand significantly higher

What are the long-term growth forecasts for real estate in Vietnam versus Thailand?

Vietnam's real estate market is projected to grow from USD 33 billion in 2025 to USD 57 billion by 2030, representing a 73% increase over five years.

This dramatic growth stems from government investment in infrastructure, rapid urbanization, and ongoing legal reforms that facilitate foreign investment and enhance market liquidity. The Vietnamese market benefits from a young population, increasing disposable income, and massive infrastructure development projects.

Thailand is expected to see moderate growth with 2-4% annual price increases, supported by steady tourism recovery, consistent residential demand in core cities, and infrastructure upgrades. The Thai market offers stability but limited upside potential compared to Vietnam's explosive growth trajectory.

Vietnam's demographic dividend, with 70% of the population under 35, creates sustained housing demand that Thailand's aging population cannot match.

For investors seeking capital appreciation, Vietnam clearly offers superior long-term growth potential, while Thailand provides steady, predictable returns.

What are the legal regulations for foreign property ownership in each country?

Vietnam offers more accessible foreign ownership laws compared to Thailand, making it easier for international investors to enter the market.

In Vietnam, foreigners can own residential property under 50-year leaseholds for up to 30% of units in a condominium and 250 homes in a project area. No residency or visa requirements exist; a valid passport and entry stamp suffice. Recent reforms now allow resale between foreigners, significantly improving exit opportunities and market liquidity.

Thailand restricts foreign ownership to 49% of condominium units in a building on a freehold basis. Direct land ownership is prohibited for foreigners, with long-term leaseholds (30 years, renewable) as the main alternative for landed property. Proposed 2025 reforms suggest extending lease options to 99 years, but these remain under consideration.

Vietnam's ownership laws provide clearer pathways for foreign investment, while Thailand's restrictions limit options and complicate transactions.

It's something we develop in our Vietnam property pack.

How does the rental yield compare in Vietnam and Thailand?

Both countries offer attractive rental yields, with Thailand slightly ahead due to its mature rental market and established tourism infrastructure.

Vietnam's gross rental yields in core cities range from 5-7%, with occasional higher returns for well-located serviced apartments and resort properties. Ho Chi Minh City and Hanoi offer the most consistent rental income, while emerging cities like Danang and Nha Trang provide higher yields but with greater volatility.

Thailand's gross rental yields average about 6% nationally, reaching up to 8% in prime urban districts and tourist areas like Phuket and Pattaya. Bangkok's established rental market provides steady 5-6% yields with high occupancy rates and reliable tenant demand.

Thailand's advantage lies in its mature rental infrastructure, established tenant markets, and proven track record of rental income stability.

Vietnam offers competitive yields with higher growth potential, while Thailand provides more predictable and established rental returns for conservative investors.

What are the property taxes like in Vietnam compared to Thailand?

Vietnam maintains lower property taxes compared to Thailand, making it more cost-effective for long-term property ownership.

Tax Type	Vietnam	Thailand
Annual Property Tax	0.03% of residential land value	0% (first THB 50m); 0.02-0.3% others
Transfer Tax on Sale	2% flat rate on contract value	2-3% (split buyer/seller)
Land Rent	Payable with extension options	Included in applicable taxes
Maintenance Tax	Variable by development	Building tax included in LBT
Capital Gains Tax	2% on resale value	Variable based on holding period

What is the ease of financing for foreign buyers in each country?

Vietnam offers increasingly accessible financing options for foreign buyers, while Thailand maintains stricter lending requirements.

Vietnamese banks are becoming more willing to offer home loans to foreigners with adequate documentation and local income history. Major banks like Vietcombank and BIDV now provide mortgage products specifically designed for foreign investors, typically requiring 30-40% down payments and proof of income.

Thailand's financing for foreigners remains available from specific banks, mainly UOB, ICBC, and certain foreign branches, but terms are stricter and interest rates higher. Most foreign buyers in Thailand still rely on cash purchases due to limited financing options and complex approval processes.

Vietnam's banking sector is actively courting foreign investment, while Thailand's approach remains cautious and selective.

For investors requiring financing, Vietnam provides more accessible and competitive mortgage options than Thailand.

How does the overall economic stability of Vietnam compare to Thailand?

Vietnam demonstrates superior economic momentum compared to Thailand, with stronger growth forecasts and more dynamic economic fundamentals.

Vietnam's economy is forecasted to grow 6.3-7% in 2025, outperforming the regional average. Strong foreign direct investment, robust exports, and aggressive infrastructure expenditure support this resilience. The country benefits from its position as a manufacturing hub and its young, productive workforce.

Thailand's GDP growth is projected at 1.4-2.8% in 2025, reflecting a mature economy with slower expansion. The country faces vulnerabilities from global economic slowdown, high household debt levels, and heavy dependence on tourism recovery.

Vietnam's economic diversification and manufacturing strength provide more stability than Thailand's tourism-dependent model. However, Vietnam faces risks from trade tensions and rising corporate debt levels.

It's something we develop in our Vietnam property pack.

We did some research and made this infographic to help you quickly compare rental yields of the major cities in Vietnam versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.

What infrastructure developments are happening in both countries?

Vietnam leads ASEAN in infrastructure expansion with a massive $42 billion national plan representing 10% of GDP.

Vietnam's infrastructure program covers 250 projects including expressways, airports like Long Thanh International, ports, urban transit systems, and regional connectivity improvements. These developments directly drive urban growth and property appreciation, particularly around transport hubs and new urban centers.

Thailand is investing in its Eastern Economic Corridor (EEC), major urban transit extensions, and digital infrastructure, but the scale and pace are significantly slower than Vietnam's ambitious program. Thailand's infrastructure focus is more selective and targeted toward specific economic zones.

Vietnam's infrastructure investment creates new growth corridors and increases property values in previously underdeveloped areas. The rapid development of transport links between major cities enhances regional property markets.

For property investors, Vietnam's infrastructure boom creates numerous opportunities for capital appreciation as new areas become accessible and developed.

How does the political climate affect property investment security in each country?

Vietnam maintains a stable, single-party political system with recent reforms enhancing market transparency and foreign investor protections.

Vietnam's political stability provides predictable policy environments, with regulatory changes typically announced well in advance. Recent reforms have strengthened property rights and improved legal frameworks for foreign investment. The main risks for property investors relate to regulatory adjustments rather than political upheaval.

Thailand experiences occasional political uncertainty including protests and shifting coalition governments. Some foreign property rules tightened in 2025, particularly regarding lease renewals and direct land ownership. While generally stable, Thailand's democratic system can produce policy volatility.

Vietnam's centralized decision-making allows for consistent long-term planning, while Thailand's political dynamics can create uncertainty for investors.

Both countries maintain strong rule of law for property rights, but Vietnam offers more predictable regulatory environments for long-term investment planning.

What are the best cities for property investment in Vietnam and Thailand?

Both countries offer distinct investment opportunities across different city types, from major metropolitan areas to emerging resort destinations.

1. **Ho Chi Minh City (Vietnam):** Core metropolitan growth with highest liquidity and strongest rental demand2. **Hanoi (Vietnam):** High demand for Grade B condos and landed homes with government sector stability3. **Bangkok (Thailand):** Most stable market with highest demand and best urban rental yields4. **Danang (Vietnam):** Resort luxury market with high-growth rental potential and tourism expansion5. **Phuket (Thailand):** Highest tourism-driven rental yields with strong luxury segment performance6. **Chiang Mai (Thailand):** Popular for digital nomads and retirees with steady long-term appreciation7. **Phu Quoc (Vietnam):** Emerging resort hub with significant development potential8. **Pattaya (Thailand):** EEC development focus with high rental yields and lower entry prices

How do cultural and lifestyle factors affect property investment in each country?

Cultural considerations play crucial roles in property investment success, with each country offering distinct advantages for different investor profiles.

Vietnam's market is highly relationship-driven, where business success depends on understanding local customs and building trust with government agencies and communities. Buyer motivations include proximity to family for overseas Vietnamese, urban vibrancy, and coastal resort lifestyle for international buyers. The country's rapid modernization appeals to investors seeking growth markets.

Thailand is heavily influenced by its lifestyle appeal including beach destinations, urban modernity, thriving expat communities, and rich cultural heritage. The country's well-established expat infrastructure makes transactions smoother for international buyers. Thailand's lifestyle attractions make it ideal for retirees and second-home owners.

Vietnam requires more hands-on relationship management but offers authentic cultural experiences and lower living costs. Thailand provides established expat services and infrastructure but at premium pricing.

It's something we develop in our Vietnam property pack.

Conclusion

This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.

Sources

1. Vietnam Real Estate Market Forecast 2025-2026
2. Vietnam Real Estate Market 2025 Recovery Trends
3. Thailand Real Estate Market 2025 Analysis
4. Thailand Real Estate Opportunities 2025
5. Vietnam Thailand Property Price Comparison
6. Foreign Property Ownership Guide Vietnam
7. Thailand Foreign Property Laws 2025
8. Vietnam Property Price History
9. Vietnam Economic Performance 2025
10. Vietnam Infrastructure Development Plan