HIGHLIGHTED NEWS
In preparation for the application of the new land price list under the 2024 Land Law from January 1, 2026, many provinces and cities are simultaneously completing the new phase of land price lists with an increase of 16 - 85%, even many times higher in some places. This new price list will create a large source of revenue for local budgets thanks to taxes and land use fees. However, while previously, land use costs only accounted for 15 - 25% of project costs, now this figure can increase to 40 - 60%. Developers are forced to adjust selling prices, pushing up real estate prices in the context of declining purchasing power. VARS IRE Institute believes that the new price list brings transparency, but the high increase can put financial pressure on the entire market, from businesses to people and bank credit. HoREA also pointed out major shortcomings in the way of calculating land use fees when many localities multiply the land price by a coefficient, making financial obligations many times higher than the surplus method.
TRADING STRATEGY
The stock market increased positively and closed at 1,731 points with liquidity continuing to improve. Cash flow maintained a widespread state across most groups and sectors under the leadership of large-cap stocks in the financial and retail sectors. Selling pressure weakened and appeared in some individual stocks in the real estate, technology, and oil and gas sectors. The VN-Index today is likely to fluctuate around the 1,720-1,740 point area.
The market is still maintaining a positive state in terms of scores. The reduction in selling pressure, the slight spread of cash flow under the leadership of leading stocks and the return of foreign net buying has made the general sentiment gradually show signs of improvement. If this state continues to be maintained, the VN-Index will likely not have much difficulty breaking out of the 1,720-1,740 point area to head towards the 1,780-1,800 point area. Investors can consider screening, restructuring short-term portfolios towards controlled concentration or trading with available goods to optimize short-term positions. On the other hand, buying activities for medium- and long-term vision can absolutely continue to take place in the group of basic stocks, with attractive valuations or breakthrough prospects in the late 2025 and the first half of 2026.
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