Data of Bank of Korea showed Vietnam is the second most popular destination among South Koreans for overseas property investment, with $56.1 million last year. The Southeast Asian country trails only the US, which received $255.2 million in property investments.
According to The Chosunilbo newspaper, with the loosen control on foreign ownership in Vietnam’s Law on Housing, which took effect in July 2015, South Koreans have flocked to buy condominiums in the Southeast Asian country, with total value of nearly KRW300 million ($269,000).
Dragon Bridge over Han River in Da Nang, Vietnam. (Photo: Tang Trung Kien/Shutterstock)
Park Sang-wook at Woori Bank said: “As the Vietnamese economy grows at breakneck speed, home prices are expected to soar, and many people are purchasing several apartments there expecting profits 10 years from now.”
Along with Vietnam, other Asian countries have proven to be almost as attractive among South Korena investors. For example, Thailand got $15.5 million in South Korean property investments in 2018, while Japan gained $15.8 million.
With $16.9 million, Canada came in third for South Korean property investors.
Overall, South Koreans poured $445.1 million in overseas properties last year, up 47 percent over 2017. The figure is also 3.8 times higher than five years ago.
In 2008, most restrictions on South Korean investments in overseas real estate were removed.
