What does the future of Faminly Estate market in Ho Chi Minh City?

Here are some forecasts for the future of this market:
 

1. Professionalization and corporatization of asset management
 

Current situation:

• Most family-owned real estate in HCMC is still managed traditionally—either by family members or via third-party services, often without professional structure.

 Future outlook:

• More families will establish their own asset management companies or outsource to professional firms .

• The Family Office model will become more common, helping the next generation manage assets more efficiently.

2. Portfolio restructuring to maximize profitability
 

Current situation:

• Many wealthy families own high-value properties that are underutilized or inefficiently exploited.

• Some well-located assets are leased at low rates or left vacant.

Future outlook:

• Diversification of exploitation models: Instead of just long-term leasing, family estates will be converted into:

  • Premium serviced apartments (e.g., Carrot by CitySpace).

  • Officetels, co-working, or co-living spaces to boost returns.

  • High-end Airbnb models with automated tech-based management.

• Liquidation of underperforming assets in favor of investing in high-growth segments (e.g., shifting from street-front houses to luxury condos or shophouses in new urban areas).

3. Applying technology in operations & management
 

Current situation:

• Most family-owned properties are still managed manually (paper contracts, traditional transactions).

• Lack of adoption of Big Data, AI, or automation for revenue optimization.

Future outlook:

• Families will increasingly use PropTech platforms to optimize pricing, manage leases, and oversee maintenance.

• AI-powered market forecasting will support smarter investment decisions.

• Smart contracts using Blockchain will ensure secure and automated leasing transactions.

4. Generational transition and governance model
 

Current situation:

• Many estates are still under the control of the older generation (60+), while Gen X and Gen Y have different business mindsets.

• Conflicts often arise: the elder generation prefers asset preservation, while the younger wants modernization.

 Future outlook:

• Asset management rights will gradually shift to the younger generation, guided by professional estate managers.

• Families will develop clear inheritance regulations to prevent internal disputes.

• The Family Governance model will gain popularity to ensure long-term protection of assets.

5. Impact from planning policies and taxes
 

Current situation:

• HCMC is tightening urban planning regulations, especially land zoning.

• Property taxes are expected to rise in the near future to curb speculation and increase government revenue.

Future outlook:

• Families with large property portfolios will need tax optimization strategies to reduce costs.

• There will be a shift from passive holdings to actively operated commercial real estate to maintain asset value.

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CITYHOUSE - Estate Management