To many of us, Vietnam still brings to mind images of a stricken country living with the consequences of the Vietnam war, or "American war", as the locals call it. But in recent years it has moved away from its tragic past, forging a new reputation for itself.

Today, this one-party communist country not only boasts a fast-growing $55bn economy - second only to China in south-east Asia - and has ambitions to become a developed nation by 2020, but it is also one of the "hottest" property markets in the world. Property prices soared by 50 per cent in 2007, according to a report by Obelisk, a UK property consultancy, as foreign investors rush to tap into the next communist country that is ready to embrace a liberal economic model.