Home ownership for foreigners under a new law

The 2014 Housing Law took effect from July 1, 2015. The Government’s Decree No.99/2015/ND-CP guiding the implementation of the 2014 Housing Law on home ownership for foreigners and overseas Vietnamese has just been promulgated. But, as surveyed, it is still hard for them to buy houses in Vietnam.

Just leaving deposit for reservation

Many foreigners and overseas Vietnamese in Binh Duong have been very joyful after the amendments to the Law on Housing officially took effect on July 1, 2015. They have prepared all financial and legal methods to buy houses for their long settlement in the province.

 Experts introducing an overview of the SORA Gardens hi-class apartment project in Binh Duong new city to foreigners

Along with other foreigners, Richard Raymond, a U.S expert working in Thuan An town-based VSIP 1 and Pen Wu, an expert of Asama Corporation in Di An town are very eager to buy houses under the new housing law.

But, foreign organizations and individuals in HCM city as well as in Binh Duong have still faced obstacles when making real estate transactions. Many have just been allowed to leave their deposit for reservation and are awaiting detailed guidance from the Decree No.99 on house ownership for foreigners to be able to sign home buying contacts in Vietnam. This is a regrettable fact because Binh Duong as of Nov., 2015 absorbed 2,567 FDI projects with a large number of foreign laborers.

Awaiting efficiency from the Decree No.99

Dr.Su Ngoc Khuong, Director of Savill Vietnam Company said that so far, no foreigner has possessed the house ownership certificate (red book). This has greatly affected the psychology of foreigners who want to buy houses in Vietnam.

According to real estate companies, home ownership for foreigners under the new law has contributed to boosting Binh Duong’s real estate market. Many foreigners have paid visits to housing projects in the province and expressed their desire to possess houses herein.

On Dec.10, the Government’s Decree No.99/2015/ND-CP detailing and guiding the implementation of the 2014 Housing Law on home ownership for foreigners and overseas Vietnamese was promulgated. The Decree has helped remove major obstacles regarding home ownership for foreigners and overseas Vietnamese. But, the Decree has also received ideas about its feasibility after being promulgated.

As required by the Decree, in order to own property in Vietnam, a foreigner must possess a valid visa stamped by the Vietnamese immigration authority.

Foreign organizations and individuals doing business in Vietnam may carry out property transactions if possessing valid investment registration certificates or relevant certificates granted by Vietnamese competent authorities.

Also according to the Decree, the proportion of apartments owned by foreign organizations and individuals to the total number of apartments in all apartment buildings for sale or lease-purchase in a ward must not exceed 30 percent…

Reported by Khanh Vinh-Translated by K.T