HCMC – Vietnam’s newly enacted Housing Law and Real Estate Business Law are expected to enhance transparency and reduce risks in the country’s real estate sector, experts said.
These insights were shared during a recent dialogue on land, housing, and real estate policies, co-organized in Hanoi by the Vietnam National Real Estate Association, the Ministry of Natural Resources and Environment, and the Ministry of Construction.
Can Van Luc, chief economist at the Bank for Investment and Development of Vietnam (BIDV), noted that the new Housing Law expands the list of prohibited activities, such as the misuse of capital. This expansion aims to curb violations, disputes, and safety risks both during project development and housing operations.
The law also includes a dedicated chapter on the Government’s role in managing the housing market. This provides more detailed regulations and clarifies the responsibilities of relevant stakeholders, contributing to the standardization of a comprehensive information system for the real estate market.
The Real Estate Business Law introduces stricter requirements for disclosing project details, including location, project specifics, housing information, and land use rights. It also bans fraudulent activities, such as falsifying documents or providing false information.
According to Luc, these measures will improve transparency and give buyers more information, thereby reducing the risk of disputes and investment losses.
The new law also aligns with other relevant regulations, such as the Investment Law, to ensure consistency and reduce obstacles for businesses. It introduces clearer definitions of key terms like real estate business, real estate services, and project transfers.
Vuong Duy Dung, deputy director of the Housing and Real Estate Market Management Agency under the Ministry of Construction, emphasized the importance of regulations governing the sale of future housing.
Under the new law, developers are required to use funds collected from buyers exclusively for project development and must comply with anti-money laundering regulations.
