HCMC – Prime Minister Pham Minh Chinh has directed relevant ministries to develop appropriate tax policy to curb real estate speculation and prevent inflated housing prices.
At a meeting on October 11 on accelerating social housing development, attended by government agencies, local authorities, corporations, and commercial banks, the PM emphasized the need to expand the supply of affordable housing and reduce construction costs through simplified procedures and lower compliance expenses.
He stressed that tax policy should discourage speculative activities, including price manipulation and the listing of homes at levels significantly above market rates. At the same time, credit policy should help channel capital toward social housing projects and genuine homebuyers, while tightening control over speculative and profit-driven segments.
The prime minister questioned why some localities have effectively implemented housing policies while others lag behind, urging an analysis of lessons learned and institutional challenges. He also called for greater transparency in land valuation, investor selection, and the operation of state-managed real estate trading centers.
Addressing claims that some provinces have no demand for social housing, he disagreed, stating that every locality has housing needs, but implementation approaches may vary. He also emphasized that social housing projects should not be located in remote areas but in zones with adequate infrastructure, including transport, electricity, water, telecommunications, healthcare, education, and culture.
The Government aims to complete at least one million social housing units for low-income earners and industrial workers by 2030, including over 100,000 units by 2025.
According to the Ministry of Construction, 132,616 social housing units are currently under development nationwide, with 73 new projects comprising 57,815 apartments launched in the first nine months of this year.
PM Chinh acknowledged that current legal frameworks and policies governing the real estate and social housing markets remain inadequate and inconsistent with actual conditions. Meanwhile, the supply of affordable and social housing is still limited, with slow project implementation.
Housing prices in major cities remain far beyond the reach of most citizens, he noted, citing issues such as price manipulation, inflated valuations, and a lack of transparency in real estate trading operations and data systems.
He described the goal of completing 100,000 social housing units in 2025 as a major challenge, with 22 provinces expected to meet or exceed their targets, while eight may fall short.
The prime minister called for realistic assessments and breakthrough solutions to stabilize and develop a fair and sustainable real estate market.
