A worker arranges steel structures at a construction site of a rental office in Hanoi The construction ministry's recommendation that foreigners be allowed to buy property is a step in the right direction for a maturing market but would not have a big impact on the market itself, analysts have said. In its recommendation to the government late last month, the Ministry of Construction suggested that foreign investment funds, banks, Vietnamese branches and representative offices of overseas companies, and foreign individuals with a visa for at least three months should be allowed to buy homes in Vietnam. Existing regulations allow certain categories of foreigners to buy apartments for living in them. The new proposal seeks to permit foreigners to buy all kinds of houses with less than 500 square meters of land, and to lease them out. The houses can only be sold or gifted only 12 months after the ownership certification is issued. Asked about the proposal, deputy chairman of the … [Read more...] about Allowing foreigners to buy houses unlikely to revive Vietnam market: analysts
I buy houses
Though lawmakers have expressed concern in the National Assembly that overseas Vietnamese, who have recently been allowed to buy housing, would corner the real estate market, the expatriates themselves do not appear keen to buy houses. "I am not allowed to buy a house in Vietnam as I don't have Vietnamese citizenship," Professor Ha Ton Vinh, an overseas Vietnamese who has been teaching in here for 12 years, said. He rents an apartment in Ho Chi Minh City's District 1 for US$1,000 a month. But he said even if he is allowed to, he would not buy one because of the complications it involves. "If I want to buy a house, I definitely must produce many certificates. I need certificates from the President and that is too complicated," he explained. Nguyen Ngoc My, head of the overseas Vietnamese businesses club, said most members of his club do not want to buy houses in Vietnam because the regulations are unclear. "The government allows us to buy a house for living but not for investment but … [Read more...] about Rules still hard for overseas Vietnamese to buy houses
VietNamNet Bridge - A lot of expats in Vietnam have affirmed they will spend millions of dollars to buy houses here, denying the opinion that even if the government opens the real estate market to foreigners as proposed, this would not attract foreigners, who believe that the real estate price in Vietnam is overly high. Analysts have noted that the foreigners' demand for possessing houses in Vietnam has been increasing rapidly. Philip, a Canadian citizen, who now works as an English teacher for a foreign language center in Hanoi, said he has been living in Vietnam for three years, but he still has not been allowed to buy a house in Vietnam. Philip now still lives in a 100 square meter apartment in the West Lake area which he leases from a Vietnamese landlord. The rent alone costs him $2,000 a month, or VND40 million. "The real estate price in Vietnam has become very reasonable. A high end apartment is priced at US$100,000-200,000, or VND2-4 billion," he said. "It would be … [Read more...] about Foreigners willing to spend millions of dollars to buy houses in Vietnam
VietNamNet Bridge - Vietnam will not be able to rescue the real estate market if it only relies on the domestic resources. The government has been urged to allow foreigners to buy houses in Vietnam to increase the demand. Foreign sources would help warm up real estate market In 2008, the National Assembly released a resolution on allowing foreign individuals to buy houses in Vietnam in a 5-year trial period. However, to date, only 500 foreigners have bought houses in Vietnam so far. Most of them are original Vietnamese with foreign nationalities. This has been attributed to too many restrictions set up by the current policies. The subjects allowed to buy houses in Vietnam are limited. Meanwhile, they have to follow very complicated procedures to register the ownership of their houses. Especially, they can only buy houses for accommodations, not for the financial investment or other purposes. Experts have pointed out that by setting such limitations, Vietnam has put big … [Read more...] about Allowing foreigners buying houses in VN to rescue property market?
The young woman leans against the railing of the balcony, glancing casually at the trees and colorful garden below her building in Hanoi. Nguyen Thanh Mai has a gratified smile, as if thinking about the apartment she had bought nearly six months ago. She had borrowed VND400 million (US$23,500) from a bank and together with her familyâ€™s savings, the 30-year-old employee at a biological institute bought the new apartment in Van Quan for over VND900 million. Without the loan, her family, whose monthly income is just $400, would have had to wait for a long time to save enough money to buy even a second-hand apartment in the city, let alone a modern one like this. â€œWhy do I have to wait until I save enough money to buy it while Iâ€™m quite able to borrow from banks?â€ she asked. Banks have recently stepped up consumer lending. Mai is one of the 6 percent of the 56 million Vietnamese people under the age of 25, who have bank accounts. The rapid economic growth of … [Read more...] about Young people turn to bank loans to buy houses, luxury items