Amendments to Housing, Real Estate, Investment, and Enterprise laws to take effect over the course of the next month.
Foreigners allowed to own houses
Under the Law on Housing, which takes effect from July 1, foreigners can now own houses in Vietnam. Organizations, individuals, foreign-invested enterprises, branches or representative offices of foreign enterprises, and foreign investment funds and foreign bank branches operating in Vietnam are all allowed to buy houses. They are also permitted to purchase, lease purchase, donate, and inherit housing, but are not to own in excess of 30 per cent of the number of apartments in a single residential block.
Where houses, including villas and townhouses, are in an area with a population equivalent to a ward, foreigners are allowed to own more than 250. The leasehold is 50 years, but if they are married to a Vietnamese citizen the leasehold can be beyond 50 years.
Trading houses and constructions built in the future
The amended Law on Real Estate Business has many new and positive regulations, in particular allowing the trading of houses or constructions that will be built in the future. Individuals or organizations wanting to trade such houses or constructions must have land use rights certificates, project files, and blueprints that have been approved. Condominiums and complexes to be built in the future must have records that foundations have been completed. Before selling or leasing such housing, investors must inform housing management agencies about the sale or lease.
Investment procedures shortened
The new Law on Investment and the Law on Enterprises feature many important changes in reforming administrative procedures. The Law on Enterprises removes the requirement of a professional certificate and confirmation of legal capital in registration dossiers when establishing enterprises and shortens the duration for procedures to a maximum of three days.
The Law on Investment removes the need for a certificate of registered investment for domestic investors and simplifies procedures and shortens the time for the issuance of investment certificates to foreign enterprises to a maximum of 15 days instead of the previous 45 days.
- real estate