At local level, there’s no clarity for would-be Viet Kieu home buyers

Revisions to the Housing Law allowing Viet Kieu (overseas Vietnamese) to buy houses freely in Vietnam are not yet in effect, owing to tardy promulgation of implementing instructions.

Decree 71, which guides the implementation of the Housing Law, declares that from August 8, 2010, Viet Kieu who have not given up their Vietnamese nationality can possess houses just like Vietnamese citizens, i.e, they can buy as many villas as they wish.

Pricing of construction contracts

On 29 July 2010, the Ministry of Construction issued Circular No 08/2010/TT-BXD guiding price adjustment methods regarding construction contracts for projects funded with 30 per cent of the State capital.

Circular No 8 regulates the principles regarding price adjustments. Price adjustments can only be possible during the implementation of the signed contract, including the extended period as agreed in the contract; the project owner is entitled to approve the adjusted price if the new price does not exceed the approved total invested capital. Otherwise, it will be decided by the person who has the power to make such investment.

New rules on investment, housing ownership for foreign organizations and individuals in Vietnam

The real estate market is particularly sensitive to the legal mechanisms and policies of the State, therefore any changes on that will make effect on the general development of the industrial – construction sector.

New fees for land certificates

A decree stipulating new certificate fees for residential land-use rights, house ownership and others assets related to land has been announced by the Ministry of Finance.

Door to be opened wider to Viet Kieu house buyers

The Ministry of Construction is hoping a proposed regulation will spur property purchases by members of the overseas Vietnamese community.

Minister of Construction, Nguyen Hong Quan, recently submitted a proposal to the Prime Minister to amend existing regulations governing Viet Kieu land purchases.

Where are Viet Kieu house-buyers?

High prices and complicated procedures are two main factors that hinder Viet Kieu (overseas Vietnamese) plans to buy houses in Vietnam.

When the Government allowed Viet Kieu to purchase houses in Vietnam, real estate investors rejoiced. They hoped to earn tons from selling houses to Viet Kieu. Now, very few houses have been sold, even though a series of high-end real estate projects have been launched.

Overseas Vietnamese keep off housing market

Although four million overseas Vietnamese are now permitted to buy houses in Vietnam following the passage of new regulations last year, only some 140 have succeeded in doing so.

Many who were considering buying one were dissuaded by the rising prices.

The price volatility was something to be carefully watched before deciding to buy, Nguoi Lao Dong (The Laborer) newspaper quoted Vinh Nghiem, an American Vietnamese, as saying, since he was intending to return home.

Hanoi’s $7 billion Red River planning enters phase 2

The Hanoi People’s Committee in coordination with South Korean experts have begun the second phase of a $7 billion basic planning for the Red River area development.

The Hanoi People’s Committee announced that the second phase of planning was underway on November 3, adding that the basic planning will be integrated into the Hanoi Master Plan from now to 2030 with a vision until 2050.

Sluggish projects weighing down Ho Chi Minh City’s power supply

Power projects in Ho Chi Minh City are still moving at a sluggish pace, continuing to cause a high risk of power shortages, particularly in the western part of the city.

The stagnant situation has been attributed to slow site clearance and complicated administrative procedures coupled with lax cooperation among concerned agencies.

Hanoi hosts int’l exhibition on road transport

The biggest international exhibition on road transport (Viet Transport 2010) opened in Hanoi on November 4, sponsored by the Ministry of Transport, the Ministry of Construction, and the Ministry of Planning and Investment.