Can individuals who do set up the enterprise be allowed to act as real estate brokerage service providers in Vietnam?

Can individuals who do set up the enterprise be allowed to act as real estate brokerage service providers in Vietnam?

Article 62 of the Law on Real Estate Business 2014 stipulates requirements for real estate brokerage service providers as follows:

1. Any real estate brokerage service providers must set up the enterprise and there are at least 2 employees obtaining real estate broker license (hereinafter referred to as broker license), excluding cases prescribed in Clause 2 of this Article.

2. Any individual is entitled to provide real estate brokerage services independently provided that he obtains a broker license and pay taxes as prescribed in law on taxation.

3. Any real estate service provider is not entitled to be both a broker and a contracting party in a real estate transaction.

According to the above regulations in Vietnam, you have the right to operate real estate brokerage services, but you must meet the conditions such as having a real estate broker license and registering to pay taxes as prescribed in law on taxation.

What are conditions for issuance of real estate broker license in Vietnam? 

Article 68 of the Law on Real Estate Business 2014 stipulates real estate broker license as follows:

1. An individual shall be granted broker license if they:

a) Have full capacity for civil acts;

b) Obtain at least upper-secondary graduation degree;

c) Have passed examination in real estate brokerage knowledge.

2. Broker license’s duration is 05 years.

3. The Minister of Construction shall providing guidance on grant of broker license.

According to this Article, in order to be granted a real estate broker license, individuals engaged in real estate brokerage activities must fully satisfy the above-mentioned conditions in Vietnam.

How much is fine for individuals who commits cheating in real estate brokerage in Vietnam? 

Article 15 of Decree 144/2021/ND-CP stipulates violations against regulations on causing damage to property of other organizations or individuals as follows:

1. A fine of from VND 2.000.000 to VND 3.000.000 shall be imposed for any of the following violations:

a) Stealing property, intruding into residential areas, warehouses or other places under the management of another person for the purpose of theft or appropriation of property

b) Blatantly appropriating property;

c) Taking a loan, borrowing, leasing property of another person or receiving property of another person under a contract, then uses deception to appropriate it or refuses to repay the loan or return the property when the repayment or return of property is due despite he/she is capable of doing so.

d) Taking a loan, borrowing, leasing property of another person or receiving property of another person under a contract and then fails to repay loan or return property and uses it for illegal purposes which result in the offender's inability to repay the loan or return the property

dd) Negligence that results in damage to property of the State, authorities, organizations and enterprises.

2. A fine of from VND 3.000.000 to VND 5.000.000 shall be imposed for any of the following violations:

a) Destroying or deliberately damaging property of organizations or individuals, except for violations mentioned in Point b Clause 3 Article 21 of this Decree;”.

b) Using deception or creating circumstances to force another person into giving money or property;

c) Cheating or defrauding in brokerage, instruction or introduction of services of trading of house and land or other property;

d) Buying, selling, concealing, or using property of another person despite knowing that the assets were illegally obtained;

dd) Using, buying, selling, mortgaging, illegally pledging or impounding property of another person;

e) Extorting property without bringing criminal prosecution

3. Additional penalties:

a) Confiscate the exhibits and means used for committing administrative violations specified in Points a,b,c and d Clauses 1 and Points a,b,c and dd Clause 2 of this Article.

b) Expel foreigners committing the administrative violations specified in Clauses 1 and 2 of this Article.

4. Remedial measures:

a) Enforced return of benefits illegally obtained from the commission of the violation in Points c, d and dd Clause 2 of this Article;”.

b) Mandatory return of the illegally appropriated property in case of commission of the violations in Points dd and e Clause 2 of this Decree."

c) Mandatory restoration of original condition in case of administrative violations specified in Point a Clause 2 of this Article.".

Thus, if an individual commits cheating in real estate brokerage in Vietnam, he/she may be fined from VND 3,000,000 to VND 5,000,000. At the same time, that individual shall have the material evidences and means of violation confiscated and forced to return the illegal profits obtained from committing cheating acts.

Best Regards!