Can I sublease the house I am renting in Vietnam? Is it possible to lease an apartment with a mortgage in Vietnam?

Can I sublease the house I am renting in Vietnam?

I am currently living in Ho Chi Minh City and leasing a whole house in District 4. I plan to rent the upper floor to students or office workers to save costs. Do I have to ask the landlord's permission for this?

Reply:

Article 472 of the 2015 Civil Code stipulates: Contract for lease of property means an agreement between parties whereby a lessor delivers property to a lessee for use during a fixed term and the lessee is required to pay rent.

According to Articles 475 and 480 of the 2015 Civil Code: A lessee may sub-lease leased property with the consent of the lessor. A lessee must use leased property strictly in accordance with its utility and the agreed purpose. Where a lessee fails to use leased property strictly in accordance with its utility and purpose, the lessor has the right to terminate unilaterally the performance of the contract and to demand compensation for damage.

Thus, according to the above regulations in Vietnam, you have right to sublease the house you are renting but must have the consent of the landlord. If you arbitrarily sublease the house, it is a violation of the contract. In case the lessee does not use the property for the agreed purpose, the lessor has the right to unilaterally terminate the performance of the contract and request compensation for damages (if any) according to Article 480 of the 2015 Civil Code. In addition, the lessor also has the right to fine for breach of contract if the parties have clearly agreed on this issue.

Can I sublease the house I am renting in Vietnam? Is it possible to lease an apartment with a mortgage in Vietnam? (Image from the Internet)

Is it possible to lease an apartment with a mortgage in Vietnam?

Is it possible to lease an apartment with a mortgage in Vietnam? Hello. My name is Hoai Nam, I have a question and need advice from you. I have a house, mortgaged it at the bank to borrow 1 billion. Now I want to rent that house, is it possible? Looking forward to receiving advice. Thank you very much!

Reply:

According to the provisions of Article 321 of the 2015 Civil Code, the mortgagor has the right to:

1. Exploit, and to enjoy the yield and income derived from, the property, except where the yield and income also form part of the mortgaged property as agreed.

2. Invest in order to increase the value of the mortgaged property.

3. Recover the mortgaged property and related documents held by a third person when the obligation secured by the mortgage is terminated or is substituted by other security.

4. Sell or replace mortgaged property being goods rotating during the production and business process. In the case of a sale of mortgaged property being goods rotating during the production and business process, the right to require the purchaser to pay money, the proceeds received or the assets formed from the proceeds received shall form the mortgaged property in substitution for the property which was sold.

When a warehouse is mortgaged, the mortgagor may substitute goods in the warehouse but must ensure the value of the goods in the warehouse remains the value agreed.

5. Sell, exchange or give mortgaged property not being goods rotating during the production and business process with the consent of the mortgagee or as prescribed by law.

6. Lease or lend the mortgaged property provided that notice must be provided to the lessee and the borrower that the property is being mortgaged and that the mortgagee must also be notified that such notice has been provided.

Thus, during the mortgage period of your apartment, you still have right to lease the apartment but must notify the lessee that the apartment is being mortgaged and must notify the mortgagee. 

Is it necessary to notarize or authenticate a three-year lease contract in Vietnam?

Is it necessary to notarize or authenticate a three-year lease contract in Vietnam? I have a house with a certificate of housing ownership and land use rights in my name as the owner. Recently, I signed a contract to rent to someone else for 5 million VND a month, for a three-year lease period. The contract was signed by only me and the tenant. Please tell me, does my rental contract need to be notarized or authenticated? Looking forward to receiving advice from you. Thank you very much!

Reply:

According to Clause 2, Article 119 of the 2015 Civil Code on the form of civil transactions: In cases where it is provided for by law that a civil transaction must be expressed in writing, notarized, authenticated, registered or permitted, such provisions must be complied with.

According to your presentation, the house you are renting has been issued a certificate of housing ownership and residential land use rights in your name as the owner. This is a prescribed condition for you to establish a contract to rent a house to someone else, but with a lease term of three years without notarization or authentication, it is not in accordance with regulations in Vietnam. Therefore, your lease contract needs to be notarized or authenticated to comply with the law.

Best regards!