5 legal points everyone should know before buying a house in Vietnam

1. Check the certificate of land use rights and ownership of houses and other land-attached assets

This is the first and most important step. Buyers should ask the seller to show the original certificate of land use rights, ownership of houses and other land-attached assets:

- In case the seller does not show it or gives a reason to refuse to show it, there may be cases that the land area may not have been granted a certificate or there is a legal problem (such as a mortgage, deposit at a bank, land on dispute, ineligible for transfer).

- In case the seller shows the certificate but the buyer still wants to check once again about the legal value of that certificate, the buyer can check it again by asking the seller to go to the agency of natural resources and environment to check and confirm.

2. Check the actual status of the land plot and house

The buyer needs to compare whether the current situation of the house area, the land plot on the field is consistent with the plot of land indicated on the certificate or not. In case there is a difference, the buyer must ask the seller to explain the reason for the difference, and the buyer needs to reconsider this issue.

Note: The transfer contract that the parties perform at the notary public will be inscribed in accordance with the certificate of origin instead of according to the current status and actual use.

3. Check the status of disputes with adjacent households or other entities

Pursuant to Article 11 of the Circular No. 34/2014/TT-BTNMT of the Ministry of Natural Resources and Environment of Vietnam on development, management and use of land information system,individual who wishes to use land data shall submit a completed enquiry form provided in specimen No. 01/PYC attached hereto to the competent authority:

- in person;

- by post or fax; or

- by email or through the land website.

From the day on which the valid enquiry form is received, the receiving authority shall provide the applicant with land data or a written explanation if the enquiry form is rejected.

Note: After fulfilling financial obligations, the applicant shall be provided with land data by the receiving authority.

Moreover, the time limit for providing land data is stipulated as following:

- Land data shall be provided within a day if the enquiry form is received before 3 p.m. or on the following day if the enquiry form is received after 3 p.m.;

- If the request for providing land data is made in the form of collecting information, the time limit therefore shall be determined according to an agreement concluded by and between the receiving authority and the applicant.

4. Check the planning

To check the planning, the buyer can contact the Land Registry Office where the land is located for official information.

Note: The requester must pay a fee for providing information.

In addition, the buyer can also inquire through the cadastral officers of the commune, ward or people living adjacent to the land plot to ask for planning information. However, this information is for reference only and has no binding value to the parties.

5. Check whether the seller accepts a deposit or authorizes another person to perform the rights and obligations of the land user

The buyer can go to the notary office (Notary Office) where the house is located to ask for information about whether the land plot has had a deposit or authorization transaction or not.

Note: If the previous authorization or deposit is not notarized, there will be no information on the system.

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