Vietnam: New points to know about land use right certificates

From March 03, 2017, Decree No. 01/2017/ND-CP of Vietnam’s Government on amendments to certain decrees that govern the implementation of the Land Law will officially come into effect. Notably, this Decree introduces new points regarding land use right certificates, also known as "red books," which are beneficial for the people.

Land use right certificates (also known as "red books") will still be issued to households and individuals who commit violations of the land law before July 01, 2014

Decree No. 01/2017/ND-CP of Vietnam’s Government stipulates that households and individuals who commit violations of the land law before July 01, 2014 but are currently using the land stably shall be issued with red books from March 03, 2017 if falling into one of the following cases:

- Use of encroached or occupied land of public-facility protection corridors after the State announces and puts up boundary landmarks of such corridors, or of encroached or occupied land of roads, roadsides and pavements after the State announces construction red lines, or of encroached or occupied land used for the construction of offices of state agencies, non-business works or other public facilities;

- Currently using land that encroaches upon or occupies planned areas that have been reclaimed by the provincial-level People's Committee, but are considered for exchange by the Forest Management Board, or if they have encroached upon or occupied land that is currently being used for agricultural production or housing purposes and is not part of forest protection and development planning;

- Cases of encroachment or occupation of unused land or of land use purpose change without permission of competent state agencies but already built houses and have been using the land stably before October 15, 1993.

Red books can now be issued for land that has been bought and sold through handwritten documents

Previously, the regulations only allowed for land transactions through handwritten documents before July 01, 2004, to be eligible for red books. However, Decree No. 01/2017/ND-CP has extended this time limit to before January 01, 2008. Therefore, individuals who have received land use rights through transfer or gift from July 01, 2004, to before January 01, 2008, and possess documentation of land use rights (including handwritten sale documents that have not been notarized) are still eligible to receive red books.

Land users can complete the procedures for land registration, issuance of land use right certificates, ownership of residential houses, and other assets attached to the land according to the provisions of the Land Law, without having to go through the procedure of transferring land use rights. The receiving agency is not allowed to require the recipient to submit contracts or documents regarding the transfer of land use rights as prescribed by the law.

The documents required to apply for a red book include:

- Application form for issuing the Land Use Right Certificate;

- Documents proving the stable use of the land. Specifically:

+ Documents proving land purchase and sale, or a declaration from the Court stating the legal effectiveness of "land use right dispute resolution";

+ ID card and permanent household registration of the land user;

+ Copies of documents related to fulfilling financial obligations regarding land in accordance with the law (if any).

In addition, it is necessary to meet the conditions that the house and land are currently being used stably, comply with the planning regulations, and do not have any disputes or complaints.

Land use right certificates (red books) can be issued to households and individuals who have been allocated land without proper authority before July 1, 2004, according to Decree 01. However, certain conditions must be met: the land must not be subject to disputes, must comply with planning regulations, and at the time of issuing the certificate, it may or may not have a residential house. In such cases, the issuance of the land use right certificate will be considered, and the recipient must fulfill their financial obligations.

Red books shall be issued to households and individuals who have been allocated land by an incompetent authority

Decree No. 01/2017/ND-CP clearly states: When a person applies for the certificate of land use right with or without ownership of house and properties attached to land over an undisputed land parcel allocated by an incompetent authority before 01 July, 2004 in line with the plan, whether a house exists on such land parcel upon issuance of the certificate, such person shall qualify for certification and incur financial obligation(s).

Red books shall be issued in case of an area of land in excess of that specified in the land use right document

From March 03, 2017, if the competent authorities re-measure and find that the actual area of a land plot is larger than the area stated on the previously issued land use right certificate or other land use right documents, or if the land is inherited before July 01, 2014, then the issuance of a land use right certificate for that additional land area will be considered.

Supplementing the case of issuing land use right certificates for land in urban areas, rural residential areas, and production and business areas that serve multiple purposes

The main investor of a condominium mixed with office and commercial space, if qualifying and applying, shall be bestowed the certificate of land use right with or without ownership of house and properties attached to land over one or multiple apartments, offices and commercial space under its ownership.

Shortening the duration to complete several administrative procedures related to land

The duration to complete certain administrative procedures related to land and the cases in which land use rights can be granted are regulated as follows:

- The registration and certification of land use right with or without ownership of house and properties attached to land upon a change to the properties attached to land; the division or consolidation of land lots or the registration of land allocated by the government for management shall not take more than 15 days;

- The registration of change to the land user(s), to the owner(s) of properties attached to land, to the shape, size, number or address of a land lot or to limitation(s) on land use right or to financial obligations; registration of change to land or properties attached to land for a winner of an auction of land use right; the division or consolidation of land use right(s) and ownership(s) of properties attached to land under an agreement of a household, married couple or group of land users, etc. shall not take more than 10 days;

- The registration of land and properties attached to land or the certification of land use right with or without ownership of house and properties attached to land shall not take more than 30 days;

- The division or consolidation of land lots or the registration of land allocated by the government for management shall not take more than 15 days;

- The procedure for land use extension shall not take more than 07 days;

- The procedure for confirmation of a household’s or individual’s continued use of land upon expiration of land use duration shall not take more than 05 days;

- The registration, revision or termination of a limited right of use of a contiguous land lot shall not take more than 10 days;

- The registration of change to the land user(s), to the owner(s) of properties attached to land, to the shape, size, number or address of a land lot or to limitation(s) on land use right or to financial obligations or to properties attached to land against the previous registration shall not take more than 10 days;

- The procedure for changing from renting of land on annual rental basis to renting of land on one-off rent payment; or from the government’s allocation of land without land use fee to renting of land; or from renting of land to land allocation with the charge of land use fee shall not take more than 30 days;

- The procedure for exchange, transfer, inheritance, donation of land use right with or without ownership of properties attached to land or for registration of capital contribution in the form of land use right or ownership of properties attached to land shall not take more than 10 days;

- The procedure for termination of registration of capital contribution in the form of land use right with or without ownership of properties attached to land shall not take more than 03 days;

- The procedure for registration or termination of registration of mortgage, lease or sublease of land use right shall not take more than 03 days;

- The procedure for changing a spouse's land use right with or without ownership of properties attached to land to the spouses' concurrent right and ownership shall not take more than 05 days;

- The procedure for replacement of a certificate of land use right, certificate of house ownership or certificate of ownership of a building shall not take more than 07 days; however, the procedure for replacement of multiple land users’ certificates due to map redrawing shall not take more than 50 days;

- The procedure for reissuance of a lost certificate of land use right, lost certificate of house ownership or lost certificate of ownership of a building shall not take more than 10 days;

- The procedure for correction of information on an issued certificate of land use right with or without ownership of house and properties attached to land, an issued certificate of land use right, an issued certificate of house ownership and land use right, an issued certificate of house ownership or an issued certificate of ownership of a building shall not take more than 10 days.

More details can be found in Decree No. 01/2017/ND-CP of Vietnam’s Government on amendments to Decree No. 43/2014/ND-CP detailing a number of articles of the Land Law, Decree No. 44/2014/ND-CP on land prices and Decree No. 47/2014/ND-CP regulating compensation, support, and resettlement upon land expropriation by the State.

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