Types of real estate and real estate projects put on market as of January 1, 2025 in Vietnam

Types of real estate and real estate projects put on market as of January 1, 2025 in Vietnam (Internet image)

Regarding this issue, LawNet would like to answer as follows:

On November 28, 2023, the National Assembly passed the Law on Real Estate Business 2023.

1. Types of real estate and real estate projects put on market as of January 1, 2025 in Vietnam

Types of real estate and real estate projects put on market in Vietnam according to Article 5 of the Law on Real Estate Business 2023 include:

- Existing housing and off-plan housing.

- Existing buildings and off-plan buildings, including those used to serve education, healthcare, sports, culture, office, trade, service provision, tourism, accommodation or industrial purpose, and multipurpose buildings.

- Floor areas of the buildings mentioned in clause 2 of this Article.

- Rights to use land that already has infrastructure within real estate projects.

- Real estate projects.

- The Government shall elaborate clause 2 and clause 3 of Article 5 of the Law on Real Estate Business 2023.

2. Regulations on disclosure of information on real estate and real estate projects to be put on market as of January 1, 2025

Regulations on the disclosure of information on real estate and real estate projects to be put on market according to Article 6 of the Law on Real Estate Business 2023 are as follows:

- Before placing any piece of real estate or real estate project on the market, each real estate enterprise shall be required to adequately, honestly and accurately publish the information specified in clauses 2, 3, 4 and 5 of Article 6 of the Law on Real Estate Business 2023 on the housing and real estate market information system as prescribed in the Law on Real Estate Business 2023 and on their website.

- Real estate project-related information to be disclosed includes:

+ Decision on investment guidelines or approval of investment guidelines or approval of the real estate project;

+ Decision on land allocation, land lease or land repurposing issued by a competent authority;

+ Information on the detailed planning approved by a competent authority;

+ The standard form contract used in real estate transactions as prescribed in the Law on Real Estate Business 2023.

- Information on off-plan housing or building to be disclosed includes:

+ Type; location, scale, construction schedule and uses of the real estate; information on the shared area if the real estate is an apartment of the apartment building, building or multipurpose building;

+ The fundamental design included in the prefeasibility study report which has been duly appraised in accordance with regulations of the Construction Law; building permit, if required; notice of construction commencement date; documents on the prescribed acceptance testing of finished infrastructure facilities according to the project schedule; and, in case of an apartment of the apartment building or building used for multiple purposes, including for residence, documentary evidences of the acceptance testing of finished foundation in accordance with regulations of the Construction Law;

+ Documents on LURs as prescribed in clause 2 Article 24 of the Law on Real Estate Business 2023;

+ Agreement on grant of guarantee for sale or lease purchase of off-plan housing;

+ Certification given by a competent authority that the off-plan housing meets conditions for sale or lease purchase;

+ Limitations on ownership or rights to use the real estate (if any); mortgage of housing, building or building’s floor area, LURs or real estate project to be put on the market.

- Information on existing housing or building to be disclosed includes:

+ Certificate of housing ownership and residential LURs or certificate of LURs, ownership of housing and other property on land or other certificate of LURs and ownership of property on land as prescribed by the Land Law, which also covers the ownership of housing or building, or  certificate of housing ownership or certificate of ownership of building, except the case specified in point b of Clause 4 of Article 6 the Law on Real Estate Business 2023;

+ With regard to the housing or building existing within a real estate project, only the certificate of LURs issued in accordance with regulations of the Land Law is required to prove the building area of that housing or building;

+ Limitations on ownership or rights to use the real estate (if any); mortgage of housing, building or building’s floor area, LURs or real estate project to be put on the market.

- Information on rights to use land that already has infrastructure within a real estate project to be disclosed includes:

+ Certificate of LURs issued in accordance with regulations of the Land Law in respect of the land area on which the infrastructure has been constructed within the real estate project;

+ Certification given by a competent authority that the rights to use land that already has infrastructure within a real estate project meet conditions for transfer to individuals for building their own housing;

+ Documents on completion of construction of technical infrastructure facilities according to the detailed planning and project schedule approved by competent authorities;

+ Documents proving that the project investor has fulfilled land-related financial obligations, including land levy, land rent and other relevant taxes, fees and charges (if any), towards the State in accordance with regulations of law in respect of the land area that already has infrastructure within the real estate project to be put on the market;

+ Limitations on rights to use land that already has infrastructure within a real estate project (if any); mortgage of LURs and the real estate project to be put on the market.

- Any changes in the information which has been disclosed must be updated.

More details can be found in the Law on Real Estate Business 2023, taking effect on January 1, 2025.

The Law on Real Estate Business 2014 expires on January 1, 2025, except for the cases specified in Clauses 2, 3, 5, 6, 7, 9, 12 and 13, Article 83 of the Law on Real Estate Business 2023.

>> CLICK HERE TO READ THIS ARTICLE IN VIETNAMESE