The government authorizes 6 real estate market fixes 2023

The current status of the real estate market has changed, but there are still numerous obstacles linked to institutions, credit sources, bonds, etc., and local implementation that must be eliminated. The government issues the following directives at all levels, sectors, and localities:

• Construct a legal framework pertaining to construction investment, housing, and real estate industry with the following objectives in mind:
• Develop and present to the National Parliament for discussion and approval the Land Law (amended), the Housing Law (amended), the Real Estate Business Law (amended), the Law on Bidding (amended), and the Law on Bidding (amended)…

Amending and modifying decrees governing the application of legislation in order to eliminate present deficiencies, obstructions, and problems relating to construction investment, business, and real estate project transfers…

The government authorizes six remedies for real estate market issues

• Increasing the construction of social housing

The government is examining, drafting, and presenting to the National Assembly for discussion and promulgation a “Resolution of the National Assembly on piloting a number of initiatives to encourage the development of social housing.”

Between 2021 and 2030, complete, promulgate and implement efficiently the investment project to construct at least one million social housing flats for low-income individuals and industrial park workers.

Identifying social housing construction for low-income employees as an investment item in the medium- and long-term capital sources of communities.

To support capital for social housing development, we propose a VND 120,000 billion credit program to grant loans to investors and home buyers of social housing and worker housing projects at interest rates approximately 1.5 to 2 percentage points lower than the average VND mid-term and long-term lending rate.

• Credit Capital

Providing the circumstances for firms, homeowners, and investors to promptly access credit sources; taking the necessary steps to address the challenges faced by real estate enterprises (such as rescheduling principle loans, interest, restructuring debt groups…)

Take suitable and effective steps to cut lending interest rates and assist the housing industry.

• Source of corporate bonds

Regulating the capital-raising efforts of real estate companies on the stock exchange to avoid speculation, pricing manipulation, and price inflation.

Inspecting and monitoring compliance with the legislation regarding the issuance, investment, and supply of services for corporate bonds, particularly private placement of bonds by real estate firms…

• Localized implementation organization

Reforming administrative procedures with an emphasis on eliminating obstacles in legal procedures for local real estate developments.

Increasing market supply through accelerating the approval of planning, investment regulations, the selection of investors to execute real estate projects, and land-related financial responsibilities.

Increasing the creation of social housing and housing for employees, as well as restoring and reconstructing older apartment complexes in the local communities.

• Information and communication to rebuild confidence, so assisting the market and the functioning of real estate businesses.