Understanding Regulations for Foreigners Buying and Selling Real Estate in Vietnam

Are you curious about the regulations governing the acquisition and sale of real estate by foreigners in Vietnam? Join Vietnam Insider to gain insights into the latest rules you should be aware of when it comes to real estate transactions.

Let’s delve into the specifics, starting with land transactions:

In accordance with the 2013 Land Law, ownership of residential land in Vietnam is permitted for the following entities:

1. Domestic individuals and households.
2. Domestic organizations, encompassing people’s armed units, political organizations, socio-political organizations, economic organizations, socio-political-professional organizations, social organizations, and social-professional organizations, public service organizations, as well as other organizations stipulated by civil law and state agencies.
3. Residential communities, defined as the Vietnamese community residing in the same village, village, hamlet, residential group, and residential area.
4. Religious facilities, comprising churches, chapels, shrines, cathedrals, Buddhist temples, monasteries, private religious training schools, headquarters of religious organizations, and other religious facilities.
5. Vietnamese people residing abroad.
6. Foreign organizations with foreign functions, including consulates, diplomatic agencies, and other foreign representative agencies.

As per the regulations mentioned above, foreigners—whether within the country or abroad—are not entitled to own land, receive land allocations from the State, lease land, have land use rights recognized, or partake in land use rights transfers. Consequently, they cannot engage in the buying and selling of land or have their names listed on land use rights certificates in Vietnam.

Housing projects for foreigners in Vietnam

Moving on to the acquisition of housing:

Article 7 of Consolidated Document 04/VBHN-VPQH 2022 Housing Law outlines the eligible entities permitted to own housing in Vietnam:

1. Individuals, households, and domestic organizations.
2. Vietnamese individuals residing abroad.
3. Foreign organizations and individuals as stipulated in Clause 1, Article 159 of Consolidated Document 04/VBHN-VPQH 2022 Housing Law.

Additionally, Article 159 of the same document specifies that foreigners are exclusively allowed to purchase and have their names on the Red Book for apartments and individual houses within projects invested in housing construction.

In summary, while foreigners are restricted from land transactions, they are granted the privilege to own houses in Vietnam, provided they adhere to the conditions outlined in the Housing Law.

Stay informed with Vietnam Insider for the latest updates on real estate regulations affecting foreigners in the country.

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Source: Vietnam Insider