Circular No. 16/2010/TT-BXD of September 01, 2010

CIRCULAR

SPECIFYING AND GUIDING SOME CONTENTS OF THE GOVERNMENT’S DECREE NO.71/2010/ND-CP OF JUNE 23, 2010, DETAILING AND GUIDING THE HOUSING LAW

Pursuant to the Government’s Decree No. 17/ 2008/ND-CP of February 4, 2008, defining the functions, tasks, powers and organizational structure of the Ministry of Construction;
Pursuant to the Government’s Decree No. 71/2010/ND-CP of June 23, 2010, detailing and guiding the Housing Law;
The Ministry of Construction specifies and guides some contents of the Government’s Decree No.71/2010/ND-CP of June 23, 2010, detailing and guiding the Housing Law as follows:
Chapter I

GENERAL PROVISIONS

Article 1. Scope of regulation
This Circular specifies and guides some contents of the Government’s Decree No. 71/2010/ND-CP of June 23, 2010, detailing and guiding the Housing Law (below referred to as Decree No.71/2010/ND-CP) regarding house ownership, housing development, use management of houses, house-related transactions and state management of houses.
Houses governed by Decree No. 71/2010/ ND-CP and this Circular include: houses (villas, detached houses and condominium apartments) which are built for sale, lease or lease-purchase to meet the market demand under the market mechanism (including houses in new urban centers and eco-tourism resorts and houses for multiple-use purposes); houses under state ownership: houses built for sale, lease or lease-purchase under the state-prescribed mechanism (social houses): resettlement houses; and detached houses of households and individuals in urban and rural areas.
Article 2. Subjects of application
This Circular applies to the following entities that are engaged in house-related transactions in Vietnam:
1. Domestic organizations and individuals;
2. Foreign organizations and individuals and overseas Vietnamese;
3. Other organizations and individuals engaged in house-related transactions.
Chapter II

HOUSING DEVELOPMENT

Article 3. Classification of housing development projects
Housing development projects specified in Article 4 of Decree No. 71/2010/ND-CP are of the following types:
1. Projects on housing area development which aim to synchronously build technical and social infrastructure systems, houses and other architectural works in project areas.
2. Independent housing development projects, including:
a/ Grade-II housing projects within housing area development projects defined in Clause 1 of this Article or projects on building new urban centers or eco tourism resorts;
b/ Independent housing projects to build only single house or groups of houses in existing residential quarters or urban centers with available technical infrastructure systems:
c/ Houses for multiple-use purposes (to be used as houses, offices, trade and service centers).
Article 4. Sequence of and procedures for appointment of investors of commercial housing development projects
1. In case only one investor registers to act as investor of a housing development project in a land plot planned for commercial housing development:
a/ Within the time limit for disclosure of information on commercial housing development projects specified in Clause 2. Article 14 of Decree No. 71/2010/ND-CP the investor shall send (directly or by post) a written registration for acting as investor of the housing development project to the provincial-level Construction Department of the locality in which the project will be implemented.
If, within the time limit specified in Clause 2, Article 14 of Decree No. 71/2010/ND-CP only one investor registers to act as investor of the housing development project, the provincial-level Construction Department shall request in writing that investor to directly submit 2 sets of dossier proving its capabilities (comprising copies of papers specified in Article 12 of Decree No.71/2010/ND-CP documents proving the investor’s experience, the investor’s proposals and the project’s estimated total investment):
b/ On the basis of the investor’s dossier, the provincial-level Construction Department shall propose the People’s Committee of the province or centrally run city (below referred to as provincial-level People’s Committee) to form an expert team consisting of representatives from the provincial-level Departments of Construction: Natural Resources and Environment; Planning and Investment; Finance; and Architecture-Planning (for provinces and centrally run cities with Architecture-Planning Departments) to examine and evaluate the investor’s dossier. In case the investor is qualified to be project investor, the provincial-level Construction Department shall send a report, enclosed with a minutes of the expert team’s meeting, to the provincial-level People’s Committee requesting the latter to appoint the investor of the housing development project. The investor appointment decision shall be made according to the form provided in Appendix 1 to this Circular (not printed herein).
In case the investor is unqualified, the provincial-level Construction Department shall notify in writing the investor of the reason and propose the provincial-level People’s Committee to consider and appoint another investor to act as project investor.
c/ The investor that is appointed by the provincial-level People’s Committee as project investor shall formulate and submit a 1:500-scale detailed plan (for areas for which only 1:2.000-scale plans are available) to a competent agency for appraisal and approval or propose a competent agency to accept the project’s general site plan, architectural plan and technical infrastructure solutions (below referred to as the general site plan), for cases in which a 1:500-scale detailed plan is not required by the planning law.
After the 1:500-scale detailed plan is approved or the general site plan is accepted, the investor shall carry out procedures for investment approval and organize the formulation, appraisal and approval of the housing development project under Article 7 of Decree No. 71/2010/ND-CPArticles 5 and 6 of this Circular and the construction law.
2. In case an investor who has acquired lawful land use rights under the land law and complying with housing development plans registers to act as project investor:
a/ The investor shall directly submit to the provincial-level Construction Department of the locality in which the project will be implemented 2 sets of dossier proving its capabilities (comprising copies of papers proving lawful land use rights according to the land law. copies of papers specified in Article 12 of Decree No. 71/2010/ND-CP the investor’s proposals and the project’s estimated total investment):
b/ After receiving the investor’s dossier, the provincial-level Construction Department shall carry out procedures specified at Point b, Clause 1 of this Article. In case the investor is unqualified for acting as project investor, the provincial-level Construction Department shall notify in writing the investor of the reason;
c/ The investor that is appointed by the provincial-level People’s Committee as investor of the housing development project shall perform tasks specified at Point c, Clause 1 of this Article.
Article 5. Sequence of and procedures for appraisal and approval of state-funded housing development projects
1. For a housing development project capitalized at VND 30 billion or more, exclusive of land use levy (except the cases specified in Clause 5 of this Article), the investor shall directly submit to the provincial-level Construction Department of the locality in which the project will be implemented 2 sets of dossier of request for appraisal and approval of the housing development project as specified in Clause 2 of this Article. For a housing development project capitalized at under VND 30 billion (exclusive of land use levy), if the provincial-level People’s Committee chairperson has authorized a district-level People’s Committee chairperson to approve the project, the investor shall directly submit the dossier to the district-level house management bureau in the locality in which the project will be implemented.
2. A dossier of request for appraisal and approval of a housing development project comprises:
a/ A report, made by the investor according to the form provided in Appendix No. 2 to this Circular to the chairperson of the provincial-level People’s Committee (for projects to be approved by provincial-level People’s Committees) or district-level People’s Committee (for projects to be approved by district-level People’s Committees) requesting appraisal and approval of the housing development project:
b/ The project dossier, made according to Article 6 of Decree No. 71/2010/ND-CP;
c/ A copy of the decision approving the 1:500-scale detailed plan and 1:500-scale drawings approved by a competent agency. In case the 1:500-scale detailed plan is not required, there must be a copy of the general site plan approved by a competent planning agency under the planning law;
d/ A copy of the document on the appointment of the project investor, issued by a competent agency.
3. The provincial-level Construction Department or the district-level house management bureau shall examine the dossier. If the dossier is valid, it shall receive the dossier, issue a receipt and make an appointment to give the reply. If the dossier is invalid, it shall guide the investor to .supplement and complete the dossier for once.
After receiving the dossier, the provincial-level Construction Department or district-level house management bureau shall appraise the dossier and seek written comments from natural resources and environment, finance and planning and investment agencies and other concerned agencies (when necessary). At the provincial level, the provincial-level Construction Department shall also consult the provincial-level Architecture and Planning Department (for provinces and centrally run cities with Architecture and Planning Departments) and the district-level People’s Committee of the locality in which the project will be implemented. The, time limit for concerned agencies to give their opinions is 10 days after receiving a written request from the provincial-level Construction Department or district-level house management bureau. After obtaining opinions of concerned agencies, die appraising agency shall make a report according to the form provided in Appendix 3 to this Circular requesting the chairperson of the People’s Committee of the same level to approve the project.
In case the provincial-level Construction Department is assigned to act investor of a housing development project, it shall formulate the project, consult concerned agencies stated in this Clause and make a report according to the form provided in Appendix 2 to this Circular requesting the provincial-level People’s Committee chairperson to approve the project.
4. In pursuance to requirements for housing development projects specified in Article 5 of Decree No. 71/2010/ND-CP the report of the provincial-level Construction Department (at the provincial level) or district-level house management bureau (at the district level) and opinions of concerned agencies, the chairperson of the provincial- or district-level People’s Committee shall issue a decision, made according to the form provided in Appendix No.4 to this Circular, to approve the housing development project. The investor shall directly come to the dossier-receiving place indicated in the dossier receipt to receive this decision.
5. For a housing development project built with central budget funds (except projects invested under the Prime Minister’s decisions’), before submitting the project to investment-deciding persons for appraisal and approval, the investor shall submit 2 sets of dossier of request for investment approval to the provincial-level People’s Committee of the locality in which the project will be implemented for the latter to give written investment approval according to the sequence and procedures specified in Article 6 of this Circular.
A dossier of request for investment approval comprises: a report made by the investor according to the form provided in Appendix No. 5 to this Circular; a copy of the document on appointment of the project investor, issued by a competent agency; a copy of the decision approving the 1:500-scale detailed plan and 1:500-scale drawings approved by a competent agency. In case the 1:500-scale detailed plan is not required, there must be a copy of the general site plan approved by a competent planning agency under the planning law.
Based on the investor’s dossier of request for investment approval, the provincial-level People’s Committee shall make a written investment approval according to the form provided in Appendix 7 to this Circular. After the provincial-level People’s Committee issues the written investment approval, the investor shall formulate the housing development project for submission lo the person competent to decide on investment for appraisal and approval according to Article 7 of Decree No. 71/2010/ ND-CP and this Article.
6. In case the investor of an approved project wishes to change any of the project contents specified in Clause 4. Article 7 of Decree No. 71/2010/ND-CP it shall send a report, enclosed with the approved dossier of the project, to the provincial-level Construction Department (for projects to be approved by provincial-level People’s Committees) or the district-level house management bureau (for projects to be approved by district-level People’s Committees) requesting for additional approval of the project contents.
The provincial-level Construction Department or district-level house management bureau shall receive, examine and appraise the dossier and propose the chairperson of the People’s Committee of the same level to additionally approve the project contents. In case of refusal, the dossier-receiving agency shall issue a written reply clearly stating the reason to the investor.
The investor of a project built with central budget funds specified in Clause 5 of this Article that wishes to change the project contents written in the investment approval document issued by the provincial-level People’s Committee shall request in writing the provincial-level People’s Committee to additionally approve these changes before submitting them to competent agencies for additional approval.
7. When appraising and approving a housing development project, the provincial-level People’s Committee and local functional agencies shall base themselves on Decree No. 71/2010/ND-CPResolution No. 33/2008/NQ-CP of December 31. 2008, on the pilot application of a number of administrative procedures in construction investment to projects on building new urban centers, residential areas and industrial park infrastructure (below referred to as Resolution No.33/2008/NQ-CP) Joint Circular No. 30/2009/TTLT-BXD-BKH of August 27,2009, of the Ministry of Construction and the Ministry of Planning and Investment detailing some contents of Resolution No. 33/ 2008/NQ-CP (below referred to as Circular No. 30/2009/TTLT-BXD-BKH) and this Circular, and refrain from requesting investors to carry out procedures of application for investment certificates or procedures of investment registration, for grade-II projects.
8. The lime limit for competent agencies to appraise and approve a housing development project or additionally approve the project contents as prescribed in this Article complies with Article 7 of Decree No. 71/2010/ND-CP A fee shall be collected for the appraisal of housing development projects under current regulations on the fee for appraisal of work construction projects.
Article 6. Sequence of and procedures for investment approval for housing development projects built with non-state budget funds
1. The sequence of and procedures for requesting investment approval of housing development projects (except grade-II projects; using non-stale budget funds to build less than 2.500 houses (including villas, detached houses and condominium apartments) are specified as follows:
a/ For cases which do not require a bidding to select a housing development project investor:
– The investor shall directly submit 2 sets or dossier of request for investment approval to the district-level house management bureau (for projects to build less than 500 houses) or the provincial-level Construction Department (for projects to build between 500 and under 2.500 houses).
A dossier of request for investment approval comprises: the investor’s report, made according to the form provided in Appendix 5 to this Circular; copies of the following papers: the investor appointment decision, issued by the provincial-level People’s Committee, papers specified in Article 12 of Decree No. 71/2010/ ND-CP; the decision approving the 1:2,000-scale detailed plan and 1:2,000-scale drawings approved by competent agencies (for projects in areas without a 1:2.000-scale plan) or copies of the decision approving the 1:500-scale detailed plan and 1:500-scale drawings approved by competent agencies (for projects in areas with a 1:2.000-scale plan); for cases which do not require a 1:500-scale detailed plan, there must be a copy of the general site plan approved by a competent planning agency;
The provincial-level Construction Department or district-level house management bureau shall examine the dossier. If the dossier is valid, it shall receive the dossier, issue a receipt and make an appointment to give the reply. If the dossier is invalid, it shall guide the investor to supplement and complete the dossier for once.
After receiving the dossier, the provincial-level Construction Department or district-level house management bureau shall appraise the dossier and seek written comments from natural resources and environment; finance; and planning and investment agencies and other concerned agencies (when necessary) within the time limit prescribed in Clause 3 of this Article. At the provincial level, the provincial-level Construction Department shall also consult the district-level People’s Committee of the locality in which the project will be implemented and the provincial-level Architecture and Planning Department (for provinces and centrally run cities with Architecture and Planning Department). After receiving opinions of concerned agencies, the appraising agency shall make a report according to the form provided in Appendix 3 to this Circular, requesting the chairperson of the People’s Committee of the same level to approve the project.
– On the basis of the report of the provincial-level Construction Department or district-level house management bureau, opinions of concerned agencies and Point b. Clause 2, Article71/2010/ND-CP the provincial- or district-level People’s Committee shall issue an investment approval document according to the form provided in Appendix 7 to this Circular. The investor shall directly come to the dossier- receiving place indicated in the dossier receipt to receive this investment approval document.
In addition to the contents specified at Point b, Clause 2, Article 7 of Decree No. 71/2010/ ND-CP. the investment approval document must clearly state the local administration’s responsibilities for investing in the building of social infrastructure facilities (public facilities) and the deadline for the completion of the building of these facilities. Past this deadline, should the local administration still fail to invest in the building of these social infrastructure facilities, the investor may invest in building these facilities according to approved purposes and have investment costs subtracted from its financial obligations payable to the State or the investor may transform these public facilities into non-public ones under investors” ownership;
– After obtaining the written investment approval issued by a competent state agency, the investor shall elaborate and submit a 1 ;500-scale detailed plan (for projects in areas for which only a 1:2,000-scale plan is available) to a competent agency for appraisal and approval and then formulate, appraise and approve the housing development project according to regulations. For projects in areas for which a 1:500-scale detailed plan has been approved or the general site plan has been accepted by a competent agency (for cases which do not require the 1:500-scaie detailed plan), the investor shall formulate, appraise and approve the housing development project according to regulations.
b/ In case a bidding for selection of investors of housing development projects is required:
– For a project to build between 500 and under 2.500 houses, the provincial-level People’s Committee shall organize a bidding to select the project’s investor and clearly state investment approval contents in the decision on selection of the bid-winning investor which replaces the investment approval document.
– For a project to build less than 500 houses, before issuing bidding dossiers, the provincial-level People’s Committee shall direct the provincial-level Construction Department to consult in writing the district-level People’s Committee of the locality in which the project will be implemented according to Point a. Clause 11, Article 14 of Decree No. 71/2010/ND-CP A dossier sent to the district-level People’s Committee for investment approval comprises: a written request clearly stating contents specified at Point b, Clause 2, Article 7 of Decree No. 71/2010/ND-CP; a copy of the decision approving the 1:2.000-scale plan and 1:2.000-scale drawings approved by competent agencies.
After obtaining the investment approval of the district-level People’s Committee, the provincial-level Construction Department shall issue bidding dossiers and propose the provincial-level People’s Committee to organize a bidding to select the project investors according to regulations:
– The selected investor of a housing development project shall elaborate and submit a 1:500-scale detailed plan to a competent agency for appraisal and approval and then, formulate, appraise and approve the housing development project according to regulations. For cases which do not require a 1:500-scale plan, there must be the general site plan approved by a competent planning agency according to the planning law.
2. The sequence and procedures of application for investment approval for a housing development project (regardless of investment capital sources and occupied land areas, including housing projects in new urban centers) to build 2,500 houses or more (including villas, detached houses and condominium apartments) comply with the following provisions:
a/ For cases which do not require a bidding to select the project investor (except for cases in which investors are selected under the Prime Minister’s decisions specified in Clause 5, Article 73 of Decree No. 71/2010/ND-CP):
– The investor shall submit 2 sets of dossier directly to the provincial-level People’s Committee for consideration and submission to the Prime Minister for investment approval of this project.
A dossier set submitted to the provincial-level People’s Committee comprises: the investor’s report, made according to the form provided in Appendix 8 to this Circular: copies of papers (the investor recognition decision issued by a competent agency: papers specified in Article 12 of Decree No. 71/2010/ND-CP: the decision approving the 1:2.000-scale plan and 1:2,000-scale drawings approved by a competent agency):
– Based on the investor’s dossier, the provincial-level People’s Committee shall examine and consult in writing concerned ministries according to Clause 3, Article 7 of Decree No. 71/2010/ND-CP;
– On the basis of concerned ministries’ opinions, the provincial-level People’s Committee shall send to the Prime Minister 2 sets of dossier (comprising the provincial-level People’s Committee’s report, made according to the form provided in Appendix No. 9 to this Circular, and papers specified in Clause 3, Article 7 of Decree No. 71/2010/ND-CP) for the latter to consider and approve investment in this housing development project;
– After obtaining the Prime Minister’s investment approval, the provincial-level People’s Committee shall issue a notice (enclosed with the Prime Minister’s investment approval document) for the investor to elaborate and submit a 1 ;500-scale detailed plan to a competent agency for appraisal and approval and then formulate a housing development project for submission to competent agencies for appraisal and approval (for state-funded projects) or organize the appraisal and approval of the project (for projects built with non-state budget funds).
b/ For cases which require a bidding to select the project investor:
– Before issuing a bidding dossier, the provincial-level People’s Committee shall send the dossier to ministries specified at Point b, Clause 11. Article 14 of Decree No. 71/2010/ ND-CP for opinion. After obtaining concerned ministries’ opinions, the provincial-level People’s Committee shall send to the Prime Minister a report, made according to the form provided in Appendix No. 9 to this Circular, enclosed with papers specified at Point b, Clause 11. Article J 4 of Decree No. 71/2010/ND-CP;
– Alter obtaining the Prime Minister’s investment approval, the provincial-level People’s Committee shall direct the provincial-level Construction Department to issue a bidding dossier and organize a bidding according to regulations. The procedures and mode of bidding to select housing development project investors comply with those applicable to bidding to select investors of other land-occupying projects;
– The selected investor of a housing development project shall elaborate and submit a 1:500-scale detailed plan to a competent agency for appraisal and approval and then formulate the housing development project for submission to a competent agency for appraisal and approval (for state-funded projects) or organize the formulation, appraisal and approval of the project (for projects built with non-state budget funds).
3. The investor of an approved housing development project that wishes to change any of the project contents specified in Clause 4, Article 7 of Decree No. 71/2010/ND-CP shall send a report, enclosed with the approved project dossier, to the agency competent to approve investment requesting additional approval. For a project to build 2,500 houses or more, the investor shall send a report, enclosed with the approved project dossier, to the provincial-level People’s Committee for consideration and submission of these changes to the Prime Minister for additional approval.
A grade-II investor that wishes to change the contents of a housing development project staled in the investment approval document granted by a competent agency to a grade-I investor shall request in writing the grade-1 investor to make a report to a competent agency for additional approval of the project contents. Past 30 days after receiving a written request from the grade-II investor, should the grade-I investor fail to request in writing competent agencies to give additional approval, the grade-II investor may directly request competent agencies to additionally approve the project contents. After receiving the grade-II investor’s report, competent agencies shall appraise and issue an additional approval document. If refusing to give additional approval, it shall issue a written reply clearly stating the reason to the grade-II investor.
In case competent agencies agree to give additional approval, the grade-II investor shall send a notice, enclosed with a copy of the additional approval document, to the grade-1 investor. In this case, any change in the project contents must be in line with the approved detailed plan,
4. The time limit for competent agencies to carry out procedures for investment approval or additional approval of the content of a housing development project prescribed in this Article complies with Article 7 of Decree No. 71/2010/ ND-CP.
5. Two dossier sets shall be submitted by the investor of a housing development project to a competent agency for appraisal and subsequent submission for approval or for investment approval under Article 5 or b of this Circular. In case the appraising agency needs to send the project dossier to concerned agencies for opinion, it shall request the investor to make more dossier sets.
6. When giving investment approval of a housing development project, the provincial-level People’s Committee and local functional agencies must base themselves on Decree No, 71/2OI0/ND-CP. Resolution No. 33/2008/NQ-CP Circular No. 30/2009.nTLT-BXD-BKH and this Circular and refrain from requesting the investor to carry out procedures of application for investment certificates, for domestic projects, or investment registration procedures, for grade-II projects of domestic investors.
7. Provincial-level Construction Departments shall build up databases for summarizing, making statistics of and monitoring housing development projects and projects on new urban centers and eco-tourism resorts involving the building of houses in their localities; the number and types of houses built under these projects: the quantity and types of houses to be divided under capital contribution contracts and subjects eligible for house division as prescribed in Article 8 of this Circular.
Article 7. Implementation of housing development projects
1. Investors {grade-I and grade-II investors) shall implement housing development projects under Article 8 of Decree No. 71/2010/ND-CP and invest in building houses in strict accordance with the approved projects’ contents and schedule, investment approval documents issued by competent state agencies and relevant laws.
2- The investor of a housing development project assigned to build social houses under its commercial housing development projector new urban center project shall complete the building of social houses before completing investment in the building of commercial houses in the same areas and sites.
3. The requirement that investors may not transfer land use rights by selling grounds before building houses in Clause 5. Article 16 of Decree No. 71/2010/ND-CP is applicable to housing development projects and new urban center or eco-tourism resort projects in cities and towns (determined based on their administrative boundaries, regardless of urban or rural areas) or new urban centers planned for development into cities or towns. In other areas, investors may transfer land use rights by selling grounds but they shall complete corresponding technical infrastructure systems before signing land-use right transfer contracts.
4. After completing the building of houses under projects, investors shall perform the tasks specified in Articles 10 and 11 of Decree No. 71/2010/ND-CP In addition, they shall send reports on the implementation of the projects to the provincial-level Construction Departments of the localities in which projects are implemented for monitoring and inspection.
Article 8. Bund raising for investment in commercial houses
1. The investor of a housing development project (including projects on building new urban centers, eco-tourism resorts or houses for multiple-use purposes) that wishes to raise funds for building technical infrastructure works in land areas planned for building houses and for building houses under its project may only raise capital by the modes and under the conditions prescribed in Article 9 of Decree No. 71/2010/ ND-CP.
2. In case of raising capital by borrowing loans from credit institutions or investment funds operating in Vietnam, the time of signing loan contracts shall be agreed upon by involved parties according to the banking law, the law on credit institutions and other relevant regulations.
3. In case of raising capital by issuing bonds, the time, order and procedures for issuing bonds comply with the enterprise and securities laws.
4. The condition on completion of ground clearance specified at Point a. Clause 3. Article 9 of Decree No. 71/2010/ND-CP means that grade-I investors have completed the ground clearance for land areas to be transferred to grade-II investors (calculated based on investment phases or implementation schedules of component projects).
5. In case of raising capital by signing capital contribution contracts or documents, investment cooperation documents or business cooperation contracts (below referred to as capital contribution contracts) under Points c and d. Clause 1. Article 9 of Decree No. 71/2010/ND-CP the involved parties may agree on the sharing of profits (in cash or stocks) or division of product houses or the sharing of both profits and houses.
In case of dividing product houses to capital contributors, the investor may only divide not through a real estate trading floor at most 20% of the projects total number of houses to all capital contributors by different modes of capital raising (the investor may divide houses being villas, detached houses or condominium apartments or divide houses of one or two of these types), but the capital contribution contracts must clearly state the quantity, types, areas and locations of houses to be divided to capital contributors. Investors shall sell, lease or lease-purchase the remaining commercial houses through a real estate trading floor when the conditions prescribed at Points e and f. Clause 3, Article 9 of Decree No. 71/2010/ND-CP are fully met.
From the effective date of Decree No. 71/2010. in each province or centrally run city, each household or individual may contribute capital for division of product houses (under Point c. Clause I, Article 9 of Decree No. 71/2010/ND-CP) for once and be divided only one house (villa, detached house or condominium apartment); in other cases of capital contribution, such household or individual may receive distributed profits in cash or stocks. An organization that contributes capital to receive houses for subsequent division to other households or individuals shall send a list of organizations and individuals entitled to house division to the project investor for submission to the provincial-level Construction Department for certification under Clause 8 of this Article.
Pending the signing of house sale and purchase contracts with investors, entities entitled to house division may not transfer the right to receive houses to other organizations and individuals, in case a person who is entitled to house division dies, he/she heir may enjoy this right. After signing a house sale and purchase contract with the investor under Clause 2, Article 60 of Decree No. 71/2010/ND-CP a person entitled to house division that transfers this contract or sells the to-be-divided house to another person shall comply with Articles 18 and 20 of this Circular.
6. The number of 20% of houses of each project specified in Clause 5 of this Article shall be calculated based on the total number of commercial houses of each housing development project, new urban center or eco-tourism resort project (grade-I projects) or independent housing development project (other than grade-II housing projects) as follows:
a/ In case the number of 20% of houses under a project is a decimal number, the investor may round this number for division (the decimal of 0.5 or more will be rounded to 1 while that of under 0.5 will not be rounded). For example, if the total number of houses under a project is 219. the number of 20% of houses eligible for division will be 43.8. In this case, the investor may divide at most 44 houses. For a project with a total number of houses is 212 of which 20% is equal to 42.4. the investor may divide at most 42 houses.
b/ In case an investor builds houses according to the implementation schedule of the project (only one condominium or house complex is built in advance), the investor may only sign capital contribution contracts involving the division of product houses for at most 20% of commercial houses in this condominium or house complex. The investor may not sign capital contribution contracts for prior division of 20% of houses in condominiums or house complexes not yet built.
c/ In case a grade I investor signs contracts to transfer land use rights with technical infrastructure to grade II investors for building houses. grade-II investors may sign capital contribution contracts involving the division of houses as products for at most 20% of commercial houses built by themselves on the land area transferred from the grade-I investor as prescribed in the following examples:
– Example 1: Enterprise A is the investor of a housing development project to build 1,000 houses (including 800 commercial houses and 200 social houses). According to regulations, enterprise A is only permitted to sign capital contribution contracts involving the division of 160 product houses at most (20% of 800 commercial houses).
+ In case enterprise A only deals in infrastructure (after completing investment in building the technical infrastructure system, it shall transfer the whole land area to grade-II investors), each grade-II investor may sign capital contribution contracts involving the division of product houses not exceeding 20% of commercial houses built by itself on the land area transferred from the grade-I investor (in case enterprise A transfers land to 4 grade-II investors. namely B. C. D and E, for building 200 commercial houses each, each grade II investor may sign capita! contribution contracts involving the division of 40 product houses at most (equal to 20% of 200 commercial houses) and the total number of houses to be divided under capital contribution contracts by 4 grade-II investors is 160 (equal to 20% of 800 commercial houses);
+ In case enterprise A only transfers part of the land area to 2 enterprises, namely B and C. (grade-II investors), to build 350 commercial houses under planning, while it will build 450 commercial houses on the remaining land area, enterprises B and C will be allowed to sign capital contribution contracts involving the division of 70 product houses at most (20% of 350 commercial houses), enterprise A may sign capital contribution contracts to divide to capital contributors 90 houses at most (equal to 20% of 450 commercial houses);
+ In case enterprise A signs capital contribution contracts of a total value exceeding the value of houses eligible to be divided (presumably, the total value of 160 houses eligible to be divided is VND 160 billion, but enterprise A raises VND 200 billion by the mode of capital contribution, investment cooperation or business cooperation; in this case, it may only divide 160 product houses at most (equal to VND 160 billion). For the remaining VND 40 billion received as contributed capital, investment cooperation and business cooperation capital, enterprise A shall share profits (in cash or stocks) with capital contributors.
– Example 2: Enterprise A is the investor of an independent housing development project (other than grade-IT project) with 200 houses to be built under the approved plan and project dossier. In this case, enterprise A may sign capital contribution contracts to divide 40 houses at most to capital contributors.
7. Upon the effective date of Decree 71/2010/ ND-CP, should a grade-I investor still fail to sell out or lease all houses under the project according to the law on real estate trading, it may sign capital contribution contracts involving the division of product houses under Article 9 of Decree No. 71/2010/ND-CP but the total number of houses to be divided to capital contributors shall be calculated based on the number of houses not yet sold or leased through a real estate trading floor under the guidance given in the following example:
Example: Enterprise A is the investor of a housing development project with a total of 800 houses to be built under the approved plan. Enterprise A has built and signed contracts to sell 400 houses through a real estate trading floor while the remaining 400 houses are under construction and no sale and purchase contract has been signed. In this case, enterprise A may sign capital contribution contracts involving the division of 80 product houses at most (equal to 20% of 400 commercial houses not yet sold).
8. For cases of raising capital under house division agreements specified in Clause 5 of this Article, investors shall propose provincial-level Construction Departments to certify the division of houses according to the following regulations:
a/ After signing contracts with capital contributors, an investor shall submit to the provincial-level Construction Department of the locality in which the project will be implemented a written request for certification, enclosed with a list of individuals having signed capital contribution contracts involving the division of product houses and the approved project and plan, clearly indicating the total number of houses of the project.
b/ On the basis of the investor’s request, the provincial-level Construction Department shall base itself on Articles 9 and 60 of Decree No. 71/2010/ND-CP this Article and the number of houses indicated in the approved plan and project dossier to certify the list of persons entitled to house division. Such a written certification shall be made according to the form provided in Appendix 10 to this Circular;
c/ The time limit for the provincial-level Construction Department to certify the list of persons entitled to house division is 20 working days after receiving the investor’s written request. In case the provincial-level Construction Department detects that the number of houses to be divided to persons on the list submitted by the investor for certification exceeds 20% of the total number of houses according to regulations or the list contains individuals or households that have been previously certified (counting from the effective date of Decree No. 71/2010/ND-CP) it shall, within 7 working days after receiving the investor’s request, ask in writing the investor to re-make the list of persons entitled to house division. The time limit for the investor to re-make the list of persons entitled to house division shall not be counted into the time limit for the provincial-level Construction Department to give certification specified at this Point.
The provincial-level Construction Department’s certification of house division specified in this Clause shall be used as the certification of trading via a real estate trading floor and serve as a legal ground for competent agencies to grant house ownership right certificates to purchasers.
d/ A household or individual that has been divided a house under Clause 5 of this Article will not be certified for house division for the second time, even in case the person entitled to house division has sold or donated the divided house to another person. In case a person entitled to house division dies, his/her lawful heir shall file an application, enclosed with a copy of the death certificate and lawful testament or a record on inheritance division as prescribed by the civil law or a valid judgment, to the investor for the latter to re-sign the contract with the heir and request in writing the provincial-level Construction Department to re-certify the name and address of the person entitled to house division.
All cases of dividing houses in excess of the permitted ratio of 20%, giving certification for an individual or household to receive more than one divided house in a province or centrally run city or allowing the transfer of the right to house division without, satisfying the conditions prescribed in Article 60 of Decree No. 71/2010/ ND-CP will not be recognized by law and violators shall be handled according to law.
e/ Provincial-level Construction Departments shall open information boxes on their websites for disclosure of information on names and addresses of entities entitled to house division and types, locations and number of houses to be divided within 3 working days after giving certification. In June and December every year or upon receiving irregular requests, they shall summarize and report to the Ministry of Construction on the number of entities entitled to house division and the number and types of divided houses in their localities.
9. Cases in which land use rights have not yet transferred from a grade-I investor to grade-II investors under the land law specified at Point a, Clause 3. Article 9 of Decree No. 71/2010/ ND-CP are defined as cases in which grade-II investors have not yet received land from the grade-I investor (land transfer records are unavailable). In these cases. grade-II investors’ signing of capital contribution contracts involving the division of product houses must be approved in writing by the grade-I investor.
Grade-II investors, when submitting written requests for certification of the list of subjects entitled to division of product houses to provincial-level Construction Departments under Clause 8 and notifying the raising of capital under Clause I) of this Article shall enclose a record on the transfer of land from the grade-I investor; in case the land transfer record is not yet available, they shall send a copy of the grade-I investor’s written consent of the signing of capital contribution contracts involving the division of product houses.
10. The requirement on completed construction of foundations specified at Point e, Clause 3, Article 9 of Decree No. 71/2010/ND- CP is applicable to all types of houses (villas, detached houses and condominium apartments, including houses for multiple-use purposes). An investor that applies the method of top-down construction (building upper floors before building basement slabs or the lowest ground level) according to the approved design plan may sell houses only after completing the construction of the first floor area and obtain a record on the takeover test of the construction of this floor area.
Investors shall send copies of the record on the takeover lest of the basement construction (certified with the investor’s seal) to real estate trading floors for use as a basis for the sale of houses according to law.
11. In case of raising capital by the modes specified at Points b, c and e. Clause I. Article 9 of Decree No. 71/2010/ND-CP at least 15 days before signing capital raising contracts, investors shall send notices clearly stating the contents specified at Point f. Clause 3r Article 9 of Decree No. 71/2010/ND-CP to provincial-level Construction Departments for information and supervision (it is not required to obtain the provincial-level Construction Department’s written approval before signing contracts). Provincial-level Construction Departments shall request in writing investors detected to raise capital in contravention of Article 9 of Decree No. 71/2010/ND-CP to cease their capital raising, cancel signed capital raising contracts and comply with regulations.
12. Capital contribution contracts, investment cooperation contracts or business cooperation contracts specified in Article 9 of Decree No. 71/2010/ND-CP must contain the following details: contracting parties, mode of capital raising; the amount of capital to be raised; capital raising terms; mode of profit sharing (in cash or stocks) or division of product houses, types, location and areas of to-be-divided houses; deadline for capital refund or house handover; rights and obligations of involved parties; settlement of disputes and other agreements.
13. Investors (grade-I and grade-II) may only sign capital raising contracts by the modes and under the conditions prescribed in Article 9 of Decree No. 71/2010/ND-CP Capital raising contracts involving the division of product houses which are signed in contravention of Article 9 of Decree No. 71 /20I0/ND-CP and this Decree will have no legal validity and not be recognized by law and violators shall be handed according to current law.
Chapter III

HOUSE OWNERSHIP MANAGEMENT. USE AND TRANSACTIONS

Section 1. HOUSE OWNERSHIP, MAN A GKMENT A ND USE
Article 9. Recognition of house ownership
1. House ownership for organizations and individuals eligible to own houses in Vietnam shall be recognized under the Government’s Decree No. 88/2009/ND-CP of October 19. 2009. on grant of land use right or house and land-attached asset ownership certificates. Decree No.71/2010/ND-CP documents guiding Decree No. 88/2009/ND-CP and this Circular.
2. When applying for certificates of ownership of detached houses of households and individuals defined in Article 43 of Decree No. 71/2010/ND-CP in addition to the papers evidencing the lawful establishment of houses under regulations on grant of land use right or house and land-attached asset ownership certificates, these households and individuals shall also produce papers below:
a/ For detached houses specified in Clause 2, Article 43 of Decree No. 71/2010/ND-CP a copy of the construction license (in case this license is required for such house) and a copy of the force-bearing safety certificate granted by a functional unit under the construction law;
b/ In case of application for an ownership certificate for each apartment within a detached house defined in Clause 3, Article 43 of Decree No. 71/2010/ND-CP a copy of the construction license (in case this license is required for such house), enclosed with a drawing of each floor’s plan and a drawing of each apartment’s plan, surveyed and made by the house owner or an organization with surveying and drawing function. In case drawings arc made by the house owner himself/herself, the certificate-granting agency shall examine the minimum area of each apartment, area under common use and area under private use under Clause 3. Article 43 of Decree No. 71/2010/ND-CP
Article 10. Management and use of official-duty houses
1. Official-duty houses are state-owned houses to be leased to entities defined in the Housing Law and Decree No, 71/2010/ND-CP and closely managed. Units assigned to manage official-duty houses shall manage such houses and collect house rents under the Housing Law and Decree No. 71/2010/ND-CP
2. Renters of official-duty houses shall use these houses for proper purposes, preserve the houses and attached assets, and pay fully and in time house rents to house managing units as agreed in house rent contracts.
3. Persons competent to decide on investment in official-duty house development projects shall decide on the selection of units to manage the operation of official-duty houses.
4. Official-duty house rent rates shall be determined under Clause 1, Article 26 of Decree No.71/2010/ND-CP Pursuant to the guidance on methods of determining official-duty house rent rates, provincial-level Construction Departments shall formulate and submit to provincial-level People’s Committees for promulgation official-duty house rent tariffs for uniform application in localities. Based on such rent tariffs, units assigned to manage the operation of official-duty houses shall submit rent rates for official-duty houses under their management to investment deciders for approval.
5. Official-duty houses shall be managed and used under separate guidance of the Ministry of Construction.
Article 11. Management and use of social houses built with non-state budget funds
1. Social houses built with non-state budget funds may be sold, leased or lease-purchased under Decree No. 71/2010/ND-CP and legal documents concerning development of houses for students of training institutions, industrial-park workers and low-income earners in urban areas.
The selection of entities eligible to purchase, rent or rent-purchase social houses and the operation management of social houses specified in this Article comply with the Construction Ministry’s Circular No. 36/2009/TT-BXD of November 16, 2009, guiding the sale, lease, lease-purchase and use management of houses for low-income earners in urban areas.
2. Investors of social house development projects defined in this Article may use model and typical designs of social houses under the Construction Ministry’s Circular No. 14/2009/ TT-BXD of June 30. 2009. on typical and model designs of houses for students, workers and low-income earners.
3. Methods of determining selling prices and rent or rent-purchase rates for social houses comply with the Construction Ministry’s Circular No. 15/2009/TT-BXD of June 30. 2009, guiding methods of determining rent rates for student and worker houses and selling prices and rent rates for houses for low-income earners.
4. Pursuant to the Construction Ministry’s guidance on pricing methods, investors shall formulate selling prices and rent or rent-purchase rates for social houses and submit them to provincial-level People’s Committees of localities in which exist projects for appraisal. Within 30 days after receiving investors’ request for appraisal, provincial-level People’s Committees shall conduct appraisal and send appraisal documents to investors, indicating contents agreed and those to be modified.
Provincial-level Construction Departments or specialized agencies shall, as directed by provincial-level People’s Committees, assist provincial-level People’s Committees in appraising investor-formulated selling prices and rent or rent-purchase rates for social houses. Based on appraisal documents of provincial-level People’s Committees, investors shall set selling prices and rent or rent-purchase rates for social houses for application to houses built by them.
Past 30 days, if provincial-level People’s Committees fail to issue appraisal documents, investors may set selling prices and rent or rent-purchase rates for social houses built by them and shall send to provincial-level People’s Committees one price table they have issued.
From the effective date of this Circular, provincial-level People’s Committees shall only appraise (but not approve) and send to investors appraisal documents on rent rates for houses for students, workers or low-income earners and selling prices and rent or rent-purchase rates for houses for low-income earners under investment projects built with non-state budget funds.
5. When conducting appraisal for providing loans for the construction of social houses, credit institutions need to base themselves on project dossiers only. In case there are no appraisal opinions of provincial-level People’s Committees on selling prices and rent or rent-purchase rates for social houses, credit institutions shall base themselves on selling prices and rent or rent-purchase rates for social houses formulated by investors based on the Construction Ministry-guided pricing methods.
Article 12. Management and use of condominiums and urban villas
1. Condominiums shall be managed and used under the Housing Law, Decree No. 71/2010/ ND-CP and the Construction Ministry’s Decision No. 08/2008/QD-BXD of May 28, 2008, promulgating the Regulation on use management of condominiums.
2. Urban villas shall be managed and used under Decree No. 71/2010/ND-CP and the Construction Ministry’s Circular No. 38/2009/TT-BXD of December 8, 2009, guiding use management of urban villas.
Article 13. Construction and management of detached houses of households and individuals
1. When building detached houses, households and individuals shall comply with Articles 41 thru 44 of Decree No. 71/2010/ND-CP and the construction law.
2. For a household or a detached that builds a detached house while satisfying the requirements specified in Clause 3, Article 43 of Decree No. 71/2010/ND-CP and sells each separate apartment, a competent state agency shall consider and grant a land use right or house and land-attached asset ownership certificate for each apartment within that house. After selling apartments and carrying out procedures for the grant of ownership certificates to apartment purchasers, the right to use land (including premises) of the entire building is the common use right of all apartment owners under regulations on the right to use land of a multi-owner condominium.
3. The sale or lease of apartments specified in Clause 2 of this Article is not required to be conducted via a real estate trading floor but apartment purchase and sale contracts must be notarized or certified by a competent agency in order to be valid.
A contract on apartment purchase and sale must, in addition to the requirements set in Article 63 of Decree No. 71/2010/ND-CP and Article 21 of this Circular, also indicate the following: area under private ownership and area under common ownership of the apartment owners; the apartment’s floor area (by the method specified in Clause 2, Article 21 of this Circular); the building’s land area used, including the area of premises (if any), under common use of the apartment purchasers; responsibility to pay relevant expenses during the use of the house (if any); service charges must not exceed the ceiling prices set by the provincial-level People’s Committee, unless otherwise agreed by the parties. The house seller shall provide warranty for apartments under Article 46 of Decree No. 71/2010/ND-CP.
4. Houses under common ownership of different owners and houses used by different households and individuals in urban areas shall be managed under the Construction Ministry-promulgated Regulation on management and use of condominiums in urban areas.
Section 2. MANAGEMENT AND USE OF SOCIAL HOUSES BUILT WITH STATE BUDGET FUNDS
Article 14. Approval of persons eligible to rent social houses built with state budget funds
1. To be eligible to rent social houses built with slate budget funds, persons must have applications and written certification made according to the forms provided in Appendices01, 01a and 01b to the Construction Ministry’s Circular No. 36/2009/TT-BXD of November 16, 2009, guiding the sale, lease, lease-purchase and use management of houses for low-income earners in urban areas, and submit them directly to provincial-level Construction Departments of localities in which exist social houses. For those who have returned official-duty houses under Point a. Clause 6, Article 30 of Decree No. 71/2010/ND-CP only written certification of such return, made by the official-duty house-managing agency, is required.
2. Upon receiving social-house rent applications and certifications specified in Clause 1 of this Article, provincial-level Construction Departments shall examine them against the provisions on eligible persons and conditions for rent of social houses in Article 37 and Clause 1, Article 38 of Decree No. 71/2010/ND-CP and the actual funds of local houses before submitting them to provincial-level People’s Committees for solution.
3. The criteria for approval of persons eligible to rent social houses are guided in Article 5 of the Construction Ministry’s Circular No. 36/ 2009/TT-BXD of November 16, 2009, guiding the sale, lease, lease-purchase and use management of houses for low-income earners in urban areas.
4. Persons eligible to purchase, rent or rent-purchase social houses must have their monthly average incomes not liable to personal income tax on their regular incomes under the law on persona] income tax.
The criteria specified in this Clause are also applicable to those eligible to purchase, rent or rent-purchase social houses or houses for low-income earners built with non-state budget funds, and replace the provisions on income criteria specified in Clause 4, Article 4 of the Construction Ministry’s Circular No. 36/2009/ TT-BXD of November 16, 2009, guiding the sale, lease, lease-purchase and use management of houses of low-income earners in urban areas.
5. Provincial-level Construction Departments shall formulate criteria for approving persons eligible to rent social houses defined, in Clause 3 of this Article for submission to provincial-level People’s Committees for promulgation. These criteria shall be publicized in local mass media and on websites of provincial-level People’s Committees and Construction Departments of localities in which exist the projects.
Article 15. Constituents of rent rates for social houses built with state budget funds
Constituents of rent rates for social houses built with state budget funds include:
1. Expense for house construction investment which includes all lawful costs of building houses and putting into operation and use under current regulations on management of work construction investment projects, for which the investment capital finalization was approved by a competent authority at the time of handover of houses for operation and use:
2. Expense for house operation management:
a/ Salaries and salary-based allowances, social and health insurance premiums and other deductions from salary funds for the apparatus of the house operation-managing unit.
The salary expense shall be determined on the basis of the payroll of cadres and employees as well as salaries, salary-based allowances and other deductions from salary funds under current state regulations;
b/ Expense for services within the house complex, such as security, sanitation, garbage collection, tending of flower gardens and pot plants, insect killing and other services (if any), shall be determined on the basis of the volume of jobs to be performed and payment level agreed in the service contract;
c/ Expense for stationery, office furniture, tools and cheap and perishable items of the house operation-managing unit;
d/ Expense for daily-life electricity and water for the working office of the house operation-managing unit; electricity for public lighting within the house complex; and operation of lifts (if any):
e/ Expense for depreciation of fixed assets of the house operation-managing unit, such as cars, computers, photocopiers and other assets. Fixed asset depreciations shall be managed and used under the Finance Ministry’s regulations.
3. Expense for house maintenance, which includes all expenses for renovation maintenance, small repair, medium repair, overhaul and unexpected repair aiming to maintain the quality of the house. Investors shall calculate and determine the expense for house maintenance on the basis of the structure of social house rent rates specified in Article 16 of this Circular.
Funds for house maintenance shall be deducted from house rents (according to the rent rate structure specified in Article 16 of this Circular) and deposited in a commercial bank’s separate account with a demand interest rate. These funds shall be managed by the house operation-managing unit and used for house maintenance under regulations on maintenance of construction works.
Article 16. Method of determining rent rates for social houses built with state budget funds
1. Formula:

Of which:
 is the rent rate for using 1 m2 of an apartment in a month (VND/nr/month).
 is the project’s construction investment expense allocated annually on the principle of capital preservation (VND/year).
Formula for determination of :

+  is the project’s total construction investment expense at the time of handover of (he house for operation and use (based on the approved investment capital finalization value) (VND).
+  is the interest rate for investment capital preservation (calculated on an annual basis.) decided by a person with investment-deciding competence (%/year).
+  is the number of years of capital retrieval, depending on specific conditions of each project and person with investment-deciding competence, which must be at least 20.
–  is the annual expense for operation management (VND/year).
 is the annual average expense for house maintenance (VND/year).
– . is revenue from the provision of services within the house complex in a year, such as car-keeping and canteen services, and revenues (if any) from sports facilities (VND/year).
–  is the total use area of leased apartments of the project (m2).
–  is the story-based allocation coefficient on the principle of capital preservation. For example, for a 5-story condominium, allocation coefficients are as follows:  = 1.2; = 1.1; =1;  = 0.9;  = 0.8.
– L is the project’s location coefficient, which is determined based on the project’s convenient location and 1.
– 12 is the number of months in the year.
This Article’s provisions on coefficient K replace relevant provisions in Articles 5, 6 and 7 of the Construction Ministry’s Circular No. 15/ 2009/TT-BXD of June 30. 2009. and Article 4 of the Construction Ministry’s Circular No. 17/ 2009/TT-BXD of June 30. 2009.
2. Under the guidance on the constituents of social house rent rates guided in Article 15 of this Circular and the method of determining social house rent rates specified in this Article, provincial-level Construction Departments shall elaborate and submit rent rates for social houses built with state budget funds to provincial-level People’s Committees for promulgation for uniform application in localities.
Particularly for student houses built with state budget funds, their rent rates shall be determined under the Construction Ministry’s Circular No. 17/2009/TT-BXD of June 30. 2009, on the method of determining rent rates for student houses built with state budget funds.
Article 17. Management and use of social houses built with state budget funds
1. The State will build social houses for lease under Decree No. 71/20I0/ND-CP and this Circular.
2. The operation management of social houses built with state budget funds must adhere to the following principles:
a/ Hiring units with house operation-managing function to manage the operation of social houses:
b/ Units assigned to manage the operation of social houses shall closely manage these houses. House operation-managing units and house renters may neither change at their own discretion use purposes nor transfer houses in any form:
c/ Leasing, and managing the operation of, social houses are eligible for mechanisms like public-utility services under the Finance Ministry’s guidance;
d/ A social house rent rate includes ail expenses for retrieving construction investment capita] and expenses for house maintenance and operation management and shall be promulgated by provincial-level People’s Committees under Articles 15 and 16 of this Circular;
e/ House operation-managing units may use other areas within social house complexes for commercial purposes to offset house management and operation expenses;
f/ Social houses being condominiums shall be operated and managed under the Construction Ministry’s Circular No. 36/2009/TT-BXD of November 16, 2009, guiding the sale, lease, lease-purchase and use management of houses for low-income earners in urban areas.
Student houses shall be operated and managed under the Construction Ministry’s Circular No.13/2009/TT-BXD of June 30, 2009, guiding the lease and operation management of student and industrial-park worker houses.
3. Pursuant to Section 3. Chapter II of Decree No. 71/2010/ND-CP and this Article, provincial-level Construction Departments shall elaborate and submit a Regulation on management of social houses built with state budget funds to provincial-level People’s Committees for promulgation and uniform application in localities.
Section 3. HOUSE-RELATED TRANSACTIONS
Article 18. Commercial house-related transactions via real estate trading floors
1. The sale, lease or lease-purchase of commercial houses by real estate traders shall be conducted via real estate trading floors under Article 60 of Decree No. 71/2010/ND-CP and the law on real estate trading, unless investors raise capital in the forms specified at Points a, b, c and d. Clause 1. Article 9 of Decree No. 71/2010/ND-CP.
Signed contracts will be invalidated in case the purchase, sale, lease or lease-purchase of commercial houses by real estate traders in provinces and centrally run cities in which exist real estate trading floors (regardless of the origin of houses established) is not conducted via real estate trading floors under Article 60 of Decree No. 71/2010/ND-CP the law on real estate trading and this Article. In case of purchase and sale or lease-purchase of houses, the Slate will not grant ownership certificates to purchasers and rent-purchasers for such houses.
An investor shall send to the real estate trading floor a valid dossier evidencing the commercial house’s eligibility for via-floor trading, comprising copies of the competent agency’s document recognizing the project investor; a master plan approval decision and a 1:500-scale drawing of the approved detailed master plan or a drawing of the project’s total plan (in case 1:500-scalc master plans are not required); a project approval decision: a land allocation or lease decision or land use right certificate granted for the whole project; construction license, in case this license is required; an approved design drawing of each type of house to be purchased, leased or lease-purchased; and a record of technical takeover test of the complete construction of the house’s foundation under Clause 10. Article 8 of this Circular.
Particularly, social houses which arc built for sale, lease or lease-purchase to entities defined in Article 37 of Decree No. 71/2010/ND-CP are not subject to via-floor trading procedures but must comply with regulations on sale, lease or lease-purchase of social houses.
2. Real estate trading floors may neither invest or deal in houses nor purchase houses from investors for resale to others but may only sell, lease or lease-purchase houses as authorized by enterprises having houses and provide real estate services under the law on real estate trading. Real estate trading floors may be authorized by commercial house project investors to seek partners to contribute investment capital in the forms specified in Article 9 of Decree No. 71/2010/ND-CP.
Investors and real estate trading floors established by entities other than investors (not attached to investors) may sign contracts to authorize via-floor sale, lease or lease-purchase of houses. For real estate trading floors established by investors (attached to investors), investors shall sign authorization papers for these floors to sell, lease or lease-purchase houses they have built (these authorization papers are substitutes for authorization contracts). A contract or paper of authorization for via-floor sale, lease or lease-purchase of houses must indicate the type, quantity and location of the houses; selling price and rent or rent-purchase rate for each type of house; mode of sale, lease or lease-purchase (lot-draw or auction): time limit for purchase, rent or rent-purchase registration; charge for via-floor purchase and sale, lease or lease-purchase transactions; time limit for publicizing the purchase and sale, lease or lease-purchase of the houses at the floor and in the mass media of the locality in which exist the houses; time for sale, lease or lease-purchase; responsibilities of involved parties; and other information relating to the houses under the law on real estate trading. The involved parties shall make authorization according to forms of contracts or papers of authorization for via-floor sale, lease or lease-purchase of commercial houses provided in Appendix 11 to this Circular.
3. The following papers must be publicly posted up at a real estate trading floor: contracts or papers of authorization for via-floor sale, lease or lease-purchase of houses; tables of selling prices and rent or rent-purchase rates for commercial houses with investors’ certification seals, and investors’ technical takeover records of complete construction of houses’ foundations. It shall provide adequate and accurate information and legal dossiers on houses for sale, lease or lease-purchase to organizations and individuals that wish to make via-floor transactions.
4. Real estate trading floors may sell houses on the basis of authorization contracts or papers signed with house-owning enterprises only after the foundations of these houses are completely built (based on technical takeover records) under Point c, Clause 3, Article 9 of Decree No.71/2010/ND-CP and Clause 10. Article 8 of this Circular.
5. Only after completing procedures for house purchase and sale via real estate trading floors (purchasers have obtained certificates of via-floor trading from a real estate trading floor under the law on real estate trading) and notifying such in writing to provincial-level Construction Departments of localities in which exist houses under Point f, Clause 3, Article 9 of Decree No.71/2010/ND-CP house-owning enterprises may sign house purchase and sale contracts with purchasers. In case of lease or lease-purchase of commercial houses, investors may authorize via-floor transactions and sign lease or lease-purchase contracts only when they have completely built houses (they have obtained house ownership certificates or made records of completion of houses under the construction law).
Signed contracts will be invalidated in case the sale, lease or lease-purchase of commercial houses is conducted in contravention of Articles 9 and 60 of Decree No. 71/2010/ND-CP this Article and the law on real estate trading. Violators shall be handled under law and. if causing damage, pay compensation. Real estate trading floors which fail to strictly comply with this Article will have their business registration certificates for dealing in real estate trading floors deprived of and shall be sanctioned undercurrent law.
When detecting real estate trading floors’ violation of regulations on via-floor sale, lease or lease-purchase of commercial houses, provincial-level Construction Departments or competent agencies may request agencies that have granted business registration certificates to deprive the right to use business registration certificates for dealing in real estate trading floors and shall report such in writing to the Ministry of Construction for deletion of the names of violating floors from the website of Vietnam’s network of real estate trading floors.
6. An organization or individual that has purchased a house via a real estate trading floor or has been allocated a house under Article 9 of Decree No. 71/2010/ND-CP and resells this house to another person shall comply with Clause 3, Article 60 of Decree No. 71/2010/ND-CPHouseholds, individuals or organizations without real estate trading function that resell the purchased houses to other organizations or individuals shall also comply with the following regulations:
a/ If they have received houses from investors, they shall purchase and sell houses according to procedures specified in the Housing Law and the civil law (sellers must possess house ownership certificates granted by competent agencies and involved parties shall make house purchase and sale contracts and pay taxes under regulations);
b/ If they have not received houses from investors yet, they may transfer house purchase and sale contracts under Clause 1. Article 20 of this Circular not via real estate trading floors.
7. Once every three months and in December every year or upon request, real estate trading floors shall summarize and report to provincial- level Construction Departments of localities in which they operate on the quantity of commercial houses already traded via the floors (sold, leased or lease-purchased), locations of houses traded. and names of investors that authorize via-floor trading of houses). Provincial-level Construction Departments shall summarize and report to the Ministry of Construction on via-floor trading results within the time limit specified in this Clause or upon request.
Article 19. House-related transactions of overseas Vietnamese and foreign organizations and individuals in Vietnam
1. Overseas Vietnamese who purchase and sell, receive as gifts or donations, exchange or inherit houses or are transferred the right to use land for building houses under commercial house development projects in Vietnam (for cases eligible for transfer of land use rights by selling foundations to households and individuals to build houses under the land law) must possess papers evidencing their eligibility to own houses in Vietnam under Articles 66 and 67 of Decree No. 71/2010/ND-CP.
Overseas Vietnamese are required to possess only papers evidencing their permitted residence in Vietnam under Article 67 of Decree No. 71/2010/ND-CP in order to own houses in Vietnam. They are not required to have actually resided (consecutively or in an accrued duration) for at least full three months in Vietnam in order to own houses.
2. Overseas Vietnamese who are ineligible for owning houses in Vietnam but are donated or inherit houses in Vietnam may donate these houses to other entities that are eligible to own houses in Vietnam or sell these houses for enjoying their value. Procedures for selling houses to enjoy their value comply with Article 72 of Decree No. 71/2010/ND-CP.
3. Persons with special expertise and skills under Point b. Clause 2. Article 66 of Decree No.71/2010/ND-CP shall be certified on the following principles;
a/ In case their special expertise and skills arc available on the list of professions issued by Vietnam’s Ministry of Labor. War Invalids and Social Affairs, persons with special expertise and skills are those having skills of the highest level under regulations of countries that issue skill certificates to these persons.
A person with special expertise and skills shall send i request to a Vietnamese professional association or society for a written certification, enclosed with a notarized copy of the certificate of skills of the highest level. In case there is no relevant professional association or society to give such certification, such request shall be sent to the ministry in charge of the professional expertise and skills for certification;
b/ In case their special expertise and skills are unavailable on the list of professions issued by Vietnam’s Ministry of Labor. War Invalids and Social Affairs, after receiving a request, a Vietnamese professional association or society (if available) or a ministry in charge of the relevant domain (if a professional association or society is unavailable) shall, based on criteria and requirements of special expertise and skills set by such association, society or ministry, issue a written certification for the applicant or give a reply clearly stating the reason to the applicant (if refusing to grant such certification);
c/ Vietnamese professional associations and societies competent to grant written certification for persons with special expertise and skills under Point b. Clause 2. Article 66 of Decree No.71/2010/ND-CP are professional associations and societies established under Vietnamese law and lawfully operating in Vietnam.
4. When granting land use right or house and land-attached ownership certificates or carrying out procedures for transfer of house ownership to overseas Vietnamese who are eligible to own homes in Vietnam, district-level People’s Committees shall send reports, made according lo forms provided in Appendices 12 and 13 to this Circular, to the Ministry of Construction for management under Article 68 of Decree No. 71/2010/ND-CP.
5. When purchasing houses in Vietnam, foreign organizations and individuals shall comply with the National Assembly’s Resolution No. 19/2008/QH12 of June 3, 2008, on pilot permission for foreign organizations and individuals to purchase and own houses in Vietnam, and the Government’s Decree No. 51/ 2009/ND-CP of June 3, 2009, guiding this Resolution.
The order and procedures for the grant of land use right or house and land-attached ownership certificates to entities eligible to own homes in Vietnam under this Article comply with regulations on grant of land use right or house and land-attached ownership certificates.
Article 20. Handling of cases of transfer of house purchase and sale contracts under housing development projects, new urban center projects or eco-tourist zone or resort projects
1. A household, an individual or an organization without real estate trading function that wishes to transfer a contract to purchase and sell a future house after the effective date of Decree No.71/2010/ND-CP shall comply with the following regulations:
a/ The involved parties shall make a document on the transfer of a house purchase and sale contract according to the form provided in Article 14 to this Circular and have it certified by a notary public. When requesting notarization, the parties shall produce the house purchase and sale contract signed with the investor. If they transfer such contract from the second time on, they shall produce the document on the previous transfer;
b/ Based on the contract transfer document made under Point a of this Clause, either party shall, as agreed, submit copies of papers (including the contract transfer document; receipts of capital contribution or payment of money to the investor; and house purchase and sale contract signed with the investor) to the tax office for carrying out procedures for income tax collection under law. If contract transfer is eligible for income tax exemption, the tax office’s papers certifying such exemption are required;
c/ After paying taxes under regulations, the contract transferee shall submit a dossier of request for contract transfer (comprising a copy of the income tax receipt or tax office’s paper evidencing income tax exemption: a copy of the house purchase and sale contract signed with the investor and the original contract transfer document certified by the notary public) for the investor to certify this contract transfer document Within 5 working days after receiving the transferee’s dossier, the investor shall certify the contract transfer document and hand it to the transferee. The investor may not collect any charge from such transfer.
After certifying the contract transfer document, the investor shall terminate transactions with the transferor and directly conduct transactions with the transferee. The transferee may take over the transferor’s rights and obligations under the house purchase and sale contract signed with the investor and will be regarded as the house purchaser from that dale:
d/ In case of multiple transfer of a house purchase and sale contract, from the second transfer on. the involved parties shall carry out procedures under Points a, b and c of this Clause The subsequent transferee shall receive and keep papers related to the previous transfer;
e/ The final transferee (organization or individual that sends an application to a competent state agency for a house ownership certificate) may have his/her/its name written in the land use right or house and land-attached asset ownership certificate. When carrying out procedures for the grant of house ownership certificates, in addition to papers under regulations on grant of land use right or house and land-attached asset ownership certificates, the investor (or applicant for such certificate) shall submit to the certificate-granting agency the following papers related to the contract transfer:
– The house purchase and sale contract signed between the investor and first-time purchaser;
– Papers certifying via-floor trading (for houses in provinces or centrally run cities in which exist real estate trading floors) or the provincial-level Construction Department’s certification of allocation of the house (for cases eligible for house allocation) for the first-time purchaser;
– The contract transfer document, certified by a notary public and the investor, and income tax receipt or paper certifying income tax exemption under regulations.
In case of multiple transfers of a house purchase and sale contract, the last applicant for a certificate shall submit contract transfer documents and tax receipts of previous transfers or paper certifying income lax exemption to the agency with certificate-granting competence under the guidance in the example below:
Example: Mr. B signs a house purchase and sale contract with company A in the form of purchase and sale of a future house. Pending the transfer of the house, if Mr. B transfers this contract to Mr. C, both B and C shall carry out procedures for notarization of the contract transfer document while Mr. B pays income tax (if any) and later requests company A to certify the contract transfer document under Points a, b and c of this Clause. If Mr. C further transfers this contract to Mr. D and Mr. D further transfers it to Mr. E (E is the last transferee), upon each transfer the involved parties shall carry out procedures as mentioned above.
When carrying out procedures lo apply for a house ownership certificate, company A (or Mr. E) shall submit papers related to the contract transfer to the agency with certificate-granting competence, including the house purchase and sale contract signed between company A and Mr. B; 3 contract transfer documents certified by a notary public and the investor, enclosed with 3 income lax receipts (or the tax office’s papers certifying income tax exemption) for 3 transfers (between B and C, between C and D, and between D and E); a written certification of via-floor trading between company A and Mr. B (for houses in provinces and centrally run cities in which real estate trading floors are available) or the provincial-level Construction Department’s certification of house allocation, in case Mr. B is allocated a house by company A.
2. In case a household or an individual had been transferred a contract on purchase and sale of a future house before the effective date of Decree No. 71/2010/ND-CP contract transfer documents of these transfers must be certified by the People’s Committee of the commune, ward or township in which the house project exists. If no certification is given, this People’s Committee shall publicly post up at its head office the contract transfer documents for 60 days after receiving the last transferee’s application for the certificate- Past that time limit, if such house is dispute-free, the commune/ward/ township People’s Committee shall give certification that this house is dispute-free for a competent agency to grant a house ownership certificate to the last transferee.
Before obtaining a house ownership certificate, the involved parties shall fulfill all financial obligations towards the State under law,
3. A real estate trading enterprise that has purchased houses via real estate trading floors or, together with the investor, contributed capital for receiving houses, and resells such houses shall comply with the following provisions:
a/ If the enterprise is allocated houses under capital contribution or investment cooperation contract, it may resell such houses only after signing a house purchase and sale contract with the investor under Clause 2, Article 60 of Decree No. 71/2010/ND-CP;
b/ The enterprise shall sell houses via real estate trading floors under this Circular and the law on real estate trading (regardless of whether it has been transferred houses from the investor). When selling a house via the real estate trading floor, the enterprise shall provide the floor with the copies of:
– The house purchase and sale contract signed with the investor;
– A written certification of the provincial-level Construction Department of the locality in which exists the house (for cases eligible for house allocation) or a written certification of the via-floor trading (for cases of purchase and sale of houses via floors);
– Dossier of the house, provided by the investor;
– The receipt of payment of the house purchase money to the investor;
– The house transfer record (if it has been transferred the house from the investor).
c/ Purchasers of houses from real estate trading enterprises under this Clause who resell such houses to others shall comply with the following provisions:
– Households, individuals or organizations without real estate trading function that have received houses from sellers shall carry out house purchase and sale procedures under Point a. Clause 6. Article 18 of this Circular. If having received no houses from sellers, purchasers shall transfer house purchase and sale contracts under Clause 1 of this Article;
– Enterprises with real estate trading function shall carry out house sale procedures under this Clause.
Article 21. House-related contracts
1. House-related transactions shall be made in contract (referred to as house-related contracts) with the details specified in Article 93 of the Housing Law, the Civil Code, and Article 63 of Decree No. 71/2010/ND-CP and according to the forms and details provided in appendices to this Circular.
2. In addition to the details specified in Clause 1 of this Article, a condominium apartment purchase and sale contract must also indicate the following: area under common ownership, area under private ownership of the condominium owner; floor area of the apartment (determined on the principle of calculating the apartment’s clearance or calculating from the middle of the surrounding walls and walls separating apartments); maintenance fund equal to 2% of the apartment sales; funds to be raised for managing the condominium operation; principle of adjusting such funds, which must not exceed the ceiling prices promulgated by the provincial- level People’s Committee of the locality in which exists the condominium, unless otherwise agreed by the parties. Enclosed with the condominium apartment purchase and sale contract must be an internal regulation on use management of the condominium issued by the investor and a list of construction materials used inside and outside the apartments.
3. House-related contracts shall be notarized and certified under the law on notarization, the Housing Law. Decree No. 71/2010/ND-CP the civil law and this Circular.
In case of authorized management, use and care of houses and authorized sale, lease, lease-purchase or donation of houses (or authorized disposal of houses), the authorizing party may make a document of authorization and the agency with notarization and certification competence may notarize or certify such authorization only after houses are completely built (the authorizing party has either of the following papers: house ownership certificate; or house handover record or record of house completion under the construction law).
4. Forms of house-related contract are specified as follows: A house purchase and sale contract is provided in Appendix 15; a contract on purchase and sale of a condominium apartment for commercial purposes, in Appendix 16; a contract on rent of a commercial house, in Appendix 17; a contract on rent of an official- duty house, in Appendix 18: a contract on rent of a social house applicable to entities defined in Clauses 1,2 and 4, Article 37 of Decree No. 71/2010/ND-CP in Appendix 19; a contract on rent- purchase of a social house applicable to entities defined in Clauses 1. 2. 3 and 4. Article 37 of Decree No. 71/2010/ND-CP in Appendix 20: a contract on donation of a house, in Appendix 21; and a contract on exchange of a house, in Appendix 22, to this Circular.
Particularly, contracts on rent of student houses or contracts on rent of industrial-park worker houses shall be made according to the forms provided in the Construction Ministry’s Circular No.13/2009/TT-BXDof June 30, 2009, on lease and. operation management of student houses and industrial-park worker houses. Contracts on purchase and sale of apartments for low-income earners, contracts on rent of apartments and contracts on rent-purchase of apartments for low-income earners shall be made according to the forms provided in the Construction Ministry’s Circular No. 36/2009/ TT-BXD of November 16. 2009, on sale, lease, lease-purchase and use management of houses for low-income earners in urban areas.
Other house-related contracts with their forms and details not provided in this Circular shall be made under the civil law and other relevant laws.
Chapter IV

STATE MANAGEMENT OF HOUSES

Article 22. Preservation and management of house-related dossiers
1. House-related dossiers to be preserved and managed include papers specified in Article 66 of the Housing Law and Article 76 of Decree No. 71/2010/ND-CP.
2. The maker of dossiers related to a house is the owner or current manager or user of such house if the owner is unidentifiable.
3. Agencies preserving and managing house-related dossiers are defined as follows:
a/ Provincial-level Construction Departments shall preserve and manage dossiers related to houses of organizations; houses of overseas Vietnamese who carry out house construction investment projects in Vietnam; houses purchased by foreign individuals under law; and houses under common ownership of organizations and individuals;
b/ District-level divisions with house management function shall preserve and manage dossiers related to houses of domestic individuals; and houses of overseas Vietnamese who own houses with the right to use residential land in Vietnam when participating in house-related transactions.
4. Preservation and management of house-related dossiers cover:
a/ Preserving and managing house-related dossiers specified in this Article under the law on preservation of dossiers;
b/ Establishing a database for computer-based management of dossiers to monitor and report on implementation and meet housing management requirements;
c/ Providing house-related data by agencies preserving and managing house-related dossiers for concerned agencies upon request under Decree No. 71/2010/ND-CP.
Article 23. Professional training in housing and real estate market development and management
1. The training of cadres and civil servants engaged in housing and real estate market development and management and individuals working in condominium operation-managing enterprises complies with Article 78 of Decree No. 71/2010/ND-CP.
2. Professional training for cadres and civil servants engaged in housing and real estate market development and management covers:
a/ Formulation of housing development programs and plans;
b/ Selection of investors of housing development projects;
c/ Formulation, appraisal, approval of and investment approval for housing development projects;
d/ Management of housing projects and condominiums after investment;
e/ Management of house maintenance, renovation and dismantlement;
f/ Management of the sale, lease or lease-purchase of social houses and the lease of official-duty houses;
g/ Setting up and management of the house development fund and the house saving fund (if any);
h/ Investigation, making statistics and establishment of a house-related database;
i/ Management of house-related transactions, real estate trading activities and house-related public services;
j/ Responsibilities of house-related state management agencies at all levels,
3. Based on the training contents specified in Clause 2 of this Article, the Academy of Construction and Urban Administrators under the Ministry of Construction shall coordinate with the Housing and Real Estate Market Management Department under the Ministry of Construction in formulating specific training plans, contents and programs and incorporate them into general training programs for construction cadres and civil servants for submission to the Minister of Construction for approval.
Based on the Construction Ministry’s training plans and programs, provincial-level Construction Departments shall formulate plans and estimate funds for training local cadres and civil servants (of commune, district and provincial levels) engaged in housing and real estate market activities in order to submit these plans and funds to chairpersons of provincial-level People’s Committees for decision and implementation according to training programs approved by the Ministry of Construction.
4. For professional training in condominium management and operation for individuals working in enterprises engaged in management and operation of condominiums (including houses with mixed use purposes), the Housing and Real Estate Market. Management Department under the Ministry of Construction shall coordinate with concerned units under the Ministry of Construction in compiling training programs and contents for submission to the Ministry of Construction for approval as a basis for training and grant of certificates of professional training in condominium management and operation to the individuals defined in this Clause.
Members of Boards of Directors of enterprises; heads of technical, security, protection, fire prevention and fighting safety, and environmental sanitation teams; and heads of condominium-operating shifts who are working in condominium management and operation enterprises must attend training courses. By July 1, 2012, at the latest, the person s defined in this Clause must complete training courses and obtain certificates of professional training in condominium management and operation. Past this deadline, if these persons have no such certificates, they and their enterprises will not be allowed to manage condominium operation. Other individuals not defined in this Clause are encouraged to attend such training courses.
5. Trainers who provide professional training in housing and real estate market knowledge under this Article must be persons with professional qualifications, good command of housing and real estate market policies and laws, experience in housing, real estate market and condominium management, and pedagogic knowledge. Only training institutions that satisfy all the conditions specified by the Ministry of Construction may provide training in housing and real estate market knowledge under this Article.
6. Funds for training under this Article are specified as follows:
a/ Agencies or organizations that send persons to training courses and individuals who wish to receive training shall pay training funds to training institutions;
b/ Training of state budget-salaried cadres and civil servants of agencies or organizations shall be paid by state budget funds allocated to these agencies or organizations.
Chapter V

EFFECT

Article 24. Responsibilities of provincial-level People’s Committees
1. Pursuant to Decree No. 71/2010/ND-CP and the Working Regulation of the Central Steering Committee for Housing and Real Estate Market Policies, to set up provincial-level steering committees for housing and real estate market policies and their assisting expert groups.
2. To organize and arrange sufficient cadres and civil servants for housing management and development under the Housing Law, Decree No. 71/2010/ND-CP and this Circular.
3. To direct provincial-level Construction Departments in:
a/ Coordinating with local functional agencies in formulating five-year or longer housing development programs and reporting them to provincial-level People’s Committees for consideration and submission to provincial-level People’s Councils for approval. For centrally run cities, after submitting local housing development programs to municipal People’s Councils for approval, municipal People’s Committees shall submit them to the Prime Minister for approval before implementation;
b/ Formulating programs and plans on professional training in housing and real estate market for cadres and civil servants in localities; coordinating with local mass media agencies in propagating, disseminating and introducing the Housing Law. Decree No. 71/2010/ND-CP and this Circular to the public for information and implementation;
c/ Coordinating with local functional agencies in examining, monitoring and handling according to their competence or reporting to competent agencies for handling violations in housing development investment activities committed by organizations, households or individuals, in the allocation of houses under capital raising contracts, or in the purchase and sale, lease or I ease-purchase of houses via real estate trading floors in their localities;
d/ Coordinating with district-level People’s Committees in establishing databases for summarizing and making statistics of the numbers of housing development projects, new urban center projects, and eco-tourist zone and resort projects; the numbers and types of houses to be build under each project; the number, categories of and entities to be allocated houses under Decree No. 71/2010/ND-CP and this Circular;
e/ Performing other tasks as assigned under Decree No. 71/2010/ND-CP and this Circular.
4. To allocate funds for provincial-level Construction Departments to formulate local housing development programs; propagate, introduce, and organize training courses on, the housing law; and establish databases for summarizing and making statistics of housing projects, (he numbers of houses and the purchase and sale of houses in their localities under this Circular.
5. To direct functional agencies in preserving and managing house-related dossiers in their localities under Decree No. 71/2010/ND-CP and this Circular.
6. To amend and supplement house-related legal documents falling within their promulgating competence to comply with Decree No. 71/2010/ ND-CP and this Circular.
7. To promulgate condominium service charge rates for uniform application in their localities; to appraise selling prices and rent or rent-purchase rates for social houses built with non-state budget funds.
8. To report to superior agencies on a periodical basis or upon request on house-related matters in their localities.
9. To implement according to their competence or direct local functional agencies in implementing the Housing Law. Decree No.71/2010/ND-CP and this Circular.
Article 25. Responsibilities of the Housing and Real Estate Market Management Department under the Ministry of Construction
1. To assist the Minister of Construction in monitoring, urging and examining the implementation of the housing law nationwide.
2. To assist the Minister of Construction in providing guidance and settling difficulties and problems within the Construction Ministry’s competence in the course of implementation of the housing law.
3. To study, formulate and submit to the Minister of Construction for amendment and supplementation according to his/her competence, or propose the Minister of Construction to submit to competent agencies the amendment, supplementation or promulgation of. housing regulations to suit reality.
4. To summarize and report on the implementation of the housing law to the Ministry of Construction for further reporting to superior agencies on a periodical basis or upon request.
5. To perform other tasks defined in this Circular or assigned by the Minister of Construction.
Article 26. Effect
1. This Circular takes effect 45 days from the date of its signing.
2. From the effective dale of Decree No. 71/2010/ND-CP capital for building technical infrastructure in areas of land for house construction and building houses under house development projects, new urban center projects or eco-tourist zone and resort projects shall be raised under Decree No. 71 /2010/ND-CP and this Circular.
3. For dossiers submitted to competent People’s Committees requesting approval of house development projects before the effective date of Decree No. 71/2010/ND-CP but approval has not yet been granted by these People’s Committees:
a/ For housing development projects each with less than 2.500 houses (regardless they are villas, detached houses or condominiums apartments), built with state budget funds, the People’s Committees shall approve them under the Government’s Decree No. 90/2006/ND-CP of September 6, 2006, detailing and guiding the implementation of the Housing Law;
b/ For housing development projects each with less than 2,500 houses (regardless they are villas, detached houses or condominiums apartments), built with non-state budget funds, provincial-level People’s Committees shall, based on their dossiers, issue a written investment approval according to the form provided in Appendix 7 to this Circular without requesting investors to make reports for investment approval under this Circular. After obtaining such written investment approval, investors shall appraise and approve projects under the construction law and this written approval:
c/ For housing development projects each with 2.500 houses or more (regardless they are villas, detached houses or condominiums apartments and regardless of land areas to be used and investment capital sources), provincial-level People’s Committees shall send reports enclosed with project dossiers to the Prime Minister requesting investment approval, if obtaining the Prime Minister’s approval, provincial-level People’s Committees shall approve projects (for slate-funded projects) or issue notices to investors for appraisal and approval of projects (for projects using capital other than state budget funds).
4. For housing development projects approved before the effective date of Decree No.71/2010/ND-CP if investors request adjustment of these projects, they shall submit such adjustment to the agencies that have approved these projects for additional approval. In case changes in project sizes or land areas to be used will result in a change in the total quantity of houses by 2.500 or more, investors shall send reports to provincial-level People’s Committees for consideration and reporting to the Prime Minister for additional approval before approving such changes.
5. To annul the provisions on the raising of capital for building houses within new urban centers in Section VIII of the Construction Ministry’s Circular No. 04/2006/TT-BXP of June 18. 2006, guiding the Regulation on new urban centers promulgated together with the Government’s Decree No. 02/2006/ND-CP of January 5. 2006;
6. To replace Clauses 1 and 2, Article 10 of the Construction Ministry’s Circular No. 15/ 2009/TT-BXD of June 30, 3009, guiding methods of determining rent rates for student houses, worker houses and houses for low-income earners and selling prices and rent-purchase rates for houses for low-income earners under projects invested by different economic sectors, with the following:
“1. To appraise, and issue documents appraising, house selling prices and rent or rent purchase rates within 30 days after receiving investors’ reports requesting such appraisal.”
7. To annul the following circulars:
a/ The Construction Ministry’s Circular No. 13/2005/TT-BXD of August 5, 2005, guiding the Government’s Decree No. 95/2005/ND-CP of July 15,2005, on grant of house and construction work ownership certificates:
b/ The Construction Ministry’s Circular No. 05/2006/TT-BXD of November 1, 2006, guiding the Government’s Decree No. 90/2006/ND-CP of September 6, 2006, detailing and guiding the implementation of the Housing Law;
c/ The Construction Ministry’s Circular No. 01/2009/TT-BXD of February 25, 2009, providing for a number of provisions on grant of house ownership certificates and guiding the form of contract on purchase and sale of condominium apartments under construction investment projects of housing dealers.
8. In case provisions on houses (house ownership, housing development, use management of houses, house-related transactions and state management of houses) in circulars or decisions of ministries or sectors and in documents of provincial level People’s Committees are different from this Circular, the provisions of this Circular prevail.
9. Any problems arising in the course of implementation should be reported to the Ministry of Construction for amendment or supplementation according to its competence or for submission to the Prime Minister for consideration and decision.-