THE GOVERNMENT
——-

SOCIALIST REPUBLIC OF VIET NAM
Independence – Freedom – Happiness
———

No. 120/2010/ND-CP

Hanoi, December 30, 2010

DECREE

AMENDING AND SUPPLEMENTING A NUMBER OF ARTICLES OF THE GOVERNMENT’S DECREE NO. 198/ 2004/ND-CP OF DECEMBER 3, 2004, ON THE COLLECTION OF LAND USE LEVY

THE GOVERNMENT

Pursuant to the December 25, 2001 Law on Organization of the Government;
Pursuant to the November 26, 2003 Land Law;
Pursuant to the November 29, 2005 Investment Law;
Pursuant to the November 29, 2006 Law on Tax Administration;
Pursuant to the June 29, 2009 Law Amending and Supplementing a Number of Articles of Laws Concerning Capital Construction Investment;
At the proposal of the Minister of Finance,

DECREES:

Article 1. Scope of amendment and supplementation
This Decree provides for the amendments and supplementations to a number of articles of the Government’s Decree No. 198/2004/ND-CP of December 3, 2004, on the collection of land use levy (below referred to as Decree No. 198/ 2004/ND-CP).
Article 2. To amend and supplement a number of articles of Decree No. 198/2004/ND-CP as follows:
1. To supplement Clause 2 of, and add Clause 5 to, Article 4 on bases for calculation of land use levy, as follows:
“2. Land prices for calculation of land use levy:
a/ In case land is allocated by the State with the collection of land use levy not through land-use right auctions, the land price for calculation of land use levy is the price based on land use purposes at the time of issuance of a land allocation decision by a competent state agency; in case the time of land handover does not coincide with the time stated in the land allocation decision, the land price for calculation of land use levy is the price based on land use purposes at the time of land handover;
b/ In case a land user is granted by a competent state agency a certificate of rights to use land or to own houses or other assets attached to land (below referred to as land use right certificates) for a land area which is currently in use or permitted for change of use purposes, the land price for calculation of land use levy is the price based on land use purposes at the time of granting land use right certificates or land use purposes already changed at the time of declaration and submission of a complete and valid dossier of application for the grant of land use right certificates or change of land use purposes to a competent state agency;
c/ Land prices for calculation of land use levy specified at Points a and b of this Clause are the prices prescribed by provincial-level People’s Committees. In case land prices prescribed by provincial-level People’s Committees do not match actual market land use right transfer prices under normal conditions, provincial-level People’s Committees shall base on actual market prices to decide on specific land prices to suit reality. Particularly, in case a household or individual is granted a residential land use right certificate for a land area which is currently in use or is permitted for change of use purposes and such land area is within residential land use limits, the land price for calculation of land use levy is the price prescribed by a provincial-level People’s Committee at the time of declaration and submission of a complete and valid dossier of application for the grant of land use rights certificates or change of land use purposes to a competent state agency.
5. In case a multi-story construction work attached to land is allocated by the State to several users, land use levy shall be distributed for each story and to each user.
The Ministry of Finance shall guide the distribution of land use levy under this Clause.”
2. To amend Clause 4, Article 5 on collection of land use levy upon land allocation by the State, as follows:
“4. In case a person who is allocated land by the State with the collection of land use levy pays in advance compensations or supports for resettlement and funds for the organization of ground clearance work under an approved plan, the paid amount will be subtracted from the payable land use levy under such plan, but the subtraction level must not exceed the payable land use levy amount.
The remainder of compensations and supports for resettlement and funds for organization of the ground clearance work under the approved plan which is not yet subtracted from the payable land use levy amount (if any) will be calculated as the project’s investment capital.”
3. To amend Clause 3, Article 7 on collection of land use levy upon the conversion from land lease to land allocation with the collection of land use levy, as follows:
“3. In case a land user, who has previously paid in advance compensations or supports for resettlement and funds for the organization of ground clearance work under an approved plan, is permitted to shift from land lease to land allocation with the collection of land use levy, but the amount to be subtracted from the payable land rent determined by a competent state agency has not yet been completely subtracted, this amount shall be further subtracted from the payable land use levy; the remainder (if any) will be calculated as the project’s investment capital.
In cases a land user has paid in advance land rents, the amount of land rents paid in advance for the remaining duration (if any) will be subtracted from the payable land use levy amount.”
4. To add the following Clauses 4 and 5 to Article 8 on collection of land use levy upon the grant of land use right certificates to current land users:
“4. In case an organization was allocated land without collection of land use levy or leased land by the State before October 15, 1993, but later distributed (allocated) illegally such land to households and individuals that are its officials and employees for the residential purpose, when it is granted land use rights certificates, the land use levy shall be collected at a level equal to 40% of land prices prescribed by provincial-level People’s Committees as for cases of selling state-owned houses to current tenants under the Government’s Decree No. 61/CP of July 5, 1994, for areas within the residential land allocation limits, or 100% of land prices decided by provincial-level People’s Committees in conformity with actual land use right transfer prices in the market at the time of grant of land use right certificates, for areas in excess of residential land allocation limits.
5. For households and individuals that are currently using land acquired through encroachment for the purpose of building houses, if their land areas are suitable to plans on residential areas and conditions for grant of land use right certificates are fully met as prescribed by law, when they are granted land use right certificates, land use levy shall be collected as follows:
a/ For those who started using such land before October 15,1993, land use levy shall be collected at a level equal to 50% of land prices prescribed by provincial-level People’s Committees, for areas within new residential land allocation limits, or 100% of land prices decided by provincial-level People’s Committees in conformity with actual land use right transfer prices in the market at the time of grant of land use right certificates, for areas in excess of residential land allocation limits;
b/ For those who started using such land at a time between October 15, 1993, and July 1, 2004, land use levy shall be collected at a level equal to 100% of land prices prescribed by provincial-level People’s Committees, for areas within new residential land allocation limits, or 100% of land prices decided by provincial-level People’s Committees in conformity with actual land use right transfer prices in the market at the time of grant of land use right certificates, for areas in excess of residential land allocation limits.”
5. To amend Clause 5 and add Clause 7 to Article 11 on principles for land use levy exemption or reduction, as follows:
“5. Land use levy exemption or reduction when the State allocates land or permits change of land use purposes under Articles 12 or 13 of this Decree and Article 1 of the Government’s Decree No.44/2008/ND-CP of April 9, 2008, may only be effected directly for eligible subjects on the payable land use levy amount as prescribed in Articles 5 thru 10 of this Decree.
In case a person who is eligible for land use levy exemption or reduction as prescribed by law is permitted by competent authorities to transfer his/her project to another under law, the transferee will also be entitled to land use exemption or reduction on the condition that, after being transferred, such land is also used for purposes eligible for land use levy incentives. After being transferred, if such land is used for purposes ineligible for land use levy incentives, land use levy must be paid.
In case land users who are eligible for land use levy incentives wish to pay land use levy, they shall perform financial obligations related to land as for cases ineligible for land use levy.
7. Land use levy exemption or reduction for persons being social policy beneficiaries and persons with meritorious services to the revolution prescribed in Articles 12 and 13 of this Decree also applies in case these entities are allocated residential land or sold resettlement houses by the State.”
6. To amend Clause 3 of, and add Clauses 8 and 9 to, Article 12 on land use levy exemption, as follows:
“3. For land allocated for construction of students’ dormitories; land for construction of houses for displaced people due to natural disasters; land for construction of houses of ethnic minority people in areas facing exceptionally difficult socio-economic conditions; land for construction of houses for workers in industrial parks, export-processing zones and economic zones; and land for construction of houses for sale (for lump-sum or installment payment), lease or lease-purchase to low-income earners in urban centers.
8. To exempt land use levy within residential land limits upon first-time grant of land use right certificates to land converted from non­residential to residential purposes due to division of ethnic minority or poor households into smaller households in exceptional difficulty-stricken communes in areas inhabited by ethnic minority people and mountainous areas specified in the list of exceptional difficulty-stricken communes promulgated by the Prime Minister.
9. To exempt land use levy for land areas allocated for use as hydropower reservoir beds.”
7. To amend Clause 2, Article 13 on land use levy reduction as follows:
“2. To reduce 50% of land use levy for land within residential land limits for ethnic minority or poor households in geographical areas other than those specified in Clause 8, Article 12 of this Decree when they are allocated land by competent state agencies as prescribed by the land law or have their land use rights recognized (or being granted land use right certificates) for the first time for land which is currently in use or is permitted to be converted from non­residential to residential purposes. The identification of poor households complies with regulations of the Ministry of Labor, War Invalids and Social Affairs.”
8. To add the following Clauses 4 and 5 to Article 15 on time limits for payment of land use levy and other amounts:
“4. In case households and individuals that are permitted to change land use purposes or are granted land use right certificates and must pay land use levy under Article 6 or 8 of this Decree and households and individuals that are allocated resettlement land by the State but cannot afford to pay land use levy may have unpaid levy amounts recorded as “land use levy debts” in their land use right certificates if they so wish and file written applications, enclosed with dossiers of application for grant of land use right certificates, dossiers of application for change of land use purposes or dossiers of application for allocation of resettlement land. Land users shall pay indebted land use levy amounts at the land price at the time of granting their land use right certificates. They may pay these debts within 5 years on an amortization basis. Past this 5-year time limit, if land users still fail to fully pay the indebted land use levy amounts, they shall pay land use levy at the land price at the time of debt payment.
Those that have their land use levy amounts recorded as land use levy debts before March 1, 2011, but have not yet fully paid their debts may apply the debt payment provisions of this Decree. Land users may pay the indebted land use levy at the land price at the time of granting their land use right certificates within 5 years from March 1, 2011. Past this 5-year time limit, if land users still fail to fully pay the indebted land use levy, they shall pay land use levy at the land price prescribed by provincial-level People’s Committees at the time of debt payment.
5. The Ministry of Finance shall assume the prime responsibility for, and coordinate with the Ministry of Natural Resources and Environment in, guiding the order and procedures for recording and paying land use levy debts under Clause 4 of this Article.”
9. To amend Clause 1 of Article 18 on sanctioning, as follows:
“1. Land users who delay the payment of land use levy into the state budget shall be subject to a fine calculated on the payable land use levy amount; the imposition of fines for late payment of land use levy complies with the Law on Tax Administration and guiding documents.”
Article 3. Handling of some matters at the effective time of this Decree
1. In case investors paid in advance compensations and supports for resettlement and funds for the organization of ground clearance work under approved plans according to policies on compensation, support and resettlement upon land recovery by the State applicable before October 1, 2009, the compensation and support amount shall be subtracted from the payable land use levy, but the subtraction level must not exceed the payable land use levy.
In case investors paid in advance compensations and supports for resettlement and funds for the organization of ground clearance work under approved plans according to the Government’s Decree No. 69/2009/ND-CP of August 13, 2009, the advanced amount shall be subtracted into the payable land use levy under Article 15 of the Government’s Decree No. 69/2009/ND-CP of August 13, 2009.
2. Cases in which land allocation decisions have been issued by competent state agencies under the land law but by March 1, 2011, land use levy has not yet been fully paid shall be handled as follows:
a/ In case the payable land use levy amount has been determined and notified by competent state agencies in accordance with laws applicable at the time of determining and notifying the payable land use levy amount, land users shall pay land use levy into the state budget at the notified level and be subject to a fine for late payment according to law;
b/ In case the payable land use levy amount has been determined and notified by competent state agencies in contravention of laws applicable at the time of determining and notifying the payable land use levy amount, provincial-level People’s Committees shall base themselves on local practical situations to direct the re-determination of the payable land use levy amount in accordance with law. The amount determined to be further paid (if any) shall be notified to investors for payment into the state budget and no fine for late payment shall be imposed on this amount for the period before the payable land use levy amount is re-determined. Before the payable land use levy amount is re-determined, investors shall pay land use levy as determined and notified by competent state agencies. If they have not yet fully paid this amount, they shall pay the deficit amount and be fined for late payment as for the cases prescribed at Point a, Clause 2 of this Article.
In case competent state agencies have notified the payable land us levy amount and investors have fully paid this amount into the state budget for 5 years or more, the payable land use levy amount shall not be re-determined.
c/ Cases in which competent state agencies have not yet issued notices on payment of land use levy and land users have not yet paid or have only paid part of land use levy into the state budget but reasons for late payment cannot be identified shall be handled as follows:
The land use levy amount temporarily paid into the state budget shall be converted into land areas for which land use levy has been paid (financial obligations have been fulfilled) at the time of land handover.
For the remaining areas, land use levy must be paid according to policies and land prices applicable at the time of land handover but may be cleared against the amount of compensations and supports for resettlement paid in advance according to the law on compensation, support and resettlement applicable at the time of land allocation. At the same time, a fine for late payment shall be imposed on the land use levy amount to be further paid into the state budget for the period from the time of land handover till the time of issuance of notices on payment of land use levy into the state budget at a percentage of fines for late performance of financial obligations prescribed by law (in each period).
d/ In case land has not yet been handed over but functional agencies have notified the payable land use levy amount and investors have remitted money into the state budget, this amount shall be considered as temporarily paid and handled according to Point b, Clause 2 of this Article.
3. For housing projects, new urban center projects and projects on industrial parks’ infrastructure, the time of determining land prices and collecting and paying land use levy shall comply with the Government’s Resolution No. 33/2008/ND-CP of December 31, 2008.
Article 4. Implementation provisions
1. This Decree takes effect on March 1, 2011.
2. The following provisions are annulled:
a/ Clause 2, Article 8 of the Government’s Decree No. 198/2004/ND-CP of December 3, 2004;
b/ Article 5 of the Government’s Decree No. 84/2007/ND-CP of May 25, 2007.
Article 5. Organization of implementation
The Ministry of Finance shall guide the implementation of this Decree.
Ministers, heads of ministerial-level agencies, heads of government-attached agencies and chairpersons of provincial-level People’s Committees shall implement this Decree.
 

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THE MINISTRY OF CONSTRUCTION
——-

SOCIALIST REPUBLIC OF VIET NAM
Independence – Freedom – Happiness
———

No. 16/2010/TT-BXD

Hanoi, 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.-
 

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THE GOVERNMENT
——-

SOCIALIST REPUBLIC OF VIET NAM
Independence – Freedom – Happiness
———

No. 71/2010/ND-CP

Hanoi, June 23, 2010

DECREE

DETAILING AND GUIDING THE IMPLEMENTATION OF THE HOUSING LAW

THE GOVERNMENT

Pursuant to the December 25, 2001 Law on Organization of the Government;
Pursuant to the November 29, 2005 Housing Law;
Pursuant to June 18, 2009 Law No. 34/2009/QH12 Amending and Supplementing Article 126 of the Housing Law and Article 121 of the Land Law;
Pursuant to June 19, 2009 Law No. 38/2009/ QH12 amending and supplementing a number of articles of the laws concerning capital construction investment;
At the proposal of the Minister of Construction,

DECREES:

Chapter I

GENERAL PROVISIONS

Article 1. Scope of regulation
This Decree details and guides a number of provisions of the Housing Law regarding house ownership, housing development, use management of houses, house-related transactions and state management of houses.
Article 2. Subjects of application
This Decree applies lo the following subjects:
1. Domestic organizations and individuals; overseas Vietnamese: foreign organizations and individuals that invest in housing development in Vietnam;
2. Organizations and individuals that own houses, use houses and participate in house-related transactions in Vietnam:
3. Housing state management agencies at all levels.
4. Organizations and individuals not mentioned in Clauses I, 2 and 3 of this Article but involved in housing-related activities.
Article 3. Interpretation of terms
In this Decree, the terms below are construed as follows:
1. Commercial house means a house built by an organization or individual of any economic sector for sale or lease to meet the market demand and under the market mechanism;
2. Social house means a house built by the State or an organization or individual of any economic sector for sale or lease to or lease-purchase by a subject defined in Article 53 or 54 of the Housing Law and this Decree under the State-prescribed mechanism:
3. Official-duty house means a house built by the State for lease to a person defined in Article 60 of the Housing Law and this Decree while he/she in office under the Housing Law and this Decree:
4. Urban villa means a detached house (or a building originally built as a house but currently used for another purpose) with its own yard garden, fence and entrance, no more than 3 main floors (excluding the staircase roof, loft and basement floor) and at least 3 sides looking to the yard or garden, built on an area not exceeding 50% of the total land area, and situated in a functional zone under an urban master plan approved by a competent authority;
5. Condominium means a house with 2 or more stories, passageways, stairs and a system of infrastructure works for common use by many households and individuals. Each condominium has areas under private ownership of households or individuals and the investor and areas under common ownership of its owners:
6. Lease-purchase of a social house means the advance payment of a certain sum of money by the lessee-purchaser of the house as agreed upon in the lease-purchase contract, who will pay the remaining payable amount as a rental on a monthly or periodical basis. Upon the expiration of the lease-purchase term, the house lessee-purchaser who has fully paid the rental will be granted a house ownership certificate by a competent state agency.
Chapter II

HOUSING DEVELOPMENT

Section I. HOUSING DEVELOPMENT PROJECTS
Article 4. Types of housing development projects
Housing development projects may be of either of the following two types:
1. Housing development projects for the purpose of investing in building a system of technical and social infrastructure and building houses and other architectural works under approved master plans (below collectively referred to as housing area development projects – grade-I projects), under which technical infrastructure works are built by grade-I investors, while houses and other architectural works (grade-II projects) are built by grade-I or grade-II investors;
2. Housing development projects for the purpose of investing in building only an independent housing work or a group of housing works, including also works for multiple use purposes as houses, offices, commercial and service centers (below collectively referred to as houses for multiple use purposes) on land areas where a technical infrastructure system is available (grade-II projects in housing area development projects defined in Clause 1 of this Article or in new urban centers) or independent housing development projects in renovated urban centers (below collectively referred to as independent housing development projects).
Article 5. Requirements on housing development projects
1. Before investing in building houses (including also houses in new urban centers), investors shall request competent state agencies to approve their investment (unless bidding is needed to select investors under Article 14 of this Decree), and organize the formulation. appraisal and approval of housing development projects under the Housing Law. this Decree and relevant regulations.
2. Before formulating housing development projects, investors shall work out and submit to competent People’s Committees in localities where these projects are to be implemented for approval l:500-scalc detailed construction plans under the law on construction planning, unless 1:500-scale detailed construction plans have been approved for the project areas and investors propose no adjustment to or are not required to work out these plans under the law on construction planning.
The order and procedures for formulating, appraising and approving l:500-sca!e detailed construction plans comply with the law on construction planning and these plans shall be publicized under Article 81 of this Decree.
3. Housing development projects must conform to local land use, urban construction and rural residential area master plans, urban designs and housing development programs in each period and satisfy housing development requirements specified in Articles 24. 25 and 26 of the Housing Law.
4. The designing of houses in housing development projects must conform to construction regulations and standards and designing standards of condominiums, detached houses and villas provided in the Housing Law and this Decree.
5. For housing area development projects, technical and social infrastructure systems must be completely built. For independent housing development projects, the connection to common technical infrastructure systems of the region must be ensured.
6. A housing development project dossier must contain explanations and basic designs made according to Article 6 of this Decree.
Article 6. Contents of housing development project dossiers
1. A housing development project dossier must contain:
a/ Project explanations:
– The name of the project;
– The necessity and legal grounds of the project:
– Objectives and form of investment; construction location: size of the project; land use demand; natural conditions of the project area;
– Implementation solutions: plans on compensation for ground clearance and resettlement (if any); plan on use of construction technologies; construction regulations and standards applicable to the project; environmental impact assessment; plan on fire prevention and fighting; solutions to building and connecting technical infrastructure works to the region’s common technical infrastructure; accessibility to the region’s social infrastructure;
– Public parking area and parking area for vehicles (including bicycles, wheelchairs for the disabled, motorbikes and automobiles) of households and individuals living in the project area after the houses are completely built;
– Area for building the social infrastructure system (kindergartens, schools, health care and service establishments, sport and entertainment facilities, parks), unless the project area already has such social infrastructure works;
– Land area reserved for building social houses (if any);
– Numbers and ratios of houses of different kinds (villas, detached houses and condominium apartments), total floor area of houses; plan on product sale (number of houses for sale, lease or lease-purchase);
– Proposed mechanisms applicable to the project (land use. finance and others);
– The project implementation duration and schedule (schedule for each phase) and project management mode;
– Total investment capital, capital sources, forms of capital raising, capital recoverability;
– The State’s responsibility for building technical infrastructure works outside the project’s fence or running through the project area;
– Works to be transferred without indemnification;
– Plans on management and operation of the project and public-utility works within the project (models of organization, modes of operation management and service charges).
b/ Basic designs of the project.
– Explanations of basic designs: Brief description of the project location; the technical infrastructure system of the project and its connection to the region’s common technical infrastructure system; environmental protection plan; fire prevention and fighting plan; architectural plans of works of the first-phase component project;
– Basic design drawings: The project’s general site plan, sectional drawings, site drawings and solutions to main force-bearing structures of works of the first-phase component project; drawings of the project’s technical infrastructure system connected to the region’s common technical infrastructure.
2. An independent housing development project dossier must contain:
a/ The project explanations, which include the contents specified at Point a. Clause 1 of this Article, except the request for the State’s investment in building technical infrastructure works outside the fence or running through the project area and identification of works to be transferred without indemnification;
b/ The project’s basic designs, which shall be made under the construction law.
3. The appraisal of basic designs of housing development projects specified in Clauses I and 2 of this Article must comply with the construction law.
Article 7. Competence to appraise and approve housing development projects or approve investment in these projects
1. Housing development projects built with state budget funds shall be appraised and approved as follows:
a/ For houses built with local budget funds, investors shall formulate and submit projects thereon to chairpersons of People’s Committees of provinces or centrally run cities (below collectively referred to as provincial-level People’s Committees) for appraisal and approval. Based on specific local conditions, chairpersons of provincial-level People’s Committees may authorize chairpersons of People’s Committees of districts, towns or provincial cities (below collectively referred to as district-level People’s Committees) to appraise and approve housing development projects capitalized at under VND 30 billion.
Before approving a housing development project, the chairperson of a provincial-level or district-level People’s Committee (when authorized) shall organize the appraisal of the project. The time limit for appraising and approving a housing development project is 45 days after a competent state agency receives the investor’s report enclosed with the project dossier.
Provincial-level Construction Departments shall receive project dossiers and assume the prime responsibility for. and coordinate with concerned local agencies in, appraising housing development projects before submitting them to chairpersons of provincial-level People’s Committees for approval. In case chairpersons of district-level People’s Committees are authorized to approve housing development projects, district-level housing management agencies shall receive project dossiers and assume the prime responsibility for appraising projects;
b/ For houses built with central budget funds, units assigned to act as project investors shall request in writing provincial-level People’s Committees in localities in which housing development projects are to be implemented to approve investment in these projects with contents specified at Point b. Clause 2 of this Article before the projects are formulated, except projects in which investment is decided by the Prime Minister.
After obtaining written investment approval of provincial-level People’s Committees, investors shall formulate and submit projects to investment deciders for appraisal and approval. The time limit for a provincial-level People’s Committee to approve investment is 30 days while the time limit for project appraisal and approval is 45 days after a competent state agency receives a complete dossier under regulations:
c/ Details of a decision approving a housing development project as specified at Points a and b of this Clause include:
– The name of the project (housing area development project or independent housing development project);
– The name of the investor; investment objectives and form;
– The project location and size; land use area and boundaries; number of inhabitants;
-Technical infrastructure works: roads, power supply, water supply and drainage, garbage treatment, information and communications, fire and explosion prevention and fighting: social infrastructure works: kindergartens, schools, health care and service establishments, sports and entertainment facilities and parks (if any);
– Ratios and numbers of houses of different kinds (villas, detached houses, condominium apartments); subjects eligible for house lease and rent rates;
– Public parking area and parking lot for households and individuals living in the project area after the houses are completely built;
– Total investment of the project;
– Project implementation duration and schedule (schedule for each phase);
– Main rights and obligations of the investor;
– Plans on management and operation of the project and the condominium after construction investment (models of organization, modes of operation management and service charges).
2. Housing development projects (excluding projects of grade-II investors) invested with non-state budget funds (regardless of land areas occupied by projects) shall be appraised and approved as follows:
a/ Investors shall send reports to provincial-level People’s Committees for written investment approval of their housing development projects-For a housing development project to build less than 500 houses (including villas, detached houses and condominium apartments), the investor shall report to the district-level People’s Committees for a written investment approval, unless this project is subject to bidding for investor selection as specified in Article 14 of this Decree;
b/ A written investment approval in a housing development project specified at Point a of this Clause or Point b. Clause 1 of this Article contain the following details:
– The name of the project (housing area development project or independent housing development project);
– The name of the investor, except cases of bidding for investor selection specified in Article 14 of this Decree;
– Investment objectives and form; project location and size; land area occupied by the project; number of inhabitants;
– Building of technical and social infrastructure works: kindergartens, schools, health care and service establishments, sports and entertainment facilities, and parks (if any);
– Ratios and numbers of houses of different kinds (villas, detached houses, condominium apartments); total housing floor area:
– Plan on marketing of products: sale, lease or lease-purchase of houses (clearly indicating floor area and number of houses for sale, lease or lease-purchase);
– Public parking area and parking lot for households and individuals living in the project area after the houses arc completely built;
– Land area reserved for building social houses (if any);
– Responsibilities of the investor and local administration:
– The project implementation duration and schedule (schedules for each phase);
For a housing area development project, there must be following additional details: plan on handover of technical infrastructure works to the locality after construction is completed; the responsibility to build social infrastructure works (if these works arc built by the local administration, the time limit for the local administration to complete the building must be clearly stated; past that time limit, the investor may build these works or invite other investors to participate in the building);
c/ Provincial- or district-level People’s Committees shall examine project dossiers and give written investment approval within 30 days after receiving reports of investors enclosed with project dossiers;
d/ After obtaining written investment approval, investors shall formulate, appraise and approve housing development projects according to contents of such written approval, this Decree and relevant laws.
3. For a housing development project (regardless of investment capital sources and land areas occupied by projects) to build 2.500 houses or more (including villas, detached houses and condominium apartments in new urban centers, and houses for multiple use purposes), the investor shall send a report to the provincial-level People’s Committee for consideration and submission to the Prime Minister for investment approval of this project (housing area development project or independent housing development project) before formulating, appraising and approving the project.
Within 10 working days after receiving the report of the investor, the provincial-level People’s Committee shall examine the report and seek written comments of the Ministry of Construction, the Ministry of Natural Resources and Environment, the Ministry of Planning and Investment and the Ministry of Finance on the following matters: land use planning, construction planning, project implementation duration and schedule, ratios of houses of different kinds, the investor’s capacity and other relevant matters under the state management by these ministries, before submitting the project dossier to the Prime Minister. The time limit for collecting comments of these ministries is 20 days after receiving the report of the investor, and these ministries shall give their comments to the provincial-level People’s Committee within such time limit.
For a housing area development project (or an independent housing development project), a dossier to be submitted to the Prime Minister comprises the report of the investor requesting the provincial-level People’s Committee to report the project to the Prime Minister for approval of investment, the report of the provincial-level People’s Committee to the Prime Minister for investment approval, showing the contents specified at Point b. Clause 2 of this Article, a 1:2.000-scale construction plan already approved by a competent authority and comments of the ministries specified in this Clause.
Within 10 days after obtaining the Prime Minister’s approval, the provincial-level People’s Committee shall notify it in writing to the investor for proceeding with the formulation, appraisal and approval of the housing development project under the construction law and this Decree. For a state budget-funded housing development project, the investor shall formulate the project before submitting it to a competent authority for appraisal and approval under Clause I of this Article. For a housing development project in which investment is decided by the Prime Minister, the Ministry of Construction shall assume the prime responsibility for appraising and submitting the project to the Prime Minister for approval.
4. If the investor of an approved housing development project wishes to make a change in any of the following contents: investment objectives; project size; land area occupied by the project: number of houses to built; and project implementation schedule, it shall request in writing a competent state agency defined in Clause 1 or 2 of this Article to give a written approval of added contents of the project before carrying out the building. For a project to build 2,500 houses or more (including villas, detached houses, condominium apartments in new urban centers, and houses for multiple use purposes). the investor shall request the provincial-level People’s Committee to consider and make a report on added contents of the project (housing area development project or independent housing development project) to the Prime Minister for approval. The time limit for issuing such written approval is 20 days after receiving a written request of the investor or the provincial-level People’s Committee.
The Ministry of Construction shall set forms of reports of investors requesting provincial- or district-level People’s Committees to approve investment as specified in Clause 2 of this Article, reports of investors requesting provincial-level People’s Committees to report their projects to the Prime Minister for investment approval, and
reports on housing development projects of provincial-level People’s Committees to the Prime Minister for approval of investment in these projects as specified in Clause 3 of this Article; and forms of project-approving decisions and written investment approval as specified in Clauses 1 and 2 of this Article, and guide the implementation of the provisions of this Article.
Article 8. Implementation of housing development projects
1. When investing in building houses, investors of housing development projects shall comply with the Housing Law, this Decree and the construction law.
2. Investors of housing development projects shall apply for construction licenses before commencing the construction of houses and other architectural works of their projects, unless they are exempt from construction licenses under the construction law.
3. Investors of housing area development projects shall completely build technical infrastructure systems according to approved project contents. In case they are obliged to build social infrastructure works under project-approving decisions or written investment approvals of competent state agencies, investors shall strictly comply with contents and implementation schedules of projects already approved.
4. Grade-I investors of housing area development projects may transfer rights to use land areas with technical infrastructure to grade-II investors for building houses after technical infrastructure works have been built according to project contents and schedules and shall comply with approved project contents or contents of investment approval of competent state agencies. Grade-1 investors shall manage technical infrastructure systems of their housing area development projects before handing over them to local administrations and supply electricity and water for grade-II investors to build houses, and inspect and supervise compliance with master plans, architecture designs and investment contents already licensed by competent state agencies and schedules of building technical works within the scope of projects of grade-II investors.
5. Grade-II investors are not required to apply for investment approval by competent state agencies but shall build houses and other architectural works according to contents of land use rights transfer contracts signed with grade-I investors, and comply with master plans. architecture designs and investment schedules of approved projects and investment contents already licensed by competent state agencies for grade-I investors.
In case a grade-II investor violates the construction master plan and order or investment contents in the course of building houses and other architectural works, the concerned grade-I investor may request this grade-II investor to temporarily stop the building and report the violation to a competent agency for handling.
Article 9. Raising of capital for investment in building houses
1. In case the investor of a housing area development or new urban center project (grade-I investor) wishes to raise capital for building technical infrastructure works in land areas for building houses and building houses in the housing area or urban center, it may raise capital by the following modes:
a/ Signing contracts for borrowing capital from credit institutions and investment funds or issue bonds under law to raise capital in addition to its own capital for building houses. Lenders or bond purchasers will have no preemptive right to purchase houses or register for purchase of houses:
b/ Signing a capital contribution or investment cooperation contract with a grade-II investor for the purpose of transferring the rights to use a land area with technical infrastructure to the latter;
c/ Signing capital contribution or investment cooperation contracts or memoranda with other organizations and individuals for building houses, which must state that parties contributing capital or to investment cooperation will be divided profits (in cash or shares) or products being houses in proportion to their capital contribution portions as agreed. In case the parties agree to divide products being houses, they shall comply with the provisions of Point d. Clause 3 of this Article on the number of houses allowed to be divided;
d/ Signing a business cooperation contract with a real estate trading enterprise for building houses, which must state that parties to business cooperation will receive divided profits (in cash or shares) or products being houses as agreed. In case the parties agree to divide products being houses, they shall comply with the provisions of Point d. Clause 3 of this Article on the number of houses allowed to be divided:
e/ Raising capital in the form of advanced payment for house purchase from subjects eligible to own houses in Vietnam under the Housing Law by signing with the latter contracts for future house purchase and sale.
2. In case investors of independent housing development projects (including also grade-II investors of projects on development of housing areas, new urban centers or houses for multiple use purposes) wish to raise capital for building houses, they may only raise capital by modes specified at Points a. c. d and e. Clause 1 of this Article.
3. When raising capital for building houses, an investor defined in Clause 1 or 2 of this Article must satisfy the following conditions:
a/ For the case specified at Point b, Clause 1 of this Article, the investor may sign a capital contribution or investment cooperation contract with a grade-II investor only after completing the ground clearance for and commencing the building of technical infrastructure works of the project. After completing technical infrastructure works corresponding to contents and schedule of the project, the grade-I investor may sign a contract for land use rights transfer to the grade-II investor.
In case the grade-II investor wishes to raise capital to build houses on a land area transferred from grade-I investor, it may sign a contract for raising capital only after signing the land use rights transfer contract with the grade-I investor, reaching an agreement that it may raise capital for building houses when satisfying all the conditions for raising capital as specified in this Clause. In case land use rights have not yet been transferred from the grade-1 investor to the grade-II investor under the land law. the capital raising must be approved in writing by the grade-I investor.
b/ For the case specified at Point c. Clause 1 of this Article, the investor may sign a capita! contribution or investment cooperation contract or memorandum only after having its housing development project approved, commenced the building of houses and notified such to the provincial-level Construction Department in the locality in which its housing development project is implemented under Point f of this Clause:
c/ For the case specified at Point d. Clause 1 of this Article, the investor may sign an investment cooperation contract only after having its housing project approved, completed the ground clearance, made a written record of the handover of the project’s boundary markers, and notified such to the provincial-level Construction Department in the locality in which its housing project is implemented under Point f of this Clause;
In case a party to business cooperation, which has received divided products being houses, wishes to sell or lease these houses, it may not directly sign house purchase and sale or lease contracts but the investor (the party having land use rights) shall directly sign contracts with purchasers or lessees when satisfying the conditions specified in this Clause. Incase a party to business cooperation has taken over houses and obtained certificates of ownership of houses divided to it, it may directly sign contracts for purchase and sale or lease of such houses under the Housing Law and this Decree;
d/ For the case of raising capital by the mode specified at Point c or d. Clause 1 of this Article in which a contract contains an agreement on division of products being houses, the investor may only divide not through a real estate trading floor to capital contributors a maximum 20% of the project’s total number of houses (total number of commercial houses for grade-I projects or independent housing development projects other than grade-II projects), but shall notify such to the provincial-level Construction Department in the locality in which the housing development project is implemented for certification under Clause 1. Article 60 of this Decree. The investor may sell or lease the remaining number of the project’s houses under Points t and f of this Clause;
e/ For the case of capital raising by the mode specified at Point e. Clause 1 of this Article, the investor may sign house purchase and sale contracts after having technical designs of these houses approved, completely built house foundations, completed procedures for house purchase and sale through a real estate trading floor under the law on real estate business and notified such to the provincial-level Construction Department in the locality in which the housing development project is implemented under Point f of this Clause.
The building of a house foundation (including those of houses for multiple use purposes) as specified at this Point shall be considered completed when the foundation framework is built completely (covering also base treatment work, if any) or to the lowest floor of the house and technically tested for takeover under the construction law;
f/ For the case- of capital raising by the mode specified at Point b. c or e. Clause 1 of this Article, the investor shall notify such in writing to the provincial-level Construction Department in the locality in which the housing development project is implemented at least 15 days before signing a capital raising contract.
Such a notice must clearly indicate the mode of capital raising and capital amount which needs to be raised. In case of capital raising by the mode specified at Point b, Clause 1 of this Article, the land area to be transferred and the name of the investor to be transferred land use rights must be indicated. In case of capital raising by the mode specified at Point c. Clause 1 of this Article, names and addresses of organizations and individuals that contribute capital or join investment cooperation must be indicated , and there is an agreement on division of products being houses, the number and type of houses to be divided and names and addresses of organizations and individuals entitled to divided houses must be indicated. In case of capital raising by the mode specified at Point c. Clause 1 of this Article, the number and type of houses (detached houses, villages or condominium apartments) and addresses of houses to be sold must be indicated. The investor may sign capital raising contracts or house purchase and sale contracts only when fully satisfying the conditions specified in this Article.
4. Investors of housing development projects shall use raised capital for the purpose of building houses under these projects but not for other purposes or for other housing development projects. In cases in which capital is raised not by the modes and without satisfying all the conditions specified in this Article, capital raising contracts shall be regarded legally invalid and capital raisers shall be handled under current regulations.
The Ministry of Construction shall detail the capital raising specified in this Article.
Article 10. Completion of construction of housing development projects
Upon completing construction, the investor of a housing development project shall:
1. Report on project results to the provincial-or district-level People’s Committee in the locality in which the project is implemented. For a housing development project subject to the Prime Minister’s investment approval under Clause 3. Article 7 of this Decree, the investor shall send an additional report to the Ministry of
2. Complete dossiers and documents to be archived under the Housing Law. this Decree and the construction law;
3. Conduct takeover test of works under Article 11 of this Decree;
4. Hand over technical and social infrastructure works to the local administration or the specialized management agency according to contents of the approved project or the written investment approval;
5. Make a finalization report under the financial law;
6. Carry out procedures for a competent agency to grant certificates of ownership of houses and construction works within the project area to their owners;
7. Coordinate with the local administration in solving administrative management problems in the project area:
8. Manage the operation of works not required to be handed over to the local administration or a specialized management agency.
Article 11. Takeover test of works in housing development projects
1. For a housing area development project, the investor shall:
a/ Organize a takeover test of the whole system of technical and social infrastructure works if it has built these works according to the contents of the approved project and satisfies the requirements under the construction law. For a housing area development project consisting of component projects, it shall organize takeover test of the technical infrastructure system and works of each component project;
b/ Carry out procedures to apply for a certificate of work quality standard conformity under the construction law;
c/ Provide project management services.
2. For an independent housing development project, the investor shall:
a/ Organize a takeover test of the whole system of technical infrastructure works, fire prevention and fighting equipment, wastewater and garbage treatment facilities of the project;
b/ Organize a takeover test of quality of houses and other architectural works under the construction law;
c/ Carry out procedures to apply for a certificate of work quality standard conformity under the construction law.
3. Dossiers of housing development projects and documents on takeover test and handover of works as specified in this Article must be kept at units managing the operation of the projects and provincial-level Construction Departments (if these projects are subject to approval or investment approval by provincial-level People’s Committees) or at district-level housing management agencies in localities in which these projects are implemented (if these projects are subject to approval or investment approval by district-level People’s Committees) for monitoring and examination.
Section 2. COMMERCIAL HOUSING DEVELOPMENT
Article 12. Investors of commercial housing development projects
1. Investors of commercial housing development projects (investors of housing area development projects and investors of independent housing development projects) include:
a/ Domestic enterprises established and operating under the Enterprise Law;
b/ Wholly foreign-owned enterprises, joint-venture enterprises; and enterprises of overseas Vietnamese conducting investment activities in Vietnam under the Investment Law;
c/ Cooperatives established and operating under the Cooperative Law.
2. Conditions for registration to act as investors of commercial housing development projects:
a/ Having obtained a real estate business registration or an investment certificate covering real estate investment and having sufficient legal capital as prescribed by Vietnam’s law;
b/ Contributing an amount of equity capital for project implementation which accounts for at least 15% of the project’s total investment, for projects occupying an area of under 20 hectares. or at least 20% of the project’s total investment, for projects occupying an area of 20 hectares or more.
Article 13. Selection of investors of commercial housing development projects
1. Investors of commercial housing development projects shall be selected in any of the following forms:
a/ Bidding for selection of investors of commercial housing development projects implemented in areas where ground clearance has not yet been carried out under Article 14 of this Decree;
b/ Auction of land-use rights under the land law;
c/ Appointment of investors in the following cases:
– Within the time limit specified in Clause 2. Article 14 of this Decree, there is only one investor who satisfies all conditions specified in Article 12 of this Decree registering to act as the investor of a commercial housing development project;
– An investor who has acquired lawful land use rights under the land law for a land plot suitable to housing development plans and satisfies all conditions specified in Article 12 of this Decree registers to act as the project investor;
– Cases specified in Clause 5, Article 73 of this Decree.
2. For cases in which the investor of a housing development project is selected through a non-bidding method specified at Point b or c. Clause 1 of this Article, the investor shall carry out procedures of application for investment approval and organize the formulation, appraisal and approval of the housing development project according to Article 7 of this Decree.
Article 14. Bidding for selection of investors of commercial housing development projects
1. Based on local housing development programs, provincial-level People’s Committees shall direct the publicization in websites of provincial-level People’s Committees and provincial-level Construction Departments of the following details which shall serve as grounds for investors to register to act as investors of commercial housing development projects:
a/ The ].:2.000-scale plans on construction of urban centers and rural residential quarters;
b/ The location, boundary and area of each land plot planned for commercial housing development in their localities:
c/ Land use conditions (land is allocated or leased, lease duration and land areas for resettlement; the table of prices of land in each area and investors’ financial obligations
according to regulations):
d/ Planning and architectural requirements. the number and types of houses, technical and social infrastructure systems and other architectural works within the project area; and project implementation schedules;
e/ The overall plan on compensation, ground clearance and resettlement (if any);
f/ Requirements on project management and operation after the construction is completed;
g/ Conditions for participation in bidding for selection of housing development project investors:
h/ The time for receiving bid dossiers.
2. Within 30 days after a provincial-level People’s Committee publicizes information under Clause 1 of this Article, if there are 2 or more investors who satisfy all conditions specified in Article 12 of this Decree filing written registrations for acting as the investor of a housing development project to the provincial-level Construction Department, the provincial-level Construction Department shall publicize on its website a list of investors, notify investors of relevant information for them to prepare hid dossiers and propose the provincial-level People’s Committee to organize bidding for selection of the project investor according to this Article.
3. Conditions for participation in bidding:
a/ Satisfying all conditions specified in Article 12 of this Decree:
b/ Having proposed in the bid dossier a total investment of the project which must not be lower than the project’s estimated investment slated in the bidding dossier (below referred to as the floor price);
c/Having made proposals on project contents, under Point b, Clause 2. Article 7 of this Decree;
d/ Being capable of raising funds and mobilizing other sources for the project implementation;
e/ Having a bid dossier as prescribed in Clause 4 of this Article;
f/ Having paid security for bidding participation equal to 3% of the floor price specified in the bidding dossier.
4. A bid dossier comprises the following documents:
a/ Papers evidencing the investor’s legal grounds, professional capabilities, experience, financial capabilities and satisfaction of other conditions prescribed in Clause 3 of this Article;
b/ The written explanation and diagrams expressing econo-technical solutions to fulfill requirements defined in Clause 1 of this Article: details of the investment approval document issued by a competent state agency, for investors falling in the cases specified in Clause II of this Article;
c/ The investor’s other capabilities and advantages (if any) when being assigned to act as the project investor.
5. Based on Clauses 1. 3 and 4 of this Article, the provincial-level Construction Department shall make and issue the bidding dossier, explicitly stating all requirements specified in Clause I of this Article, the project’s floor price and other relevant requirements.
Investors shall buy the bidding dossier, prepare and submit their bid dossiers, together with an amount of security for bidding participation, to the provincial level Construction Department of the locality where the housing development project will be implemented. The lime limit for receiving bid dossiers is 20 days after the expiration of the information publicization time limit prescribed in Clause 2 of this Article and stated in the bidding dossier; for cases specified at Point a. Clause 11 of this Article, the lime limit for receiving bid dossiers will be counted from the date of issuance of the investment approval document by a district-level People’s Committee.
After receiving bid dossiers, the provincial-level Construction Department shall propose the provincial-level People’s Committee to set up an expert team for selection of the project investor and promulgate specific regulations on bidding organization and issue working regulations of the expert team. The expert team shall elaborate evaluation criteria and a specific marking scale based on contents of the bidding dossier and requirements defined in Clause 1 of this Article to assess and give points to each bid dossier.
6. Conditions for organization of bidding for selection of the investor of a housing development project:
a/ There are 2 or more investors who satisfy all conditions prescribed in Clause 3 of this Article participating in the bidding;
b/ The l:2,000-scale construction plan has been approved;
c/ An overall plan on compensation, ground clearance and resettlement has been elaborated;
d/ A plan on bidding organization has been worked out.
7. Investors of commercial housing development projects will be selected through international bidding or domestic bidding. The method and process of organizing bidding for selection of investors of housing development projects will be the same as those applicable to bidding for selection of investors for implementation of other projects involving land use.
8. After obtaining bidding results, the expert team shall notify in writing these results to the provincial-level Construction Department for reporting to the provincial-level People’s Committee for consideration and issuance of a decision on the selection of the project investor. For projects falling under the investment approval competence of provincial-level People’s Committees, the provincial-level People’s Committee shall concurrently give investment approval in the investor-selecting decision. Projects falling beyond the investment approval competence of provincial-level People’s Committees shall comply with Clause 11 of this Article.
The time limit for organizing a bidding for selection of investors of housing development projects is 90 days after the provincial-level Construction Department receives bid dossiers.
9. Within 30 days after the issuance of a decision on the selection of the housing development project investor, the provincial- level Construction Department shall refund amounts paid as bidding participation security (o investors who have participated in bidding but are not selected to act as the project investor. For the investor who is selected, the security amount will be refunded within 10 days after the bid solicitor receives an amount paid by the investor as security for the project investment (equal to between 5% and 10% of the total investment proposed by the selected investor). For cases in which an investor violates bidding regulations issued by the provincial-level People’s Committee, the paid amount of bidding participation security will be remitted into the state budget.
10. Within 3 months after the issuance of a decision on the selection of the project investor, if the selected investor fails to comply with provisions of Article 7 of this Decree, the provincial-level People’s Committee shall cancel bidding results for re organization of bidding.
11. Projects falling beyond the investment approval competence of provincial-level People’s Committees comply with the following regulations:
a/ For projects falling under the investment approval competence of district-level People’s Committees, upon the expiration of the information publicization time limit defined in Clause 2 of this Article, the provincial level People’s Committee shall consult in writing the district-level People’s Committee. The time limit for the provincial level People’s Committee to send consultation documents and the district-level People’s Committee to issue an investment approval document is 30 days after the expiration of the information publicization time limit specified in Clause 2 of this Article.
After obtaining an investment approval document issued by the district-level People’s Committee, the provincial-level Construction Department shall receive bid dossiers and propose the provincial-level People’s Committee to set up an expert team for selection of the project investor to organize bidding under this Article; the time for receiving bid dossiers complies with Clause 5 of this Article and the time limit for bidding organization complies with Clause 8 of this Article:
b/ For projects falling under the investment approval competence of the Prime Minister, the provincial-level People’s Committee shall consult ministries defined in Clause 3. Article 7 of this Decree. The time limit for the provincial-level People’s Committee lo send consultation documents and ministries to give replies is 20 days after the expiration of the information publicization time limit specified in Clause 2 of this Article.
After obtaining opinions of concerned ministries, the provincial-level Construction Department shall receive bid dossiers within the time limit specified in Clause 5 of this Article. Within 10 days after the deadline for receipt of bid dossiers, the provincial-level People’s Committee shall make a report proposing the Prime Minister to approve investment in the housing development project, enclosed with opinions of concerned ministries, the list of investors participating in bidding and the 1:2,000-scale construction plan.
After obtaining the Prime Minister’s written approval, the provincial-level People’s Committee shall organize bidding under this Article and report bidding results to the Prime Minister.
12. The entity selected to act as the housing development project investor shall elaborate and submit the 1:500-scale detailed construction plan for appraisal and approval under Article 5 of this Decree, and formulate and submit the housing development project for appraisal and approval tinder Article 7 of this Decree in accordance with contents of the investment approval document issued by the competent authority.
Article 15. Rights of investors of commercial housing development projects
1. To request competent agencies to supply information for the implementation of commercial housing development projects.
2. To exercise land users’ rights provided by the land law. Grade-I investors may transfer land use rights with technical infrastructure facilities to grade-Il investors for housing investment in strict accordance with this Decree.
3. To select modes of project management.
4. To enjoy preferential policies provided by law.
To sell or lease houses and construction works within their projects, excluding infrastructure facilities which must be transferred under decisions of competent state agencies, in accordance with the Housing Law. this Decree and the law on real estate business, .
6. To exercise other rights specified by law.
Article 16. Obligations of investors of commercial housing development projects
1. To organize the formulation, appraisal and approval of housing development projects and construction of houses in accordance with the Housing Law, this Decree and relevant legal documents promulgated by competent state agencies; to implement projects in compliance with the approved or adjusted schedules and contents of their projects.
2. To publicize information related to housing development projects specified in Clause 3. Article 36 of the Housing Law after obtaining decisions approving projects.
3. To raise funds for house construction under Articles 9 and 60 of this Decree.
4. Foreign organizations and individuals that invest in the construction of houses for lease under their investment certificates issued by Vietnamese competent authorities and approved housing development projects may not sell these houses.
For cases in which grade-I investors transfer land use rights to grade-II investors, they may sign land use right transfer contracts only after completing the construction of technical infrastructure facilities in conformity with the approved contents and schedule of the projects.
5. For housing development projects implemented in cities, towns or new urban centers planned for development into cities or towns, investors may not transfer land use rights in the form of selling grounds without built houses to households and individuals but shall build houses for sale under this Decree. Other cases comply with the land law.
6. To reserve land with technical infrastructure in commercial housing and new urban center development projects for building social houses under Clause 2. Article 32 of this Decree.
7. To carry out procedures for competent state agencies to grant land use right certificates and certificates of house and land-attached asset ownership rights, for houses built for sale, and hand over papers related to the houses to purchasers within 50 days after the handover of (he houses, unless purchasers wish to carry out procedures by themselves.
For cases in which investors are permitted to build houses on land leased by the State for sale to domestic organizations and individuals and overseas Vietnamese who are eligible for owning homes in Vietnam, they shall carry out procedures for the recognition of the purchasers’ rights to permanently use land by competent state agencies and pay land use levy to the State under law.
8. To provide house warranty under Article 74 of the Housing Law and this Decree.
9. To conduct maintenance of leased houses under their ownership (if any) and technical and social infrastructure facilities within the project area not yet transferred or not subject to transfer under law.
10. To carry out house use and technical infrastructure management services and other relevant services within the project area under law; to manage facilities already put into operation according to their assigned tasks or pending their transfer to public-utility service organizations or specialized management organizations.
11. To manage the order and security in project areas already put into operation before the transfer of the administrative management work to local administrations.
12. To assume the prime responsibility for setting up administration boards of condominiums under the Housing Law and regulations on the use management of condominiums issued by the Construction Ministry.
13. To comply with Articles 10 and 11 of this Decree.
14. To fulfill financial obligations and other obligations prescribed in this Decree and relevant laws.
Section 3. DEVELOPMENT AND MANAGEMENT OE OFFICIAL-DUTY HOUSES
Article 17. Development of official-duty houses
1. Projects on development of official duty houses may be of any of the following 3 types:
a/ Projects on development of official-duty houses for lease to local officials under investment decisions of provincial-level People’s Committees:
b/ Projects on development of official-duty houses for lease to central officials under investment decisions of the Prime Minister;
c/ Projects on development of official-duty houses for lease to officials managed by the Ministry of Public Security or the Ministry of National Defense under investment decisions of the Ministry of Public Security or the Ministry of National Defense after obtaining the Prime Minister’s approval.
2. Selection of investors of projects on development of official-duly houses:
a/ Provincial-level People’s Committees shall decide to select investors of projects defined at Point a. Clause 1 of this Article;
b/ The Prime Minister shall decide to select investors of projects defined at Point b. Clause 1 of this Article;
c/ The Ministry of Public Security or the Ministry of National Defense shall decide to select projects defined at Point c. Clause 1 of this Article.
Article 18. Formulation, appraisal and approval of projects on development of official-duty houses
1. Projects on development of official-duty houses will be formulated according to Article 6 of this Decree.
2. For projects implemented under investment decisions of provincial-level People’s Committees, provincial-level Construction Departments shall assume the prime responsibility for, and coordinate with concerned local agencies in, appraising projects before submitting them to chairpersons of provincial-level People’s Committees for approval. If provincial level People’s Committee chairpersons authorize district-level People’s Committee chairpersons to issue investment decisions (for projects capitalized at under VND 30 billion). Clause 1, Article 7 of this Decree shall apply.
3. For projects implemented under investment decisions of the Prime Minister, the Ministry of Construction shall assume the prime responsibility for, and coordinate with concerned ministries and branches in, appraising projects before submitting them to the Prime Minister for approval.
4. For projects implemented under investment decisions of Ministry of Public Security or the Ministry of National Defense, the Ministry of Public Security or the Ministry of National Defense shall consult the Ministry of Construction, the Ministry of Natural Resources and Environment, the Ministry of Finance and the Ministry of Planning and Investment before appraising and approving projects.
5. The approval of projects on development of official-duty houses complies with Point c. Clause 1. Article 7 of this Decree.
6. For remote, deep-lying, extreme difficulty-hit and border areas and islands, investment in official-duty houses may be incorporated into projects on the building of working offices, schools or health establishments and official-duty houses may be built within (he areas of these works but a fence must be built on the boundary between official-duty houses and working places.
Article 19. Investment capital for the building of official-duty houses
1. For official duty houses which is built for lease to local officials, investment capital shall be allocated from local budgets.
Based on local demands for official-duty houses, the provincial-level People’s Committee-shall elaborate a capital plan for submission to the provincial level People’s Council for decision. Localities eligible for annual assistance from the central budget which meet with difficulty in raising funds for the building of official-duty houses shall report such to the Ministry of Construction for the latter to coordinate with the Ministry of Finance and the Ministry of Planning and Investment in submitting their cases to the Prime Minister for decision.
2. For official-duty houses which is built for lease to central officials (including houses of the Ministry of National Defense and the Ministry of Public Security), investment capital shall be allocated from the central budget.
Agencies assigned to build official-duty houses for lease to central officials shall notify in writing their capital needs for building of official-duty houses to the Ministry of Construction for the latter to assume the prime responsibility for, and coordinate with the Ministry of Planning and Investment and the Ministry of Finance in. elaborating capital plans for submission to the Prime Minister for decision.
3. Investment capital for building of official-duty houses shall be allocated from the following sources:
a/ The central budget under the Prime Minister’s decisions: local budgets under decisions of provincial-level People’s Councils;
b/ Deductions from proceeds from the sale of houses and transfer of land use- rights, with regard to houses and land areas which are planned for building of working offices but no longer used for these purposes under the Prime Minister’s decisions.
Article 20. Land for building official-duty houses
1. When elaborating and approving land use master plans and mater plans on construction of urban centers and rural residential quarters. People’s Committees at various levels shall determine land areas for building official-duty houses according to Clause 1. Article 17 of this Decree.
2. Agencies assigned to build official-duty houses for lease to central officials shall notify in writing the demand for official-duty houses to the Ministry of Construction for (he latter to coordinate with provincial-level People’s Committees in determining land areas for the building of official-duty houses for inclusion into local land use master plans and plans.
Based on the Ministry of Construction’s request, provincial-level People’s Committees shall elaborate land use master plans and plans and determine land areas for the building of official-duty houses according to this Decree.
3. Land areas allocated for implementation of projects on development of official-duty houses are exempted from land use levy.
Article 21. Types and standard areas of official-duty houses
1. The standard area, quality and category of an official-duty house leased to an eligible person must be conformable with his/her entitlements so as to create conditions for he/she to fulfill his/ her tasks.
2. Cadres and civil servants holding leading positions such as Political Bureau member, Deputy Prime Minister or equivalent or higher positions who are eligible to lease official-duty houses will be entitled to lease villas. Other subjects will be entitled to lease condominium apartments or low-story houses (detached houses or one-story houses with many rooms) in areas where condominiums are unavailable.
3. Official-duty houses include villas, condominiums, detached houses and one-story houses with many rooms. The standard area of official-duty houses leased to each subject shall be provided and adjusted by the Prime Minister at the proposal of the Ministry of Construction based on national socio-economic development in each period.
4. The Ministry of Construction shall guide in detail the model designs and typical designs of official-duty houses of different types defined in this Article.
Article 22. Investment in the building of official-duty houses
1. The designing, cost estimation and selection of design consultants and constructors of official-duty houses must comply with the construction law and the law on the management and use of state budget capital.
2. Design consultants shall apply regulations on design standards and construction technology solutions and use proper materials so as to ensure construction schedule and quality and reduce construction costs.
Article 23. Subjects entitled to lease official-duty houses
1. Leaders of the Party and the State who are entitled to live in official-duty houses during their terms of office.
2. Cadres and civil servants of Party and State agencies and socio-political organizations who are shifted or transferred from local agencies to central agencies, from central agencies to local agencies or from one locality to another in a definite period of time under decisions of competent authorities may lease official-duty houses during their periods of service, if they satisfy all conditions specified in Article 24 of this Decree.
3. Officers and professional army men in people’s armed forces who are mobilized for defense or security purposes.
4. Teachers who are assigned to work in deep-lying, remote, extreme difficulty-hit, border and island communes.
5. Physicians and health workers who are assigned to work in deep-lying, remote, extreme difficulty-hit, border and island communes or assigned to work at hospitals or health centers of lower-levels for a definite period of time.
Article 24. Conditions for lease of official-duty houses
1. Subjects defined in Clause 1, Article 23 of this Decree shall be arranged official-duty houses in accordance with security requirements.
2. Subjects defined in Clauses 2, 3, 4 and 5. Article 23 of this Decree who are entitled to lease official-duty houses must be those who have no house under their ownership or have not yet been entitled to purchase, lease or lease-purchase of social houses in localities where they move to work.
Article 25. Arrangement and allocation of official-duty houses and signing official-duty house lease contracts
1. Subjects defined in Clause 1. Article 23 of this Decree shall be arranged to lease official- duty houses under decisions of competent authorities. The Ministry of National Defense and the Ministry of Public Security shall decide on subjects under their management who are entitled to lease official-duty houses.
2. Subjects entitled to lease official-duty houses defined in Clause 2, 3, 4 and 5, Article 23 of this Decree shall file applications for lease of official-duty houses with certification by their managing agencies and organizations.
3. Agencies and organizations where persons who wish to lease official-duty houses work shall gather applications for lease of official-duty houses of subjects defined in Article 2 of this Article and send a document to units assigned to manage and operate official-duty houses.
4. On the basis of decisions on the arrangement of official-duty houses issued by competent authorities, the Ministry of Public Security or the Ministry of National Defense, for cases specified in Clause 1 of this Article; or applications of persons who wish to lease houses and the written request of agencies or organizations directly managing applicants, for cases specified in Clause 3 of this Article, units assigned to manage and operate official-duty houses shall sign lease contracts with house lessees or agencies directly managing house lessees.
Article 26. Official-duty house rent rates
1. Rent rates of official-duty houses shall be determined on the following principles:
a/ Necessary expenses for the management, operation and maintenance of houses in the course of house use (excluding expenses for depreciation of construction investment capital) shall be fully calculated;
b/ Land use levy shall not be calculated;
c/ Rent rates of official-duty houses shall be adjusted once every five years.
2. Based on the principles specified in Clause 1 of this Article and the method of determining rent rates of official-duty houses guided by the Ministry of Construction, provincial-level Construction Departments shall formulate the bracket of official-duty house rent rates for submission to provincial-level People’s Committees for promulgation and uniform application in localities. On the basis of rent rate brackets promulgated by provincial-level People’s Committees, official-duty house managing agencies shall propose investment deciding persons to approve the rent rates of official-duty houses under their management.
Article 27. Payment of official-duty house rents
1. Persons entitled to lease official-duty houses shall pay rents under signed lease contracts and in accordance with the time of salary payment by the State as prescribed. For cases in which a lessee fails to pay rent for 3 consecutive months, the official-duly house managing unit may request the agency directly managing the lessee to deduct the lessee’s salaries for rent payment. The agency directly managing the lessee shall deduct the lessee’s salaries to pay rent to the official duty house managing unit.
2. For cases in which official-duty house managing units sign lease contracts with agencies directly managing official-duty house lessees, these agencies shall deduct salaries of lessees to make payment to official-duty house managing units.
Article 28. Use management of official-duty houses
1. Official duty houses may only be used for lease. The management, maintenance and renovation of official-duty houses comply with regulations on the management, maintenance and renovation of houses under the state ownership.
2. Persons who have decided on investment in official-duty house projects shall select a unit to manage official-duty houses after the construction completes.
3. The management of official-duty houses arc entitled to mechanisms applicable to public-utility services as guided by the Ministry of Finance.
The Ministry of Construction shall provide for and guide the management and use of official-duty houses for uniform application nationwide.
Article 29. Rights and obligations of official-duty house lessees
1. To use houses for proper purposes and preserve houses and attached assets; and to refrain from renovating or repairing official-duty houses at their own will.
2.To refrain from transforming or sub leasing houses in any form, and to return houses to official-duty ho use managing units within 3 months after the time when they become ineligible for lease of official-duty houses or no longer wish to lease these houses.
3. To pay monthly rent according to Article 27 of this Decree. Charges for other services for daily-life activities shall be paid according to law.
4. To use official-duty houses for themselves and their family members.
5. For those who arc eligible to lease official-duty houses but there is no official-duty house for lease to them, their managing agencies or organizations shall lease other houses of a type and standard areas equivalent to their entitlements and deduct their salaries to pay rent.
If the house rent is higher than the official-duty house rent rate payable by the lessee into the state budget, the difference shall be paid by the central budget, for central officials, or by local budgets, for local officials.
6. When a lessee is required to return official-duty houses under Point a. Clause 6. Article 30 of this Decree but he/she has no house under his/ her ownership or is not yet entitled to purchase, lease or lease-purchase social houses at his/her place of residence, the agency or organization where this person is working shall coordinate with the People’s Committee of the province or centrally run city where this person resides in creating conditions for him/her to purchase, lease or lease-purchase a social house or providing housing support in other forms.
Article 30. Responsibilities of official-duty house managing units
1. To lease houses to proper subjects and under the conditions specified in Articles 23 and 24 of this Decree.
2. To gather and keep dossiers of official-duty houses.
3. To coordinate with local functional agencies in assuring security and order for official-duty houses. Functional agencies in charge of security and order shall collaborate with official-duty house managing units when requested.
4. To maintain and manage official-duty houses under the Housing Law. this Decree and the construction law.
5. To collect house rent from official-duty house lessees.
6. To recover official-duty houses in the following cases:
a/ The lessee becomes ineligible for lease of official-duly houses:
b/ The lessee moves to another locality:
c/ The lessee wishes to return official duty houses:
d/ The lessee dies;
e/ The lessee uses official-duty houses for improper purposes or fails to fulfill obligations of official-duty house lessees.
Section 4. DEVELOPMENT AND MANAGEMENT OF SOCIAL HOUSES
Article 31. Development of social houses
1. Social houses are built for purchase, lease or lease-purchase by subjects defined in Article 37 of this Decree. Social houses are divided into the following 2 types:
a/ Social houses which arc built by the State with state budget capital for lease;
b/ Social houses which are built with non-state capital for sale, lease or lease-purchase under this Decree.
2. Social houses defined in Clause 1 of this Article must be closely managed. Units assigned to manage and operate social houses shall sell, lease and offer lease-purchase of social houses to proper subjects under conditions prescribed in this Decree and may not change the use purposes of social houses.
3. Responsibilities of the Ministry of Construction for developing social houses:
a/ Based on the national housing development orientations and strategies and practical situations, to formulate and submit to the Prime Minister for approval national target programs on housing support and social housing development for those who need state housing supports;
b/ To direct the implementation of national target programs on housing support and social housing development mentioned at Point a of this Clause;
c/ To guide design standards: eligible subjects, conditions and process of selection of subjects eligible for purchase, lease or lease purchase of social houses; methods of determining sale prices, rent rates and lease-purchase prices of social houses and management of social houses prescribed in this Section.
4. Responsibilities of provincial-level People’s Committees for developing social houses;
a/ To approve and publicize detailed construction plans, housing development master plans, land areas and specific locations for social housing development in association with projects on development of commercial houses, new urban centers, economic zones, industrial parks, export-processing zones and hi-tech parks:
b/ To elaborate 5-ycar and annual social housing development plans and programs, specifying types of houses, demands for housing spaces and structure of apartments for sale, lease or lease purchase, specific balance of investment capital in accordance with Article 52 of the Housing Law; to adopt mechanisms to encourage and attract organizations and individuals of all economic sectors to invest in social housing development;
c/ To approve according to their competence or authorize district-level People’s Committees to approve social housing development projects funded with local budges; to approve investment in social housing development projects funded with non-state budget sources and direct and inspect the implementation of these projects.
Article 32. Land for social housing development
1. When elaborating and approving land use master plans and master plans on construction of urban centers, rural residential quarters, economic zones, industrial parks, export-processing zones and hi-tech parks in their localities, provincial-level People’s Committees or district-level People’s Committees shall determine and allocate land areas for building social houses.
2. For localities with high demands for social houses, based on their practical conditions, provincial-level People’s Committees shall consider and decide to request investors of commercial housing development projects occupying 10 hectares of land or more to set aside 20% of land areas with technical infrastructure facilities for building social houses.
For cases in which investors transfer land areas specified in this Clause to local administrations for building social houses, expenses for compensation for ground clearance and expenses for investment in technical infrastructure construction with regard to land areas for building social houses shall be refunded to investors or cleared against their financial obligations toward the stale budget.
3. For land areas for building social houses for workers in industrial parks, export-processing zones, economic zones and hi-tech parks (below referred to as industrial parks), the following regulations shall apply:
a/ For industrial parks which are under construction, local industrial park management boards or industrial park infrastructure-dealing enterprises shall organize ground clearance and invest in the construction of technical infrastructure for workers” dormitories and transfer them to project investors for building workers’ dormitories. Expenses for compensation, ground clearance and investment in infrastructure facilities for workers” dormitories shall be included in rents for industrial parks’ land;
b/ For industrial parks which have been put into operation, provincial-level People’s Committees shall revise and supplement their zoning plans, recover land and make compensation for ground clearance for land allocation to infrastructure-dealing enterprises or real estate enterprises for building houses for lease to workers. Expenses for ground clearance-shall be deducted from land use levy or land rent amounts retained by local administrations.
Article 33. Investors of social housing development projects
1. For social housing development projects funded with the state budget, the investment deciders shall select investors.
2. For social housing development projects funded with non-state budget sources, investors shall be selected as follows:
a/ For cases of building social houses under projects on development of commercial houses or new urban centers prescribed in Clause 2. Article 32 of this Decree, investors of projects on development of commercial houses or new urban centers shall concurrently act as investors of social housing development projects. If investors of projects on development of commercial houses or new urban centers refuse to act as investors of social housing development projects, provincial-level People’s Committees shall assign another investor to invest in the building of social houses for sale, lease or lease-purchase:
b/ For cases in which investors that have land under their lawful ownership in conformity with housing construction plans register to act as investors, they will be selected to act as investors of social housing development projects.
c/ For cases in which investors are allocated land by the State for building social houses, these investors shall act as investors of social housing development projects.
Article 34. Incentives for investors of social housing development projects
Investors of social housing development projects funded with non-state budget sources are entitled to the following incentives:
1. Exemption from land use levy and land rent for land areas within areas of approved social
housing development projects:
2. Preferential value-added tax rates under the law on value-added tax:
3. Exemption from, reduction of, and incentives regarding enterprise income tax under the law on enterprise income tax:
4. Investment credit supports from such sources as preferential credit loans or interest rate subsidies under regulations: loans from housing development funds for housing saving funds (if any); and whole or partial loan interest support from provincial-level People’s Committees;
5. Whole or partial support funds for building technical infrastructure under social housing development projects;
6. Free-of-charge provision of model designs and typical designs of houses and scientific and technical advances on construction and installation by the Ministry of Construction so as to reduce construction costs: appointment of contractors for consultancy, construction and installation or equipment procurement contracts:
7. Enterprises that invest in the building of houses for lease to industrial park workers without collection of house rent or with house rent not exceeding the rent rates of social houses prescribed by provincial level People’s Committees and enterprises that rent houses for their workers, expenses for house construction or rent shall be calculated as reasonable expenses included in production costs upon calculating enterprise income tax.
The Ministry of Finance shall guide according to its competence or propose competent agencies to provide for value-added tax and enterprise income tax exemption and reduction specified in Clauses 2 and 3 of this Article.
Article 35. Formulation, appraisal and approval of social housing development projects
1. For housing development projects funded with the state budget, units assigned to act as project investors shall formulate and submit projects to provincial- or district-level People’s Committees for appraisal and approval under Article 7 of this Decree. For cases in which houses are built with the central budget. Point b. Clause 1, Article 7 of this Decree shall apply.
2. For housing development projects funded with non-state budget sources, investors shall propose provincial-or district-level People’s Committees to issue investment approval documents according to Article 7 of this Decree. After obtaining the investment approval document, investors shall organize the project formulation, appraisal and approval under this Decree and the construction law.
Social housing development projects of 2,500 apartments or more must comply with Clause 3. Article 7 of this Decree.
Article 36. Social house design standards
1. Design standards for social houses are specified as follows:
a/ For social houses in urban centers which are built with the state budget, design standards comply with Clauses 1 and 2, Article 47 of the Housing Law. In other areas, it is permitted to build detached houses or one-story houses with many rooms;
b/ For houses built with non-state budget sources for industrial park workers and laborers and low-income earners in urban areas, the maximum floor area of each apartment must not exceed 70 m2. while the number of stories is not restricted. Investors may increase construction density and land use coefficient by 1.5 times over that prescribed in current construction regulations in conformity with plans approved competent agencies.
2. The selection of design consultants and constructors for social houses must comply with law.
3. Design consultants shall base themselves on construction technical regulations and standards and designs standards applicable to social houses to design houses, ensuring quality and reducing construction costs while model designs and typical designs are encouraged to be applied.
Article 37. Subjects eligible for purchase, lease or lease-purchase of social houses
1. Cadres, civil servants and public employees defined by the law on cadres, civil servants and public employees.
2. Officers and professional army men in people’s armed forces who are salaried by the slate budget.
3. Industrial park workers.
4. Persons who have returned official-duty houses under Point a. Clause 3, Article 30 of this Decree.
5. Students of public and people-founded universities, colleges, professional secondary schools, vocational colleges and vocational intermediate schools entitled to lease houses during their study period.
6. Low-income earners in urban centers as specified by provincial-level People’s Committees.
Article 38. Conditions for purchase, lease or lease-purchase of social houses
1. Persons entitled to lease social houses built by the State with the state budget must satisfy the following conditions:
a/ Having no house under their ownership and having not yet been allowed to purchase, lease or lease-purchase social houses or received housing supports from the State in any form or having houses under their ownership with an average of below 5 m2 of floor area/person or having only makeshift or ragged houses:
b/ Earning a low monthly household income as prescribed by provincial-level People’s Committees, except for the cases prescribed in Clause 5, Article 37 of this Decree.
2. To be eligible to purchase, lease or lease-purchase social houses built with non-state budget funds, entities must satisfy the following conditions:
a/ The conditions specified at Point a. Clause 1 of this Article;
b/ Having a monthly household income lower than the local average income level prescribed by the provincial-level People’s Committee;
c/ Having a household registration book evidencing permanent residence or long-term temporary residence in the locality in which the social housing development project is implemented, in case of purchase or lease purchase of social houses;
d/ Being capable of making the first-time payment equal to 20% of the value of the house to be lease-purchased, in addition to the conditions specified at Points a. b and c of this Clause, in case of lease-purchase of social houses.
3. Pursuant to this Decree, the Construction Ministry’s guidance and local practical conditions, provincial-level People’s Committees shall determine average and low income levels and conditions for purchase, lease or lease-purchase of social houses in their localities in each period, and publish them in local mass media and on websites of provincial-level People’s Committees and Construction Departments.
Article 39. Sale, lease or lease-purchase prices of social houses
1. The lease price of a social house built with slate budget funds shall be determined on the following principles:
a/ All expenses arc included to ensure recovery of construction investment capital and maintenance, management and operation of the social house;
b/ Provincial-level People’s Committees shall issue a bracket of lease prices of social houses for application in their localities.
2. The sale, lease or lease-purchase price of a social house built with non-state budget funds shall be determined on the following principles:
a/ The sale price of a social house built by a project investor must cover all expenses to ensure recovery of construction investment capital, loan interest (if any) and minimum profit under regulations. State-granted incentives specified in Article 34 of this Decree must not be included in the sale price. In case of sale on deferred or installment payment, the purchaser shall make the first-time payment not exceeding 20% of the price of the house, unless otherwise agreed by the involved parties. The minimum duration for purchase of a house on deferred or installment payment is 10 years after a house purchase and sale contract is signed;
b/ The lease or lease-purchase price of a social house built by a project investor must cover all expenses to ensure recovery of construction investment capital, loan interest (if any), expenses for maintenance, management and operation of the house, and profits under regulations. State-granted incentives must not be included in the lease or lease-purchase price. The minimum duration for recovery of capital for a house on lease is 20 years after a house lease contract is signed.
In case of lease-purchase of a house, the lease-purchaser shall make the first-time payment equal to 20% of the value of such house. The minimum duration for lease-purchase of a house is 10 years after a house lease-purchase contract is signed;
c/ Provincial-level People’s Committees shall appraise sale, lease and lease-purchase prices of social houses built with non-state budget funds in their localities.
Article 40. Use management of social houses
1. For social houses built with state budget funds, investment deciders shall select units to manage the operation of these houses. If 2 or more units register to manage the operation of these houses, they shall be selected through bidding.
2. For social houses built with non-state budget funds, investors shall manage the use and operation of” these houses.
3. Social house operation management services are subject to mechanisms like public-utility services under the Finance Ministry’s guidance.
4. Units managing the operation of social houses may provide other services within these houses to collect charges for offsetting operation management and maintenance expenses and reducing house rents.
5. Lessees or lease-purchasers of social houses may not transfer these houses in any form during the lease or lease-purchase period. Purchasers or lease purchasers of social houses may sell or lease these houses only after having paid the whole money amount to investors and obtained house ownership certificates, after at least 10 years from the time a house purchase and sale or lease-purchase contract is signed.
If the purchaser of a social house wishes to sell it before a 10-year time, he/she may sell it only to the State, the investor or an entity eligible to buy social houses under localities’ regulations at a price not higher than the price of a social house of the same type at the time of sale. If the house purchase and sale violates this Clause, the signed purchase and sale contract will be invalid and the violation shall be handled under Clause 4. Article 58 of this Decree.
Section 5. CONSTRUCTION OF DETACHED HOUSES BY HOUSEHOLDS AND INDIVIDUAL
Article 41. Requirements on the construction of detached houses by households and individuals
1. Households and individuals may only build houses on land areas with land use right papers granted under the land law on which construction is not banned under the construction law.
2. Before building a detached house, a household or an individual shall carry out procedures to obtain a construction license from a competent agency, unless such license is exempt under the construction law.
3. Agencies competent to grant house construction licenses shall base themselves on construction standards and regulations and 1:500-scale detailed construction plans or plans on rural residential quarters in areas with approved plans to grant house construction licenses to households and individuals within the time limit prescribed by the construction law.
Article 42. Survey, designing and construction of detached houses by households and individuals
1. The survey and designing of detached houses by households and individuals must comply with the construction law. Detached houses in urban areas each with a total floor area of 250 m2 or more or with 3 or more stories (including the basement) must be designed by capable construction designing activity or construction designing practice organizations or individuals.
For detached houses in urban areas each with a total floor area of 250 m2 or more or with 3 or more stories (including the basement), households and individuals shall hire capable contractors to build them under the construction law.
Households and individuals shall build houses according to designs and granted construction licenses, observe the construction law during construction and take responsibility for the quality of houses.
The construction of houses must ensure safety for people and assets; if causing damage to others, violators shall pay compensation under law.
Article 43. Quality management of detached houses of households and individuals
1. The construction of detached houses in urban areas by households and individuals must ensure requirements of connection to common technical infrastructure systems in the areas.
2. Households and individuals that build detached houses in urban areas each with a total floor area of 1.000 m2 or more or with 6 or more stories (including the basement) shall, before putting such houses into use, obtain force-bearing safety certificates from functional bodies under the construction law.
3. In case a household or an individual builds a house in an urban area with 2 or more stories, each story having 2 or more self-contained apartments (with separate living rooms, kitchens and toilets), each apartment must have a minimum floor area of 30 nr and comply with Article 70 of the Housing Law regarding condominiums.
4. Ownership certificates shall not be granted by the Slate for houses specified in Clause 2 of this Article that have no force-bearing safety certificates granted by functional bodies; houses with many apartments that fail to satisfy the conditions specified in Clause 3 of this Article; or houses that have no construction licenses as required.
5. Households and individuals that have houses which fully satisfy the conditions specified in Clause 3 of this Article may. upon their request, obtain ownership certificates granted by competent state agencies for each apartment within the houses. Only after obtaining ownership certificates can they sell or lease these apartments. Upon selling such apartments, households and individuals shall carry out procedures to transfer land use rights to purchasers in the form of common use land.
6. The use management of houses with many owners or users complies with regulations on use management of urban condominiums.
Chapter III

OWNERSHIP AND USE MANAGEMENT OF HOUSES

Section 1. GENERAL PROVISIONS
Article 44. Lawful establishment of houses A house may be lawfully established through:
1. Building under the Housing Law, this Decree and the construction law;
2. Purchase, donation, exchange or inheritance under the Housing Law, this Decree, the law on real estate business and the civil law;
3. Other forms provided for by law.
Article 45. Recognition of house ownership
1. Organizations and individuals eligible to own houses in Vietnam under the Housing Law and possessing papers evidencing the lawful establishment of houses under Article 44 of this Decree may have ownership of such houses recognized by the State without having to satisfy the conditions on household registration books evidencing permanent residence or on business registration in localities where exist the houses, except the case specified at Point c. Clause 2, Article 38 of this Decree.
In case households and individuals own houses before the effective date of this Decree through contracts to purchase and sell houses to be formed in the future under housing development projects, their ownership of these houses shall be recognized under the Construction Ministry’s guidance.
2. Competent state agencies shall recognize ownership of houses through granting land use right certificates or house and land-attached asset ownership certificates to house owners under law.
3. Competent state agencies shall, pursuant to regulations on grant of land use right certificates or house and land-attached asset ownership certificates and this Decree, grant ownership certificates for houses to their owners. These certificates will not be granted for houses which fail to fully satisfy the conditions for having their ownership recognized under the Housing Law and this Decree.
Article 46. House warranty
1. Within the house warranty duration specified in Article 74 of the Housing Law, sellers shall provide warranty for houses, unless these houses are damaged by natural disasters, enemy sabotage or users.
2. Warranty for a house (including houses with multiple use purposes) covers repair and remedying of damages in the house’s main structure (beam, column, floor, ceiling, roof, wall, and tiled and. plastered parts), or equipment installed in the house, such as door systems, fuel supply systems, daily-life and lighting electricity supply lines, daily-life water supply and wastewater drainage systems: and remedies in case of slant, subsidence or settlement of the house. Sellers shall provide warranty for other equipment installed to houses within the time limit prescribed by manufacturers of such equipment.
3. In case organizations or individuals that build or sell houses refuse to perform the warranty obligation under Article 74 of the Housing Law and this Article, house owners may initiate lawsuits at people’s courts. If causing damage to others, violators shall pay compensation or be examined for penal liability under law.
Article 47. House maintenance
1. Owners of houses shall maintain their houses under the Housing Law and relevant laws, unless otherwise agreed by owners and users. In case the owner of a house is unidentifiable, the current user of such house shall maintain it.
2. For a house with many owners, these owners shall maintain parts under private ownership and agree to contribute funds for maintaining areas under common ownership. If no agreement can be reached, expenses for maintaining areas under common ownership shall he divided in proportion to the area under each owner’s private ownership.
The contribution of funds for the maintenance of condominiums complies with Article 51 of this Decree.
3. Contents and process of maintenance and management of house maintenance dossiers comply with the law on maintenance of construction works.
Article 48. House renovation
1. Owners of houses may renovate their houses and shall ensure safety for humans and assets, keep clean the surrounding environment and comply with the construction law.
2. In case construction licenses are required for the renovation of houses, owners may renovate their houses only after obtaining such licenses.
3. The renovation of houses under common ownership must be approved in writing by owners. Owners shall contribute funds for renovating areas under common ownership.
The renovation of old condominiums complies with Article 52 of this Decree.
Section 2. USE MANAGEMENT OF CONDOMINIUMS
Article 49. Areas under private ownership and areas under common ownership within condominiums with many owners
1. Areas under private ownership and equipment for private use within a condominium with many owners include:
a/ The area inside an apartment (including balcony and loggia attached to such apartment) of the apartment owner: other areas within a condominium sold by the investor to each apartment owner or to other organizations or individuals;
b/ The area under the investor’s private ownership (the investor retains and neither sells such area nor allocates the value of such area into the price of apartments sold to apartment owners),
c/ Equipment for private use within an apartment or within other areas under private ownership of the apartment owner or other owners.
Owners of apartments or other areas within condominiums specified at Points a and b of this Clause are collectively referred to as condominium owners.
2. Parts under common ownership of a condominium with many owners, including areas and equipment for the condominiums common use. are stipulated as follows:
a/ The area under common ownership of the condominium owners includes space, corridors, staircases, lifts, terrace, frames, columns, force-bearing walls, surrounding walls, apartment-dividing walls, floor, roof, emergency exit, septic tanks, walking paths, playing grounds and other parts not under private ownership of the condominium owners;
b/ Other areas not under private ownership of the condominium owners as specified in Clause 1 of this Article;
c/ Places for vehicles (bicycles, vehicles for the disabled and motorbikes) shall be built according to construction regulations and may be arranged in the basement, ground floor or another area inside or outside the condominium. Car parks shall be built according to construction regulations but decided by the investor to be under common or private ownership of the condominium owners under Clause 1 of this Article;
d/ Equipment for the condominiums common use as specified in Clause 3. Article 70 of the Housing Law.
Areas under common ownership specified in this Clause are for common use by condominium owners under the Housing Law. this Decree and regulations on use management of condominiums.
3. Condominium parts under private ownership and parts under common ownership specified in this Article must be indicated in contracts on purchase and sale of condominium apartments.
Article 50. Operation management of condominiums
1. A condominium with many owners must have a management board elected by condominium owners and users under Article 71 of the Housing Law and regulations on use management of condominiums. The investor shall make preparations for forming a condominium management board under the Housing Law.
2. The condominium management board has the rights and responsibilities defined in Article 72 of the Housing Law and regulations on use management of condominiums. For condominiums that are social houses, the powers and responsibilities of the condominium management board comply with the Construction Ministry’s guidance.
3. The operation of condominiums shall be managed by enterprises capable of managing the operation of condominiums.
4. Condominium operation management services are eligible for mechanisms like public-utility services under the Finance Ministry’s guidance.
5. Condominium use service charges, including charges for car-keeping, must not exceed service charge levels prescribed by provincial-level People’s Committees, unless otherwise agreed by the involved parties.
6. For a condominium with the sole owner, this owner shall him/her/itself organize the operation management of such condominium.
The Ministry of Construction shall issue regulations on use management of condominiums for uniform application nationwide.
Article 51. Funds for maintenance of parts under common ownership of condominiums with many owners
1. Funds for the maintenance of parts under common ownership of a condominium with many owners are specified as follows:
a/ In case the investor signs an apartment sale contract on or after the effective date of the Housing Law, he/she/it shall pay:
– 2% of the house sales, for the house area on sale, which shall be included in the money amount from the sale of the apartment or other areas to be paid by the purchaser and must be indicated in the house purchase and sale contract;
– 2% of the value of the house area which the investor does not sell (excluding the area for common use), which shall be calculated based on the highest sale price of the apartment of such condominium.
b/ The amounts specified at Point a of this Clause shall be deducted before tax (the State does not collect tax on these amounts) and deposited at commercial banks and managed by condominium management boards and used for the maintenance of parts under common ownership under regulations on use management of condominiums;
c/ In case the investor signed an apartment sale contract before the effective date of the Housing Law but did not yet collect 2% of the sales, the condominium owners shall contribute funds for maintaining parts under common ownership. These funds may be collected only when maintenance requirements arise and shall be determined for each specific maintenance job.
2. If the maintenance funds specified at Points a and b. Clause 1 of this Article are insufficient for the maintenance of parts under common ownership, condominium owners shall additionally contribute funds in proportion to the area under private ownership of each of them. When a condominium is to be dismantled while the maintenance funds specified in Clause 1 of this Article have not been used up, the unused funds may be used to support resettlement for rebuilding the condominium or put into the condominium maintenance fund after the condominium is rebuilt.
Article 52. Renovation and dismantlement of condominiums
1. When an old condominium is seriously damaged or degraded and in danger of collapse as concluded by a competent agency in charge of quality inspection of construction works, the provincial-level People’s Committee shall relocate households currently living in such condominium to another place in order to dismantle this condominium.
Households shall move out of the condomi­nium under a decision of the provincial-level People’s Committee and are entitled to the rights and benefits like in case of ground clearance.
2. For a condominium with many owners which is to be dismantled for rebuilding at the request of these owners, such dismantlement must be approved by two-thirds of total owners of the condominium. The disapproving owners will be coerced by the provincial-level People’s Committee to move and shall pay coercion expenses.
The State shall grant incentives for owners that voluntarily move to other places of residence (do not resettle in rebuilt condominiums) after condominiums are rebuilt.
3. For an old condominium which is not yet subject to dismantlement under Clause I of this Article but whose owners wish to upgrade or expand it, such upgrading or expansion must be approved by two-thirds of total owners of the condominium and comply with the construction law and construction planning.
Condominium renovation must adhere to the principles of socialization, ensuring that new condominiums are better than the old ones in housing quality and living environment. The State encourages renovation of degraded old condominiums in line with the general infrastructure project of the whole area.
4. Pursuant to the Housing Law and this Decree, the Ministry of Construction shall submit to the Government for promulgation specific policies on renovation and reconstruction of old condominiums.
Section 3. USE MANAGEMENT OF URBAN VILLUS
Article 53. Principles of use management of villas
1. The use management of villas must comply with approved plans, this Decree and relevant laws.
2. The maintenance, renovation and reconstruction of villas must comply with approved plans, regulations on maintenance of construction works, this Decree and the law on management of cultural heritages.
3. State-owned villas shall be managed under regulations on management of state owned properly. Villas which are used as public-duty houses must comply with regulations on management and use of public-duty houses under the Housing Law and this Decree.
4. The Ministry of Construction shall promulgate regulations on use management of villas for uniform application nationwide.
Article 54. Classification of villas
Villas shall be classified into the following three groups:
1. Group-1 villas include villas ranked as historical cultural relics under the law on cultural heritages, and villas of typical value in architecture and til11- IC1 ll houses which are jointly determined and listed by competent provincial-level agencies in charge of construction, architecture and culture and submitted to provincial-level People’s Committees for approval. Group-1 villas must have their external architecture, internal structure, construction density, number of stories and height preserved;
2. Group-2 villas include villas other than those defined in group 1 which have architectural value as jointly determined and listed by competent provincial-level agencies in charge of construction and architecture and submitted to provincial-level People’s Committees for approval. Group-2 villas must have their external architecture preserved;
3. Group-3 villas include villas other than those defined in Clauses 1 and 2 of this Article.
Article 55, .Maintenance of villas
1. The maintenance of villas that are historical-cultural relics must comply with regulations on repair, embellishment, preserva­tion and restoration of historical-cultural relics.
2. The maintenance of group-1 villas involving changes in color or construction materials must be approved by provincial-level People’s Committees of localities where exist such villas before maintenance.
Article 56. Renovation and reconstruction of villas
1. The renovation or reconstruction of villas for which construction licenses are required may be conducted only after this license is obtained.
2. The renovation and reconstruction of group-1 and group-2 villas must also comply with the following regulations:
a/ For group-1 villas:
– Their original state must not be changed;
– Old villas may not be dismantled. Those which are seriously damaged or in danger of collapse as concluded by functional units in charge of quality inspection of construction works must be dismantled and rebuilt according to their original architecture with proper materials and planning (regarding construction density, number of stories and height!;
– For villas that are historical-cultural relics, their renovation and reconstruction must comply with regulations on preservation, embellishment and restoration of historical-cultural relics;
– Structural addition with other materials for the purpose of expanding the area or outside space of villas is disallowed.
b/ For group 2 villas:
Their external architecture must be preserved;
– Those which are seriously damaged or in danger of collapse as concluded by functional units in charge of quality inspection of construction works must be dismantled and rebuilt according to their original external architecture and planning (regarding construction density, number of stories and height).
Chapter IV

HOUSE-RELATED TRANSACTIONS

Article 57. Purchase and sale of houses under common ownership in the absence of co-owner(s)
1. The purchase and sale of houses under common ownership must comply with Article 96 of the Housing Law.
2. In case of purchase and sale of a house under common ownership in the absence of a co-owner while his/her place of residence is unidentifiable, the remaining co-owners shall, before selling such house, request in writing the court to declare the absent co-owner missing under law.
Based on the house sale price indicated in the house purchase and sale contract, the remaining co-owners shall deposit a house sale amount in proportion to the value of house ownership of the co-owner declared missing into a commercial bank in the locality where exists the house. When the co-owner declared missing returns and requests, this bank shall return both principal and interest to him/her at an interest rate on time deposits at the time of money receipt.
3. In case the co-owner declared missing is dead or is declared by the court as dead, the deposited amount mentioned in Clause 2 of this Article shall be divided to his/her lawful heirs under the civil law.
Article 58. Lease-purchase of social houses
1. The lease-purchase of a social house must be effected under a contract signed between the investor and lease -purchaser.
2. After advancing 20% of” the value of the house on lease-purchase, the lease-purchaser may pay the remainder of the rent within a period of time agreed by the investor and lease-purchaser. which must be at least 10 years after a house lease-purchase contract is signed.
3. Upon the expiration of the lease purchase duration and if the lease-purchaser has fully paid the remainder of the rent under Clause 2 of this Article, the investor shall carry out procedures for a competent state agency to grant a land use right certificate or house and land-attached asset ownership certificate to the lease-purchaser.
4. The investor may unilaterally suspend the performance of a house lease-purchase contract and recover the house currently on lease purchase in any of the following cases:
a/The lease purchaser fails to pay rents for 3 consecutive months without a plausible reason;
b/ The lease-purchaser repairs or demolishes at his/her/its own will the structure of. or renovates or expands, the house;
c/ The lease-purchaser sells the house in contravention of Article 40 of this Decree or transfers the lease-purchase right to another person without obtaining approval of the lessor.
In the cases specified at Points a and b of this Clause, the lease-purchaser may receive back 20% of the paid rent (without interest thereon); in the case specified at Point c of this Clause, the lease-purchaser will not receive back 20% of the paid rent.
5. Disputes over house lease-purchase contracts shall be settled through conciliation. If conciliation fails, the involved parties may request courts to settle disputes under law.
Article 59. Exchange of houses
1. House exchange transactions under (he Housing Law are applicable only in cases the involved parties exchange houses and transfer the ownership of houses between (hem but not applicable in cases of exchanging the right to use houses.
2. House-exchanging parties shall comply with the order and procedures for house exchange and fulfill all financial obligations towards the State under regulations.
Article 60. House related transactions via real estate trading floors
1. In case of dividing no more than 20% of house products not through real estate trading doors under Point d. Clause 3, Article 9 of this Decree, the investor shall notify in writing the quantity, addresses and types of houses to be divided, enclosed with the list of names and addresses of eligible house recipients, to the provincial-level Construction Department of the locality where (he house project is implemented for certification in replacement of a written certification of the sale of products through real estate trading floors.
The provincial-level Construction Department shall, pursuant to Article 9 of this Decree and based on the quantity of houses according to designs and plans of approved projects, certify only once the list of eligible house recipients, types, addresses and areas of houses within 20 days after receiving the investor’s notice, and keep a copy of this list for monitoring and examination. The investor of the house development project shall divide houses in the allowed quantity to proper addresses and recipients according to types and areas of houses as certified by the provincial-level Construction Department. House recipients may not transfer the right to own divided houses to other organizations or individuals.
The investor may sell or lease the remaining quantity of houses under each project through real estate trading floors according to the order and procedures specified in the law on real estate business and this Decree.
2. After completely building the foundation of a house under Point e. Clause 3. Article 9 of this Decree, the investor may sign house purchase and sale contracts with house product recipients defined in Clause 1 of this Article in replacement of previously signed contracts and documents. House purchase and sale contracts in this case and the provincial-level Construction Department’s written certification specified in Clause 1 of this Article serve as legal grounds for a competent state agency to grant a land use right certificate or house and laud-attached asset ownership certificate to the house purchaser.
Investors may sign contracts to sell or lease houses subject to sale or lease through real estate trading floors only when they fully satisfy the conditions specified at Points e and f. Clause 3. Article 9 of this Decree.
3. Organizations or individuals with houses divided or purchased through real estate trading floors under Clauses 1 and 2 of this Article, when reselling these houses to others, shall comply with the following regulations:
a/ They may sell these houses to entities eligible to own houses in Vietnam under the Housing Law only after signing house purchase and sale contracts with the investor;
b/ Enterprises with the real estate trading function shall sell these houses through real estate trading floors under the law on real estate business;
c/ Households, individuals or other organizations are not required to sell these houses through real estate trading floors but shall sell them under the Housing Law and this Decree. Those that have not yet been handed the houses and granted ownership certificates for such houses shall sell the houses under the Construction Ministry’s guidance.
4. Real estate trading floors may not invest in, purchase and sell or lease houses, but may only act as intermediaries to sell or lease houses as authorized by investors and enjoy through-floor trading charges under the law on real estate business. If committing violations, they will have the real estate trading function withdrawn by the State and shall be handled under the law on sanctioning of administrative violations in real estate business.
5. Contracts on purchase and sale or lease of houses in contravention of this Article will be legally invalid and purchasers may not be granted land use right certificates or house and land attached asset ownership certificates for the purchased houses. House sellers and lessees shall pay compensation to house purchasers and lessees.
Article 61. Mortgage of houses
1. House mortgage must be conducted via contracts and comply with (he Housing Law and relevant laws.
2. Organizations and individuals that purchase houses to be formed in the future from real estate trading enterprises may mortgage such houses at credit institutions for taking out loans. Procedures for mortgage of houses to be built in the future comply with the State Bank’s guidance.
Article 62. House-related transactions involving overseas Vietnamese and foreign organizations and individuals
1. Overseas Vietnamese participating in transactions related to purchase and sale, donation or inheritance of houses in Vietnam must satisfy the following requirements:
a/ Being eligible to own houses and fully satisfying the conditions for owning houses in Vietnam under the Housing Law;
b/ Purchasing and selling, donating or inheriting houses under the Housing Law and this Decree;
c/ Persons other than those defined in Article 1 of Law No. 34/2009/QH12 Amending and Supplementing Article 126 of the Housing Law and Article 121 of the Land Law or persons eligible to own a house in Vietnam under the Housing Law but currently owning a house in Vietnam who are donated or inherit another house may enjoy only the value of this house under Article 72 of this Decree.
2. Overseas Vietnamese and foreign organizations and individuals that lease houses in Vietnam shall comply with the following regulations:
a/ They fully satisfy the conditions for leasing houses in Vietnam under Article 131 of the Housing Law;
b/ House lease contracts must be made in writing under Article 93 of the Housing Law and this Decree;
c/ They shall fully exercise their rights and perform their obligations under the Housing Law, the Civil Code and this Decree.
3. House owners who are overseas Vietnamese may sign contracts to lease or authorize others to manage their houses during the time they do not use them.
These owners shall produce documents on their dispatch or rotation to work in other localities or outside the Vietnamese territory, issued by agencies or organizations where they are working. If not falling in these cases, they shall make written commitments not to use on a temporary basis such houses when having contracts to lease or authorize others to manage their houses notarized or certified.
Article 63. Types of house contract
1. The purchase and sale, lease, lease-purchase, donation, exchange, mortgage. lending, letting free of charge, or authorized management of houses must be expressed in writing (referred to as house contracts). House contracts must comply with Clause 2, Article 93 of the Housing Law. the Civil Code and this Decree. For house-donating organizations, donation documents are required.
2. For contracts on purchase and sale of newly built houses (including available houses and houses to be built in the future), in addition to the requirements specified in Clause 1 of this Article, a house purchase and sale contract must clearly indicate the duration and responsibility for warranty of the house under the Housing Law and this Decree; land use right value in the house sale price and the seller’s responsibility to pay land use levy to the State. For a condominium apartment, such a contract must also indicate the area under common ownership and area under private ownership of the condominium owner; the fund amount to be contributed for maintenance equal to 2% of the house sales; and the method of calculating the area of the apartment concerned. House purchase and sale contracts signed with sellers being real estate trading enterprises need not to be notarized or certified.
In case of purchase and sale of a house through auction, a house purchase and sale contract must, in addition to the requirements specified in the Housing Law and this Decree. also comply with the law on property auction.
3. Contracts on lease or lease-purchase of social houses must specify the rights and obligations of the involved parties and need not to be notarized or certified.
A contract on lease of a social house must have a definite term of up to 5 years. Upon the expiration of the term, the lessee may have the contract extended by a competent agency if he/ she/it fully observes regulations on house lease during the lease and is still eligible for renting a social house. A contract on lease-purchase of a social house shall be signed as agreed between the investor and lease-purchaser pursuant to this Decree.
4. A contract on lease of a public-duty house must specify the rights and obligations of the involved parties and need not to be notarized or certified. .Such a contract must have a definite term corresponding to the period the lessee holds the position under a decision on his/her dispatch or rotation, which, however, must not exceed 5 years. Upon the expiration of the term, if the current lessee is still eligible for leasing a public-duty house under the Housing Law and this Decree and has fully paid the rent, the public-duty house-managing unit shall sign another contract with a term complying with this Clause.
5. A contract on lease of a commercial house must specify the rights and obligations of the involved parties under the Housing Law and Civil Code. In case an individual lessor a house for less than 6 months or the lesser is a real estate trading enterprise, a house lease contract needs not to be notarized or certified.
6. A contract on authorized management, care, use, sale or lease of a house must be notarized or certified. The involved parties may sign this contract and a competent notarization or certification agency may notarize or certify it as specified in this Clause only after such house is completely built (for available houses).
7. Contracts on exchange, donation, mortgage, lending or letting free of charge of houses shall be made under the Housing Law and the Civil Code.
Competence to notarize or certify house contracts specified in this Article complies with current law,
9. The Ministry of Construction shall stipulate and issue forms of contracts on purchase and sale of houses. lease of houses (including commercial houses, public-duty houses and social houses) lease-purchase, donation or exchange of houses specified in this Article.
Article 64. Time of house ownership transfer for transactions related to purchase and sale, donation, exchange, lease-purchase or inheritance of houses
1. The time of house ownership transfer in case of house purchase and sale is the date a house purchase and sale contract is notarized or certified. In case of house purchase and sale in which the seller is a real estate trading enterprise. the time of house ownership transfer is the time the seller hands over the house to the purchaser as agreed in the contract,
2. The time of house ownership transfer in case of house donation is the date a house donation contract is notarized or certified. In case of house donation by an entity, the time of transfer of ownership of the house to the donee is the date the donor signs the donation document.
3. The time of house ownership transfer in case of house exchange is the date a house exchange contract is notarized or certified. In case the house-exchanging parties are real estate trading enterprises, the time of transfer of the. ownership of the exchanged house is the time of house handover as agreed in the house exchange contract.
4. The time of house ownership transfer in case of house lease-purchase is the time the lease-purchaser is granted a certificate of ownership of the lease-purchased house under Clause 3. Article 58 of this Decree.
5. The time of house ownership transfer in case of house inheritance is the time of opening inheritance. Heirs to the houses shall be identified under the civil law.
6. The time of house ownership transfer in case of purchase of houses on deferred or installment payment is the date the purchaser makes full payment to the seller, unless otherwise agreed by the parties.
Chapter V

RIGHTS OF OVERSEAS VIETNAMESE AND FOREIGN ORGANIZATIONS AND INDIVIDUALS TO OWN HOUSES IN VIETNAM

Article 65. Rights of overseas Vietnamese and foreign organizations and individuals to own houses in Vietnam
1. Overseas Vietnamese may own houses in Vietnam if they fall into the categories and fully meet the conditions specified in Article 1 of Law No. 34/2009/QH12 Amending and Supplemen­ting Article 126 of the Housing Law and Article 121 of the Land Law. Overseas Vietnamese may own houses stably and permanently.
2. Foreign organizations and individuals that invest in building houses in Vietnam under the investment law may own houses under the Housing Law. Those buying houses in Vietnam may own houses under the National Assembly’s Resolution No. 19/2008/QH12 of June 3, 2008. allowing foreign organizations and individuals to buy and own houses in Vietnam on a trial basis, and guiding documents.
Article 66. Papers evidencing overseas Vietnamese’s eligibility to own houses in Vietnam
1. Overseas Vietnamese eligible to own houses in Vietnam under Article 1 of Law No. 34/2009/QH12 Amending and Supplementing Article 126 of the Housing Law and Article 121 of the Land Law must possess the following papers to evidence their eligibility:
a/ Those bearing Vietnamese nationality must possess a valid Vietnamese passport. Those holding a foreign passport must produce one of the papers evidencing their Vietnamese nationality under the nationality law;
b/ Those of Vietnamese origin must possess a foreign passport together with a written certification of their Vietnamese origin issued by a competent Vietnamese authority.
2. Overseas Vietnamese below may own (an unlimited number of) houses in Vietnam through purchase, donation or inheritance, or exchange of houses or transfer of residential land use rights under housing development projects of real estate trading enterprises (for projects in areas where transfer of land use rights through sale of groundwork is permitted under the land law) to build houses for themselves and their family members in Vietnam:
a/ Those specified at Point a. Clause 1 of this Article;
b/Those specified at Point b. Clause 1 of this Article who must:
– Make direct investment in Vietnam under the investment law and possess an investment or business registration certificate issued by a competent Vietnamese authority:
– Make contributions to the country, including those entitled to incentives under the Ordinance on Preferential Treatment of People Who Rendered Meritorious Services to the Revolution and producing papers evidencing their entitlement to preferential treatment issued by a competent Vietnamese authority; those with records and achievements in the cause of national liberation or construction and awarded an order or a medal by the President or a certificate of merit by the Prime Minister; members of executive committees of Vietnamese socio-political organizations and the Vietnam Fatherland Front Committees at the provincial or higher level and being certified by those organizations; members of central executive committees of associations, key figures of movements and organizations of overseas Vietnamese having relations with the homeland and those making active contributions or assistance to Vietnam’s overseas representative agencies or external activities overseas and being certified by the State Committee for Overseas Vietnamese or Vietnamese overseas diplomatic missions;
– Be culturists and scientists, including holders of Vietnamese or foreign academic titles or degrees in science, education, culture and arts, physical training and sports, and economic and social experts working in Vietnam. They must be invited by leaders of the Party or the State, ministers, heads of ministerial-level agencies or government-attached agencies, chairpersons of provincial-level People’s Committees, heads of universities, colleges, academies or research institutes of Vietnam to work as experts, collaborators or lecturers for these agencies or organizations and such invitation is certified by the agencies or organizations concerned;
– Possess special expertise or skills with certificates of their expertise or skills issued by Vietnamese professional associations or ministerial-level agencies in charge of such expertise or skills together with permits for professional practice in Vietnam issued by a competent Vietnamese authority (for cases in which such permits are required by law) or work permits issued by a competent Vietnamese authority (for cases in which professional practice permits are not required); or.
– Have a Vietnamese spouse living at home and possess a marriage certificate issued by a competent Vietnamese or foreign authority enclosed with the permanent residence book and people identity card of the Vietnamese spouse.
Those possessing papers issued by foreign authorities must have them translated into Vietnamese arid certified by Vietnamese notary offices.
3. Overseas Vietnamese of Vietnamese origin other than those specified at Point b. Clause 2 of this Article who possess the papers specified at Point b, Clause 1 of this Article and a visa exemption certificate issued by a competent Vietnamese authority may own a detached house or an apartment in Vietnam.
If they receive another house as inheritance or donation while having already owned a house in Vietnam, they may choose to own only one house. They may donate or sell the other house to those eligible to own houses in Vietnam to enjoy the house’s value under Article 72 of this Decree .
Article 67. Papers evidencing overseas Vietnamese’s residence in Vietnam
1. Overseas Vietnamese holding a Vietnamese passport must possess either of the following papers issued by the police of the ward, commune or township (below referred to as ward-level police) in which they reside:
a/ Temporary residence book;
b/ Written certification of temporary residence registration in the locality.
Overseas Vietnamese holding a Vietnamese passport must make an application and produce their passports lo the ward-level police when requesting issuance of the papers specified in this Clause. Within 3 days after receiving an application, the ward-level police shall grant either of the papers specified in this Clause to overseas Vietnamese.
2. Overseas Vietnamese holding a foreign passport must possess either of the following papers issued by the Vietnamese immigration management agency:
a/ Temporary residence card:
b/ Passport stamped with a mark on temporary residence in Vietnam for 3 months or more.
Article 68. Procedures for control of overseas Vietnamese’s ownership of one house in Vietnam
For overseas Vietnamese eligible to own one house under the Housing Law, the agency competent to grant certificates of land use rights and house and land-attached asset ownership shall comply with the following provisions:
1. Before granting a certificate of land use rights and house and land-attached asset ownership rights, a district-level People’s Committee shall check information on overseas Vietnamese’s house ownership posted on the website of the Ministry of Construction.
When an applicant for a certificate of land use rights and house and land-attached asset ownership rights is not listed on the website of the Ministry of Construction, the district-level People’s Committee shall sign such certificate and carry out procedures to hand over the certificate lo the owner. When an applicant is listed on the website of the Ministry of Construction, the district-level People’s Committee shall return the application dossier to the applicant and issue a written reply clearly stating the reason;
2. Within 2 working days after signing a certificate of land use rights and house and land-attached asset ownership, the district-level People’s Committee shall send the Ministry of Construction a notice of the full name, passport number and date and place of issue of the buyer. donee or heir of a house, the address of the house granted with the certificate, the number and date of issue of the certificate for the Ministry of Construction to publish such information on its website;
3. When a house owner under this Article has sold or given as donation or inheritance the house to another person, the district-level People’s Committee shall send a notice to the Ministry of Construction for the latter to remove the name of such house owner from the list on its website;
4. Chairpersons of district-level People’s Committees shall take responsibility for their delayed notification or failure to notify the Ministry of Construction of house ownership or transfer of house ownership by house owners specified in this Article.
The Ministry of Construction shall issue the form of report of district level People’s Committees to the Ministry of Construction under this Article.
Article 69. Handling of overseas Vietnamese’s violations of regulations on ownership of one house in Vietnam
1. Overseas Vietnamese eligible to own one house in Vietnam under the Housing Law who falsify papers or commit other violations to own more than one house in Vietnam may not obtain a certificate of ownership for such house. If having obtained a certificate, they shall sell the house within 120 days after their violations are detected and be sanctioned under the law on administrative sanctioning in housing management and development.
2. Past the time limit set in Clause 1 of this Article, a violator who fails to sell the house is subject to revocation of the granted certificate of house ownership and the unsold house will come under the ownership of the Vietnamese State.
3. Cadres, civil servants and involved persons who violate the Housing Law and this Decree shall be handled under the law on cadres and civil servants and relevant laws.
Article 70. House ownership by foreign organizations and individuals in Vietnam
1. Foreign organizations and individuals may own houses in Vietnam through investment in building houses for lease or may buy apartments under projects on commercial housing development.
2. Foreign organizations and individuals that invest in building houses for lease may be granted by competent state agencies certificates of land use rights and house and land-attached asset ownership for those houses. The house ownership duration is the period stated in their investment certificates, which shall be clearly written in the certificates of land use rights and house and land-attached asset ownership.
3. Investors of projects to build houses for sale may not be granted certificates of land use rights and house and land-attached asset ownership by the State. After construction is completed, investors may sell these houses to organizations and individuals eligible to own houses in Vietnam under the Housing Law, the law on real estate business and this Decree.
Investors shall carry out procedures to request competent state agencies to grant certificates of laud use rights and house and land-attached asset ownership to house buyers within 50 days after handing over houses to buyers, unless house buyers voluntarily carry out such procedures.
4. The order and procedures for granting certificates of land use rights and house and land-attached asset ownership to foreign organizations and individuals comply with the law on grant of certificates of land use rights and house and land-attached asset ownership.
Article 71. Overseas Vietnamese and foreign organizations and individuals renting houses in Vietnam
1. Eligible lessees and conditions for renting houses in Vietnam:
a/ Foreign organizations licensed to operate in Vietnam;
b/ Foreigners permitted to enter Vietnam for 3 consecutive months or more;
c/Overseas Vietnamese currently in Vietnam wishing to rent houses.
2. The house rent order and procedures, rights and obligations of house lessees comply with Clause 2, Article 62 of (his Decree.
Article 72. Cases of enjoyment of house value
1. When receiving a house as donation or inheritance, the following foreign organizations and individuals and overseas Vietnamese may not obtain a certificate of house ownership but may only enjoy the value of that house:
a/ Foreign organizations and individuals ineligible to own houses in Vietnam;
b/ Foreigners eligible to own only an apartment under projects on commercial housing development that are owning an apartment in Vietnam at the time of receiving a house as donation or inheritance;
c/ Foreign organizations and individuals eligible to own apartments under projects on commercial housing development that receive as donation or inheritance houses other than apartments under projects on commercial housing development;
d/ Overseas Vietnamese permitted to reside in Vietnam for less than 3 months;
e/ Overseas Vietnamese eligible to own only one house in Vietnam who are owning a house in Vietnam at the time of receiving a house as donation or inheritance.
2. Organizations and individuals receiving houses as donation or inheritance under Clause 1 of this Article may sell or authorize others to sell those houses when possessing the following papers:
a/ House donation contracts or inheritance papers made under Article 93 of the Housing Law, this Decree and the civil law of Vietnam;
b/ Any of the papers evidencing the house ownership of the party giving the house as donation or inheritance as follows:
– House ownership certificate granted under the Housing Law;
– Certificate of house ownership and residential land use rights granted under the Government’s Decree No. 60/CPof July 5,1994, on rights to own houses and use residential land in urban areas;
– House ownership certificate granted under the Government’s Decree No. 95/2005/ND-CP of July 15, 2005, on grant of certificates of rights to own houses and construction works;
– Land use right certificate granted under the land law, which mentions the house of the party giving it as donation or inheritance;
– Certificate of use land rights and house and land-attached ownership granted under the land law.
c/ Written authorization of house sale made under Vietnam’s civil law (when authorizing another person to sell houses).
Chapter VI

STATE MANAGEMENT OF HOUSING

Article 73. Formulation of national housing development orientations
1. Based on the national socio-economic development strategy for each period, the Ministry of Construction shall formulate and submit to the Prime Minister for promulgation national housing development orientations and strategies for every ten-year period as a basis for housing research and policy making and for localities to formulate their housing development programs.
2. National housing development orientations and strategies cover:
a/ Overview of the housing status nationwide;
b/ Analysis and assessment of results, problems and causes of housing development and management;
c/ Clear determination of viewpoints, objectives and demands for housing development in the coming period, specifying key programs, viewpoints, objectives, requirements and basic targets for development of commercial, social and official-duty houses and houses for social policy beneficiaries;
d/ Clear determination of solutions to achieving housing development objectives, including mechanisms and policies on planning, land, technical infrastructure, finance and credit, and implementation measures;
e/ Other relevant matters.
3. Based on the national socio-economic development and housing development strategies, the Ministry of Construction shall study and propose the Prime Minister to adopt key housing development policies to solve housing difficulties for target groups by region and area.
4. Basic housing development targets set in national housing development orientations and strategies must be included in national socio­economic development tasks in each period. During implementation, preliminary assessment and reviews shall be conducted to make prompt amendments, adjustments and supplements to the set orientations arid programs to suit realities. Upon completion, final review and assessment of implementation shall be conducted.
5. Based on socio-economic development of regions and key economic regions, the Ministry of Construction shall propose the Prime Minister to consider and decide on particular mechanisms and select financially viable and experienced investors to formulate large-scale housing development projects or those involving different localities in order to promote regional development and ensure social security. When a provincial-level People’s Committee makes such a proposal, it shall consult the Ministry of Construction before submission to the Prime Minister for consideration and decision.
Article 74. Formulation of local housing development programs and plans
1. Based on national housing development orientations and strategies promulgated by the Prime Minister, current national mechanisms and policies on housing development and management and local socio-economic development tasks, chairpersons of provincial-level People’s Committees shall direct the formulation of housing development programs and plans for every five and ten or more years and submit them to provincial-level People’s Councils for approval before promulgation.
2. A local housing development program or plan has the following major contents:
a/ Overview of the housing status of the locality;
b/ Analysis and assessment of results, problems and causes of housing development and management of the locality;
c/ Program or plan on housing development, specifying each area and each target group in the locality as follows:
– For housing in urban areas: To clearly state the status of different types of houses (dangerous degraded condominiums, makeshift residential buildings, slums, buildings with unqualified technical infrastructure), difficulties and problems in house building and upgrading; and housing needs of each target group and to plan housing development for each year.
The program must propose solutions on land, ground clearance, resettlement, areas planned for housing development projects, funding sources for housing development investment, mechanisms and policies on finance and land for housing development, norms on average house area per capita and plans on provision of accommodation for each target group in urban areas;
– For housing in rural areas: To clearly state the housing status in each area, housing of ethnic minority people (if any), house-building customs of inhabitants, average land area for house building, difficulties and problems in housing development, housing needs of inhabitants and housing development plan for each year.
The program must propose land, areas planned for house building, plans to raise funds for house building, forms of support for house building and norms on average house area per capita;
– For housing for industrial park workers (if any): To clearly state the housing status and needs of industrial park workers, to plan and set aside land for house building, to work out plans to raise funds for house building investment and plans on arrangement of housing for workers in each year;
– For housing for other groups of people in the locality, including students, poor people in urban and rural areas, cadres and civil servants, official-duty performers, and people with meritorious services to the revolution: To clearly state the housing status and needs of each group and plans on house building for each group and housing support modes (provision of houses for lease, lease-purchase, support of funds, materials and supplies for house building, allocation of land for house building, preferential credit):
d/ Other relevant matters;
e/ The housing development program must clearly set the implementation schedule and specific tasks and responsibilities of provincial-level departments, divisions, sectors and local administrations at all levels during implementation.
3. Basic norms on housing development in housing development programs and plans shall be included in local socio-economic development tasks in each period. Annually, to conduct reviews and assessments and amend and adjust inappropriate contents. Upon completion of a program or plan, to conduct final review and assessment of its implementation.
4. Provincial-level People’s Committees shall report on their local housing development programs and plans to the Prime Minister and submit them to the Ministry of Construction for monitoring and examination. People’s Committees of centrally run cities shall, after municipal People’s Councils approve local housing development programs and plans, submit them to the Prime Minister for approval prior to implementation.
5. Provincial-level People’s Committees shall allocate local budget funds for surveys, exploration and formulation of their local housing development programs and plans.
Article 75. Formation of housing development funds
1. The housing development fund of a locality is formed from:
a/ Revenues from sale and lease of state-owned houses in the locality:
b/ 10% of land use levies on commercial housing development and new urban center projects in the locality. Specific land use levies are considered and set by provincial-level People’s Councils.
c/ Annual local budget supports decided by provincial-level People’s Councils;
d/ Funds raised from other lawful sources under law;
e/ Voluntary supports and contributions from other domestic and overseas organizations and individuals.
2. Based on local realities, the chairperson of a provincial-level People’s Committee shall consider and decide to form the local housing development fund from the sources specified in Clause 1 of this Article and promulgate a Regulation on management of this fund in adherence to the following principles:
a/ The housing development fund is a state finance institution operating on the principle of capital preservation, self-financing and non­profit:
b/ The housing development fund is managed and operates under its organization and operation charter promulgated by the provincial-level People’s Committee and relevant laws;
c/ The housing development fund is entitled to tax and budget remittance exemption and reduc­tion under the Ministry of Finance’s guidance:
d/ The housing development fund is used lo develop state-owned social houses within the locality.
The Ministry of Finance shall assume the prime responsibility for and coordinate with the Ministry of Construction in, guiding the organization and operation of local housing development funds.
3. Based on the conditions of each locality, provincial-level People’s Committees may entrust local development investment funds to manage the operation of housing development funds under Clause 2 of this Article.
4. In addition to housing development funds stipulated in this Article, the Ministry of Construction shall assume the prime responsibility for, and coordinate with concerned ministries and branches in, studying and proposing the Prime Minister to promulgate a decision on the formation, operation, management mechanism, funding sources, lending mechanism and eligible borrowers of the house saving funds to provide loans for those with housing difficulties to buy houses or support enterprises to take loans to build social houses.
Article 76. Management and provision of housing information
1. Agencies responsible for managing housing dossiers:
a/ Provincial-level Construction Departments shall manage housing dossiers of organizations; overseas Vietnamese implementing investment projects on house construction in Vietnam; and foreigners; and houses under common ownership of organizations and individuals;
b/ District-level housing management divisions shall manage housing dossiers of individuals (including nationals and overseas Vietnamese owning houses attached with residential land use rights,!.
2. A housing dossier has details specified in Clause 3, Article 66 of the Housing Law and other house-related papers.
3. Housing dossier management agencies shall provide information on houses for the agencies specified in Clause 7 of this Article and organizations and individuals with rights and obligations related to those houses at their request.
4. Information on a house means information relating to the current state and legal status of the house and residential land stated in the housing dossier.
5. An organization or individual wishing to receive housing information shall make a written request specifying the full name and address of the requester, information to be provided and purpose of using such information.
6. Information may be provided in writing, online or copies or extracts of dossiers.
7. An organization or individual requesting housing information shall pay an information provision charge to housing dossier management agencies, unless competent state agencies request such information for the state management of housing, or investigation agencies. People’s Procuracies or People’s Courts request such information for investigation and settlement of housing-related disputes, complaints and denunciations and court cases.
The Ministry of Finance shall coordinate with the Ministry of Construction in setting charge rates and the proportion of collected charge amounts to be remitted into the state budget and a regime on use of the information provision charge under (his Article.
Article 77. Surveys, statistics and formation of databases on housing
1. Housing surveys and statistics shall be made every five and ten years according to the following provisions:
a/ Every ten years, the Ministry of Construction shall coordinate with the Ministry of Planning and Investment and provincial-level People’s Committees in surveying and making housing statistics along with the national census on population and housing;
b/ Every live years (in the middle of each national census on population and housing), the Ministry of Construction shall assume the prime responsibility for, and coordinate with the Ministry of Planning and Investment and provincial-level People’s Committees in. conducting pilot and sample surveys on housing in some communes, wards and townships of a number of provinces and cities in different regions and parts of the country to make statistics on housing development for making policies on housing development nationwide.
Before conducting a housing survey under this Point, the Ministry of Construction shall formulate a survey plan, estimate funds and report them to the Prime Minister for consideration and decision.
2. Funds for surveys, statistical work and formation of databases on housing under this Article shall be allocated from the state budget.
Article 78. Training and refresher training in housing development and management and real estate market
1. Cadres and civil servants of levels and branches engaged in housing and real estate market development and management shall attend training or refresher training in housing and real estate market development and management at least once every three years. Agencies and units involved in housing and real estate domains shall send and create conditions for their cadres and civil servants to attend training and refresher teaming under this Article.
Individuals and enterprises engaged in the management and operation of condominiums (including housing works with multiple use purposes) shall attend training and refresher training in knowledge, expertise and skills on condominium management and operation under the Ministry of Construction’s guidance.
2. The Ministry of Construction shall provide training plans, programs and contents and coordinate with concerned agencies and legalities in organizing training and refresher training to improved knowledge on housing and real estate market development and management for cadres and civil servants engaged in housing management and development and individuals and organizations engaged in condominium management and operation under this Article.
3. Agencies and units sending their staff to training courses shall pay training expenses to training institutions.
Article 79. Responsibilities of the Ministry of Construction
1. To assist the Government in performing the unified state management of housing nationwide,
2. To study and propose the Prime Minister to promulgate national housing development orientations and strategies for each period under this Decree.
3. To study and propose the Government or the Prime Minister to amend, supplement or promulgate, or to amend, supplement or promulgate according to its competence, documents on housing management and development under the Housing Law and this Decree.
4. To directly direct the implementation of national strategies, programs and targets on housing approved by the Prime Minister.
5. To examine, inspect and solve according to its competence or propose the Government or the Prime Minister to solve difficulties and problems of ministries, branches, agencies, organizations and individuals in the implementation of the Housing Law and this Decree; to monitor and examine other ministries and branches in implementing housing-related regulations.
6. To perform assigned tasks under this Decree and the Prime Minister’s direction.
7. To annually and irregularly report to the Government or the Prime Minister on the implementation of the Housing Law and this Decree nationwide.
Article 80. Responsibilities of concerned ministries and branches for state management of housing
1. Ministries and ministerial-level agencies shall, within their tasks and powers, coordinate with the Ministry of Construction in performing the state management of housing.
2. To study, amend, supplement and promulgate documents related to housing management and development according to their functions and tasks assigned by the Government or to coordinate with the Ministry of Construction in studying and drafting policies on. directing and guiding the implementation of, and examining and inspecting the observance of law on. housing management and development by concerned branches, levels, agencies, organizations and individuals.
Article 81. Responsibilities of localities for state management of housing
1. Provincial-level People’s Committees shall:
a/ Perform the state management of housing in their localities:
b/ Formulate and implement their local housing development programs and plans. including general housing development programs and plans and local target programs on housing support for social policy beneficiaries with housing difficulties:
c/ Publish on their websites and websites of provincial-level Construction Departments
l:2,000-scale construction master plans and l:500-scale detailed construction plans, housing development projects under construction, cases of project transfer, change of project investors and implementation progress of housing development projects in their localities;
d/ Plan and set aside land areas for the construction of social and official-duty houses under this Decree;
e/ Manage official duty and social houses built with local budget funds:
f/ List villas for management under this Decree and relevant laws;
g/ Direct, guide, organize, examine and inspect housing management and development
in their localities according to their assigned functions and tasks;
h/ Educate and mobilize organizations and individuals to observe the law on housing management and development;
i/ Handle according to their competence or propose competent agencies to handle violations of the housing law;
j/ Assume the prime responsibility for. or coordinate with ministries and branches in, performing (heir assigned tasks under the Housing Law. and this Decree;
k/ Annually or irregularly report to their superiors on the implementation of the Housing Law and this Decree in their localities.
2. Provincial-level Construction Departments shall assist provincial-level People’s Committees in performing the state management of housing and the real estate market in their localities.
3. District-level People’s Committees shall perform the state management of housing and the real estate market in their localities according to their assigned functions and tasks.
4. Chairpersons of provincial- and district level People’s Committees shall take respon­sibility before law for their delay or failure in the implementation of the Housing Law and this Decree.
Article 82. Steering committees for policies on housing and real estate market
1. The Prime Minister shall decide on the establishment of the central steering committee for policies on housing and real estate market which shall assist the Prime Minister in studying, directing and coordinating the settlement of important inter-sectoral issues related to policies to manage and develop housing and the real estate market nationwide.
2. The central steering committee for policies on housing and real estate market has the tasks and powers of directing, urging, guiding and examining ministries, branches and localities in implementing housing development programs and guidelines and policies on housing and real estate market; commenting major and important policies related to housing and real estate market; proposing the Prime Minister and competent agencies to consider, amend, supplement or terminate the implementation of documents related to housing and real estate market promulgated by ministries, branches and provincial-level People’s Committees in contravention of the law on housing and real estate market.
3. Based on the tasks and powers of the central steering committee for policies on housing and real estate market, chairpersons of provincial-level People’s Committees shall decide on the establishment of provincial-level steering committees for policies on housing and real estate market which shall assist chairpersons of provincial level People’s Committees in directing the implementation of policies related to housing and real estate market in their localities.
4. Members of and expert teams assisting steering committees for policies on housing and real estate market shall work on a part-time basis and may enjoy allowances under the Prime Minister’s regulations. Funds for the operation of these committees shall be allocated from the state budget of the same level.
5. The Prime Minister shall define the functions, tasks, powers and operation regulations of the central steering committee and its assisting organizations and chairpersons of provincial level People’s Committees shall provide those of local committees.
Chapter VII

IMPLEMENTATION PROVISIONS

Article 83. Effect
1. This Decree takes effect on August 8, 2010.
2. This Decree replaces the Government’s Decree No. 90/200G/ND-CP of September 6, 2006, detailing and guiding the implementation of the Housing Law.
3. Housing development projects which have been formulated and submitted for approval under the Government’s Decree No. 90/2006/ ND-CP of September 6. 2006. detailing and guiding the implementation of the Housing Law, but have not been approved by provincial- or district-level People’s Committees, or have been approved (including houses to be built in new urban centers) but have proposed project modifications under Clause 4, Article 7 of this Decree, shall be formulated, appraised, approved or approved for investment or supplementation of housing development project contents (housing building development projects or independent housing development projects) under this Decree.
4. To annul provisions on housing development, recognition of house ownership, housing management and use, housing transactions and state management of housing provided in the Government’s decrees and legal documents promulgated by ministries, branches and provincial-level People’s Committees before the effective date of this Decree, which are contrary to this Decree.
Article 84. Implementation provision
Ministers, heads of ministerial-level agencies and government-attached agencies and chairpersons of provincial-level People’s Committees shall implement this Decree.-
 

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