Accordingly, from July 1, 2015, two long-awaited pieces of legislation, the New Housing Law , and the Real Estate Business Law, have come into effect.
Under the provisions of the Housing Law, the requirements for foreigners to buy and own homes in Vietnam are loosened.
Specifically, foreign organizations and individuals investing in Vietnam, branches and representative offices of foreign companies and investment funds and foreign banks operating in Vietnam have the right to buy condominiums or own and inherit as gifts at most 30 percent of the apartments in a condo building.
Regarding individual houses including villas and semi-detached houses in an area with the number of people equivalent to that in a ward-level administrative unit, foreigners are allowed to buy or own a maximum of 250 houses with the time span of 50 years.
They are also entitled to buy or own a house or condo much longer than the 50-year limit if married to a native Vietnamese person.
After the 50-year period of house ownership, under the New Housing Law, foreign individuals can carry out procedures to extend ownership once, but not for more than 50 years.
The old laws permitted them to own only one piece of property for a maximum time frame of 50 years.
This will be important not only to the real estate business but also to other sectors, as the government has also agreed to ease restrictions on foreign stakeholders.
The effects of the new laws will mark an important step toward opening up the Vietnamese real estate market to overseas investment, but they are not expecting to see an immediate increase in housing demand from foreign investors, said Duong Thuy Dung, director of the research and consulting department of CBRE firm.
Foreign buyers will continue to follow the market carefully, she said .
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