Deputy Prime Minister Tran Hong Ha shares at the meeting. Photo: VGP
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Concluding the meeting, Deputy Prime Minister Tran Hong Ha emphasized that housing policies have comprehensive political, economic, and social implications and are constitutionally enshrined. The Party and State have issued numerous directives, mechanisms, and policies related to this sector.
Over the past years, the ministries and sectors under the Steering Committee have actively participated in various inter-sectoral steering committees and working groups, making significant strides in implementing housing policies. This is particularly evident in the institutionalization of these policies within the Land Law, Housing Law, Real Estate Business Law, and the Law on Credit Institutions, among others.
Deputy Prime Minister Ha requested that the Ministry of Construction coordinate with the Ministry of Home Affairs to research, propose, and gather feedback from ministries, sectors, and localities on the plan to reorganize and streamline the Central Steering Committee for Housing Policies and the Real Estate Market, including its sub-committees and inter-sectoral working groups.
In the immediate future, the Ministry of Construction should collaborate with the Ministry of Labor, Invalids, and Social Affairs, the Ministry of Planning and Investment, and the Ministry of Finance to finalize the program for repairing and building new houses for people with meritorious services, with allocated budgets for implementation in 2025. “Those with meritorious services must be given priority and attention when allocating resources for housing support programs”, emphasized the Deputy Prime Minister.
The Ministry of Construction has also been tasked with proposing the establishment of inter-sectoral inspection teams by the Steering Committee. These teams will be responsible for inspecting the implementation of laws related to housing policies, the real estate market, social housing, and targeted housing support programs in key localities such as Hanoi, Ho Chi Minh City, and Bac Ninh, among others.
“It is essential to assess the actual situation of the real estate market in these localities, identifying where there is a shortage of supply or an excess that remains unsold. Additionally, the role and responsibility of ministries, sectors, and localities in forecasting supply and demand and regulating the structure of real estate products should be evaluated”, the Deputy Prime Minister stated.
Furthermore, the Ministry of Construction is expected to review the administrative procedures and paperwork required for social housing projects. They should also collaborate with relevant ministries, sectors, and localities to guide enterprises in completing all necessary procedures within a single set of documents, reducing both time and costs.
According to the Deputy Prime Minister, one of the factors affecting the real estate market’s supply and demand is the obstacles posed by projects and land issues arising from inspection conclusions and court rulings. Therefore, localities must urgently review, classify, and propose solutions for issues within their jurisdiction and authority.
The Deputy Prime Minister instructed the Ministry of Construction to coordinate with the State Bank of Vietnam to compile and report on credit conditions in the real estate sector, assessing its impact on the economy. Based on this assessment, decisive and impactful strategies and measures should be proposed to reinvigorate the real estate market.
For the year 2025, the Deputy Prime Minister directed the Ministry of Construction to organize the promulgation of directives among localities regarding the implementation of the State’s policies and laws on housing and the real estate market. This should be done in a unified and consistent manner, following the principle of “strong decentralization to localities, but with clear and detailed regulations, procedures, and processes”.
Liberating the real estate market can boost 60 related sectors
At the meeting, Deputy Minister of Planning and Investment Nguyen Duc Tam shared that liberating the real estate market could potentially boost the growth of approximately 60 related sectors. He highlighted two key areas that localities need to focus on: approving land use plans and housing development programs to facilitate the implementation of housing projects, and preparing to implement the National Assembly’s resolution on piloting mechanisms and policies to resolve difficulties and problems related to projects and land issues arising from inspection conclusions and court rulings.
“To cool down the real estate market, a comprehensive approach is necessary to increase both supply and demand. This includes improving administrative procedures in the construction sector, providing preferential credit, and addressing the issue of high raw material prices, rather than solely focusing on land price policies”, said Deputy Minister of Natural Resources and Environment Le Minh Ngan. She also proposed several solutions to tackle the issue of “artificial price inflation”, bidding up land prices, and profiteering.
Meanwhile, Permanent Deputy Governor of the State Bank of Vietnam Dao Minh Tu emphasized the need for banks and real estate businesses to find a harmonious balance between “shared interests and risks” to unblock the real estate market.
“Innovating Social Housing: Exploring Solutions for Individually-Built Rental Homes”
In the National Assembly session on October 28, alongside the proposal to reduce real estate prices through bonds, members of the National Assembly suggested that increasing the supply of social housing through encouraging individuals and households to build their own homes is a viable solution that warrants further research and consideration.
“Addressing the Soaring Property Prices: A Proposal to Tax Vacant Properties”
The Parliamentary Supervision Delegation recommends expediting the completion of research and proposing amendments and supplements to the tax laws. This includes the enactment of new legislation that introduces higher tax rates for individuals who occupy large land areas and own multiple residences, as well as for those who fail to utilize their land promptly or leave it abandoned.
“Social Housing Projects: 800 Developments Transforming Communities”
On the morning of October 28, the National Assembly’s Supervisory Delegation continued the program of the 8th session of the 15th National Assembly, reporting on the implementation of policies and laws on real estate market management and social housing development from 2015 to the end of 2023.
“A Focused Approach: Targeting the Affordable Housing Market of $2.5 Billion and Below”
In the National Assembly session on October 28, a representative suggested that the government should focus on the affordable housing segment, specifically properties valued at 2.5 billion VND and below. This targeted approach would prevent the government from spreading its resources too thin. However, it is crucial to streamline the processes and avoid a bureaucratic maze when implementing social housing support policies.
“The Great Land Rush: Will Ho Chi Minh City’s New Pricing Regulations Spur a 50% Surge in Land Values?”
According to experts, the newly released land price table by the Ho Chi Minh City People’s Committee will impact every corner of the real estate market, with land prices expected to surge first.
