“Real Estate Businesses: Don’t Exploit Supply Scarcity to Manipulate Prices”

Dr. Nguyen Van Khoi, Chairman of the Vietnam Real Estate Association, has recently signed a document on June 2nd, requesting that leaders of its subordinate units, members, and all members of the Vietnam Real Estate Association direct and organize the implementation of the Prime Minister’s instructions on controlling prices and stabilizing the real estate market situation.

Mr. Khoi stated that the Government and the Prime Minister have consecutively issued numerous resolute, synchronous, and timely directives to remove obstacles for the real estate market, curb speculation and price manipulation, while also promoting supply and improving people’s access to housing. However, the imbalance between supply and demand, especially the lack of affordable housing supply, continues to put pressure on the market.

According to statistics from the Vietnam Real Estate Research Institute, the average income of households in large cities like Hanoi and Ho Chi Minh City currently only meets about 30-40% of the value of a typical commercial apartment. Without strong and timely solutions, the rapid rise in real estate prices will erode people’s purchasing power, affecting social welfare and sustainable economic development.

Given this situation, on January 15, 2025, Prime Minister Pham Minh Chinh signed Dispatch No. 03, requesting ministries, sectors, and localities to focus on rectifying and handling price manipulation and real estate speculation, as well as inspecting and examining real estate construction investment projects.

At a working session of the Government’s Standing Committee with ministries, sectors, associations, banks, and enterprises on the real estate market situation on May 24, 2025, the Prime Minister continued to direct agencies to resolutely handle acts of creating virtual prices, speculation, manipulation, and profiteering in the real estate market; remove obstacles to reduce costs and real estate prices…, so that everyone has a place to live.

Based on the reality and in implementation of the Government’s directives, Mr. Khoi requested the units directly under the Vietnam Real Estate Association to continue to organize and implement thoroughly and seriously the directions of the Government, the Prime Minister, and related ministries and sectors in steering documents (resolutions, directives, dispatches, decisions…) on the orientation of developing a safe, transparent, and effective real estate market.

Enhance the supervision, scrutiny, and refutation of distorted, fabricated, and unofficial information disseminated on social media platforms, forums, and uncontrolled exchanges; Proactively create a transparent information landscape to protect consumers’ rights and maintain trust in the market.

Vietnam Real Estate Association member companies are also required to demonstrate their role as the market’s main force, not only in project development but also in business ethics, protecting the legitimate interests of the people, and taking responsibility for society in controlling prices and stabilizing the real estate market.

Accordingly, enterprises must comply with legal regulations and the Government’s and Prime Minister’s directives on real estate business activities, especially regulations related to determining selling prices, capital mobilization conditions, information disclosure, brokerage, and market transparency…

Any acts of unreasonably increasing prices, far beyond the actual value of real estate, will be condemned and strictly handled in accordance with the law.