Anticipating Opportunities
Ms. Ngoc Lien, a communications specialist in Hai Ba Trung, Hanoi, shared that at the beginning of 2025, when preparing the necessary documents, she did not qualify to purchase social housing. Ms. Lien’s monthly income is approximately 14 million VND. However, with an additional year-end bonus of around 30 million VND, her average monthly income exceeds 15 million VND.
 Social housing project in Hai Phong. Photo: Nhu Y
|
“With this income, I can only afford to cover my rent, living expenses, and save a small portion. When applying, I didn’t qualify to buy social housing, while commercial property prices were too high for my income. High property prices lead to higher rents, eating into the living expenses of middle-income earners like me,” Ms. Lien said.
Mr. Le Dong, a resident of Tu Liem, Hanoi, shared that his household income, including his wife’s, is approximately 34 million VND per month. With a young child, their expenses cover rent and child-rearing but do not qualify them to apply for social housing.
“We find ourselves in a bind as we don’t qualify for social housing, while commercial properties cost 80-90 million VND per square meter, which is beyond our reach. When we heard about the proposed increase in the income threshold for social housing eligibility, my wife and I were thrilled as we finally saw a chance to buy a home and settle down,” shared Mr. Dong.
In an interview with the press, Mr. Le Hoang Chau, Chairman of the Ho Chi Minh City Real Estate Association, stated that the association has long advocated for raising the income threshold for social housing eligibility, and this change is welcome news for many homebuyers. According to Mr. Chau, an income of 15 million VND per person per month is insufficient due to inflation and rising living costs. At a minimum, a family of three in Hanoi or Ho Chi Minh City would spend 7-8 million VND on food and education, but the dependent deduction is only 4.4 million VND per month.
“The approved increase in the income threshold to 20 million VND will enable more people to realize their dream of homeownership. However, authorities should also clarify the income criteria for eligibility to rent or purchase social housing. It is recommended that only monthly salary be considered, and bonus payments or 13th-month salaries should not be included in the calculation, as this significantly increases the apparent income of employees,” suggested Mr. Chau.
The Need for Increased Supply of Affordable Commercial Housing
The demand for social housing among workers, especially in large cities, is growing, but the supply of such housing is limited. Meanwhile, apartment prices in Hanoi and Ho Chi Minh City have reached their highest levels in almost a decade. According to the Ministry of Construction, in the second quarter of 2025, the average selling price of apartments in Hanoi was 80 million VND per square meter, and in Ho Chi Minh City, it reached 89 million VND per square meter.
The rapid increase in apartment prices is making the dream of homeownership increasingly unattainable for many. According to Associate Professor Dr. Pham The Anh of the National Economics University, the significant gap between property prices and people’s incomes has far-reaching consequences. As incomes remain stagnant, a large proportion of people’s expenses go towards housing. Therefore, it is crucial to have tax policies in place to regulate the real estate market, discourage speculation, and redistribute the market.
To make housing more accessible to middle-income and lower-middle-income earners, Mr. Le Hoang Chau proposed that authorities find solutions to promote the development of affordable commercial housing. In this scenario, developers can obtain regular loans without preferential policies, but homebuyers can benefit from long-term preferential interest rates for 25-30 years to purchase low-cost commercial properties.
Echoing this sentiment, Associate Professor Dr. Nguyen Quoc Viet of the University of Economics, Vietnam National University, Hanoi, suggested that authorities not only adjust income thresholds but also ensure transparency in information, procedures, and application processes. This will instill confidence in the government’s policies to support low-income earners and young workers in their quest for affordable housing. According to Dr. Viet, increasing the supply of housing and expediting the resolution of bottlenecks to bring projects to market are crucial to meeting the needs of young workers and middle-income earners.
|
According to the Ministry of Construction, from 2021 to June 30, 2025, there were 692 social housing projects implemented nationwide, providing nearly 634,000 apartments. Of these, only 146 projects were completed, offering over 102,000 apartments, with 124 projects started, and 422 projects approved in principle. |
Ngoc Linh
– 07:52 20/08/2025
“Affordable Luxury: Redefining Eligibility for Hanoi’s Upcoming Condo Development”
The residents within the designated area will continue to receive the same benefits and policies as before, even after the administrative unit reorganization. This will remain in effect until further notice from the appropriate authorities.
“Social Housing Development: A Diverse and Accessible Future”
“The Vietnamese Prime Minister emphasized the importance of inclusivity and accessibility in social housing development, using the An Van Duong New Urban Area in Hue as an example. In his address, he highlighted the need for a diverse range of housing options, catering to varying income levels, and offering flexible purchasing and rental opportunities. This approach ensures that essential infrastructure and services are accessible to all, creating a more equitable and livable community.”
A New Dawn for Nam Phan Thiet: Phase 2 Launches, Continuing the Brilliant Journey of Home Ownership.
To commemorate the 80th anniversary of the August Revolution and National Day on September 2nd, Hoang Quan Binh Thuan is proud to announce the launch of Phase 2 of its affordable housing project in the New South Phan Thiet Urban Area. We are offering 80 exclusive units to meet the housing needs of our community, showing our gratitude and joining the joyous atmosphere of this significant national celebration.
Prime Minister Approves Raising Income Threshold for Social Housing Eligibility
“The Prime Minister has given a nod to a range of proposals, including one from the Ministry of Construction, which suggests raising the income threshold for social housing eligibility. This proposal aims to make social housing more accessible to those in need.”
Progress on the Social Housing Project: One Million Homes by 2030
At the Conference on the Review of the Implementation of Social Housing Development Targets for the first seven months of 2025, Prime Minister Pham Minh Chinh assessed that the initial results were encouraging. However, to achieve the goals of the project, including the completion of 100,000 social housing units in 2025, much work remains to be done.
