The new regulations are outlined in Decree No. 96/2024/ND-CP (Decree 96) on detailing a number of articles of the Law on Real Estate Business.
The decree clearly defines the requirements for individuals engaging in small-scale real estate business. Accordingly, individuals conducting small-scale real estate business are not required to establish investment projects.
The number of transactions is limited to less than 10 times per year, and each contract must not exceed VND 300 billion. In the case of a single transaction in a year, the value is not taken into account.
Clarifying the criteria for individuals engaging in small-scale real estate business. Illustration: Hong Khanh |
According to the 2023 Law on Real Estate Business, individuals conducting small-scale real estate business are not required to establish a company, but they must declare and pay taxes.
Similarly, organizations selling or leasing houses, construction works, or a portion of the floor area for non-business purposes are also subject to transaction limits and must declare and pay taxes.
Thus, the new regulations have specifically limited the number of transactions and the value of contracts in this case. This is a new development compared to the previous regulations, which did not specify conditions for individuals engaging in small-scale real estate business.
Many experts believe that clearly defining the criteria for small-scale real estate businesses will help curb speculation and “wave-riding” in the market.
Hong Khanh
Real Estate Agents Make a Comeback as the Market Heats Up
The real estate market in the last months of 2023 and the beginning of 2024 is gradually recovering and attracting many real estate agents back to the profession.
Is the story true about real estate brokers in the South continuously finalizing transactions after Tet?
“Recently, there has been a surge in the number of customers purchasing properties. We even had a Vietnamese overseas customer who purchased 5 townhouses and villas in the urban area,” said Ms. H, an independent real estate agent in Ho Chi Minh City.”
Real estate market is heating up again
According to data from Batdongsan.com.vn (Vietnam’s number 1 real estate service information channel), the demand for nationwide real estate search in the first month of 2024 increased by 66% compared to the same period in 2023, and the number of real estate listings for sale also increased by 52%… This indicates positive signs of the real estate market trending.
Propose a limit of selling or renting a maximum of 5 houses per individual per year.
The Ministry of Construction proposes that small-scale real estate businesses, operated by individuals, can only sell or lease 3-5 houses or apartments within a year. If they exceed this limit, they must establish a company.
