The People’s Committee of Ho Chi Minh City has recently sent a document to the Ministry of Justice and the Ministry of Construction, seeking guidance on regulations regarding the transfer of land-use rights to individuals for self-construction of residential buildings, also known as plot division and sale, for land with technical infrastructure in projects located in communes and towns of outer districts.
Specifically, regarding the conditions for land with technical infrastructure in real estate projects that can be transferred to individuals for self-construction of houses, Article 31, Clause 6 of the 2023 Law on Real Estate Business stipulates: “Land not belonging to wards, districts, and cities of special, type I, type II, and type III urban areas; and not subject to auction of land-use rights for investment projects in accordance with the Land Law. For the remaining areas, the provincial People’s Committee shall, based on local conditions, determine the areas where investors of projects are allowed to transfer land-use rights with technical infrastructure to individuals for self-construction of houses.”
 A plot of land in Thu Duc City, divided into smaller lots. Source: S.T. |
According to the document from the People’s Committee of Ho Chi Minh City, the city is now a special urban area, comprising all its districts and directly-controlled municipalities. Therefore, based on the provisions of the 2023 Law on Real Estate Business, land with technical infrastructure in real estate projects located in wards, districts, and directly-controlled municipalities will not be allowed for plot division and sale.
However, the question arises: “Is land with technical infrastructure in real estate projects located in communes, towns, and districts of the special urban area of Ho Chi Minh City considered as ‘remaining areas’ under the authority of the city’s People’s Committee?” The People’s Committee of Ho Chi Minh City has raised this issue for clarification.
Based on this, the People’s Committee of Ho Chi Minh City proposes that the Ministry of Justice and the Ministry of Construction provide clear guidance to ensure the city’s compliance with the 2023 Law on Real Estate Business.
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Since August 1, 2023, the Law on Real Estate Business has come into effect, prohibiting plot division and sale in 105 cities and towns, an increase of 81 cities and towns compared to the previous regulation. |
By Anh Phương
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