Week 33/2024 – Central Vietnam Real Estate News Summary

1. 
   

   1. Da Nang To Announce The List Of 7 Projects To Sell Houses To Be Formed In The Future.
   

2.  

1. The Department of Construction of Da Nang City has announced a list of commercial housing projects eligible for future sales. Key projects include:

2.  

   Bac Cuong Apartment Building (Bac Cuong Tower) in Hai Chau District, with 112 apartments, developed by Cuong Thinh Phat Land Joint Stock Company.
   High-rise apartment complex of the New Town High-end Sports and Commercial Urban Area Project (Diamond Residences by BRG) in Ngu Hanh Son District, featuring 1,733 apartments, developed by New Town Development Company Limited.
   Olalani Riverside Towers (Sun Symphony) in Son Tra District, with 1,425 apartments and 113 townhouses, developed by My Phuc Joint Stock Company.
   East Apartment Complex (HH3) (Sun Ponte) on Tran Hung Dao Street, Son Tra District, with 528 apartments, developed by Cu Lao Cham Investment Tourism Trading Joint Stock Company.
   Buildings B4-1 and B4-2 of the Han River Tourist Service Area Project (Sun Panoma) in Ngu Hanh Son District, with 679 apartments, developed by Cu Lao Cham Tourism Investment and Trade Joint Stock Company.
   Townhouses and villas at Tuyen Son Housing and Service Area in Hai Chau District, with 219 units (156 townhouses and 63 villas), developed by Landcom Investment Joint Stock Company.
   P.A Tower Hotel and Apartment Complex in Hai Chau District, with 300 apartments, developed by PAVNC Joint Stock Company.

3.  

Source: vietnamfinance.vn

2. What Will Happen To The Old Red Books And Pink Books Under The New Regulations?

According to the article, from August 1, 2024, the certificates of land use rights and ownership of residential houses, commonly known as “red books” (sổ đỏ) and “pink books” (sổ hồng), will be changed in accordance with the new Circular 10/2024/TT-BTNMT issued by the Ministry of Natural Resources and Environment. Specifically:

“Red books” and “pink books” are terms used to refer to different types of certificates of land use rights and residential house ownership, based on the color of these certificates. Previously, the “pink book” was the certificate of residential house ownership and land use rights, issued by the Ministry of Construction prior to August 10, 2005. After that, it was changed to the “Certificate of residential house ownership, construction ownership” and issued from August 10, 2005 to before December 10, 2009. The “red book” was the “Certificate of land use rights” issued by the Ministry of Natural Resources and Environment before December 10, 2009.

Since December 10, 2009, the Government has issued Decree 88/2009/ND-CP to unify the form of the certificate, called the “Certificate of land use rights, ownership of houses and other assets attached to the land”. Recently, the Ministry of Natural Resources and Environment has issued Circular 10/2024/TT-BTNMT to continue changing the form of this certificate, to be applied from August 1, 2024.

Source: cafef.vn

3. New Laws And Their Immediate Impact On The Real Estate Market.

3 New Laws and Their Immediate Impact on the Real Estate Market” from VTC News outlines the effects of the Land Law, Housing Law, and Real Estate Business Law, which came into effect on August 1st, on the real estate market.

Supply of Apartments: The new laws are expected to increase the supply of apartments by addressing existing issues and encouraging investors. This could help stabilize apartment prices in the near future, although new apartment availability will take time.
Buyer Sentiment: New regulations limiting the deposit amount from investors and protecting buyers from legal risks will create more confidence among buyers, boosting real estate transactions. Many people are currently taking advantage of the opportunity to buy homes before potential price increases.
Social Housing: New provisions in the Housing Law will improve the development process and incentives for social housing, encouraging more investors to participate and increasing the supply in this segment.

Overall, the new laws are likely to bring positive changes in housing supply and stimulate real estate transactions, particularly in the social housing sector.

Source: vtcnews.vn

4. When Investing In Tourism Real Estate, Investors Need To Pay Attention To These 5 Things.

In the rapidly growing tourism real estate market, investors should focus on five key factors for success. Firstly, a stable and frequent customer base is essential to ensure high occupancy rates. Secondly, effective management and operation by experienced, reputable firms are crucial. Thirdly, innovative and appealing design of the properties helps attract guests. Fourthly, diverse and high-quality amenities are necessary to meet modern vacation demands. Finally, the development potential of the destination area plays a significant role, with new promising locations emerging as tourist hubs. Proper attention to these elements can mitigate risks and enhance investment returns in this competitive sector.

Source: cafef.vn

5. Over 1.2 trillion VND Injected Into The Real Estate Market.

As of late May 2024, outstanding credit for real estate business activities in Vietnam has surpassed 1.2 trillion VND, showing a nearly 9% increase since February. This credit is allocated to various sectors including urban development, housing projects, office rentals, industrial parks, tourism, and hospitality. Specific figures include 318.8 trillion VND for urban and housing projects, 44.1 trillion VND for office rentals, and 86.3 trillion VND for industrial zones. Credit for house construction and land purchases totals 126.8 trillion VND and 94.4 trillion VND respectively.

In June 2024, credit growth reached 3.6%, exceeding the combined growth of the first five months. However, real estate lending has declined, reflecting slower demand due to high home prices and income discrepancies. The State Bank of Vietnam is monitoring these conditions and adhering to government directives.

In bond issuance, real estate remains dominant. From January to June 2024, there were 102 private placements and 10 public offerings, with real estate accounting for a significant portion. This rebound in bond issuance may stabilize capital-raising in the sector, although the challenge of maturing bonds persists.

Source: cafef.vn

1. 1. As always, CVR is at your service and happy to provide help anyways we can!

       

      Contact Us today to find the real estate investment in Da Nang that is right for You.