Week 08/2022 – Central Vietnam Real Estate News Summary
In this weekly or sometimes bi-weekly news flash – CVR: Central Vietnam Realty will provide a choice of articles from mainly Vietnamese media sources related to the real estate market in Vietnam.
We will be focusing on issues related to Da Nang and Hoi An, while also looking at national news and their possible impact on Central Vietnam’s property market.
You will find a summary, a link to the source as well as CVR’s take on the article.
We believe that local knowledge is the key to making the best possible decision and that’s what we offer to all our clients.
“CVR: Western Management – Local Knowledge”
1. Da Nang real estate market keeps developing pace
In 2022, the real estate market in Da Nang city will continue to be affected by the impact of Covid-19; In which, tourism activities have stopped for the past 2 years, causing real estate to lose its stimulus. However, with the segment of luxury apartment real estate and branded real estate, the real estate market still keeps its development pace
– High-class apartments, branded real estate are sought after
Da Nang is in the group of 20 leading markets in the world for luxury real estate, likened to a “resort paradise” with many luxury apartment projects at very reasonable prices and many prospects in the future.
– Land plots can only be traded according to real housing needs
In 2021, real estate in the city with new supply has not increased significantly, the overall consumption is quite low compared to 2020
Why it is important: According to many experts, when commenting on the Da Nang real estate market in the near future, the real estate market in 2022 in the city is still under pressure to increase prices because the cost of exploiting the land fund increases, construction costs escalate. … So this is a good time to invest in real estate in Danang.
As Da Nang continues to develop into a major economic center and international destination, CVR can help you find suitable real estate that fits your specific needs whether it’s for a business or new home. Interested in learning about opportunities in Central Vietnam? Contact the CVR team today!
2. 7 important notes related to real estate business from March 1, 2022
From March 1, 2022, Decree 02/2022/ND-CP detailing the implementation of a number of articles of the Law on Real Estate Business comes into force and replaces Decree 76/2015/ ND-CP.
Accordingly, individuals, organizations and households engaged in real estate business or related to real estate business in Vietnam should pay attention to the following contents:
First, in cases where a real estate business contract has been signed before March 1, 2022, it is not required to re-sign the contract according to the provisions of Decree 02/2022, unless the parties agree to re-sign the contract.
Second, in case the parties are carrying out the procedures for signing a contract to buy, sell, rent-purchase a house or construction work, but by March 1, 2022, the parties have not yet signed the contract, they must sign the contract in accordance with the law provisions of Decree 02/2022.
Third, in case the parties are carrying out the procedures for transferring the lease-purchase contract of a future house, the transfer of the lease-purchase contract of an existing house or construction, but by March 1, 2022, If the transfer procedure the parties has not been completed, the remaining procedures shall be continued according to the provisions of Decree 02/2022.
Fourthly, in case the transfer of the whole or part of the real estate project is in progress, but on March 1st, 2022, there has been a decision to allow the transfer of the competent authority and the parties have not signed a transfer contract. The concession must be signed in accordance with the provisions of Decree 02/2022.
Fifth, if the application for transfer of the whole or a part of the real estate project has been submitted before March 1st, 2022 but there is no decision to permit the transfer of the competent authority, the parties are not required to re-implement the previous procedures but must supplement the missing documents as prescribed in Decree 02/2022 (if any) for consideration and decision by the competent authority according to regulations.
Sixth, enterprises and cooperatives that are engaged in real estate business have the responsibility to fully supplement the conditions specified in Article 4 of Decree 02/2022 before September 1st, 2022. Past this time limit, without fully supplementing the prescribed conditions, they are not allowed to do real estate business in accordance with the provisions of Decree 02/2022 and relevant laws.
Seventh, in case a Vietnamese citizen has been granted a citizen ID with a chip, a personal identification number according to the provisions of the Law on Citizen Identification and the national population database, the If the investment registration, business registration database is connected and operated, the database can be used as a substitute for papers related to personal identity (household registration, people’s identity card, household registration book, passports and other personal identification papers) when carrying out procedures related to real estate and housing business in accordance with the law on real estate business and housing law.
Considering an investment in 2022? Whatever the requirement, we provide our clients the highest standard of service tailored to their specific needs and always stay ahead of the curve. Reach out to us today!
3. Investors can be fined up to 300 million VND for violating regulations related to “apartment maintenance fund”
Investors can be fined up to 300 million VND for violating regulations related to the “apartment maintenance fund”.
In Hanoi, Ho Chi Minh City and some other big cities, it is no stranger to the situation of residents pressing for investors to hand over maintenance funds. In Hanoi, the “famous” apartments for this must include Westa (Ha Dong district), Star City (Cau Giay district), Hoa Binh Green City (Hai Ba Trung district)…. Recently, Decree 16/2022/ND-CP takes effect from January 28, 2022 “Regulations on sanctioning of administrative violations in construction” in which the fine level for investors who violate regulations on management Management of apartment buildings can be up to 300 million VND.
In a VTV report aired in 2019, the number of 44 apartment disputes handled by the Ho Chi Minh City Department of Construction, up to 34 cases related to apartment maintenance fees, more than 300 investors did not. handing over 2% apartment maintenance fee to people. Besides, there are many investors who are slow to hand over or only hand over a part of the maintenance fund, which also causes frustration for people.
In 2019, according to the inspection results of the state management of the management and use of apartment buildings in Hanoi announced by the Ministry of Construction, the city has 254 apartment buildings out of a total of 492 commercial apartment buildings. (accounting for 52%), 33 buildings out of 82 resettlement apartment buildings (accounting for 40%) the investor has not yet handed over the maintenance fund to the management board; 39 cases of dispute over maintenance funding.
At the beginning of 2022, Decree No. 16/2022/ND-CP, effective from January 28, 2022, has introduced many severe penalties for these violations, which are hoped to overcome the many mistakes of the investor.
The fine will ring a bell to the developers who use the money wrongly and should leave it to the HOA/management board which will use it to help with the right purposes of the fund.
4. Coastal land prices increase at the beginning of the year
Coastal land prices in some southern resort markets tend to increase slightly at the beginning of the year. The positive developments of the tourism – resort market are stirring up a segment that has faced many difficulties during the Covid-19 epidemic.
– Prices tend to increase slightly
A survey at the beginning of the year by Batdongsan.com.vn shows that the coastal land plots in some southern resort markets tend to increase slightly compared to 2021. For example: In Quy Nhon (Binh Dinh), the coastal city is witnessing the landing of many big projects of the time. Phu Yen and Thanh Hoa.
– There is still a quiet point
The fact that coastal land prices increased in reality only happened in certain provinces and cities, mainly those that in the past 2 years of the epidemic still received a wave of real estate investment. Resort real estate is a large-scale project. In fact, the price of coastal land at once exciting places such as Da Nang, Nha Trang, Quang Ninh, Phu Quoc (Kien Giang)… now generally does not decrease but is flat compared to the middle or the end of year 2021.
The wave of investment in the coastal land market during the two years of the epidemic also tended to change taste when switching to new markets instead of markets that were once vibrant.
5. In the midst of the covid 19 epidemic, how is real estate Hue Da Nang Quang Nam happening?
In 2021, while the property segment resorted in the real estate market Hue – Da Nang – Quang Nam continued to maintain the decline since 2020, the segment of the villa and the land was developed again remarkably.
In 2021, while Quang Nam led its land supply, Thua Thien Hue leading the supply of townhouses / villas in 3 markets (Hue – Da Nang – Quang Nam), Da Nang City recorded the supply and consumption of new apartments increased sharply compared to the period before 2020.
In the resort real estate segment, the new supply in the market continues to be scarce.
Experts predict that in 2022, new resort real estate supply can increase compared to 2021. In particular, Da Nang City is the market to continue leading new supply in most types.
Why it’s important: now is a very good time to buy real estate before the market gets better and the prices increase.
With invaluable local and regional market knowledge, an extensive professional network, and an up-to-date database of properties for sale, our team of experts will guide you through every step of the homebuying process. Whether you are interested in an apartment, condo, or single-family home, the CVR team will help you find a property that works for you. Contact our sales team today!
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