The number of foreigners owning houses in Vietnam is still modest

In recent discussions with the press, Mr. Stephen Wyatt - CEO of JLL Vietnam shared his views about the positive impact and the difficulties in making policies that allow foreigners to buy and own Vietnam home into practice.

- The issue is open for foreigners to buy houses in 2016 will develop in the trend does remain a question mark. He can tell his opinion?

The new policy allows foreigners to own houses in Vietnam from May 7/2015 effect had a positive impact on the property market in recent times. It is clear from the new policy takes effect, JLL recorded home sales to foreigners has increased significantly, and the rate of sales in many projects also increased significantly. As in a number of reports published by JLL, total number of units sold in the market in 2015 more than doubled in 2014, partly thanks to a sharp rise in both supply and demand, as well as the active support from commercial banks for investors and homebuyers. We expect this trend will continue in 2016 and the story of foreigners to buy houses in Vietnam and is still the subject of interest. We think there will be more interest from investors in the region interested in real estate in Vietnam.


- There are mixed opinions about the development of this policy. A State party that has made positive moves to loosen the conditions for foreigners to own houses in Vietnam, one side says there are contradictions about the transfer of money from banks to buy houses abroad in Vietnam; as well as the procedures of the lending credit institution, what do you think?

Concerning the new policy allows foreigners to buy and own houses in Vietnam, we believe that this policy is absolutely positive impact, have expressed concern to the Government of Vietnam to the development the domestic real estate market, and the fact also is bringing good results.

But there are still many difficulties in the implementation of this new policy. The executable instructions are unclear and are specific to particular alien object has not lived in Vietnam for a long enough time, and there are many problems related to the issue of transfer of money to buy a house and the conditions relating to financial assistance from the bank. In fact not many mighty banks in supporting foreign investors carried out the necessary procedures for purchasing real estate in Vietnam.

We think there should be more closely coordinated between the state agencies and institutions as well as credit project developers in attracting and expanding the audience to buy houses in Vietnam. JLL has been and will be organized events in other markets in the region to introduce the domestic real estate products and also has received a lot of interest from foreign investors. Partly because markets in the region such as Singapore and Hong Kong are no longer attractive as before, partly thanks to the easing policy allows outsiders who owns real estate in Vietnam.

- In the first two months of 2016, the number of foreigners to buy houses in the two major cities of Hanoi and HCMC have no positive changes?

The policy allows foreigners to buy a new home also applied recently. Decree 99/2015 / ND-CP guiding the implementation allows foreigners to own real estate in Vietnam recently with effect from 12/2015. When this policy was born, is a positive factor to attract the attention of a lot of real estate investors, however, this policy makes to the money to buy a house or not, is still modest. Currently the number of foreigners to own houses in Vietnam, if compared with other countries in the region is not much.

- What is your opinion about the open-door policy for foreigners to buy houses in Vietnam, there is no difference compared to other places?

We can compare with Indonesia because the government has also implemented a new policy that allows foreigners to own real estate. Basically, foreign workers will have the same rights to the people of Indonesia in the purchase of apartments. Time owned apartments are a total of 80 years, first issued 30 years, then 20 years to renew and extend the last time was 30 years. However, this policy is very small impact on the domestic real estate market, as required to be buying a home is to have a visa / work permit in Indonesia on an ongoing basis, otherwise the property will be withdrawn. There will not be many foreigners to stay in Indonesia constantly under 80 years to be able to continue that owns the property was purchased.

It can be said that conditions permitting foreigners to buy houses in Vietnam more open, because then can transfer to others. This has an impact on the domestic real estate market will boost demand for investment as well as the desire to own real estate in Vietnam of many foreigners.

- Thank you!

(According to Nhịp sống thời đại)