The supply of housing in big cities is scarce. Many views are disturbed: how the draft housing for foreigners at this time has an impact.
Drafting is perfectly reasonable
To clarify this issue, on the sidelines of an online dialogue on the real estate market, which took place in Hanoi on the afternoon of May 6, 2008, on the Government Web Portal. Minister of Construction Nguyen Hong Quan made this clear.
According to Minister Nguyen Hong Quan, we propose this draft is entirely suitable for the country’s development, especially when Vietnam has become a member of WTO. We let foreigners own and buy apartments in Vietnam and we gave them a right. That shows Vietnam’s deep international integration, showing the country’s openness and friendliness.
According to the Minister, whether or not we have apartments to sell to foreigners is another category. This relates to the market economy, to condominium business.
Thus, the supply of apartments is scarce and drafting for foreigners to own and buy apartments is two separate categories. The draft does not have much impact on the limited supply at this time.
The draft does not affect the current apartment supply much
Many people are worried that talented foreigners might take advantage of this to speculate.
The Minister noted that according to the draft, each foreigner can own and buy only one apartment. That is why they have money and can not buy many apartments.
Minister Nguyen Hong Quan said: The Ministry of Construction has also conducted a survey of the number of foreigners living and working in Vietnam. How much do foreigners need to buy, and this proportion is not much in the total housing stock of the country.
According to the Ministry of Construction, the total number of national funds formed in 2007 was 37 million m2. Particularly, 4 big cities occupy 9 million m2 of houses. Foreigners only need to buy luxury apartments. Meanwhile, the supply of housing for Vietnamese people is mainly social housing, apartments in the secondary segment.
Therefore, the draft for foreigners to buy houses will not have much effect on the current limited supply of apartments. Supply is scarce due to high demand for housing.
Theo Cafe F
