How foreign organizations to purchase apartments in VN

VGP – Foreign-invested companies which are doing business in Việt Nam under the Law on Investment but not engage in real estate business are eligible to purchase apartments for their staff.

March 10, 2010 3:15 PM GMT+7

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Question (A Vietnamese employee working for a Japanese-owned company): After five years of operation, my company which was licensed to operate here for 50 years, has recruited over 100 employees. Now, the company needs to rent houses for its foreign experts. Does the State of Việt Nam allow my company to purchase luxurious apartments for foreign experts? What are procedures?

Answer (Lawyer Đỗ Như Quát, Hồ Chí Minh City Lawyers' Association):

Under Resolution 19/2008/QH12, dated on June 3, 2008, on pilot permission for foreign organizations and individuals to buy and own houses in Việt Nam, foreign-invested enterprises which are operating in Việt Nam under the Investment Law but not engaged in real estate business are entitled to buy apartments built under projects on housing development for commercial purposes.

* Procedures for purchase and sale of houses

The purchase and sale of houses must be conducted under contracts in accordance with the Vietnamese law. Contracts on house purchase and sale must be made in Vietnamese.

* A dossier of application for a house ownership certificate comprises:

- Application form;

- Copies of papers evidencing that enterprises are eligible to invest in Việt Nam;

- The original contract on house purchase and sale;

- Papers evidencing the house ownership of the seller;

- Receipts of tax and fee payment.

On June 3, 2009, the Government has issued Decree 51/2009/ND-CP guiding the implementation of a number of articles of the National Assembly’s Resolution 19/2008/QH12. The decree came into effect sine August 1, 2009.

Accordingly, different types of foreign individuals and organizations are eligible to purchase and own houses in Việt Nam, including those who (a) have directly invested in Việt Nam or are employed by a Việt Nam-based company for management purpose; (b) get married with Vietnamese citizens; (c) have great contribution to Việt Nam and are honored by the Vietnamese President; (d) are working in important fields and have proper academic certificates; (e) holds special knowledge and/or skills as required by the State of Việt Nam; and (f) currently invest and operate in Việt Nam (except for real estate business) and have the need of accommodation for their staffs.