Ministry of Construction proposes to limit loans when buying a second home

(Chinhphu.vn) - In case of buying a second house, the loan limit is not more than 50% of the value of the house purchase contract. In case of buying a third house or more, the loan limit is not more than 30% of the value of the house purchase contract.

To reduce housing prices, the Ministry of Construction proposed three control mechanisms, notably the solution to limit loans when buying a second home or more.

The Department of Housing and Real Estate Market Management (Ministry of Construction) said that the Ministry is seeking comments from five ministries and branches on the content of the Government 's draft Resolution on the mechanism to control and restrain real estate prices.

To reduce housing prices, the Ministry of Construction proposed three control mechanisms, notably limiting loans for buying a second home or more. The next two proposals are to reserve at least 20% of housing projects for "affordable housing" and transactions through a state-run trading floor.

Loans to buy second home only at 50%

Accordingly, the Ministry of Construction proposed three mechanisms to control and restrain real estate prices in the coming time.

Regarding the lending policy for home buyers, the Ministry of Construction proposed that the Government require credit institutions operating in Vietnam to apply a lending limit for home loans, except for social housing.

Specifically, in the case of buying a second home, the loan limit is not more than 50% of the value of the home purchase contract. In the case of buying a third home or more, the loan limit is not more than 30% of the value of the home purchase contract.

In addition, to make real estate transactions transparent and limit speculation, the Ministry of Construction proposed that real estate transactions must be conducted through the Real Estate and Land Use Rights Transaction Center established and managed by the State.

The real estate transaction center will be the electronic connection point between relevant agencies and organizations in the implementation of real estate transactions, with the function of organizing, monitoring and authenticating real estate transactions, including buying, selling, transferring, and leasing.

Arranging land fund for building commercial housing at suitable prices

To control and restrain real estate prices in the coming time, the Ministry of Construction proposed that the Government stipulate that the People's Committees of provinces and cities, depending on the actual situation of the locality, reserve at least 30% of the total number of commercial housing construction projects expected to develop in the period 2026 - 2030 to build commercial housing at suitable prices.

Also according to the draft Resolution of the Government, the following specific policy mechanisms are applied to the affordable commercial housing project: Selection of project investors without auction or bidding. The order and procedures for selecting project investors are similar to those for selecting social housing project investors. Land use fees and land rents of the project are calculated according to the land price list and land price adjustment coefficient according to the provisions of the land law. In case the land price list has not been issued for uniform application, the Provincial People's Committee shall decide the price for calculating land use fees and land rents for each specific project.

Affordable commercial housing projects also enjoy a maximum profit margin of 2% of the total project construction investment capital (including land use fees and project land rental fees).

The method for determining the selling price and lease-purchase price of housing is applied similarly to that for determining the selling price and lease-purchase price of social housing. Affordable commercial housing projects do not have to allocate land to build social housing within the project.

Home buyers at commercial housing projects with suitable prices are not allowed to transfer the house purchase or lease-purchase contracts according to the provisions of the law on real estate business.

For commercial housing construction projects that have been approved for investment policy, or selected investors according to the provisions of law, but need to adjust the investment objective to a commercial housing construction project at an appropriate price, the competent State agency or investor shall adjust the project investment policy according to the provisions of investment law.

Previously, concluding the September Government Conference with localities held on October 5, Prime Minister Pham Minh Chinh said that the real estate market situation has gradually improved but there are still many difficulties and problems, and real estate prices are high. The Prime Minister requested to strengthen management, orientation, and control of high real estate prices.

Phan Trang

Source: https://baochinhphu.vn/bo-xay-dung-de-xuat-han-che-cho-vay-khi-mua-can-nha-thu-2-102251007192217001.htm