Viet Kieu still looking for an equal property footing

More Viet Kieu are keen to open the door to property opportunities in Vietnam

Dozens of Viet Kieu from Ho Chi Minh City’s The Manor project last week complained that they had been unable to get their hands on a Vietnamese housing ownership certificate – the so-called “pink book” and “red book” - because of a complicated web of legal procedures involving both themselves and the project’s developers.

Without a pink book, Viet Kieu have no legal rights to sell, grant or inherit land and can’t take out mortgages.

Decree 71/2010/ND-CP, which details and guides the implementation of the Housing Law, makes it clear that Viet Kieu’s rights are equal to those of Vietnamese nationals residing in Vietnam.

 A source from the developer of the Manor  said that customers had not been granted a pink book, because the latest Circular 16/2010/TT-BXD issued by the Ministry of Construction (MoC), which guides the implementation of Decree 71, did not give spell out how to obtain one.

However, Nguyen Manh Khoi, deputy director of Housing Management Division under the Real Estate and Housing Management Department of the MoC said that the granting of red and pink books fell under the jurisdiction of the Ministry of Natural Resources and Environment (MoNRE).

According to Khoi, Circular 16, only outlined the steps people needed to take to obtain red book, and MoC was not in charge of granting books to property owners.

Phung Van Nghe, general director of the Land Management Department under MoNRE also confirmed this and added that Viet Kieu and developers must follow the procedures for granting land use right and house ownership certificates set out in the Decree 88/2009/ND-CP and Circular 17/2009/TT-BTNMT.

And because regulations on the granting of red book were written up back in 2009, developers needed to take charge of coordinating with Viet Kieu in implementing those regulations, to ensure their customers’ rights.

According to John Nhat Nguyen, managing director of NAC Real Estate, an increasing number of Viet Kieu wished to buy property in Vietnam, both to live here and for the purposes of speculation.

But Nguyen said the legal framework for buying and selling accommodation for Viet Kieu was still unclear and complicated.

Association of Overseas Vietnamese’s general secretary Pham Thieu Hoa also said that complicated administration procedures were the main obstacles for Viet Kieu wishing to invest in real estate products in Vietnam. “This complicated procedures system requires a great deal of patience from Viet Kieu and also leads them to hesitate before making a decision to buy,” Hoa said.

According to the Ministry of Foreign Affairs, more than 300 Viet Kieu experts return to Vietnam every year to work and live while thousands of others seek investment opportunities in this country. However, unofficial figures show that there are less than 200 cases of Viet Kieu having bought property in Vietnam.