6 Easy Steps in Acquiring Vietnam Real-Estate Properties
The last decade has been an excellent time for investors of real estate properties in Vietnam. A lot of growth has been seen in the country when it comes to infrastructures. Changes have been made to attract more investors in the country. As of now, Vietnam is one of the most attractive real-estate investment pot in Asia. Thanks to the Vietnamese Law on Residential Housing (passed in 2015), foreigners can now buy properties in the country more easily than before.
Buying Vietnam real estate properties is still an attractive aspect, whether you’re investing or going to live in the country. Most property providers are still launching new building projects to meet their demands. Fortunately, you can narrow it down property acquisition into six general steps.
1. Get a working tourist visa and tons of gold/VND
First thing first, you have to apply for a working tourist visa before even trying to make the transaction. You can only buy a property, as the government governs the land. Make sure that you have your payment ready. USD is not allowed for property acquisition; you might want to prepare Vietnamese Dong (VND). Locals usually pay part of the price with real gold, as VND is volatile.
2. Get a property lawyer and book a property
Hiring a property lawyer in Vietnam is recommended but not required. However, you’ll likely get less hassle in your transactions with the help of a local lawyer. After finding the right unit for you, the lawyer can also help you book a property. Before buying, make sure that you will visit the site personally for inspection.
3. Enter a deposit contract and pay as per schedule
This is usually the time where you pay for the non-refundable deposit of VND 100 Million or about $4,000, which is payable via bank transfer or credit card. Next, you need to sign a Deposit Contract Agreement to start paying installment. The first payment needs to be done within 14 days. Pay your dues on time to avoid problems.
5. Wait for the pink book notification
Pink Book functions similarly like a land title, and it signifies your ownership to the property. Before you can have this, you need to finish the drafting and execution of the Sales & Purchase Agreement of SPA. This is usually done after the installment payments are finished.
4. Wait for the handover of the property
Another separate payment called maintenance fee (2% of PV) should be paid before you can get the unit. The buyer should also 1-year pay operation charges (0.5% of PV) and an additional installment payment to use the property. Once the buyer has no financial obligation, he or she can submit documentation to get the Pink Book.
6. Make the final payment
Congratulations, you are now the official owner of your new property/unit. Enjoy your stay in Vietnam. All you have to do is to pay your other obligations in the contract.