+84 907 386 395 | services@nhatrangrenting.com

Rentals:

How much should I budget for utilities?
Anywhere from $80-$100+ per month and this is not included in rent. In terms of possible utilities, here’s a comprehensible checklist: electric, water, gas, internet, TV, manage fee (for trash pickup, security, parking, cleaning corridors…).
Let’s break down the list (If you are an average user with an average unit):
-Electric: Basically it is all about how much you use air-condition, here in Vietnam. Plan on spending up to $30-40 extra a month.
-Water: $7
-Gas: Usually around $5.
-Internet: Approximately $15.
-TV: $5
-Manage fee: 20-$50 (applied mostly only to residential apartment complexes)
Why to pay one month deposit?
When you rent a property, you will usually have to pay a security deposit. Whilst there is no legal guideline as to how much of a deposit you may be asked for it is normally the equivalent of one month’s rent.  Normally a deposit is held by the landlord as security to cover any rent arrears, bills owing or damage beyond normal wear and tear at the end of the tenancy.
You should not hand over a deposit to a prospective landlord or agent until you are certain that you are happy with the condition of the property, the terms and conditions of the letting and are willing to rent it. You should always pay the deposit directly to the landlord/agent and not to another tenant.
Once your tenancy has been created, your landlord must provide you with an inventory at the beginning of the tenancy and Threshold advises you make a note of any existing damage or wear and tear. Take photos if possible.
Can i get discount for long term rental?
Yes. All prices we have are considered for short time rental 1-5 month. Some owners of properties can provide discount from 3month+ rental but usually it is from 6-month+ which is considered for long term rental. The discount is about 10%.
Can i book a property before my arrival?
Yes, you can but usually the owner wants to get paid 30% of monthly deposit before to hold the property until your arrival. By this owner can partly cover his losses if you suddenly decide to not come.
Otherwise we suggest our customers to contact us 2-3 days before arrival and we can check again all available properties matching your requirements.
I’m owner of a property. How can I list my apartment with you?
Please call us at any time or send an email. As soon as we receive your request, you will be contacted by one of our agents for easy adding your property to our listings.
Do i pay any other expenses for real estate service?
All prices you find on the website are final. You don’t pay anything more for our service. Our commission comes from the sellers, owners and is one of the lowest on the Nha Trang real estate market.

 

Sales:

Can i own a land or a house as a foreigner?
When acquiring a property, you have to remember that the freehold basis is not complete, as landowning is not a legal right in Vietnam. In other words, you will never have 100 percent ownership when buying a house in Vietnam. Landowning is prohibited by Vietnamese law for both foreigners and the local Vietnamese population or entities.
Buyers are only allowed to acquire the structure built on a property, but the land remains regulated by the Vietnamese state, as it is considered a national good. The land has to be leased to the government with the Land Use Right Certificate (LURC).
Foreigners are allowed to acquire a dwelling house for several years, and lease the land to the state. The longest lease contract you can obtain lasts only 50 years but much longer than the 50-year limit if married to a native vietnamese person. After the 50-year period of house ownership, under the new Housing Law, foreign individuals can carry out procedures to extend the ownership once, but not for more than another 50 years. The old law permitted them to own only one piece of property for a maximum time frame of 50 years.
I am a foreigner, can I purchase a property in Vietnam?
The new laws with effect from 1st of July 2015 allow all foreign individuals (who are granted to Vietnam) to buy residential properties in Vietnam. Foreign organizations, their Vietnam-based branches and representative offices are all eligible to buy. All types of residential property, including condominiums and landed property such as villa and townhouses, can be purchased.
What are the conditions under which property is held?
Before 1st of July 2015, the tenure allowed for eligible foreign purchaser is limited to 50 years from the date of the purchaser’s Certification of House Ownership and Land Use Right (Pink Book) without option to renew upon expiry.
With effect from 1st of July 2015, the tenure allowed for eligible foreign purchaser is limited to 50 years from the date of the Pink Book with renewal possibility (max 50 years) and you need to apply it at least 3 months before pink book expiration.
For foreigner married to Vietnamese citizen, freehold tenure is granted but in case of condominium projects, it depends on the contract between project developer and the State (many condominium projects have 50 years limitation no matter if you are foreigner or vietnamese citizen).
Does the foreign purchaser need to physically stay in Vietnam?
With effect from 1st July 2015 there is no such regulation anymore. Foreigner purchaser can own a property in Vietnam and stay out of the Vietnam as long as he wants.
What are the documents which I need to submit and justify the right to purchase a property in Vietnam?
Passport. Under new law to be effective from 1st of July 2015, although the law says that foreigners “allowed to enter into Vietnam” are eligible to buy property in Vietnam, currently there is no further regulation clarifying this.
As a foreigner purchaser, can i loan money from a vietnamese bank?
Vietnamese financial institutions are aware of this demand and at this moment they are waiting for proper guidance from vietnamese central bank which is still struggling with the issue how to claim funds from a nonpaying foreigner who is outside of Vietnam. However, it is expected the loaning money will be allowed in future.
What is included in sales price?
Quoted sales price = apartment price + value added tax + maintenance fee.
Whether the quoted price is inclusive of value added tax or maintenance fee should be clearly indicated in the “sales & purchase agreement”.
Is there a limit to the number of units I can purchase from your project?
Before 1st of July 2015, an eligible foreigner could buy only one condominium in Vietnam. With effect from 1st of July 2015, an eligible foreigner can buy as many as 30% of the total units in one condominium complex, 250 landed properties units in one particular administrative (or the equivalent of) ward or 10% of the total separate landed homes within one residential compound.
If I passed away, how will a transfer of a property be handled?
In such event, the property shall be dealt with in accordance to the Vietnam law on Inheritance. i.e. testate succession or intestate succession.
Can i apply a vietnamese citizenship or get a residence card if I am an owner of a property in Vietnam?
After the purchase property in Vietnam, foreign purchasers must satisfy the conditions for obtaining Vietnamese passport, temporary residence card (TRC) or permanent residence card (PRC). Currently, there is no provision allowing a foreigner to obtain Vietnamese passport, TRC or PRC solely based on his/her purchase of residential house in Vietnam.
If there is an argument regarding to a property, can I bring it to local court?
Yes. According to the Vietnamese laws, all disputes relating to the real estate located in Vietnam must be resolved in relevant Court of Vietnam.
Can you get a lawyer to control all documents during purchasing a property?
Yes, we can provide you a reputable lawyer to control the sales process.
Is there any warranty after handover of a property and how long?
The warranty is at least 60 months regarding apartment buildings and at least 24 months regarding separate housing by the Vietnamese housing law. The housing warranty shall include repair of frames, columns, beams, floors, walls, ceilings, roofs, terraces, stairways, paneled sections, paving, plastering, fuel supply system, electricity supply system, lighting supply system, water tank and water supply systems, septic tanks and sewage drainage systems, municipal waste; or solutions to cases of housing tilt, subsidence, cracking, collapse and other content as agreed in the agreement on housing sale or lease purchase. Regarding other equipment attached to the house, the seller or the lessee shall give warranty including repair or replacement with the time limit recommended by the manufacturer.

 

  • Fees and taxes:
What are the taxes and fees that have to be paid for purchase of condominium unit from developer company?
All purchasers (locals and foreigners) are required to pay only the following taxes and fees:
1. Value added tax (VAT): 10% (already included in sales price)
2. Registration fee for application of the pink book (0.5% of sales price) and administration fee for issuing pink book (about 3mio VND – depends on the project)
3. Maintenance fee 2% (if not included in the sales price)
What all fees, taxes need to be paid if i become an owner of an apartment in Vietnam?
Management fee, which is paid each month by the residents and used for the operation and management of the condominium. Services include, but are not limited to: elevator’s operation, security services, garbage collection, pest control, janitorial and gardening services, and maintenance of common facilities, etc. The monthly fee is calculated based on the carpet area and usually is in the $20-50 range.
Is there something like sinking fund / maintenance fee?
Yes, it is considered to cover maintenance and major repairs of common areas in the apartment complex. It is 2% of the sales price at it is paid just once.
How to pay bills for utilities?
Invoices for utilities are delivered by messengers to a door of the property each month. You can pay to them in cash in VND, use bank transfer or pay in their office. Services as TV and internet can be paid in advance.

 

  • Selling your property in Vietnam:
Can I sell a property to another foreigner?
Foreign purchasers can transfer pink book (or SPA) to any Vietnamese or foreigners provided that the foreigners are entitled to own residential property in Vietnam.
When i can sell a purchased property?
Before handover of the purchased property, foreign purchasers can sell it anytime by way of transfer of the Sale and Purchase Agreement (SPA) which is subject to the endorsement of the developer. Upon handover of the purchased property, the purchasers can’t sell a property only in the process of issuing of pink book. Afterwards you can sell it by transferring pink book.
Do i have any expenses if I decide to sell a property?
-If pink book has been issued, you pay personal income tax (PIT) from sale of your property. It is subject to 2% of the sales price (it is paid by you as a seller).
-If pink book has not been issued yet, the personal income tax depends on project and is up to 2%.
Can I transfer money abroad if I sell a property?
The law requires all payments from foreign purchasers to be made via a financial institution in Vietnam and the record made by this relevant financial institution is required for repatriation. If the tax from your profit has been paid in full, you are allowed to transfer money abroad (the variance between the amount paid via the financial institution and the total amount to be repatriated will be recognized as profit which shall be subject to income tax).
If I want to transfer my property to my parents / children / spouse / siblings, what is the procedure, do I have to pay tax?
Currently, tax laws in Vietnam allow income tax exemption in transfer between family members and we have not seen any tax regulation on different treatment for transactions between foreigners in this case.

 

  • Pink book:
What are charges and fees of issuance of the certificate of ownership (pink book)?
Registration tax 0,5% from sales price without TAX and administration fee for issuing pink book is about 3.000.000 VND (depends on project).
How long does it take to apply for the pink book?
As a gauge, it takes about 18 months from handover date.
What are the documents required for pink book submission?
The list of required documents is passport (with valid visa, TRC or PRC), Sale and Purchase Agreement (SPA), marriage certificate (if purchasers are married to vietnamese citizen or if foreigner married couple have both names in SPA).

 

  • Lease of your property:
Can I lease my property?
Yes, when a foreigner owns a legal property in Vietnam he can lease it with prior written notice sent to authority and he shall be self-responsible for taxes imposed on such lease.
Can I lease my property before I get pink book ?
Yes, you have all rights to do it with Sale and Purchase Agreement / Contract.
What taxes from profit I need to pay?
Taxes are 10% from your income and should be paid at the time your receive money based on lease contract.
Does the developer provide the service of leasing and management of my property purchase?
Yes, he does. We can help you to find and contact to developer’s agent. However, we are prepared to assist in lease and management of properties to our foreigner customers as well.

 

 

References:

Law No. 45/2013 / QH13 Land Law dated 29/11/2013 and related documents;
Law No. 47/2014 / QH13 on entry, exit, transit and residence of foreigners in Vietnam on 16/06/2014
Law No. 65/2014 / QH13 Housing Code dated November 25, 2014;
Law No. 66/2014 / QH13 on Real Estate Business dated November 25, 2014;
Decree 70/2014 / ND-CP guiding foreign exchange regulations
Decree No. 99/2015 / ND-CP dated 20/10/2015 detailing and guiding the implementation of housing law;
Circular No. 19/2016 / TT-BXD dated 30 June 2016 of the Ministry of Construction guiding the implementation of some contents of the Housing Law and Decree No. 99/2015 / ND-CP.
Circular 16/2014 / TT-NHNN and Circular 19/2014 / TT-NHNN guiding foreign exchange regulations.

 

Disclaimer: the Laws in Vietnam is subject to change by the local government. The reader is advised to consult with a professional/legal consultant before taking any action. Nha Trang Consultation Co., Ltd. does not accept or assume any responsibility for any damage or consequences as a result of the reader acting or ceases to act, upon such information contained in this FAQ.