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Vietnam real estate - Vietnam to promote apartments, restrict villa projects Vietnam's real estate market will continue to grow in the medium and long term, an official says

Vietnam is planning to require residential developers to earmark at least 80 percent of their project sites for apartments, Minister of Construction Nguyen Tran Nam said.

The requirement must be met before developers are allowed to build villas and townhouses, Nam told a meeting in Hanoi Thursday. The policy aims to increase the country's supply of homes to meet growing demand, he said.

Nam also announced that the government has approved the launch of a national housing fund that employees in the country will contribute to.

The fund works like a usual pension fund, allowing voluntary contributors to withdraw their money with interest of between 3 to 5 percent a year at their retirement. But the main purpose of the fund is to provide home loans to its contributors. Developers of low-cost housing projects are also eligible to borrow from the fund.

According to an estimate from the Ministry of Construction released early this year, there are around nine million employees on official payroll records and a small contribution of 1 percent of their monthly income would amount to a fund large enough to finance more housing projects.
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Hochiminh real estate Apartment in hochiminh Nam said Thursday that his ministry will also introduce new regulations to facilitate house rentals and to reduce the preference for home ownership.

Vietnam’s real estate market is going through a difficult time as both developers and homebuyers are finding it hard to raise funds due to credit restrictions.

Nam said the government has begun to, credit policies for the sector. Some banks have already resumed lending to affordable housing projects, he said, adding that VietinBank, for instance, just lent VND300 billion to a project developed by Vinaconex.

He said the local real estate market will continue to grow in the medium and long term.

By 2020 the country will need a total housing area of 2.5 billion square meters for a population of around 96 million. That means within this decade it has to add 100 million square meters of housing every year to meet that target, Nam said. Vietnam real estate loans grow 23.5 percent in 2010 Loans for the real estate sector were estimated to expand 23.5 percent in 2010

The central bank said on Friday that outstanding loans for the real estate sector expanded 23.5 percent in 2010, calling it an “acceptable” increase.

By the end of October real estate loans totaled VND224.8 trillion, up 22.1 percent from December 31 last year, the State Bank of Vietnam said in a statement on its website.

The growth was in line, 3d Architectural Rendering, a 23.87 percent growth for all loans over the same period.

The central bank said the quality of real estate loans was assured. Loans for financing profitable real estate projects were reviewed and approved promptly by banks, it said.

It also noted that the government-backed program to offer housing loans for poor and low-income people has been implemented with, 3D Walkthrough Animation, Real estate attracts foreign funds: 3D Walkthrough Animation The biggest real estate project in Ha Noi invested by Indonesia's Ciputra Group - 3D Walkthrough Animation results.”

The bank did not say how much money has been lent by the program. [3d architectural rendering - a2viz-com - 280] , Vietnam translation , Vietnamese law firm