Vietnamese experts in construction have been discussing solutions to the difficulties currently facing the industry, in terms of housing development and the country’s wider real estate market.

The talks took place as part of a seminar held in the capital Hanoi last week.

Deputy Minister of Construction Nguyen Van Sinh said the seminar aimed to cement government policies and contribute to the completion of tasks assigned by the state.

Industry insiders learned about the opportunities and challenges plaguing the real estate market and were given the chance to outline recommendations for its stable development.

Sinh said his ministry has researched and submitted plans to Prime Minister Pham Minh Chinh for the issuance of a National Strategy on Housing Development through 2030, as well as amendments to the Law on Housing and Law on Real Estate Trading.

He told participants that the ministry has introduced many policies to ease some of the snags encountered by Vietnam’s real estate market.

These have encouraged and promoted the construction of social housing projects for workers and low-income earners, while boosting the renovation and reconstruction of old buildings, he said.

The ministry recently proposed credit packages of social housing projects for workers.

In addition, the ministry will also closely monitor the issuance of real estate corporate bonds to control and revise its policies to create a healthy and stable real estate market.

The ministry will also monitor the sources of finances poured into the real estate market, to avoid the risk of loans earmarked for production being used in real estate development.

The deputy minister noted that cities and provinces need to approve and promote the implementation of the housing development programme for 2021-2025 and the annual plans for housing development, in line with the Law on Housing.

Sinh also mentioned that localities must urgently review and shorten the time for consideration, approval and granting of housing and real estate development projects, providing they meet the requirements of the Construction Law.

They are also asked to enhance the development and supply of social housing for low-income earners in urban areas and industrial parks, and commercial housing for middle-income earners as well, he said.

Cities and provinces are required to take bold measures to manage and prevent the illegal allocation of land lots and strengthen control of real estate agencies and brokers who have caused disturbances in the market, Sinh emphasised.

Also at the seminar was Vietnam National Real Estate Association (VNREA) standing vice-chairman Nguyen Van Khoi.

Khoi noted that Vietnam’s real estate market has experienced shortcomings and setbacks for a long time.

He said real estate firms need to team up with industry insiders and the relevant ministries to help remove some of these obstacles to the development of the market.

During the fight against Covid-19, the government issued Resolution No 105/NQ-CP on supporting enterprises, cooperatives and business households, and Resolution 128/NQ-CP 2021 on Interim Regulation on safe and flexible adaptation to the pandemic.

The construction ministry has outlined a specific action plan to support businesses in the construction and real estate sectors, to keep the real estate market stable.

Khoi also said that the most important task was synchronising the amendments to the Law on Housing and Law on Real Estate Trading because real estate firms need a clear legal framework for housing development.

GP Invest chairman Nguyen Quoc Hiep said the real estate and construction sectors are closely linked together, and noted that construction firms are keen for solutions to hurdles in real estate development.

He said much attention should be given to Decree No 30/2021/ND-CP dated March 26, 2021, and Decree No 99/2015/ND-CP dated October 20, 2015.

Sharing Hiep’s view, VNREA deputy secretary-general Nguyen Van Dinh said the government should continue to review the applicable laws to avoid conflicts and barriers to the development of construction projects.

He suggested that to stabilise real estate transactions, information needs to be published concerning approved projects, land use plans and real estate projects allowed to be put on the market.

Dinh emphasised that it is time to make credit risk assessments for real estate development due to the recent land-buying frenzies.