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Villa for rent in Vietnam, Foreigners willing to spend millions of dollars to buy houses in Vietnam

A lot of expats in Vietnam have affirmed they will spend millions of dollars to buy houses here, denying the opinion that even if the government opens the real estate market to foreigners as proposed, this would not attract foreigners, who believe that the real estate price in Vietnam is overly high.

Analysts have noted that the foreigners demand for possessing houses in Vietnam has been increasing rapidly.

Philip, a Canadian citizen, who now works as an English teacher for a foreign language center in Hanoi, said he has been living in Vietnam for three years, but he still has not, allowed to buy a house in Vietnam.

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Philip now still lives in a 100 square meter apartment in the West Lake area which he leases from a Vietnamese landlord. The rent alone costs him $2,000 a month, or VND40 million.

“The real estate price in Vietnam has become very reasonable. A high end apartment is priced at US$100,000-200,000, or VND2-4 billion,” he said.

“It would be better for me to buy an apartment in Vietnam than living in a rent one,” he added.

Alexander, an US expat in Vietnam, said a lot of his friends complained that they cannot find stable accommodations, though they have been here in Vietnam for 5-6 years. Most of them are the engineers working for the projects which require senior experts.

Alexander himself finds it uncomfortable to live in rent houses in Vietnam. The rents are very high, about VND50-60 million a month for high end apartments, and VND20 million for lower quality ones. The Vietnamese landlords can regularly raise the rents or ask the tenants to leave as soon as they find better clients.

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A report by the Ministry of Natural Resources and the Environment showed that 427 foreigners had bought houses in Vietnam under the pilot program on allowing foreigners to possess houses by February 1, 2013, including 342 cases in HCM City. The figure proves to be too small if noting that there are 80,000 expats in Vietnam.

Lawyer Bui Quang Hung from the Bui Quang Hung & Associates Law Office, has confirmed that a lot of foreign subjects wants to buy houses in Vietnam. They include the expats who plan to work for long term in Vietnam under the contracts with domestic companies and international groups.

He also said that foreigners want to buy houses not only for their accommodations but for leasing for money as well.

Nguyen Van Minh, Director of the Phat Dat Real Estate Trading Floor, said some his foreign clients are seeking to buy high end apartments, priced at VND8-10 billion.

“They said they would pay in cash as soon as they receive the apartments. However, I told them I could not help, because they were not the ones allowed to possess houses in Vietnam,” Minh said.

The Ministry of Construction, lawyers and real estate firms have been of the same mind about the necessity of setting up a new policy on allowing foreigners to buy houses. Lawyer Hung said that the “open policy” would help attract a strong foreign cash flow to the real estate market, which would serve as a big capital source for Vietnam.

Expats enjoy low house rents in economic recession, Real estate hanoi Real estate hanoi / Da Nang real estate market: soon ripe soon rotten. Real estate hanoi. Danang, often cited as having the most beautiful beach on the planet, witnessed a remarkable surge in the development landlords have to lower the rents and offer more preferences to retain foreigners – the VIP clients who never delay their payment – in the context of oversupply.

A lot of Vietnamese have been living well over the last many, Vietnam law Vietnam law. Law on thrift practice featured in NA’s discussion. Vietnam law / The draft revised Law on Thrift Practice and Anti-wastefulness swept the agenda at the November 4 morning sitting by leasing houses or apartments to foreigners. In general, the houses or apartments for rent are the high grade ones with modern designs, luxurious interior decoration and good conditions. The clients are the foreigners who stay in Vietnam for a, Vietnamese translator Vietnamese translator. Translation centre to promote nation's literature. Vietnamese translator / The Viet Nam Writers' Association will launch a translation centre next month to help promote Vietnamese literature abroad. time and need accommodations for long term.

However, their business has been meeting big difficulties in the last two years due to the economic downturn which has led to the oversupply. In Quang An Ward of Tay Ho district, which is called the biggest “westerners village” in Hanoi, one can see the banners offering house rents hung in abundance at the entrance doors.

Villa for rent in Vietnam

Nguyen Van Binh, a broker of Fair Real Estate, a firm headquartered at No. 6 To Ngoc Van Street, said landlords all have to lower the rents because of the decrease in the number of clients and the increase of supply.

According to Binh, the rents have decreased by 20 percent in comparison with the same period of the last year.

Expats now can rent a one-bedroom apartment at $500-700 a month, while a 2-bedroom apartment at $800-1,500. The expats who rent houses in Quang An Ward are mostly diplomatic officers, English teachers, workers of foreign representative offices or workers at industrial zones.

Dang Van Hoi, Deputy Chair of the Quang An Ward Peoples Committee, said despite the economic recession, the number of people having valuable assets for rent still keeps increasing. It is estimated that 800 households here have rooms or houses for rent.

The households paid VND13.2 billion in tax from the business to the state budget in 2012, while the figure is expected to decrease to VND12.8 billion in 2013.

However, Hoi believes that the decreases are moderate if compared with the real estate market fall. The houses in Quang An ward are still in high demand, because it is located between the Red River and the West Lake, near the famous historical and cultural relics

[Apartment for rent in district 01 - blessingproperties - 120]

Meanwhile, a local landlord said he has been struggling to overcome the current difficulties. Not only having to reduce the rents, he has offered free room cleaning, security guard, car and motorbike keeping services to retain clients.

The global economic crisis has forced expats to tighten their belt. Instead of signing the contracts on leasing houses for one year, a lot of clients now only sign short term 3-6 month contracts only.

“Some of them have decided to rent narrower areas or asked to share rooms with others,” he said.

According to Binh from Fair Real Estate, the supply comes from three main sources 1) the apartments developed by households 2) the owners of the apartments at residential quarters such as Ciputra, Trung Hoa – Nhan Chinh, My Dinh – Song Da lease to foreigners and 3) the apartments provided by some enterprises specializing in developing apartments to lease to foreigners.

The economic recession has not only made the landlords suffer because of fewer clients, but also dealt a blow on real estate brokerage offices. Most of the offices can earn modest sums of money which is just