Today, August 22, the National Assembly discussed in the hall the policy orientation for amending the Law on Real Estate Business.
Delegate Trinh Xuan An (Delegation of National Assembly Deputies of Dong Nai City) highly appreciated that the draft has amended many regulations on business conditions, project transfer procedures, electronic transactions, identification codes, account payments and building market information systems.
However, it is proposed that reform should not only be assessed by the number of procedures reduced, but more importantly, the time and actual costs that businesses and people have to spend to put a legal real estate into circulation.
Another issue that delegate Trinh Xuan An is particularly concerned about is real estate prices, speculation and market manipulation.
This is an issue that I have mentioned many times when discussing real estate market development policies" - the delegate said and said that it is necessary to clearly distinguish three issues such as investment, speculation and market manipulation.
According to the delegate of the Dong Nai City delegation, real estate investment is a normal and necessary activity of the market. It is not possible to consider it a behavior that needs to be banned because a person buys real estate with the expectation of increasing prices.
However, speculation becomes a problem when stockpiling, buying and selling, and using financial leverage at a large level distorts supply and demand, pushing real estate prices away from affordability and actual usage needs.
Market manipulation is even more dangerous, because here there are acts of proactively creating false signals about supply, demand or prices; circular transactions to create a price level; collusion in buying and selling to push prices up; creating fake scarcity; using brokers or false information about planning and projects to create waves, then selling them for profit" - delegate Trinh Xuan An said.
The draft has very important tools for prevention. However, the delegate said that a very important link is still missing. As a result, the draft has not clearly identified acts of manipulating the real estate market and has not established a mechanism to detect and handle these acts.
Therefore, delegate Trinh Xuan An proposed to study and supplement Article 6 on prohibited acts with acts of manipulating the real estate market.
At the same time, assigning the Government to stipulate identification criteria based on specific acts such as creating fake transactions, creating fake supply and demand, colluding to push prices, providing or spreading false information to impact prices and other intentional acts that distort prices, supply, and demand of the market.
The important thing is not to criminalize or ban normal investment activities, but to have tools to handle acts that intentionally distort the operation of the market.
