Joint Stock Auction Company No. 5 - National has just announced the suspension of the auction of 39 land plots on October 25 at the Technical Infrastructure Construction Project of the land auction land use rights in DG 31/2019 Yen Quan village, Tan Phu commune, Quoc Oai district (Hanoi). The auction was suspended at the request of Quoc Oai district.
Accordingly, Quoc Oai district will review, update and adjust the land use rights auction plan to ensure compliance with Decision No. 61/2024 of Hanoi People's Committee and current regulations.
The continuation of the auction will be carried out in accordance with the provisions of law and will be publicly announced when there is a decision from the competent authority. Those who purchase the documents and deposit money to participate in this auction will be refunded the amount paid according to the regulations.
According to the previous plan, the lots to be auctioned have an area of 78 to 114 square meters, all with a starting price of 4.7 million VND per square meter, corresponding to a deposit of 73 - 108 million VND per lot.
The news of the auction postponement comes as localities are taking drastic measures to rectify land auctions under the Government's direction.
Recently, the Hanoi People's Committee requested the City Police to consider professional measures to promptly detect violations of land auctions, and guide the People's Committees of districts, towns and cities to take measures to prevent violations of auction regulations from continuing to participate in auctions.
In addition, the police force needs to propose solutions to prevent and limit continued participation in auctions for those who have participated in auctions, paid unusually high prices to win auctions but did not pay the auction winning money as prescribed.
Dr. Tran Xuan Luong - Deputy Director of the Vietnam Institute for Real Estate Market Research and Evaluation - said that in order to prevent speculation and land price inflation through auctions, additional measures are needed, such as establishing an independent Land Auction Supervision Council, and at the same time applying and establishing additional policies on ceiling and floor prices. In case the floor and ceiling prices exceed the threshold, the auction will be canceled.
"There needs to be additional administrative regulations such as publicizing the purpose of purchase. If it is for living, it is necessary to provide declaration documents in the auction file such as proof of work, house construction plan, living plan, proof of source of funds to prevent money laundering. State management agencies need to issue more appropriate policies and decrees, closer to reality, only then can the real estate market stabilize" - Mr. Luong said.
Previously, also in this district, on October 13, the auction of land use rights for 54 plots of land in Son Trung village, Yen Son commune, Quoc Oai district (Hanoi) attracted 296 customers, with more than 1,000 participating applications.
The plots of land put up for auction range in area from 92.5 to 113.9 square meters. The total area of the 54 plots of land put up for auction is 5,160.6 square meters. The starting price of the first round was VND12.48 million/square meter. The auction ended at 1:30 a.m. on October 14, with the highest winning price being VND54,480,000/square meter, about 30% higher than the market price.
