After many years of working in Hanoi, Mr. Nguyen Trung Duc (Dong Trieu, Quang Ninh) has saved up nearly 1 billion VND. Mr. Duc's biggest dream is to have a small house to live with his wife in Hanoi.
At a time when real estate prices in Hanoi are increasing, 1 billion VND, although a large sum of money, is still not enough to buy a house in the central area. Mr. Duc consulted many real estate brokers and spent a lot of time looking for a suitable house. Every time he went to see a house, he felt discouraged because the price was too high, more than 3-4 billion VND.
"After many months of searching, a broker introduced me to a house segment in an alley built on interstitial land with a much cheaper price than other houses in the same area with similar areas. These houses in an alley built on interstitial land have prices that fit my budget. However, buying a house without full legal documents has many potential risks, so I did not pay," said Mr. Duc.
According to a survey by Lao Dong reporters, a house in an alley with an area of 21 square meters in Vinh Hung (Hoang Mai district) is being offered for sale at a price of 1.65 billion VND, equivalent to more than 78 million VND/square meter. According to the broker, this house is in a shallow alley near the city; it has 2 floors, 2 bedrooms and 2 bathrooms.
"The house is built on a piece of land but has paid all taxes, includes planning and has no disputes. The house will be traded in the form of a notarized document. If the deal is closed early, the owner will leave all the furniture and additional benefits" - this broker said.
Another house in an alley in Linh Nam area (Hoang Mai district) with an area of 40m2 built on interstitial land is being offered for sale at 2.7 billion VND. The house has just been repainted by the owner, has 2 floors, 2 bedrooms. Because it is built on interstitial land, this house is also being traded through the establishment of a notarized document.
Another house with an area of 30 square meters built on interspersed land in Bui Xuong Trach (Thanh Xuan district) is being offered for sale for more than 2.1 billion VND. The broker also informed the customer that the transaction will be done through the form of a notarized document.
According to Mr. Nguyen Ngoc Thang - a real estate broker in Hanoi - houses in alleys built on interstitial land are often priced half as low as those with full legal documents. These houses are often located near developed areas, convenient for transportation and living. However, interstitial land often does not have a red book or full legal documents, which can cause long-term problems. They can even be affected by construction planning, with the risk of land repossession.
"Therefore, despite the cheap price and good location, not many customers choose this segment. If you buy a house built on interspersed land, you should check and carefully learn about the land's legal status as well as local planning" - Mr. Thang shared.
