Real estate market recovers thanks to institutional reform

Lục Giang |

2025 recorded positive movements in the Vietnamese real estate market. A series of legal and institutional adjustments are being implemented and put into practice, creating a foundation for a more stable and sustainable market development.

Many important laws create conditions for businesses

Commenting on the developments of the real estate market, Mr. Nguyen Van Sinh - Deputy Minister of Construction - said that 2025 marks a remarkable turning point for the Vietnamese real estate market after a long period of silence. Many segments have gradually recovered, market sentiment is more stable, and the confidence of businesses and investors has gradually strengthened. In that general picture, social housing continues to be a "bright spot", contributing to ensuring social security and meeting the real housing needs of people.

Stepping into 2026, the focus of management agencies is to continue to remove backlog projects. According to initial assessments, out of more than 2,000 projects still facing obstacles, there are about 248 projects related to land; 479 projects facing legal regulations under the authority of the National Assembly; 208 projects under the handling authority of the Government, the Prime Minister and ministries and sectors.

About 1,104 problematic projects under the jurisdiction of localities related to land, investment, planning... will be guided by ministries and sectors for localities to remove obstacles. In addition, there are about 80 projects facing obstacles related to BT projects.

According to Mr. Sinh, many important laws such as the Land Law, the Housing Law, the Real Estate Business Law, and the Investment Law have been amended in the direction of reducing administrative procedures, reducing compliance costs, creating more favorable conditions for businesses, and at the same time strengthening decentralization and delegation of power to localities.

The Government has also proposed and been approved by the National Assembly in many resolutions to remove difficulties with breakthrough and typical mechanisms such as Resolution No. 201 on specific mechanisms and policies for developing social housing; Resolution No. 171 on piloting the implementation of commercial housing projects through land use right agreements; and Resolution No. 254 to remove obstacles in the process of implementing the Land Law.

To date, the whole country has 698 social housing projects being implemented with a scale of about 657,000 apartments; 193 projects have been completed and many other projects continue to be implemented. In 2026, the Government set a target to develop 160,000 social housing units to be put on the market, with an average price of about 20 - 25 million VND/m2. According to Deputy Minister Nguyen Van Sinh, this is a reasonable price compared to the current general level, helping people access it more easily.

Planning and institutional reform creates new impetus

Mr. Phan Duc Hieu - Standing Member of the National Assembly's Economic Committee - also said that a series of reforms from the Planning Law, the Investment Law to Resolution 254 are removing key bottlenecks, creating new momentum for the real estate market.

The most important highlight is the change in the Planning Law. According to the new spirit, an investment project cannot be stalled just because of conflicts or overlaps between types of planning.

Establishing the principle of protecting the continuity of the project not only helps businesses feel secure in deploying investment, but also forces management agencies to proactively review and adjust planning in a unified direction, instead of pushing risks to investors. When the legal corridor is clearer, compliance costs for businesses will decrease, thereby contributing to lowering product costs and increasing supply to the market.

From a macro perspective, Mr. Hieu emphasized that planning reform also has the meaning of stabilizing the investment environment. A market where projects can be "suspended" indefinitely for legal reasons will make it difficult to attract long-term capital flows, especially foreign investment capital. Legalizing the principle of not stopping projects due to planning conflicts is considered a strong message about Vietnam's commitment to improving the investment environment.

Lục Giang
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