On November 11, at the November 2024 press conference, Deputy Director of Vinh Phuc Department of Construction Nguyen Van Ngoc informed that currently, in the province, there are 6 projects that have been built and put into use with 2,082 social housing units.
Recently, due to difficulties in project implementation, the impact of the epidemic, market demand, and legal problems in product sales, 4 social housing projects had to cease operations: Workers' housing area of Minh Duc Electronic Printing Company Limited; Social housing area in Ba Hien commune - Binh Xuyen; Low-income housing area in Dong Xuan ward of Dai Phat Production Trading Service Company Limited; Workers' housing area and Phoenix Town public service works of Fuchuan Company Limited.
In addition, Vinh Phuc currently has 8 social housing projects under construction with a land use scale of 65.19 hectares, a total of about 9,500 houses.
According to the Vinh Phuc Provincial Department of Construction, according to the Project to invest in building at least 1 million social housing apartments for low-income people and industrial park workers in the period of 2021 - 2030, Vinh Phuc must complete 28,300 social housing units.
The target in the above Project is very high, the responsibility is very heavy for Vinh Phuc province because the investment resources for social housing completely depend on enterprises.
Meanwhile, legal regulations related to social housing development have many problems.
Accordingly, social housing projects are exempted from land use fees, but land prices must still be determined to be exempted. The selling price and rental price of social housing must be appraised by state agencies, causing a long time; preferential policies for investors are not yet attractive (the profit margin is not more than 10% for houses for sale, 15% for houses for purchase); it is mandatory to reserve 20% of the floor area of the house for rent (after 5 years it can only be sold) while in reality the rental demand is low, leading to difficulty in recovering capital for investors... These problems have only recently been resolved.
To develop social housing, it is necessary to have a legal corridor and a clear and transparent process for implementing social housing projects, in accordance with State regulations, but must create conditions to attract investors.
The mechanisms, policies and legal regulations on social housing development need to be consistent with the economic development characteristics of each locality with the goal of providing land and premises to investors quickly, transparently and safely.
