Before you want to buy a Vietnam home, you need to know the buying process. You don’t want any surprises or hidden expenses, do you? That’s why it’s worth learning the whole process. I’ve developed a list of the top considerations while buying.
1. You have to buy a home in the local currency, the Dong.
This is the first and most crucial step. Are you contemplating a cash purchase, a home loan, or both? Due to the volatility of the Vietnamese dong, locals used to pay for real estate in gold. Now you may pay for real estate with the Vietnamese dong, one of the world’s most stable currencies.
2. Where in Vietnam do you want to buy a house?
If you are seeking a profitable property that will increase in value, then the rapidly developing neighborhoods of Ho Chi Minh City or Hanoi may be suitable as investments.
Da Nang or Nha Trang are wonderful choices for beach resorts to buy Vietnam home. Da Nang’s property values have grown dramatically recently, and the city is rapidly expanding.
Thousands of people visit Haiphong every day to experience one of Vietnam’s greatest attractions, Halong Bay.
3. Lawyer or real estate agent in Vietnam
I recommend employing a professional lawyer in Vietnam for significant deals and land purchases. The Vietnamese market is still relatively new to foreigners, therefore there may be some roadblocks.
But when buying apartments on the primary market, foreigners rarely utilize lawyers or brokers. Real estate developers like Novaland and CapitaLand focus on new condo buildings in Ho Chi Minh City and Hanoi. There are also many other foreign property developers in Vietnam who create buildings and residential complexes above international quality standards.
4. Make a down payment in Vietnam
Once your broker has found the project you like, you must pay a non-refundable VND 100 million (about $ 4,500) deposit. The deposit agreement specifies that the deposit can be paid by credit card or bank transfer.
The non-refundable deposit is usually VND 100 million, but this can vary depending on the contract design.
5. First installment payment
The buyer must pay the first installment within 14 days. They accept bank transfers. A contract must be signed after the first installment is paid. The contract’s other installments must be paid.
6. Sale contract (SPA)
Next, the foreign ownership rights document, the SPA, should be formed.
7. Service tax
Before completing the transaction, you must pay a service fee of 2%. In addition to the service cost, you must pay the operation tax (0.5%) a one-year advance fee.
8. Get the pink book
If the purchase and sale contract is already completed and you are aware of your financial commitments, you must submit the documentation for the pink book application.
Make the final payment within 14 days of obtaining the pink book. That’s it, you’re now a proud Vietnamese property owner.
I hope now you understand how to buy a Vietnam home. If you have any more questions, ask them in the comments section.