Red Book vs. Pink Book in Vietnam: A Complete Guide for Property Buyers (2025 Update)

August 4, 2025

Key Takeaways

The Red Book confirms land use rights, while the Pink Book certifies ownership of residential properties and land-attached assets.
Foreigners can own buildings but not land; Pink Book ownership is limited and subject to quotas and lease terms.
The 2024 Land Law (effective 2025) introduces major updates to pricing, application procedures, and foreign ownership regulations.

Navigating Vietnam’s property market in 2025 requires more than just a financial investment—it demands legal clarity, procedural accuracy, and in-depth knowledge of the country’s evolving land ownership framework. At the heart of real estate ownership in Vietnam lie two critical legal documents: the Red Book and the Pink Book. Though frequently misunderstood, these two certificates play distinctly different roles in land and property transactions. For local and foreign buyers alike, understanding the nuances of each is fundamental to protecting property rights, avoiding legal pitfalls, and making informed decisions in an increasingly competitive real estate market.

In Vietnam, where all land is collectively owned by the people and managed by the state, ownership does not refer to the land itself but rather the right to use land and, in the case of constructed properties, the ownership of buildings and other land-attached assets. The Red Book, officially titled Certificate of Land Use Rights, is typically issued for undeveloped land, agricultural plots, and non-residential uses. It is the principal legal document that confirms the legal right of a person or entity to use a specific piece of land. On the other hand, the Pink Book, formally known as the Certificate of Land Use Rights and Ownership of House and Other Land-Attached Assets, not only confirms the right to use the land but also recognizes the ownership of physical structures built upon it—such as homes, condominiums, or commercial buildings.

With the implementation of Vietnam’s new Land Law 2024, effective from January 1, 2025, sweeping reforms have been introduced to bring state-issued land valuations closer to market prices, update ownership frameworks, and improve transparency in property transactions. These legal reforms also intersect with new regulations under the Enterprise Law 2025, which impose more rigorous beneficial ownership disclosure requirements—particularly relevant for foreign investors. These shifts make it more crucial than ever for buyers to understand which certificate applies to their situation, what rights each document confers, and how to comply with Vietnam’s increasingly regulated property environment.

Foreigners looking to invest in Vietnamese real estate must also understand the conditions under which they can be granted a Pink Book, the limits of foreign ownership quotas, and the implications of leasehold arrangements under Vietnam’s socialist land use regime. For domestic buyers, the distinction between Pink and Red Books is vital when transferring, inheriting, or using property as collateral. Moreover, the newly digitized application processes, the introduction of the e-ID requirement by July 2025, and the emergence of a new compact Pink Book format all signal a shift toward modernized but more tightly controlled real estate governance.

This comprehensive 2025 guide breaks down everything prospective buyers—local or foreign—need to know about the Red Book and Pink Book in Vietnam. It includes:

Detailed definitions and legal interpretations of both certificates
The latest procedures for applying, transferring, and verifying a Pink Book
Key differences between land use rights and property ownership
Legal roles of developers and government agencies in certificate issuance
Financial obligations, including taxes, fees, and maintenance costs
Land conversion pricing under the new land valuation framework
Critical risks, fraud scenarios, and how to conduct secure due diligence
Best practices for safe property investments under the 2025 regulatory landscape
Impact of infrastructure developments and urban sprawl on property values
Frequently asked questions addressing ownership limits, application timelines, and dispute resolution mechanisms

Whether you’re purchasing an apartment in Hanoi, a villa in Ho Chi Minh City, or investing in land in emerging urban centers like Da Nang or Binh Duong, this guide is your definitive resource for navigating the Vietnamese real estate legal framework. With real estate prices in major cities continuing to rise, land use reforms underway, and foreign investor interest at a record high, understanding the Red Book vs. Pink Book distinction is not just important—it is essential.

From legal definitions and ownership eligibility to application processes and future regulatory trends, this in-depth 2025 update is designed to empower buyers with clear, accurate, and SEO-optimised knowledge. Whether you’re a first-time buyer, seasoned investor, or legal consultant seeking clarity, this guide delivers a comprehensive breakdown to help you protect your investment and comply confidently with Vietnam’s property laws.

Red Book vs. Pink Book in Vietnam: A Complete Guide for Property Buyers (2025 Update)

Executive Summary
Understanding Property Titles in Vietnam: Red Book vs. Pink Book
Key Information Contained in the Certificate
Navigating the Legal Landscape: Key 2025 Updates
Revisions to the Housing Law 2023 and Real Estate Business Law 2023 (Effective 2025)
New Decrees and Circulars Affecting Property Transactions
The New Compact Pink Book (Circular 10/2024) and its Implications (Effective January 1, 2025)
Property Ownership Rights and Obligations for Buyers
Rights and Obligations for Vietnamese Citizens
Expanded Rights for Overseas Vietnamese (Viet Kieu)
Specific Conditions and Limitations for Foreign Individuals
The Process of Obtaining a Property Title (Pink Book)
- Step-by-Step Application Procedure
- Required Documents for Submission
- Typical Timelines for Issuance
Role of Developers and Government Agencies
Financial Considerations: Fees, Taxes, and Market Dynamics
Land Use Fees and the New Annual Land Price Table (from 2026)
2025 Real Estate Market Outlook
Risks, Challenges, and Best Practices for Buyers
Understanding and Addressing Potential Land Disputes
Navigating Regulatory Ambiguity and Bureaucratic Processes
Recommendations for Secure Property Investment in Vietnam

1. Executive Summary

Overview of Vietnam’s Real Estate Ownership Structure (2025)

Vietnam’s property sector in 2025 continues to evolve amid a backdrop of legal reform, infrastructure expansion, and increasing foreign interest. The country’s land ownership model remains uniquely socialist:

Collective Land Ownership: All land is owned collectively by the people, with the State acting as the official administrator.
Property Rights Concept:
- Buyers obtain Land Use Rights (LURs), not ownership of the land itself.
- Ownership applies only to structures and assets attached to the land (e.g., houses, apartments, buildings).
This foundational distinction significantly shapes the documentation process and legal framework for property transactions.

Red Book vs. Pink Book: Key Definitions and Differences

The terms “Red Book” and “Pink Book” are informal, yet widely used, to describe two critical types of property ownership documents in Vietnam. However, their definitions and usage have evolved over time.

Historical Perspective

Document Type	Common Name	Official Name	Color	Issuing Authority	Primary Use
Land Use Right Certificate	Red Book	Giấy chứng nhận quyền sử dụng đất	Red	Ministry of Natural Resources & Environment	Confirms land use rights only
House & Land Ownership Certificate	Pink Book	Giấy chứng nhận quyền sở hữu nhà ở và quyền sử dụng đất ở	Pink	Ministry of Natural Resources & Environment	Confirms ownership of both land-use rights and the property built on it

Post-2009 Unification of Certificates

Since July 2009, a single certificate format is issued:
- Titled: “Certificate of Land Use Rights, Ownership of Residential House and Other Land-Attached Assets”
- Referred to in practice and this guide as the “Pink Book”
Purpose:
- Streamlines administrative processes
- Consolidates land-use and property ownership into one legal document

Legal Reforms Shaping Property Ownership in 2025

The legislative landscape underwent sweeping changes following the introduction of three pivotal laws:

Legal Instrument	Name	Effective Date	Key Objectives
Land Law 2024	Luật Đất Đai 2024	Jan 1, 2025	Abolish land price brackets, modernize LUR issuance
Housing Law 2023	Luật Nhà Ở 2023	Jan 1, 2025	Expand housing ownership rights, especially for foreign entities
Real Estate Business Law 2023	Luật Kinh Doanh Bất Động Sản 2023	Aug 1, 2024 (partial), Jan 1, 2025 (full)	Enhance transparency and reduce market fraud

Key Implications for Property Buyers

Greater Legal Clarity: Certificates now carry more precise definitions of ownership rights.
Improved Transparency:
- Mandated public access to land pricing frameworks.
- Annual updates to local land valuation tables.
Foreign Buyer Accessibility:
- Eased restrictions for Overseas Vietnamese (Viet Kieu) and certain foreign-invested enterprises (FIEs).
- Expanded eligibility for property purchases in select projects.

Market Outlook: 2025 Trends and Opportunities

Vietnam’s property market outlook remains cautiously optimistic:

Growth Drivers

Strong GDP Expansion: Vietnam’s projected GDP growth exceeds 6.5% in 2025, bolstering investor confidence.
Accelerated Infrastructure Investment:
- Mega projects (e.g., Long Thành Airport, North-South Expressway) stimulate land value growth.
Legislative Modernization:
- Reduction in legal friction encourages long-term capital inflows.

Challenges Persist

Soaring Urban Prices: Major cities like Ho Chi Minh City and Hanoi continue to experience steep price hikes.
Affordable Housing Gap: Supply remains insufficient to meet growing middle-class demand.

Why Understanding the Pink Book Matters for Buyers in 2025

The Pink Book is now the definitive legal proof of real estate ownership in Vietnam, especially in light of the 2024–2025 legal reforms.

What the Pink Book Confirms

Land Use Rights (limited in time and scope, depending on buyer status)
Ownership of residential structures
Legal transferability of property
Eligibility for mortgage, inheritance, and sale

Buyer Scenarios Table

Buyer Type	Can Hold Pink Book?	Duration of Land Use Rights	Notes
Vietnamese Citizens	Yes	Indefinite	Full property rights
Overseas Vietnamese (with Vietnamese nationality)	Yes	Indefinite	Must meet eligibility under Housing Law
Overseas Vietnamese (non-citizens)	Yes (with conditions)	50 years (renewable)	Restricted to designated projects
Foreign Individuals	Yes (with conditions)	50 years (renewable)	Must buy from eligible commercial projects
Foreign-Owned Enterprises	Yes	50 years (renewable)	Subject to investment approval

Conclusion: A More Transparent and Predictable Environment for Property Investment

In 2025, Vietnam’s real estate market is entering a new era of regulatory convergence and investor alignment. The shift toward a unified Pink Book system, coupled with broader legal reforms, reflects a national commitment to improving governance in property rights.

For Local Buyers: The Pink Book secures long-term property interests and simplifies asset management.
For Foreign Investors: Legal reforms reduce historical risks, making Vietnam a more viable destination for real estate investment.
For Developers: Unified documentation processes streamline transactions, reduce disputes, and support financing.

As Vietnam continues to modernize its property sector, understanding the nuances of the Pink Book system is critical for all buyers navigating this high-growth yet complex market.

2. Understanding Property Titles in Vietnam: Red Book vs. Pink Book

Historical Foundations and the Evolution of Property Title Terms

The terminology of “Red Book” and “Pink Book” continues to hold sway in Vietnam’s real estate discourse, though both are informal, color-based references rather than official legal classifications.

Origin of the Terms

Red Book:
- Officially: Certificate of Land Use Rights (Giấy chứng nhận quyền sử dụng đất).
- Purpose: Primarily issued for land use rights, often applicable to agricultural, rural, or undeveloped land.
- Issued by: Ministry of Natural Resources and Environment (MONRE).
- Common Use: Recognized for denoting land rights without associated residential structures.
Pink Book:
- Officially: Certificate of House Ownership and Land Use Rights (Giấy chứng nhận quyền sở hữu nhà ở và quyền sử dụng đất ở).
- Purpose: Represented house ownership and land use rights in urban environments.
- Issued by: Ministry of Construction.
- Common Use: Used widely in the context of urban residential properties, including apartments and townhouses.

Key Historical Differences: Red Book vs. Pink Book

Feature	Red Book (Pre-2009)	Pink Book (Pre-2009)
Primary Focus	Land Use Rights	House Ownership + Land Use Rights
Coverage	Agricultural & Rural Land	Residential Property
Issuing Authority	MONRE	Ministry of Construction
Document Color	Red	Pink
Property Type	Land-only	Land + Structures

Post-2009 Integration: The Emergence of the Unified Pink Book

In an effort to streamline Vietnam’s property registration system, the government enacted reforms that unified both documents.

The Unified Certificate Explained

Official Title: Certificate of Land Use Rights, Ownership of Residential Houses, and Other Assets Attached to Land.
Introduced: 2009.
Issuing Authority: Now solely administered by the Ministry of Natural Resources and Environment (MONRE).
Informal Name: Continues to be called the “Pink Book” in daily usage across real estate markets.

Scope of the Modern Pink Book

Covers both:
- Legal Land Use Rights (LURs)
- Ownership of physical structures on that land (residential buildings, apartments, villas, etc.)
Applicable for:
- Vietnamese citizens
- Overseas Vietnamese (with eligibility)
- Foreign individuals and entities (under certain legal conditions)

Legal Relevance of the Unified Pink Book in 2025

As of 2025, the Pink Book remains the central legal instrument validating property rights in Vietnam. It is essential for confirming ownership, safeguarding legal rights, and protecting buyers in an increasingly active real estate market.

Legal and Practical Significance

Establishes Ownership Rights:
- Land use rights (long-term or renewable depending on buyer profile)
- Residential and commercial structures
Enables Legal Transactions:
- Sale, transfer, mortgage, inheritance, lease, and gifting of property
Required for:
- Bank loans secured by real estate
- Resale transactions
- Dispute resolution in courts

Comprehensive Document Contents

Full owner identification
Land plot boundaries and location
Structural details of buildings
Historical ownership and changes
Notarized records of legal transfers and adjustments

Risk Mitigation Tool

Contains a “Changes after issuance” section:
- Documents all modifications in ownership, structure, or legal status.
- Acts as a transparent legal history of the asset.
Helps reduce real estate fraud:
- Prevents agent scams
- Identifies overlapping or fraudulent sales

Common Confusion Among Buyers: A Lingering Terminology Issue

Despite the official unification of property documents, the dual terms Red Book and Pink Book continue to circulate in both public discourse and informal transactions.

Potential Misunderstandings

Foreign and first-time buyers may mistakenly assume:
- That both Red and Pink Books are still separate documents.
- That land and property rights must be obtained through two distinct titles.
Consequences of Misinterpretation:
- Misguided due diligence processes.
- Missed investment opportunities.
- Incomplete or incorrect document verification.

Best Practices for Real Estate Stakeholders

For Real Estate Agents and Lawyers:
- Clearly communicate the unified nature of the Pink Book.
- Educate buyers about the historical context but emphasize current legal standards.
For Buyers:
- Request the unified Pink Book (post-2009 issuance).
- Verify that the document includes both land use and ownership rights.
- Scrutinize the “Changes” section for transparency and historical consistency.

Legal Document Comparison Matrix (2025 Edition)

Legal Title	Informal Name	Status in 2025	Issuing Body	Scope	Usage Today
Certificate of Land Use Rights	Red Book	Discontinued (pre-2009)	MONRE	Land-only	Historical reference only
Certificate of House Ownership + Land Use	Pink Book	Discontinued (pre-2009)	Ministry of Construction	House + Land	Historical reference only
Unified Certificate	Pink Book	Current and Legally Valid	MONRE	Land Use + House + Land-Attached Assets	Actively used since 2009

Conclusion: A Legal Framework Modernized for Transparency and Investor Protection

In 2025, Vietnam’s property title system is far more centralized, accessible, and investor-friendly than ever before. The unified Pink Book represents a critical pillar in ensuring the legal clarity, transactional integrity, and historical transparency of real estate ownership.

Key Takeaways for Buyers

The Pink Book is the sole, comprehensive property ownership certificate in Vietnam.
It consolidates all previous functions of the Red and Pink Books into one legally enforceable document.
Proper understanding of this unified certificate is essential for:
- Conducting due diligence
- Avoiding legal pitfalls
- Safeguarding long-term investment value

As Vietnam’s real estate sector continues to modernize, mastering the distinctions and realities behind its property title system is essential for both local and foreign participants in the market.

3. Key Information Contained in the Certificate

Anatomy of the Pink Book: What Buyers Need to Know

The Certificate of Land Use Rights and Ownership of Houses and Other Land-Attached Assets—widely referred to as the “Pink Book”—is the most authoritative legal document for property ownership in Vietnam. It consolidates land-use rights and property ownership into a single, state-issued title.

Physical Structure of the Pink Book

Composed of four pink pages (primary contents), with any supplementary pages printed in white
Issued exclusively by the Ministry of Natural Resources and Environment (MONRE)
Universally recognized for all land-attached residential and commercial properties

Breakdown of Each Page: Section-by-Section Analysis

Understanding each component of the Pink Book is critical for evaluating the legal status and transactional clarity of any real estate asset.

Page 1: Titleholder Information and Certificate ID

Contains legally binding ownership identity:
- Full name(s) of the titleholder(s)
- National ID or company registration details
Displays the Certificate Serial Number:
- Format: Two uppercase letters + six digits
- Embossed in black ink
- Acts as a unique national property identifier
Identifies the date and place of issuance

Page 2: Property, Land Use, and Ownership Rights

This section presents comprehensive data about the land parcel, its intended use, and the property built upon it.

Land Details

Cadastral Reference:
- Parcel number and map sheet code
- Officially recorded with the local land registry
Full Address:
- Includes house number, street, neighborhood, ward/commune, district, city/province
Size and Form of Use:
- Land area (in square meters, rounded to 0.1 m²)
- Categorized by:
  - Private Use
  - Common/Shared Use
Usage Classification:
- Agricultural vs. non-agricultural
- Residential, commercial, or mixed-use zoning
Duration of Rights:
- Either “Long-term” or with a specific expiration date
Source of Rights:
- Whether land was:
  - Allocated by the State with/without land use levy
  - Leased by the State
  - Inherited or transferred

Construction and Asset Information

Type of Property:
- Individual house, villa, apartment unit, shophouse, etc.
Technical Specifications:
- Construction area
- Number of floors and total usable floor area
Ownership Form:
- Sole ownership, joint ownership, or collective (e.g., in apartment buildings)
Grade of Housing:
- Classified by national standards (Grades I–IV)
Ownership Tenure:
- Indefinite or with expiry (especially in leasehold cases)

Page 3: Property and Land Diagrams + Legal Update Section

This page is a critical visual and legal reference.

Land and Asset Diagrams

Scaled diagram of the land parcel
Diagrams for buildings or other land-attached assets (e.g., garages, fences)
Spatial boundaries marked with dimensions and orientation

“Changes After Issuance” Section

Serves as the legal audit trail of the property
Logs:
- Ownership transfers
- Land subdivision or consolidation
- Change of land use purposes
- Legal disputes or judgments
- Mortgage registration or termination
Advisory: Buyers should examine this section thoroughly for risk indicators (e.g., recent disputes or unresolved transfers)

Page 4: Certificate Authentication and Digital Integration

Contains official barcode for document authentication
Barcode linked to national property database, allowing:
- Digital verification
- Fraud detection
- Simplified notarial and administrative processes

Why the Pink Book Is Indispensable in 2025: Strategic Value for Property Buyers

The Pink Book is far more than a title—it is a foundational legal safeguard, financial instrument, and market enhancer for any real estate transaction in Vietnam.

Legal Security and Ownership Protection

Confirms exclusive legal rights to land use and structures
Protects buyers against unauthorized claims or state disputes
Necessary for legal enforcement in court cases or arbitration proceedings

Increased Marketability and Resale Value

Properties with Pink Books:
- Are more attractive to buyers and banks
- Command higher resale values
- Are easier to finance through banks and credit institutions

Streamlined Property Transactions

Transaction Type	With Pink Book	Without Pink Book (e.g., SPA only)
Resale	Direct between seller & buyer	Must involve developer or intermediary
Mortgage	Eligible	Not accepted by banks
Lease	Fully authorized	Often restricted
Inheritance	Recognized legally	May face court validation
Gift/Donation	Easily registered	Complex and often disputed

Greater Autonomy for Owners:
- No need for third-party authorization
- Fewer procedural delays

Vital for Long-Term Investment Strategy

Investors seeking capital appreciation and legal security prioritize Pink Book-certified properties
Essential for:
- Foreign buyers adhering to regulatory frameworks
- Overseas Vietnamese protecting overseas-held assets
- Developers seeking funding or joint venture partnerships

Powerful Legal Tool in Disputes

When land disputes arise—whether with neighbors, developers, or government entities—the Pink Book:
- Acts as primary evidence
- Validates all previously recorded transactions
- Helps owners avoid forfeiture or financial loss

Visual Summary: Legal Value of the Pink Book vs. Alternatives

Legal Feature	Pink Book	Sale & Purchase Agreement (SPA)	Construction Permit
Confirms Ownership	✅	❌	❌
Recognized in Court	✅	❌	❌
Enables Bank Loan	✅	❌	❌
Required for Resale	✅	⚠️ (with developer)	❌
Includes Asset Diagram	✅	❌	⚠️
Ownership Duration Shown	✅	❌	❌
Tracks Ownership History	✅	❌	❌

Final Perspective: Navigating Vietnam’s Real Estate Market Through Proper Documentation

In the evolving 2025 landscape of Vietnamese real estate, the Pink Book has emerged as the non-negotiable legal foundation for property ownership. It combines transparency, administrative clarity, and legal robustness, making it indispensable for serious investors, homebuyers, and financial institutions.

Recommendations for Buyers

Always insist on viewing the original Pink Book, not just copies.
Validate its authenticity via the land registry or notary office.
Cross-check all entries, especially the “Changes After Issuance” section.
Avoid purchasing real estate based solely on SPAs unless working directly with a reputable developer who guarantees title issuance.

In short, the Pink Book is your best protection against legal ambiguity, market risks, and ownership uncertainty in Vietnam’s fast-growing real estate environment.

4. Navigating the Legal Landscape: Key 2025 Updates

Vietnam’s 2025 Real Estate Legal Reform: A Turning Point for Property Ownership

The year 2025 represents a landmark period in Vietnam’s property market evolution. With the enactment of several major legislative reforms—particularly the Land Law 2024—the country is actively transitioning toward a more transparent, equitable, and investor-aligned legal framework. These reforms are intended to eliminate systemic ambiguities, promote lawful land use practices, and ensure land valuation methodologies are aligned with market realities.

Overview of the Land Law 2024: Key Legal Updates for Property Buyers

Effective from January 1, 2025, the Land Law 2024 replaces the long-standing Land Law No. 45/2013/QH13. This newly enacted legislation delivers transformative legal updates that directly impact the issuance, value, and legal enforceability of the Pink Book (Vietnam’s unified property ownership certificate).

Expanded Land Use Rights for Overseas Vietnamese (Viet Kieu)

The Land Law 2024 introduces broader legal access for the global Vietnamese diaspora, facilitating easier property ownership and investment.

Eligibility Expansion:
- Overseas Vietnamese with Vietnamese nationality are now granted comparable land use rights as local citizens.
Limitations:
- Mortgage rights remain restricted; land can only be mortgaged to Vietnamese-authorized credit institutions.
Implication:
- Encourages capital repatriation from overseas Vietnamese communities.
- Strengthens the Pink Book’s relevance as an accessible legal instrument for global Vietnamese investors.

Land Valuation Overhaul: Abolishment of “Two-Price” System

Vietnam’s real estate market has long suffered from a dual pricing system, wherein state-issued land prices diverged significantly from market values. The Land Law 2024 aims to eliminate this inefficiency.

Key Changes in Valuation Framework

Removal of Central Price Brackets:
- Previous state-imposed price “brackets” are abolished.
Introduction of Annual Land Price Tables:
- Each provincial People’s Committee must publish an updated land price table annually.
- First new tables will be implemented from January 1, 2026.

Impacts on Property Buyers

Accurate Compensation:
- Enhances transparency in cases of land recovery.
- Aligns land use fees and compensation payments with market conditions.
Refined Tax Calculations:
- More predictable pricing models improve real estate tax estimations.
Improved Valuation for Pink Book Properties:
- Enables Pink Book holders to benchmark asset value closer to real-time market rates.

New Mechanism for Land Rent Payments

Land Law 2024 introduces flexibility in rent payments for certain users, significantly improving cash flow dynamics for individuals and organizations.

Payment Terms & Stability

Category	Before 2025	After Land Law 2024
Payment Method	Lump-sum required	Annual installments allowed
Rent Adjustment Cycle	Unstable	Fixed every 5 years
Reference Value	Old static pricing	Based on latest provincial land price table

Applicable Entities:
- Vietnamese citizens
- Overseas Vietnamese
- Foreign-invested enterprises
Strategic Value:
- Enhances the affordability of acquiring Pink Book-certified land.
- Reduces entry barriers for long-term leasehold ownership models.

Transparency in State Land Recovery: Redefined Standards

Government-led land expropriations have long been a contentious issue due to inconsistent compensation practices and weak transparency. The 2024 law addresses this by introducing stricter criteria and procedural safeguards.

Updated Expropriation Provisions

Recovery must serve public interest:
- Permissible only for essential socio-economic development projects.
Resettlement First Principle:
- Displacement cannot occur before relocation arrangements are complete.
Compensation at Market Rates:
- Aligned with land price tables and not outdated state pricing.

Impact on Buyers and Developers

Minimizes legal disputes.
Increases security of investment for Pink Book holders, especially in urban development zones.

Formalization of Informally Held or Untitled Land

Vietnam has historically struggled with undocumented land use, particularly in rural or semi-urban areas. The new legal framework acknowledges this challenge and seeks to offer resolution.

New Provisions for Certificate Issuance

Eligible Untitled Land:
- Land without existing Pink or Red Books.
- Land within project boundaries.
- No active disputes or illegal construction.
Result:
- Enables issuance of new Pink Books for qualifying parcels.
- Legally recognizes long-term informal occupation.

Strategic Benefit

Vastly increases the number of legally certifiable properties.
Unlocks real estate liquidity and access to financing for rural landowners.

Dispute Resolution via Domestic Arbitration

To relieve pressure from the overloaded court system and improve contract enforcement, the Land Law 2024 legalizes domestic arbitration as a valid dispute resolution mechanism.

Key Highlights

Arbitration Panels:
- Can now legally handle land-related and Pink Book disputes.
Faster Resolution:
- Bypasses traditional litigation delays.
Improved Investor Confidence:
- Recognized as a World Bank indicator for contract enforcement and ease of doing business.

Practical Application

Encourages private settlement of developer-buyer disputes.
Strengthens enforceability of real estate contracts.

Summary Table: Key Land Law 2024 Updates Affecting Pink Book Holders

Reform Area	Before 2025	After Land Law 2024	Effect on Pink Book
Land Use Rights for Overseas Vietnamese	Restricted	Equal to citizens (with minor exceptions)	Increased foreign ownership eligibility
Land Pricing	Dual pricing (state vs. market)	Unified pricing via annual provincial tables	More accurate valuation for certified properties
Rent Payment	Lump-sum	Installment + 5-year stability	Greater affordability for Pink Book leaseholders
Expropriation Rules	Unclear and inconsistent	Stricter criteria + compensation clarity	Enhanced legal protection for owners
Untitled Land Legalization	Difficult to certify	Eligible if undisputed and within projects	More properties qualify for Pink Book issuance
Dispute Resolution	Courts only	Arbitration recognized	Faster legal outcomes and stronger contract integrity

Conclusion: Reinforcing the Legal Backbone of Vietnam’s Real Estate Market

The implementation of the Land Law 2024 marks a significant leap forward in modernizing Vietnam’s real estate governance. For buyers, developers, and investors—particularly those seeking or holding the Pink Book—these legal reforms enhance certainty, strengthen ownership rights, and ensure greater alignment with global real estate standards.

Greater foreign participation in property ownership through streamlined Pink Book eligibility.
Elimination of outdated valuation mechanisms that distorted compensation and taxation.
Higher transparency and legal protection in land recovery, especially relevant for high-growth urban zones.
New pathways to legalization of informal landholding, transforming inherited or undocumented assets into bankable, secure properties.
Alternative dispute channels that encourage faster, fairer, and more cost-effective resolutions.

Together, these reforms elevate the Pink Book from a bureaucratic formality to a dynamic legal asset, empowering property owners with clearer rights, broader flexibility, and enhanced investment security.

5. Revisions to the Housing Law 2023 and Real Estate Business Law 2023 (Effective 2025)

Introduction to the 2025 Legal Transition

Vietnam’s real estate regulatory environment is undergoing a comprehensive transformation with the Housing Law 2023 and Real Estate Business Law 2023, both coming into full effect on January 1, 2025 (with some early provisions of the latter effective from August 1, 2024). These legislative upgrades are designed to:

Increase transparency in property transactions
Standardize contractual practices
Safeguard investor interests
Enhance the legal clarity of real estate ownership, particularly around the issuance and transfer of the Pink Book (Certificate of Land Use Rights and Ownership of Houses and Other Land-Attached Assets)

Expanded Scope of Recognized Real Estate Products

The Real Estate Business Law 2023 now reflects the evolving diversity of Vietnam’s property market by broadening the legal classification of real estate assets.

Inclusions Under the New Law

Vertical Real Estate Assets:
- Legally recognizes “separate floor areas” such as:
  - Office floors
  - Retail space segments (e.g., kiosks, stalls)
  - Commercial podium units within larger buildings
Full-Scale Projects:
- Enables legal transactions involving entire real estate developments or complexes
Mixed-Use Units:
- Better classification of buildings with both residential and non-residential functions

Legal Implications

Ensures legitimacy of partial-unit transactions, which had previously operated in a grey zone
Enhances the applicability of Pink Book issuance to a wider range of real estate formats
Improves investor confidence by clearly identifying asset types eligible for title certification

New Regulations on Off-Plan Sales: Investor Protections Strengthened

Off-plan (pre-construction) property transactions have been a hallmark of Vietnam’s fast-growing housing sector, but also a source of buyer risk. The 2023 law introduces firm guardrails.

Key Revisions for Off-Plan Property Transactions

Transaction Element	Before 2025	After Real Estate Business Law 2023
Deposit Agreement Value	Often exceeded 10%	Capped at 5% of the total contract price
Price Transparency	Not always disclosed	Price must be clearly stated in the deposit contract
Contractual Intermediaries	Developers often authorized third parties	Third-party authorization is prohibited
Payment Linked to Title	Payment often front-loaded	Additional 5% of price deferred until Pink Book issuance

Benefits for Buyers

Limits upfront financial exposure to just 5% of the total contract value during early stages
Ensures developers cannot delegate signature authority to unauthorized agents or brokers
Strengthens the link between payment and title acquisition, improving compliance and reducing delays
Buyers retain leverage by holding back final payment until they receive the Pink Book, protecting them against:
- Developer bankruptcy
- Project delays
- Incomplete title processing

Foreign Ownership of Pink Books: Revised Duration and Extension Policy

The Housing Law 2023 (Article 20) clarifies the legal tenure available to foreign individuals and organizations wishing to acquire Pink Book-certified properties in Vietnam.

Ownership Duration for Foreigners

Initial Term:
- Foreign nationals can legally own property for a maximum duration of 50 years
Extension Provision:
- One-time extension allowed, up to another 50 years
- Subject to compliance with specific legal conditions at the time of extension application

Eligibility Criteria

Must continue to meet conditions outlined in relevant real estate and investment legislation
Must apply for the extension prior to expiration of the existing ownership period

Legal Effect on Pink Book Status

Pink Book remains valid throughout the ownership period
Upon approval of the extension, the Pink Book is updated with the revised expiration date
Failure to extend ownership will result in reversion of rights to the State or mandatory sale to eligible domestic buyers

Matrix: Summary of Key Impacts from the 2023 Laws on Pink Book Ownership and Use

Reform Area	Pre-2025 Practices	Post-2025 Legislation	Strategic Outcome for Buyers
Real Estate Asset Types	Limited to land, houses, condos	Expanded to floor units, kiosks, full projects	More diverse assets eligible for Pink Book
Deposit Agreements	Often unregulated, high-value	Capped at 5%, price disclosure mandatory	Financial risk reduced in off-plan purchases
Pink Book-linked Payment	Final payment not always contingent	5% payment deferred until Pink Book issuance	Incentivizes timely delivery of legal title
Foreign Ownership Duration	50 years, unclear extension	50 years + 1 extension (≤ 50 years)	Greater clarity and certainty for foreign buyers
Third-Party Sales Agents	Permitted by developers	Prohibited for signing deposit contracts	Reduced risk of misrepresentation or fraud

Implications for Investors, Developers, and Real Estate Professionals

These reforms are poised to reshape Vietnam’s real estate landscape by creating a more structured and investor-friendly legal environment.

For Buyers

Greater legal clarity and security when purchasing off-plan properties
Wider array of certifiable properties, allowing more customized investment portfolios
Assurance that payments correspond to tangible legal milestones (e.g., issuance of Pink Book)

For Developers

Must comply with stricter transaction protocols
Required to deliver full legal transparency during the sales process
Likely to face increased scrutiny regarding Pink Book issuance timelines

For Real Estate Agents and Brokers

Cannot serve as signing agents in deposit contracts unless legally appointed via strict procedures
Must provide accurate legal information about property classification and title status
Will need to adapt to enhanced legal requirements in client communication and risk disclosure

Conclusion: Toward a Safer, More Transparent Real Estate Market in 2025

With the combined enforcement of the Housing Law 2023 and Real Estate Business Law 2023, Vietnam’s real estate legal infrastructure is transitioning to match international standards of title security and contractual accountability. For both local and foreign investors, the legal environment is now better structured to:

Safeguard financial interests during property transactions
Ensure compliance and punctual issuance of the Pink Book
Legitimize a wider range of real estate assets
Protect long-term ownership rights for foreigners within clearly defined parameters

These developments underscore the central role of the Pink Book in 2025—not only as a property title but as a legal anchor for transparency, investor confidence, and regulatory alignment across Vietnam’s fast-evolving real estate market.

6. New Decrees and Circulars Affecting Property Transactions

Beyond major legislative acts such as the Land Law 2024 and Housing Law 2023, Vietnam’s regulatory structure is being shaped by a series of detailed decrees and circulars. These instruments operationalize broader legal reforms, fine-tune administrative procedures, and drive digital transformation across the property sector.

For buyers—especially those pursuing Pink Book certification—these regulatory refinements are pivotal in understanding the full legal landscape surrounding real estate acquisition, registration, and digital compliance.

Decree No. 75 (Effective April 1, 2025): Facilitating Pilot Commercial Housing Projects

Purpose & Scope

Pilot Mechanism: Targets commercial housing development via direct land-use agreements with the State.
Legal Barriers Addressed:
- Simplifies procedures for land recovery, allocation, leasing, and land-use conversion.
- Aims to revitalize stalled housing supply and promote urban real estate investments.
Pilot Duration:
- In effect until March 31, 2030, providing a medium-term testing window for regulatory efficiency.

Implications for Property Buyers

Enables developers to secure land use rights faster, leading to quicker issuance of Pink Books post-completion.
Increases supply of certified housing stock, particularly in urban and peri-urban areas.
Improves transparency of project ownership and land entitlement pathways.

Decree No. 87/2025/ND-CP (Effective April 11, 2025): Temporary Land Rental Reductions

Key Provisions

Offers a 30% reduction in annual land rental fees for the calendar year 2024.
Applies to eligible land users, including certain enterprises and individuals with approved land use rights.

Strategic Relevance

Provides financial relief for property holders navigating economic challenges.
Enhances affordability of land-leased projects, particularly for:
- Commercial developments
- Manufacturing properties
- Institutional real estate

Impact on Pink Book Holders

Properties with leasehold land basis may see reduced operational costs, enhancing investment returns.
Encourages continued compliance with lease payments, safeguarding Pink Book validity.

Decree No. 154/2024/ND-CP (Effective January 10, 2025): Digital Transformation in Residence and Property Data

Core Objectives

Implements provisions of the revised Law on Residence.
Promotes the use of online platforms for residency declarations.
Encourages integration with national digital ID and address databases.

Benefits for Real Estate Processes

Reduces reliance on physical documentation in property transactions.
Streamlines identity verification for Pink Book issuance.
Enhances the credibility of property-linked information for both buyers and sellers.

SEO Keywords Integration

Vietnam real estate digitalisation, residence registration and Pink Book, online property transactions Vietnam

Decree No. 69/2024/ND-CP (Effective July 1, 2025): Mandatory Digital Identity for Enterprises and Foreigners

Digital Identity Compliance Framework

User Category	Requirement	Account Type	Condition
Domestic Enterprises	Register e-ID Vietnam account	Organizational digital ID	Mandatory for online transactions
Foreign Nationals	Obtain Level 2 VNeID account	Individual digital ID	Requires valid legal residence documents

Expected System Implementation

Nationwide rollout targeted for August 19, 2025.
Registration expected to be digitally facilitated via government portals.

Implications for Property Market Stakeholders

Required for:
- Online Pink Book applications
- E-signing of property contracts
- Filing taxes and registering assets
Potential complications for foreign buyers unless legal residence status is secured in advance.

Investor Advisory

Foreign investors seeking property ownership under Pink Book jurisdiction should begin the residency verification and e-ID application process well ahead of property purchase.

Decree No. 19/2025/ND-CP: Special Procedures for Investment in Economic and High-Tech Zones

Investment-Focused Provisions

Applies to:
- High-tech parks
- Strategic industrial zones
- National economic corridors
Introduces streamlined investment licensing and land use procedures to attract large-scale capital.

Real Estate Impact

Prioritizes rapid issuance of land use rights certificates and Pink Books for qualifying investors.
Allows for site-specific development of mixed-use and industrial properties.
Likely to boost property values and facilitate long-term ownership certainty in designated zones.

Quick-Reference Summary: Impact Matrix of New Decrees on Property Ownership & Pink Book Issuance

Decree	Effective Date	Key Feature	Pink Book Relevance	Strategic Outcome
Decree 75	Apr 1, 2025	Pilot housing via direct land-use agreements	Simplifies entitlement → Pink Book issuance faster	Stimulates new supply
Decree 87	Apr 11, 2025	30% rental reduction for 2024	Reduces land costs for leasehold properties	Financial incentive for buyers
Decree 154	Jan 10, 2025	Online residence registration	Streamlines personal data validation	Faster documentation for Pink Book applications
Decree 69	Jul 1, 2025	Digital identity mandate	Required for e-transactions and e-certification	Necessary for foreigner access to Pink Book
Decree 19	2025 (TBD)	Special investment procedures	Facilitates land rights & title in tech zones	Accelerates high-value project deployment

Conclusion: How Supplementary Regulations Enhance the Pink Book Ecosystem

While the Pink Book remains the cornerstone of property ownership validation in Vietnam, these newly enacted decrees and circulars play a critical enabling role in:

Clarifying legal pathways for land acquisition and project development
Reducing bureaucratic friction in title processing and verification
Encouraging digital transformation to improve security and efficiency
Lowering financial barriers for eligible investors through tax and fee relief

Collectively, these reforms contribute to a more transparent and responsive property rights environment—positioning the Pink Book as not only a static certificate, but a dynamic legal instrument backed by evolving, investor-friendly policy frameworks.

7. The New Compact Pink Book (Circular 10/2024) and its Implications (Effective January 1, 2025)

Overview: Circular 10/2024 and the Transition to a New Format

From January 1, 2025, Vietnam’s Ministry of Natural Resources and Environment (MONRE) mandates a newly designed version of the Certificate of Land Use Rights and Ownership of Houses and Other Land-Attached Assets—commonly known as the Pink Book. This update, codified in Circular No. 10/2024/TT-BTNMT, introduces a more compact certificate format to align with the country’s broader ambitions for administrative digitalization and streamlined land governance.

Structural Changes in the New Pink Book Format

Key Modifications Introduced

Feature	Previous Pink Book	2025 Compact Pink Book
Physical Layout	Four-page booklet (with optional white appendices)	Two-sided single sheet
Update Fields	Ample space for multiple post-issuance changes	Limited space for only 3–4 updates
Mortgage Documentation	Allowed A4 Appendix for mortgages	Appendix discontinued
QR Code	Not included	Now included for digital verification

Implications of the Compact Format

The certificate now has significantly reduced space for recording modifications post-issuance, such as:
- Transfers of ownership
- Changes in land use purposes
- Mortgages or releases of encumbrances
After three to four updates, the certificate becomes ineligible for further annotations and must be replaced entirely.

Administrative Consequences for Property Owners

Increased Frequency of Certificate Replacement

Owners must apply for a new Pink Book after limited changes, potentially increasing:
- Administrative delays
- Property re-measurement requirements
- Notarial and transaction costs

Impacts on Mortgage Transactions

Discontinuation of the A4 appendix means:
- Banks can no longer attach separate mortgage documentation
- Removing a mortgage from the Pink Book will likely necessitate full reissuance
- Increased turnaround time for updating property status

Market Feedback and Stakeholder Concerns

Many existing property owners have expressed reluctance to adopt the new format due to:
- Perceived inefficiency and lack of flexibility
- Preference to retain older certificates for ease of multiple updates
The new format introduces a more cumbersome process for high-frequency investors or developers transacting multiple times on a single asset

Digitalisation Feature: Introduction of QR Codes

Purpose of the QR Code

Embedded QR code stores:
- Certificate serial number
- Land parcel details
- Owner’s legal rights and asset status

Benefits of QR Integration

Enables quick digital verification of certificate authenticity
Enhances transparency and traceability for real estate regulators and buyers
Supports online property databases as Vietnam transitions toward e-government platforms

Limitations and Transitional Challenges

Despite its digital orientation, the Pink Book still remains physically limited in:
- Capacity for manual updates
- Compatibility with legacy banking and land registry systems
Stakeholders may experience short-term disruptions as Vietnam phases in supporting systems for:
- Digital land registries
- Online Pink Book management platforms
- Real-time mortgage tracking

Table: Comparison of Administrative Impact – Old vs. New Pink Book

Category	Traditional Pink Book	2025 Compact Pink Book	Observations
Mortgage Documentation	Supported via A4 appendix	Not supported	Increases need for reissuance
Modifications Allowed	Typically 8–10 updates	Maximum 3–4 updates	Limited lifespan of certificate
Reissuance Requirements	Less frequent	More frequent	Higher administrative burden
QR Integration	None	Mandatory	Aligns with digitalisation goals
Stakeholder Reception	Neutral to positive	Cautious to negative	Mixed market feedback

Strategic Recommendations for Property Buyers and Investors

For Domestic Buyers

Consider using older Pink Books, if legally permissible, for frequent update scenarios
Anticipate additional time and cost if planning to use property as mortgage collateral

For Foreign Investors

Ensure alignment of legal residence documents to support:
- QR-based verification systems
- Digital title validation
Monitor implementation of digital services to prepare for full e-governance compliance

For Real Estate Professionals

Educate clients on:
- The implications of limited update space
- The necessity of timely QR verification
Develop internal systems for tracking certificate changes and guiding reissuance protocols

Conclusion: Efficiency vs. Functionality in Vietnam’s Title Reform

The 2025 update to Vietnam’s Pink Book format, under Circular 10/2024, is emblematic of the government’s push toward a modernized, digital-first property management system. While the inclusion of a QR code represents meaningful progress toward transparency and real-time data access, the physical limitations of the compact certificate may hinder user experience in the short term.

This evolution underscores a fundamental tension between Vietnam’s vision of streamlined digital governance and the practical realities of title administration. As legal frameworks and IT systems mature, stakeholders must navigate a transition period that blends innovation with legacy process adaptation—all while ensuring compliance and maintaining the integrity of real estate transactions tied to the Pink Book.

8. Property Ownership Rights and Obligations for Buyers

Fundamental Nature of Land Ownership in Vietnam: A Civil-Law Based Framework

Vietnam’s real estate system operates under a civil law model, distinctively shaped by its socialist legal foundations. Unlike common law jurisdictions that typically allow for private freehold ownership of land, Vietnam enforces a unique principle of collective land ownership.

Core Principle of Land Ownership

All land in Vietnam is constitutionally owned by the “entire people”, with the State acting as the sole manager and representative.
Accordingly, private individuals and organizations cannot own land outright but may instead be granted Land Use Rights (LURs).

What Are Land Use Rights (LURs)?

Land Use Rights refer to the legally sanctioned ability to:
- Use land for specific purposes (e.g., residential, commercial, agricultural)
- Possess rights of transfer, lease, inheritance, and mortgage under regulated conditions
These rights are formally documented via the Certificate of Land Use Rights and Ownership of Houses and Other Land-Attached Assets—commonly known as the Pink Book.

From Theory to Practice: How Land Use Rights Operate Like Ownership

Despite the absence of fee simple ownership in law, the actual rights conferred through LURs closely mirror private ownership in functional terms, particularly for urban residential and commercial real estate.

Key Market-Like Functions of LURs

Transferability: LURs can be bought, sold, or transferred to other individuals and legal entities, both domestic and (in specific cases) foreign.
Mortgage Rights: Property owners with valid Pink Books may use the underlying land use rights as collateral for loans from licensed Vietnamese banks.
Capital Contribution: LURs can be contributed as equity capital to business ventures, including real estate joint ventures and corporate holdings.
Leasing: Users of land—particularly with leased land on an annual basis—may sublease both the land use rights and any constructed property attached.

Expanded Legal Capabilities Under the Land Law 2024

The Land Law 2024, effective from January 1, 2025, has significantly enhanced the functionality of LURs by introducing clearer and more flexible regulatory frameworks.

Major Enhancements Introduced

Recognition of Contractual Land Leasing Rights:
- For land allocated on a renewable annual lease basis, users are now permitted to transfer or sublease rights contractually, along with any attached buildings or structures.
Creation of a Functional Land Rights Marketplace:
- These changes solidify Vietnam’s secondary market for land use rights, increasing liquidity and making LURs highly tradeable.
- The law essentially brings LURs closer to de facto private ownership, especially in commercial real estate sectors.

Comparative Matrix: LURs vs. Freehold Ownership (Common Law Systems)

Criteria	Vietnam’s Land Use Rights (LURs)	Freehold Title (Common Law)
Legal Ownership of Land	No (State-owned)	Yes (privately held)
Transferable	Yes, under regulated conditions	Yes
Inheritable	Yes	Yes
Mortgageable	Yes (with Pink Book)	Yes
Time Limit	Varies (often long-term or renewable)	Unlimited (unless specified)
Capital Contribution Allowed	Yes	Yes
Foreign Ownership	Limited and conditional	Often unrestricted in many jurisdictions

The Role of the Pink Book in Property Ownership Rights

The Pink Book is the central document that legally certifies the existence of LURs and ownership of land-attached assets (e.g., houses, buildings). Without it, property rights lack enforceability in Vietnam’s legal system.

Legal Functions of the Pink Book

Proof of LUR allocation by the State
Confirmation of ownership of buildings or constructed infrastructure
Eligibility for property transactions, including sale, mortgage, and inheritance
Precondition for obtaining construction permits, leasing approvals, or title upgrades

Why It Is Indispensable for Buyers

Ensures legal protection of buyer rights
Allows for access to bank financing through asset-backed lending
Required for transferring property to heirs or corporate entities
Acts as a safeguard in land dispute resolutions

Legal Obligations Accompanying Ownership Rights

Property buyers must also understand their ongoing legal obligations under Vietnam’s land regime, as conferred through the Pink Book.

Key Responsibilities of LUR Holders

Compliance with Land Use Zoning:
- Usage must align with the stated purpose (e.g., residential vs. agricultural)
Timely Payment of Financial Obligations:
- Includes land use fees, land taxes, and administrative service charges
Avoidance of Land Misuse or Abandonment:
- The State retains the right to reclaim land if the user violates conditions or leaves it unused beyond a prescribed duration
Filing of Updates:
- Any change in ownership, structure, or use purpose must be registered with the land registry authority and noted in the Pink Book

Key Takeaways for Property Buyers in Vietnam (2025 Onward)

The absence of private land ownership does not prevent buyers from enjoying strong legal rights under the LUR system.
With a valid Pink Book, property holders can effectively operate as owners, enjoying:
- Legal certainty
- Transactional flexibility
- Security of tenure
Understanding the legal landscape, particularly the difference between nominal State ownership and practical market usage, is critical to navigating Vietnam’s property market successfully.

9. Rights and Obligations for Vietnamese Citizens

Overview: Constitutional Framework for Domestic Land Users in Vietnam

In Vietnam, land is regarded as a collective national asset, under the management of the State on behalf of all people. While private ownership of land is constitutionally prohibited, Vietnamese citizens are granted full land use rights, which are legally recognized and enforceable through the issuance of the Pink Book (Certificate of Land Use Rights and Ownership of Houses and Other Land-Attached Assets).

These rights, deeply rooted in both constitutional and statutory law, empower citizens to act as functional owners of land and property, with broad authority over its use, transfer, and financial application.

Methods for Acquiring Land Use Rights (LURs)

Vietnamese citizens may obtain LURs through multiple channels:

Direct State Allocation:
- With land use fee: Generally applicable to residential or commercial land granted to individuals.
- Without land use fee: Usually granted for socio-political or agricultural purposes.
Recognition of Existing Lawful Use:
- Applies where citizens have used land continuously and legally without formal documentation, allowing retrospective formalization under certain conditions.
Land Transfer on the Open Market:
- LURs may be acquired via sale, inheritance, gifting, or capital contribution, provided that the transferor holds a valid Pink Book.

Scope of Rights Granted to Vietnamese Citizens

Holders of valid LURs and Pink Books are entitled to an extensive suite of rights akin to private ownership in practice.

Legal Rights Granted to Citizens

Right	Description
Transferability	Sell or transfer land use rights through notarised contracts
Lease/Sublease	Lease land or sublease both land and attached property
Mortgage	Use land rights and property as collateral for bank loans
Inheritance	Pass LURs to heirs under inheritance law
Donation	Gift land rights and property to individuals or organisations
Capital Contribution	Use LURs as equity in joint ventures, companies, or cooperatives
Renovation/Construction	Develop or alter structures in accordance with zoning laws

These rights can only be exercised within the bounds of designated land use purposes, which are defined in the Pink Book and governed by zoning and planning regulations.

Household Land Use Rights: Shared Ownership Structure

In Vietnam, land use rights may also be issued in the name of a household, rather than a single individual. This is a unique legal arrangement that has important implications for transactions and dispute resolution.

Key Characteristics of Household LURs

Collective Right of Use:
- All individuals named in the household registration book at the time of certificate issuance are recognized as co-users.
- Spouses, if married at the time, also share these rights.
Consent Requirement for Transactions:
- Any sale, transfer, lease, mortgage, or donation involving household land requires written consent and signatures from:
  - All household members aged 15 years or older
  - Any additional spouse(s) named on the certificate
Legal Implication:
- Transactions conducted without unanimous consent may be deemed legally invalid, subject to challenge or reversal.

Practical Transaction Advice

Legal due diligence must verify:
- The list of registered household members on the certificate
- The age and marital status of each individual
- Proper notarization and approval from all eligible parties during the transaction

Comparative Table: Individual vs. Household LURs

Criteria	Individual LUR	Household LUR
Certificate Holder	One person	Entire registered household
Consent for Transactions	Only the named holder	All members aged ≥15 must agree
Spousal Rights	Only if named	Automatically included if married at issuance
Administrative Simplicity	Easier to process	More complex and time-consuming
Risk of Dispute	Lower	Higher if internal family conflict exists

Legal Obligations of Vietnamese LUR Holders

Alongside these rights, Vietnamese citizens are also bound by legal obligations associated with their land use, particularly in ensuring compliance with land management policies and protecting the State’s oversight role.

Key Responsibilities Include:

Using land for the approved purpose (e.g., residential, commercial, agricultural)
Timely payment of land-related financial obligations, such as:
- Annual land taxes
- Land use fees
- Administrative charges
Registering all changes in ownership or structure with the local land registration office
Avoiding illegal construction, encroachment, or misuse, which may result in penalties or land reclamation
Participating in land recovery processes if the State reclaims land for public interest projects, with fair compensation

Conclusion: Empowered Yet Regulated Ownership for Vietnamese Citizens

Vietnamese citizens, while not landowners in the traditional legal sense, are effectively empowered to act as owners under the robust LUR framework. With a valid Pink Book, they gain access to a comprehensive set of property rights that underpin their participation in Vietnam’s dynamic real estate market.

Whether acquiring land individually or through a household, buyers must be aware of their legal entitlements, procedural responsibilities, and potential limitations, particularly in the context of shared use or evolving regulatory reforms. Proper documentation, thorough due diligence, and legal compliance remain essential pillars for any transaction involving land and property in Vietnam.

10. Expanded Rights for Overseas Vietnamese (Viet Kieu)

Strategic Legal Reform: Equal Land Rights for Viet Kieu with Vietnamese Nationality

Under the transformative Land Law 2024, which officially came into force on January 1, 2025, Vietnam has enacted one of the most significant reforms in its real estate legislation by granting expanded land use rights to Overseas Vietnamese (Viet Kieu) who possess Vietnamese nationality.

Key Legislative Intentions

Remove long-standing legal ambiguities surrounding Viet Kieu land ownership rights.
Encourage direct participation in the real estate market without the need for local proxies or joint ownership structures.
Unlock a new wave of foreign capital from the global Vietnamese diaspora into the domestic housing sector.

Land Use Rights Granted to Viet Kieu with Vietnamese Citizenship

Viet Kieu who have retained or reinstated Vietnamese nationality now enjoy nearly identical land-related rights as citizens residing in Vietnam.

Core Land Use and Property Rights

Right to purchase residential properties (houses, villas, apartments) with full Pink Book issuance.
Right to lease or lease-purchase houses and land-attached assets with the ability to execute contracts directly.
Right to inherit or receive land use rights as gifts from relatives or third parties under civil law.
Right to lease land from the State or from other individuals/entities for both residential and investment purposes.
Right to mortgage land use rights and houses for credit or loan purposes through Vietnamese financial institutions.
Right to contribute land-attached assets as equity capital into real estate or corporate investment projects.
Right to collect land rental payments, enabling passive income generation through property leasing.

Additional Legal Privileges

Eligible to hold long-term or perpetual use rights for residential land, depending on zoning classification.
May participate in off-plan property purchases (subject to new Real Estate Business Law 2023 provisions).
Access to Pink Book issuance without intermediary requirements or local co-ownership clauses.

Comparative Matrix: Rights of Viet Kieu vs. Domestic Citizens

Legal Right	Viet Kieu with Vietnamese Nationality	Domestic Vietnamese Citizens
Purchase of Residential Property	✔ Yes	✔ Yes
Lease State-Owned Land	✔ Yes	✔ Yes
Mortgage Property	✔ Yes (with licensed banks)	✔ Yes
Inherit or Receive LURs as Gift	✔ Yes	✔ Yes
Capital Contribution Using Land	✔ Yes	✔ Yes
Transfer or Sale of LURs	✔ Yes	✔ Yes
Land Rent Payment Installments	✔ Yes	✔ Yes
Pink Book Ownership	✔ Yes	✔ Yes
Right to Use Land as Individuals	✔ Yes	✔ Yes

Limitations: Viet Kieu Without Vietnamese Nationality

It is crucial to distinguish between Viet Kieu with Vietnamese nationality and Viet Kieu of Vietnamese origin without Vietnamese nationality. The latter group, while still recognized under Vietnam’s housing laws, faces a more constrained legal environment:

Key Limitations for Non-Citizen Viet Kieu

May only purchase property in approved commercial housing projects (as per Housing Law 2023).
Subject to ownership quotas: up to 30% of units in an apartment block or 10% of houses in a residential project.
Cannot own land directly; can only own houses attached to LURs, with land use rights held in leasehold form.
Typically granted a 50-year land use term, renewable upon request and compliance with applicable regulations.

Economic and Market Implications of the Policy Shift

The government’s strategic aim behind expanding rights for Viet Kieu with nationality is to unlock new capital flows and broaden participation in the real estate market.

Key Objectives Behind the Reform

Enhance liquidity in the property market, especially in tier-1 and tier-2 cities.
Tap into the emotional and financial connections of the 5.3+ million-strong Vietnamese diaspora.
Facilitate greater transparency and formalization of Viet Kieu-owned properties.
Reduce reliance on proxy ownership or informal arrangements, which often exposed buyers to legal risks.

Conclusion: A New Era for Overseas Vietnamese Property Investment

The implementation of the Land Law 2024 marks a watershed moment for Viet Kieu property rights. By aligning their legal standing with that of domestic citizens, the government is actively encouraging investment from abroad while also bolstering legal clarity and procedural ease.

Viet Kieu with Vietnamese nationality now have the legal foundation to invest confidently and independently, with full access to the Pink Book and the market mechanisms that define Vietnam’s evolving real estate ecosystem. However, clear distinctions remain for non-citizen Viet Kieu, necessitating careful legal review before initiating property acquisitions.

11. Specific Conditions and Limitations for Foreign Individuals

Overview of Legal Framework for Foreign Buyers in Vietnam

In Vietnam’s civil law property regime, foreign individuals are not permitted to own land outright due to the constitutional principle that all land belongs collectively to the people and is uniformly managed by the State. However, they are permitted to own buildings and lease land use rights (LURs), subject to conditions set forth under the Housing Law 2023, Land Law 2024, and Real Estate Business Law 2023, as updated for 2025.

Eligibility Criteria for Foreign Individuals

To legally acquire residential property in Vietnam, foreign individuals must meet strict statutory qualifications:

Legal Entry Documentation: Must possess a valid passport, entry visa, or temporary residence card.
Legal Capacity: Must have full legal civil capacity under Vietnamese law.
Exclusion of Immunity: Individuals with diplomatic or consular immunity are not permitted to engage in property transactions.
Non-Restricted Zones: The property must not be located in a zone designated for national defense or security.

Permissible Property Types for Foreigners

Foreign buyers are only allowed to acquire residential real estate within licensed commercial housing development projects.

Types of Property Foreign Individuals May Own:

Condominiums (apartment units) within licensed projects.
Detached homes, villas, or townhouses within a gated development project (limited quota).
Secondary market properties with valid Pink Book or SPA (Sale and Purchase Agreement).

Ownership Duration, Land Rights & Limitations

Category	Details
Land Ownership	Not permitted; foreigners lease land-use rights from the State.
Building Ownership	Permitted for 50 years (renewable once, max 100 years total).
Pink Book Access	Granted for eligible purchases; issued post-completion by Ministry of Natural Resources.
Inheritance Exception	In restricted cases, must transfer to an eligible party or sell.
Spouse of Vietnamese Citizen	May be eligible for permanent ownership.

Foreign Ownership Quotas in Housing Projects

The Vietnamese government imposes quantitative ceilings to maintain market balance and protect national interests.

Property Type	Ownership Cap for Foreigners
Condominium Units	Up to 30% of total units in a single apartment building.
Landed Housing	Max 10% of units in a project OR 250 units per ward.
Defense Zones	Prohibited; No foreign ownership allowed.

Ownership Pathways and Transaction Models for Foreign Buyers

Direct Purchase via Pink Book

Issued once construction is complete and full payment is made.
Confers ownership rights over the property (not land).
Requires notarized SPA, residency documents, and compliance with quota rules.

Sale and Purchase Agreement (SPA)

Common interim ownership form in off-plan or primary market purchases.
Valid for up to 50 years (renewable); registered with the project developer.
Transferable to other foreign or Vietnamese individuals.
Pink Book application usually handled post-handover with developer assistance.

Long-Term Lease Agreement (LTL)

Used when foreign individuals are ineligible for SPAs or Pink Book.
Grants exclusive rights to use the property for up to 50 years.
Lease terms include conditions for renewal, use, and sublease rights.
Recognized as a transferable right, enabling subleasing or assignment.

Indirect Ownership via Foreign-Invested Enterprises (FIEs)

A frequently used mechanism among experienced foreign investors is the establishment of a Vietnamese legal entity, such as a Foreign-Invested Enterprise (FIE), enabling broader and more flexible access to real estate.

Advantages of Investing via FIE

No personal ownership quotas apply—FIEs can own large-scale assets.
Eligible to lease land directly from the State or receive LURs as capital contribution.
Permitted to develop, lease, transfer, or operate real estate projects.
Allows use of property for business operations, not just residential use.

Feature	Foreign Individuals	FIE (Company Setup)
Own Condos	✔ Yes	✔ Yes
Own Land-Use Rights	✘ No	✔ Yes (Lease/Contribution)
Own Commercial Assets	✘ Limited	✔ Yes
Bypass Quotas	✘ No	✔ Yes
Use for Business Purposes	✘ Residential only	✔ Yes

Strategic Considerations for Foreign Buyers

Challenges

Financing: Vietnamese banks seldom extend long-term mortgage loans to foreigners.
Exit Strategy Limitations: Resale markets can be constrained by quota saturation or policy shifts.
Due Diligence Required: Legal reviews are essential to avoid restricted zones or quota violations.

Opportunities

Strong Market Growth: Vietnam’s urban real estate remains undervalued compared to regional peers.
Rental Yield Potential: High demand in key cities like Ho Chi Minh City and Hanoi.
Legal Clarity in 2025: Recent reforms improve transparency and reduce title risk.

Conclusion: A Controlled Yet Expanding Opportunity

While foreign property ownership in Vietnam remains carefully regulated, recent legislative reforms have clarified, streamlined, and expanded access under defined legal parameters. Foreign individuals who meet the eligibility criteria and navigate the appropriate ownership channels—whether through Pink Book, SPA, LTL, or corporate structures—can successfully participate in one of Southeast Asia’s most promising real estate markets.

However, due diligence, quota tracking, and understanding the legal boundaries between land-use rights and building ownership are crucial to making informed, risk-mitigated investments.

12. The Process of Obtaining a Property Title (Pink Book)

A. Step-by-Step Application Procedure

Acquiring the Certificate of Land Use Rights and Ownership of Houses and Other Land-Attached Assets—commonly known as the Pink Book—is an essential legal procedure for formalizing property ownership in Vietnam. This title is not merely symbolic; it serves as the definitive evidence of land use rights and house ownership under Vietnamese law. The process is regulated, document-heavy, and requires strict adherence to government procedures.

Step-by-Step Procedure for Acquiring a Pink Book

The issuance process is governed by national and local regulations and applies to both first-time registrations and transfers following property purchases.

Stage 1: Preparation and Submission of Application Dossier

Who submits: The individual, household representative, or authorized party.
Where to submit:
- Commune-level People’s Committee (ward, commune, or township where property is located).
- District-level Land Registration Office or the One-Stop Shop designated by the Provincial People’s Committee.
Application Dossier typically includes:
- Sale and Purchase Agreement or contract.
- Certificate of construction completion (for newly built homes).
- Personal identification documents.
- Proof of financial transactions related to the purchase.
- Site map and land measurements certified by authorized agencies.

Stage 2: Receipt and Verification of Dossier

The receiving authority must:
- Log the application into the cadastral administration system.
- Issue a formal receipt for the applicant.
In case of invalid documents:
- The applicant must be notified within three working days.
- Clear instructions must be provided on how to correct or supplement the dossier.

Stage 3: Administrative Review and Financial Settlement

Verification Process:
- The Land Registration Office evaluates the application, conducts site inspections (if necessary), and verifies ownership history and legal compliance.
Applicant’s Financial Responsibilities:
- Land use fees
- Registration fees
- Certificate issuance fees
Upon issuance of a payment notice, the applicant must:
- Pay the total amount within the stipulated time.
- Retain official receipts as proof for final verification.

✅ Tip: Delays in fee payment can stall the issuance process indefinitely, so timely financial settlement is critical.

Stage 4: Certificate Issuance and Delivery

Issuance Decision:
- Made by the district-level People’s Committee.
- The Land Registration Office updates cadastral records and confirms ownership.
Delivery Process:
- The Pink Book is either:
  - Handed directly to the applicant at the Land Office, or
  - Sent to the commune-level authority if that was the original receiving point.
What the Applicant Receives:
- The official Pink Book (Certificate of Land Use Rights and House Ownership).
- A copy of the original application dossier for personal records.

Standard Timeline for Pink Book Issuance

Process Phase	Estimated Duration (Working Days)
Dossier Submission & Receipt	1 – 3
Document Verification & Review	10 – 30
Financial Settlement & Verification	3 – 5
Certificate Issuance & Delivery	7 – 15
Total Estimated Time	21 – 53 Days

Note: Timelines vary by province, administrative efficiency, and project type. Fast-track options may apply in certain localities.

Financial Cost Matrix: Typical Fees (2025 Estimated)

Fee Type	Residential Property	Commercial/Investment Property
Land Use Rights Fee	0.5% – 1% of land value (varies by location)	As per valuation council decision
Registration Fee	VND 100,000 – 500,000	Higher based on property class
Certificate Issuance Fee	VND 50,000 – 100,000	Up to VND 500,000
Notarization & Legal Fees	Varies by transaction size	Varies

Important Considerations for Foreign Buyers

Foreign individuals can only be granted a Pink Book for permitted properties (condos or certain landed homes within commercial projects).
All property taxes and fees must be settled in the foreign buyer’s name to ensure compliance with ownership regulations.
Incomplete Pink Book applications may delay or void transaction rights, especially if legal residency requirements are not met.

Key Challenges and Practical Tips

Issue	Risk Level	Recommended Action
Incomplete Dossier	High	Use a licensed legal service or local law firm
Delayed Tax Payment	Medium	Pay fees within the timeframe noted in the notice
Title Discrepancies	High	Conduct thorough due diligence on ownership history
Overlapping Land Use Rights	Medium	Verify cadastral maps and encumbrances

Conclusion: Legitimising Property Rights Through the Pink Book

Securing the Pink Book is a crucial legal milestone in the property acquisition journey in Vietnam. It not only establishes the rightful use and ownership of real estate assets but also enables future transactions, including leasing, selling, mortgaging, and inheritance.

In 2025, with the government’s push for digitisation, transparency, and legal reforms, the process has become more structured but still requires meticulous compliance with regulatory procedures. Whether domestic or foreign, prospective buyers should prioritise this process as the foundation of a secure and verifiable property investment in Vietnam.

B. Required Documents for Submission

Understanding the documentation requirements for the Certificate of Land Use Rights and Ownership of Houses and Other Land-Attached Assets—commonly referred to as the Pink Book—is critical for property buyers in Vietnam. The application process hinges on the completeness and accuracy of submitted paperwork, which varies slightly between domestic applicants, overseas Vietnamese, and foreign nationals.

The required dossier must satisfy both legal formalities and evidentiary standards, as outlined in Vietnam’s current Land Law 2024, Decree 43/2014/ND-CP, and subsequent guidance.

Document Checklist for General Applicants (Vietnamese Citizens & Domestic Households)

Application Form:
- Must follow Template No. 04a/DK, the official state-issued format for requesting land use and ownership certificates.
Financial Compliance Documentation:
- Receipts confirming the completion of all financial obligations, including:
  - Land use fees
  - Registration fees
  - Certificate issuance fees
- If exemptions or reductions apply, supporting documents must be submitted (e.g., policy beneficiary status).
Legal Evidence of Land Use Rights:
- Documentation proving lawful use of the land, typically in accordance with:
  - Article 100, Land Law 2013
  - Article 18, Decree 43/2014/ND-CP
- Includes historic land allocation decisions, lease contracts, or government-recognized certificates of use.
Proof of Ownership for Attached Assets:
- Construction permits or housing ownership papers must be presented to validate claims over structures built on the land.
Architectural or Structural Diagram:
- If not previously incorporated in the ownership documents, a technical floor plan or house diagram must be included.

Additional Documentation for Foreign Individuals and Viet Kieu (Overseas Vietnamese)

Foreign nationals and overseas Vietnamese are subject to stricter regulatory checks. The following must be furnished:

Valid Passport:
- Must be accompanied by legal entry evidence such as:
  - Visa (tourist, business, or investor category)
  - Temporary Residence Card (TRC) or Permanent Residence Card (PRC)
Sale and Purchase Agreement (SPA):
- A notarized or authenticated copy of the SPA signed with the developer or previous owner.
Marriage Certificate:
- Required if:
  - A Vietnamese spouse is involved (enables permanent ownership eligibility)
  - A foreign couple wishes to co-register on the Pink Book
Proof of Overseas Vietnamese Status (if applicable):
- May include documents verifying ancestry, prior residency, or Vietnamese nationality retention.
Payment Receipts for Property Purchase:
- Must demonstrate full financial settlement, including deposit receipts and bank transfers aligned with the SPA.

Submission Flexibility: What Forms Are Accepted?

Document Type	Accepted Forms	Notes
Official Application Form (04a/DK)	Original only	Must follow state-issued template
Identification (Passport, TRC, etc.)	Notarized copy / Present original	Originals may be verified onsite
SPA and Ownership Proof	Notarized or authenticated copy	May be submitted digitally if accepted by local authority
Land Use Right Documents	Copy + Original for comparison	Receiving officer can certify after review
Financial Payment Proofs	Bank receipts, e-payment screenshots	Must clearly show payer and transaction details
Housing Diagrams	Technical drawing or scanned blueprint	Should match the construction permit dimensions

✅ Tip: To expedite processing, applicants are advised to submit authenticated copies from a local notary office or People’s Committee where feasible.

Document Acceptance Formats

Applicants are permitted to submit their dossiers in one of three ways, depending on availability and convenience:

Option 1: Certified true copies issued by notary offices or competent authorities.
Option 2: Photocopies plus originals for on-site validation by government officers.
Option 3: Original documents without prior copying (less common, typically for urgent cases).

Summary Table: Required Documentation Matrix

Applicant Type	Required Documents
Vietnamese Citizens	Application Form (04a/DK), land rights proof, construction ownership docs, tax receipts, house diagram
Viet Kieu (With Nationality)	Same as above + proof of Viet Kieu status, valid ID, SPA, payment evidence
Foreign Individuals	Valid passport & visa/TRC/PRC, SPA, marriage certificate (if needed), property payment proof, housing diagram

Legal Tip: Consistency Across All Documents

To prevent processing delays or rejection:

Ensure all names match exactly across documents (including middle names and diacritics).
Cross-check that property boundaries and square meterages in the SPA, house diagram, and land allocation papers align.
Foreign applicants should consult a licensed real estate attorney or notary for document preparation to avoid legal translation inconsistencies.

Conclusion: Accuracy and Completeness Are Paramount

As Vietnam’s real estate landscape continues to evolve with digital reforms and new legal standards, ensuring full and accurate documentation is vital. Whether the applicant is a domestic buyer, an overseas Vietnamese returning home, or a foreign investor, the Pink Book application hinges on precise legal conformity. Missing or mismatched documents can lead to costly delays or denials in property title issuance. A strategic, well-prepared dossier sets the foundation for secure, long-term property ownership in Vietnam’s growing housing market.

C. Typical Timelines for Issuance

Understanding the typical timeline for obtaining a Certificate of Land Use Rights and Ownership of Houses and Other Land-Attached Assets—commonly referred to as the Pink Book—is essential for buyers navigating Vietnam’s residential property market in 2025. While the law outlines procedural deadlines, real-world timelines often diverge due to various administrative and legal factors.

Role of Developers in the Primary Market

In the primary market—where properties are purchased directly from developers—the responsibility for initiating Pink Book issuance falls primarily on the project investor.

Obligations of Developers:
- Under current regulations, developers must submit the Pink Book application on behalf of the buyer:
  - Within 50 working days from the handover date of the apartment.
  - Or from the date when the buyer completes full payment for the property.
- Buyers can choose to self-handle the application; however, this must be formally requested in writing.
Common Delays:
- Many delays stem from developers:
  - Failing to complete financial obligations to the state.
  - Not lifting mortgages or liens on the apartment block before selling individual units.

Government Processing Timeline

Legal Processing Duration:
- Once a valid and complete dossier is received, the law stipulates a maximum of 10 working days for competent authorities to issue the certificate.
Issuing Authority:
- Typically handled by:
  - The district-level land registration office.
  - Or a one-stop administrative unit designated by the provincial People’s Committee.

Estimated End-to-End Timeline for Pink Book Issuance

Although legal timeframes are outlined, actual issuance durations often exceed official expectations due to practical, procedural, and legal complexities.

Phase	Duration (Working Days)	Remarks
Developer submission deadline	Up to 50 days	Applies unless buyer opts for self-submission
Government processing time	Up to 10 days	Official timeframe once complete dossier is received
Official Total	~60 working days	Theoretically achievable in optimal conditions
Realistic Delays (Unofficial)	Varies (weeks to months)	Often impacted by legal disputes, unpaid developer taxes, or project issues

Key Delay Factors Often Excluded from Official Timeline

Despite the 60-day estimate, several factors can significantly prolong the process, especially in complex or contested cases:

Assessment of Financial Obligations:
- Includes land use fee calculation and approvals from tax authorities.
Buyer’s Payment Clearance Period:
- Time taken by the buyer to settle all associated fees, including:
  - Land registration
  - Environmental taxes
  - Notarisation and administrative service fees
Legal Compliance Review:
- Authorities may delay issuance to:
  - Investigate land use violations
  - Confirm legality of construction permits
  - Evaluate compliance of the property with urban planning laws
Mortgage Release by Developer:
- If the property is encumbered by a bank mortgage, it must be lifted before the buyer’s title can be issued.
Appraisals and Verification:
- Occasionally, property boundaries or building conditions require on-site inspection or third-party appraisal.
Public Disclosure Periods:
- Certain jurisdictions mandate a short-term public posting of land use changes before the certificate is formally issued.

Visual Summary: Pink Book Issuance Timeline Matrix (2025)

Step	Responsible Party	Estimated Time	Common Delays
Submission of Dossier	Developer or Buyer	0–50 working days	Developer non-compliance, mortgage issues
Review & Logging by Authority	Land Registration Office	1–3 working days	Incomplete documentation
Financial Obligation Determination	Tax Department	3–7 working days	Unclear tax status or valuation discrepancies
Payment of Fees by Buyer	Buyer	1–5 working days	Late payment or documentation mismatch
Certificate Issuance & Handover	State Authority	Up to 10 working days	Processing backlog, awaiting public posting period

Looking Ahead: Impact of Compact Pink Book Format

Space Limitations for Future Updates:
- The 2025 Compact Pink Book, with limited space for post-issuance modifications, may result in:
  - Frequent reapplications
  - Longer turnaround times due to the need for certificate reissuance upon reaching update capacity
Digital Integration via QR Code:
- The new format incorporates QR code technology, enabling faster verification—but digital systems remain under deployment, which could cause short-term bottlenecks.

Conclusion: Buyer Awareness is Crucial in Managing Expectations

While official policies project a relatively streamlined issuance timeline for the Pink Book, the practical process is often subject to systemic inefficiencies, legal constraints, and developer compliance. Buyers—especially foreigners or overseas Vietnamese—should:

Proactively monitor developer obligations.
Ensure timely settlement of all fees.
Seek legal consultation when disputes or delays arise.
Stay informed of evolving administrative reforms and digital transformation efforts.

Anticipating these real-world deviations empowers property buyers to better manage expectations and secure their property rights efficiently in Vietnam’s maturing real estate market.

13. Role of Developers and Government Agencies

The successful issuance of a Certificate of Land Use Rights and Ownership of Houses and Other Land-Attached Assets—commonly known as the Pink Book—is not solely the responsibility of the buyer. Instead, it hinges on coordinated actions by two primary stakeholders: real estate developers and various levels of Vietnamese government agencies. Each plays a vital, non-interchangeable role, particularly in the primary real estate market.

Responsibilities of Real Estate Developers in the Pink Book Process

In Vietnam’s primary residential market—where properties are purchased directly from developers—project investors are both facilitators and gatekeepers in the Pink Book issuance process.

Initial Submission Duties:
- Developers must compile and submit the complete application dossier for Pink Book issuance on behalf of the buyer.
- Submission must be made within 12 months of apartment handover, unless the buyer has formally requested to self-initiate the process.
Compliance Prerequisites:
- For a Pink Book to be legally issued, the developer must:
  - Settle all land use fee obligations with tax authorities.
  - Discharge any bank mortgages or encumbrances on the development project, particularly for the unit being sold.
  - Fulfill environmental and construction compliance as per local authority inspections.
Support for Foreign Buyers:
- Developers play a critical liaison role for foreign individuals and Overseas Vietnamese (Viet Kieu) in navigating:
  - Sale and Purchase Agreement (SPA) transitions into official Pink Book recognition.
  - Language translation, notarisation, and property tax filings.
Common Bottlenecks:
- Developer-related delays are among the leading causes of postponed Pink Book issuance due to:
  - Unsettled project-level financial liabilities.
  - Incomplete or non-compliant construction approval records.
  - Mortgages not fully released prior to unit sale.

Involvement of Government Authorities in Pink Book Issuance

The Vietnamese government operates through a multi-tiered administrative system to manage land registration, certificate issuance, and property title record-keeping.

Ministry of Natural Resources and Environment (MONRE):
- Serves as the central regulatory authority for land and property title systems.
- Issues and governs Circulars and Decrees (e.g., Circular 10/2024) that define technical standards for Pink Book design, digital integration, and cadastral procedures.
Provincial-Level People’s Committees:
- Empowered to issue Pink Books for:
  - Domestic organizations.
  - Enterprises and institutions.
  - Overseas Vietnamese with valid nationality documents.
- Often act through provincial Departments of Natural Resources and Environment (DoNRE) for technical processing.
District-Level People’s Committees:
- Handle Pink Book issuance for:
  - Vietnamese individuals and households.
  - Typically the first point of contact for small-scale land registration and personal residential property transactions.
District-Level Land Registration Offices:
- Perform critical backend operations, including:
  - Verification of land use boundaries and ownership documentation.
  - Updating cadastral databases and property mapping systems.
  - Issuing final certificates after confirming that financial obligations have been cleared.

Pink Book Stakeholder Roles: Comparison Table

Stakeholder	Key Responsibilities	Applicable Buyers	Risks if Not Compliant
Real Estate Developers	Submit Pink Book applications, clear taxes, release mortgages, support SPA conversions	Buyers in primary market	Delayed issuance, buyer ineligibility for mortgage
District People’s Committees	Approve and issue Pink Books for individuals and households	Vietnamese citizens, individuals	Application rejection or legal dispute delays
Provincial People’s Committees	Approve and issue Pink Books for organizations and Overseas Vietnamese	Corporations, Viet Kieu (with VN ID)	Ineligibility for Pink Book if procedural gaps exist
Land Registration Office (District)	Cadastral updates, technical review, certificate issuance	All applicants	Technical rejection, reapplication required
MONRE (Central)	Regulatory oversight, format standards, circulars and legal interpretations	Entire system	Non-standard certificates may be deemed invalid

Developer vs. Government Workflow: Process Interaction Matrix

Process Step	Developer Role	Government Role
Property Handover	Transfers apartment or villa to buyer	—
Compilation of Dossier	Prepares documents, including payment proof	Provides required template forms and guidance
Application Submission	Submits dossier to appropriate authority	Receives, logs, and verifies completeness
Financial Obligation Fulfillment	Settles project-related taxes and land fees	Calculates buyer-specific land use fees
Mortgage Release (if applicable)	Clears bank mortgage on sold unit	Validates bank’s confirmation letter
Certificate Approval	—	Issues certificate post-verification
Cadastral Book Update & Delivery	—	Updates records, hands over Pink Book to applicant

Conclusion: Interdependence is the Key to Timely Pink Book Issuance

In Vietnam’s 2025 property market, Pink Book issuance is not a one-step bureaucratic procedure. It is a coordinated process dependent on both private developers and public institutions. Buyers must recognize that:

Developers must proactively meet legal obligations before a Pink Book can be granted.
Government bodies must verify and process documents within prescribed timeframes.
Delays on either side can derail or postpone the buyer’s ability to secure legal ownership.

For smooth property ownership transfers—particularly in new developments—clear communication, developer due diligence, and legal transparency from state agencies are all essential.

14. Financial Considerations: Fees, Taxes, and Market Dynamics

A Breakdown of Taxes, Fees, and Fiscal Implications Linked to the Pink Book

In Vietnam’s evolving real estate market, understanding the total financial cost of property acquisition and ownership is critical—especially when dealing with the issuance or transfer of the Pink Book (Certificate of Land Use Rights and Ownership of Houses and Other Land-Attached Assets). Both domestic and foreign buyers must navigate a layered framework of transactional taxes, ownership fees, and regulatory payments that influence affordability, profitability, and compliance.

Transactional Costs for Acquiring Property

These are upfront costs incurred at the point of sale—either from developers (primary market) or private sellers (secondary market). They are applicable to both locals and foreigners and are prerequisites for legal ownership registration under Vietnamese law.

Value-Added Tax (VAT)
- Imposed at 10% of the property’s sale price
- Mandatory for nearly all new property transactions
- Applies to purchases of both landed houses and condominiums
Registration Fee (Ownership Registration Tax)
- Charged at 0.5% of the property’s official value
- Required for Pink Book issuance
- Paid by the buyer
Legal and Notarial Fees
- Legal consultation and documentation: typically 0.50%–1.00% of the property value
- Notarisation: ranges from 0.05%–0.10% of the contract value
- Rates vary based on complexity and province
Administrative Fees
- Modest government fees for certificate issuance and cadastral registration
- Often bundled with other filing costs

Ownership & Maintenance-Related Costs

Once ownership is formalised, ongoing financial obligations must be anticipated for proper budgeting and regulatory compliance.

Maintenance Fee (Sinking Fund)
- Fixed at 2% of the property’s pre-VAT sale price
- Collected by the developer (in the primary market)
- Used for maintaining shared infrastructure such as elevators, corridors, and utilities
Land Tax
- Although foreigners cannot own land outright, land tax is still applicable
- Ranges between 0.03% and 0.15% of the land value, based on local land pricing tables

Resale-Related Costs for Property Sellers

Sellers—whether individual homeowners or corporate developers—are subject to a different set of taxes and fees when transferring property ownership to a new party.

Personal Income Tax (PIT)
- 2% of the sale price for individual sellers
- 20% capital gains tax for corporate entities on net profit from resale
Real Estate Agent Fee
- Typically 1% to 3% of the property price
- Paid by the seller for brokerage and marketing services
Real Estate Transaction Floor Fee
- Applicable in certain cities and regulated zones
- Paid by the seller in cases where the transaction must go through a licensed floor

Taxation on Rental Income

If the property is leased out—whether short-term or long-term—the owner incurs tax obligations on the rental revenue.

Rental Income Tax
- Total rate of 10%, broken into:
  - 5% VAT
  - 5% PIT
Business License Tax (applies to rental businesses)
- Annual flat fee of VND 1,000,000
- Applies if the total rental income exceeds VND 100 million/year

Table: Overview of Property-Related Taxes and Fees (Vietnam 2025)

Fee / Tax Type	Rate or Amount	Payer	Application Scenario
Value Added Tax (VAT)	10% of property price	Buyer	New property purchases
Registration Fee (Pink Book)	0.5% of property value	Buyer	Ownership registration
Administrative Fees	Fixed minor amount	Buyer	Certificate issuance
Legal Fees	0.50% – 1.00% of property value	Buyer	Contract review, SPA processing
Notary Fees	0.05% – 0.10% of property value	Buyer	Contract notarisation
Maintenance Fee (Sinking Fund)	2% of pre-VAT sale price	Buyer	Primary market ownership
Land Tax	0.03% – 0.15% of land value	Owner	Annual land use obligations
PIT on Resale	2% (individual), 20% (corporate)	Seller	Property resale
Real Estate Agent Fee	1.00% – 3.00%	Seller	Resale via brokerage
Real Estate Floor Fee	Variable (regulated zones only)	Seller	Applicable zones with mandatory transaction floors
Rental Income Tax	10% (5% VAT + 5% PIT)	Owner	Rental operations
Business License Tax (Rental)	VND 1,000,000/year (if income > VND 100M/year)	Owner	Rental operations

Key Takeaways for Investors and Buyers

Total acquisition costs may exceed 12–15% of the property’s purchase price when combining VAT, registration, and professional fees.
Resale costs can erode profitability, especially for short-hold investors subject to income tax and agent commissions.
Rental investors must account for double-layer taxation (VAT and PIT) and consider business license obligations.
Tax and fee burdens are often higher for foreigners, who face additional legal verification, payment tracking, and potential ineligibility for some tax exemptions.

Conclusion: Financial Transparency is Essential in 2025

With Vietnam’s legal framework becoming more aligned to international norms under the Land Law 2024 and accompanying decrees, understanding these fees is now more essential than ever. Strategic buyers—especially foreign investors and Viet Kieu—must take a total cost approach rather than focusing solely on the purchase price. Factoring in VAT, Pink Book fees, land taxes, and resale taxation allows for accurate ROI projections, better mortgage planning, and improved long-term asset management.

15. Land Use Fees and the New Annual Land Price Table (from 2026)

A Deep Dive into Land Valuation Reform and Its Implications for Pink Book Holders

A transformative element of the Land Law 2024, taking effect on January 1, 2025, is the comprehensive overhaul of Vietnam’s land valuation system. This legal reform replaces the outdated five-year land price framework with a market-responsive, annually updated Land Price Table, reshaping how land use fees, property taxes, and compensation calculations are determined across the country.

This development has far-reaching consequences for property buyers—especially those involved in land use purpose conversions, Pink Book applications, or compensation negotiations in land clearance cases.

Key Policy Shifts Under the New Land Pricing Regime

Abolishment of the Legacy Framework

Previous model: Land prices were set by the State every 5 years, often at 30%–60% of real market value
New system: Beginning January 1, 2026, provincial-level People’s Committees are tasked with issuing annual Land Price Tables
Objective: To minimize discrepancies between state-issued and actual market values for better transparency and equity

Market-Aligned Land Valuation

Land prices will now reflect prevailing market conditions, based on:
- Real-time transaction data
- Local real estate benchmarks
- Independent valuation reports and auctions
These values will directly impact:
- Land use fees
- Compensation for land recovery
- Personal income tax liabilities
- Capital contribution values involving land use rights (LURs)

Financial Implications for Land Use Purpose Conversion

Land Conversion Example: From Agricultural to Residential Use

Conversion fees are now calculated as a percentage of the differential between:
- The new residential land price
- The former agricultural land value or lease price
This results in significant fee increases, particularly in urban and peri-urban areas experiencing rapid development
Reported case:
- Conversion in a prime district saw a land use fee of up to VND 15 million/m² for upgrading agricultural land to residential designation
Application of rates varies depending on:
- Whether the converted land exceeds or falls within the residential allocation limit
- Whether the land is owned by an individual, a household, or an enterprise

Comparative Matrix: Old vs. New Land Price Determination System

Criteria	Pre-2025 Framework	New Post-2026 Framework
Frequency of Update	Once every 5 years	Annually, from January 1 each year
Issuing Authority	Provincial People’s Committees	Same, with broader consultation and data integration
Reference Basis	Administrative decisions	Market-based data, actual transaction records
Application in Compensation & Taxation	Often below actual transaction values	Reflective of real market value
Impact on Land Use Fee Calculations	Often underestimated	More closely aligned with real financial liability
Investment Predictability	Greater legal ambiguity	Increased clarity, but possibly higher investor burden

Implications for Pink Book Holders and Future Buyers

Higher land use fees are expected for those seeking to:
- Convert land from non-residential to residential use
- Undertake real estate development projects
- Engage in capital contribution with land for joint ventures
Improved fairness and efficiency in government compensation schemes for land recovery
- Beneficiaries whose land is reclaimed by the state can now expect more equitable compensation tied to market values
Increased cost burden for speculative land holders
- Particularly those who acquired land under the old framework at lower state-declared prices
- Could impact resale strategy and capital gains

Policy Alignment with Transparency and Fiscal Sustainability

This shift aligns with broader goals of:

Modernising Vietnam’s real estate governance
Encouraging responsible land use and urban planning
Boosting state budget revenues through fairer land-related tax and fee collections

It also reflects the Vietnamese government’s commitment to transparency and digitally-integrated land administration, ensuring both domestic and international buyers operate under a more predictable and equitable system.

Summary: What Buyers Must Prepare For in 2025–2026

Anticipate rising land use fees, especially when converting land or applying for Pink Books linked to land with unclear or non-residential status
Conduct market-based due diligence before committing to land-related transactions
Monitor provincial People’s Committee announcements closely, as annual updates to the Land Price Table will significantly affect ownership costs, development planning, and resale valuations

16. 2025 Real Estate Market Outlook

Key Trends Shaping the Future of Property Ownership and Pink Book Acquisition

Vietnam’s real estate landscape in 2025 continues to evolve rapidly, driven by a convergence of macroeconomic strength, new legal reforms (notably the Land Law 2024), and transformational infrastructure investments. Understanding these market dynamics is critical for prospective property buyers, Pink Book applicants, and real estate investors seeking to make informed decisions amid rising prices and shifting demand.

Macroeconomic Foundations Supporting Market Expansion

Vietnam’s economy has demonstrated resilient growth:
- 2024 GDP growth: 7.09%
- H1 2025 GDP growth: 7.52%
- Full-year 2025 forecast: 7.0%, making Vietnam the fastest-growing economy in ASEAN+3
Economic expansion fuels robust demand across:
- Residential housing
- Commercial real estate
- Industrial and logistics developments
The implementation of the Land Law 2024 and updated housing policies fosters:
- Enhanced legal clarity for land use and ownership
- Greater investor confidence
- Increased participation from Viet Kieu and foreign buyers

Apartment Price Trajectories in Major Urban Centers

Hanoi: Surge in High-End and Mid-End Segment

Apartment prices surged 40–50% YoY in 2024
By Q1 2025:
- Average price reached VND 79 million/m² (~US$3,030)
- Premium projects in Long Bien, Nam Tu Liem, and Hoang Mai topped VND 100–150 million/m² (US$3,830–5,750)
By Q2 2025: Prices edged higher to VND 80 million/m² (~US$3,077)

Ho Chi Minh City: Strong Demand Drives Upmarket Growth

2024 price growth stood at 20–30% YoY
By Q1 2025:
- Average apartment prices exceeded US$4,690/m², a 47% increase YoY
- Luxury launches in Districts 1, 2, and Thu Duc pushed pricing past VND 100 million/m²
By Q2 2025: Prices averaged VND 89 million/m² (~US$3,423)

Price Comparison Chart

City	Q1 2025 Avg. Price (VND/m²)	Q1 2025 Avg. Price (USD/m²)	YoY Change
Hanoi	VND 79M	~$3,030	+40–50%
HCMC	VND 91M+	~$4,690+	+47%
HCMC (Q2 update)	VND 89M	~$3,423	~+33%

Supply and Transaction Dynamics: Surge in High-End Units, Scarcity in Affordable Housing

Total residential transactions (2024): 125,545 units, down slightly (-1.5% YoY)
However, Q4 2024 showed a strong rebound:
- 14,200 condo transactions in Hanoi & HCMC combined (+150% YoY)
- Hanoi recorded 11,900 new units—its highest supply since 2019

2024 Aggregate Data Summary

Metric	2024 Total	YoY Change
Apartment & House Transactions	125,545 units	–1.5%
Hanoi & HCMC Primary Condo Transactions	~38,150 units	+104%
Total Supply of Residential Units	~81,000 units	+40%
Absorption Rate	>70%	Stable/Strong

Key Observations

Demand remains high, but 70% of new supply is concentrated in luxury and high-end segments
Affordable housing (under VND 25–35 million/m²) is nearly absent in urban cores
Middle- and low-income buyers are turning to neighboring provinces (e.g., Binh Duong, Hung Yen, Dong Nai) where:
- Prices are more accessible
- Infrastructure is rapidly improving

Infrastructure Catalysts Fueling Suburban Expansion

The Vietnamese government’s ambitious infrastructure strategy is unlocking substantial value in suburban and peri-urban zones, particularly around Hanoi and Ho Chi Minh City.

Flagship Infrastructure Projects Driving Real Estate Potential

Project	Location	Impact on Real Estate
North–South Expressway	Nationwide	Enhances interprovincial connectivity; supports logistics
Long Thanh International Airport	Dong Nai Province	Attracts residential and commercial development in the Southeast
Ring Road 4	Hanoi	Opens up satellite towns; boosts mid-end housing demand
Ring Road 3 & Metro Line 2	Ho Chi Minh City	Accelerates TOD projects and raises land value in transit zones
Thu Thiem Pedestrian Bridge	HCMC District 1–2	Enhances accessibility; increases land premiums

Strategic Implications

Increased attractiveness of non-core districts
Rise of satellite urban centers with modern amenities
Rebalancing of property investment away from congested city cores

Interest Rates and Financing Conditions

As of mid-2025:
- Mortgage rates hover around 4%, supported by central bank easing
- Two base rate cuts already implemented; two more expected before year-end
Despite potential increases in bank capital costs, average loan rates remain below pre-pandemic levels

Interest Rate Environment: Then vs. Now

Period	Mortgage Rate Range	Trend
2024	5.3% – 7.2%	Lowest in a decade
H1 2025	~4%	Slight rise projected
Pre-COVID Average (2019)	~9%	Considerably higher than current levels

Forecast Summary: Key Indicators for Property Buyers

Indicator	2024 Data	2025 Forecast
GDP Growth	7.09%	7.0% (highest in ASEAN+3)
Hanoi Apartment Prices (YoY)	+40–50%	Continued growth to VND 80M/m² (~US$3,077)
HCMC Apartment Prices (YoY)	+33%	Continued rise to VND 89M/m² (~US$3,423)
Total Apartment & House Sales	125,545 units	Transaction volume expected to increase
Primary Condo Transactions (HN/HCMC)	~38,150 units	Further growth, led by mid- to high-end segments
Market Absorption Rate	>70%	Remains strong
Affordable Housing Availability	Extremely limited	Focus remains on social housing programs
Mortgage Rate Outlook	4% (2025 average)	Slight uptick possible, but below pre-pandemic average

Conclusion: What It Means for Buyers in 2025

Prospective Pink Book applicants should account for rising property acquisition costs, particularly in high-growth districts
Suburban investments are becoming more viable due to improved infrastructure and expanding urban sprawl
The combination of low interest rates, increased transparency in land laws, and a dynamic supply landscape presents compelling opportunities, but also calls for strategic due diligence

17. Risks, Challenges, and Best Practices for Buyers

Navigating Legal Complexities and Market Hazards in Pursuit of a Pink Book

While Vietnam’s property market presents attractive returns amid rapid urbanisation, rising property values, and supportive regulatory reforms, it is not without pitfalls. The landscape remains riddled with legal ambiguity, inconsistent enforcement, and emerging forms of real estate fraud. Investors—both domestic and foreign—must exercise heightened due diligence and adopt legally sound strategies to ensure the safe and successful acquisition of Pink Books.

Market Integrity Concerns: Legal and Fraudulent Risk Exposure

Despite Vietnam’s sustained efforts to enhance transparency and compliance, recent high-profile scandals have exposed systemic vulnerabilities in the market.

Key Risk Scenarios

Systemic Fraud at Institutional Scale:
- The conviction of Truong My Lan, a property tycoon implicated in a US$27 billion banking and real estate fraud, sent shockwaves through the economy.
- The case unveiled a network of over 1,000 shell companies used to mask illicit financial flows and inflate ownership claims.
- This incident, part of the government’s “Blazing Furnace” anti-corruption campaign, has reinforced regulatory oversight—but also induced bureaucratic caution, resulting in processing delays for legitimate buyers.
Agent-Driven Scams:
- Increasing reports of “catfish condo” listings—deceptive advertisements that misrepresent location, legality, or ownership of a property.
- Incidents of agents absconding with deposits after showing unverified properties have emerged, particularly in secondary and off-plan transactions.
Nominee and Disguised Ownership Structures:
- Previously common among foreign investors, nominee arrangements are now under threat due to new disclosure mandates.
- The Enterprise Law 2025 mandates full beneficial ownership disclosure, making indirect acquisition structures riskier and potentially non-compliant.
Capital Misrepresentation and Legal Liability:
- Legal representatives are now personally liable for misreporting charter capital or inflating capital commitments without real contributions.
- The new regulatory framework aims to eliminate “capital inflation” practices, where companies claim unrealistic capital to appear credible for land acquisition.

Legal Risk Matrix for Foreign and Domestic Buyers

Risk Type	Description	Affected Parties	Impact Level	Mitigation Method
Fraudulent Developers	Sale of non-existent or encumbered units	Foreign and local buyers	High	Verify Pink Book, check project’s legal status
Illegal Ownership Structures	Use of Vietnamese nominees or shell entities to bypass foreign ownership caps	Foreign buyers	High	Avoid nominee setups; use registered legal structures
Overstated Charter Capital	Declared capital not actually contributed	Corporate investors	Medium	Conduct background checks; request audited accounts
Agent Misrepresentation	Fake listings, inflated pricing, deposit fraud	Individual buyers	Medium–High	Use licensed agents; verify identity and listings
Bureaucratic Delays	Anti-corruption reforms slow official processes	All market participants	Medium	Allow for time buffer; work with professionals
Contractual Ambiguity	Hidden fees, unclear leasehold terms, resale restrictions	Buyers with limited legal fluency	Medium–High	Have contracts reviewed by real estate legal experts

Best Practices for Secure and Transparent Transactions

With increasing regulation and market scrutiny, adhering to the following best practices is critical to mitigate risk and ensure long-term asset protection:

Due Diligence Protocols

Verify Ownership Status:
- Always cross-check Pink Book registration details through the local Land Registration Office or via legal professionals.
- Confirm the identity of the seller, any encumbrances or liens on the property, and ensure no hidden mortgages exist.
Confirm Legal Approval for Foreign Ownership:
- Not all units are eligible for sale to foreign buyers. Buyers must verify that:
  - The project is within a commercial housing development
  - It has not exceeded the foreign ownership cap (30% for condos, 10% for landed houses in a project)
Understand Land Use Rights vs. Ownership:
- Foreigners do not own land outright but lease land use rights (LURs).
- Fully assess the implications of holding a 50-year leasehold with potential renewal, especially when planning resale or inheritance.

Engage Verified Professionals

Legal Consultation:
- Secure legal representation specialising in Vietnamese property law, especially for foreigners.
- Review all sale contracts, land use documentation, and conditions for Pink Book issuance.
Work Only with Licensed Real Estate Brokers:
- Choose agencies with a proven track record, verifiable business registration, and valid brokerage licenses.
Confirm Project Legality Before Payment:
- Ensure the developer has:
  - Completed financial obligations to the State
  - Released mortgages or land-use encumbrances
  - Received official approval for Pink Book issuance

Contractual & Documentation Precautions

Review All Sale and Purchase Agreements (SPA):
- Distinguish between SPAs and Long-Term Lease (LTL) contracts—each carries different implications for foreign buyers.
- Understand exit clauses, handover terms, and the timeline for applying for the Pink Book.
Evaluate Financial and Hidden Costs:
- Account for:
  - VAT (10%)
  - Registration fees (0.5%)
  - Maintenance fund (2%)
  - Legal and notary fees (0.5–1%)
- Inquire about any additional closing costs, infrastructure levies, or community association dues.

Conclusion: Risk-Managed Access to Legal Ownership (Pink Book)

In 2025, securing a Pink Book in Vietnam requires more than a straightforward transaction. It necessitates strategic navigation through a maturing yet volatile legal environment, underpinned by careful due diligence and strict compliance with evolving laws. For both foreign and domestic buyers, success lies not only in identifying a lucrative opportunity—but in ensuring the legitimacy of the ownership process, minimizing exposure to legal, financial, and reputational risks.

18. Understanding and Addressing Potential Land Disputes

Legal Reforms, Compensation Mechanisms, and Preventive Strategies for Property Buyers

Land disputes in Vietnam remain a deeply entrenched challenge within the broader real estate and land governance framework. As land values rise and development pressures increase, the frequency, intensity, and complexity of land-related conflicts are expected to persist—particularly in cases involving state-driven land acquisition, inadequate compensation, and limited access to land-use transparency. For property buyers navigating the Pink Book and Red Book landscape in 2025, awareness of potential land conflicts—and knowledge of new legal remedies—is essential.

Widespread Nature and Root Causes of Land Disputes

Vietnam’s land disputes are not isolated occurrences but rather systemic issues affecting both rural and urban zones. The nature of these disputes is multi-dimensional, ranging from compensation disagreements to opaque land-use planning and contested land use rights.

Common Triggers of Land Conflicts

Inadequate Compensation for Expropriated Land:
- A leading source of discontent arises from below-market compensation levels when land is acquired by the State for public use or private investment projects.
- According to historical data from the Ministry of Natural Resources and Environment, 21% of land-related grievances filed between 2014 and 2018 were directly linked to compensation concerns.
Lack of Transparency in Land Planning:
- Fewer than 20% of citizens had access to local land use plans in 2019, severely undermining public trust and sparking legal challenges when land is reclaimed or rezoned.
- This information asymmetry leaves property buyers, especially foreigners, exposed to unexpected policy shifts or disputes post-purchase.
Ambiguous or Overlapping Land Use Rights (LURs):
- Conflicts often arise from unclear land boundaries, undocumented land usage history, or dual claims over the same parcel—especially in the absence of legally issued Red Books or Pink Books.

Legal Solutions Introduced Under the Land Law 2024 (Effective 2025)

The recently enacted Land Law 2024, which takes effect on January 1, 2025, introduces a more progressive and balanced framework for addressing land disputes. It aims to align compensation with market principles, enhance dispute resolution mechanisms, and reduce the root causes of conflict.

Key Legal Enhancements to Address Disputes

Compensation at Market Prices:
- The new law mandates that land compensation—particularly in state land recovery cases—must reflect prevailing market values.
- It obliges that resettlement arrangements be completed prior to land confiscation, ensuring affected residents are not displaced without viable alternatives.
Promotion of Voluntary Agreements:
- Investors and landholders are encouraged to negotiate directly, based on mutual consent and with land-use valuations closer to market rates.
- This shift reduces coercive acquisitions and introduces negotiated market-based pricing mechanisms that better reflect the interests of both parties.
Use of Domestic Arbitration:
- For the first time, land-related disputes may now be settled through arbitration, as opposed to solely via traditional court systems.
- This reform enhances contract enforcement predictability and reduces judicial backlog, particularly benefiting investors and foreign stakeholders.

Visual Overview: Comparative Dispute Resolution Framework

Aspect	Pre-2025 Framework	Land Law 2024 (Effective 2025)
Compensation Mechanism	Often based on outdated, undervalued state price lists	Pegged closer to actual market value for improved fairness
Resettlement Obligation Timing	Often after land recovery	Mandatory resettlement before land recovery decisions
Dispute Resolution Options	Traditional litigation (courts only)	Litigation + Domestic Arbitration options introduced
Transparency in Land Planning	Limited access to public land plans	Government is mandated to improve access and dissemination
Voluntary Acquisition by Investors	Informal, lacking legal protection	Formalised, legally supported voluntary acquisition mechanism

Preventive Strategies for Property Buyers and Investors

To minimise exposure to land-related legal risks, both foreign and domestic property buyers should implement the following due diligence and conflict-avoidance measures.

Essential Best Practices

Verify Land Use Rights (LUR) Documents:
- Request authenticated copies of the Red Book (for land) or Pink Book (for structures) to ensure proper issuance and absence of encumbrances.
Investigate Land History and Planning Status:
- Cross-check the property’s location with the local Department of Natural Resources and Environment to confirm that it:
  - Is not under dispute or pending reclamation
  - Has no overlapping ownership claims
  - Is not slated for infrastructure projects or zoning changes
Secure Legal Opinions:
- Engage a licensed Vietnamese property lawyer to review:
  - Whether land is eligible for foreign or commercial ownership
  - Whether compensation or recovery risks exist
Avoid Verbal Agreements and Informal Transfers:
- Only transact via documented and registered sale contracts.
- Ensure that the contract clearly outlines recourse options in the event of a dispute.
Opt for Arbitration Clauses Where Possible:
- When entering real estate contracts, include an arbitration clause referencing recognised domestic dispute resolution institutions in Vietnam.
- This can provide faster, less politicised, and more neutral dispute resolution pathways.

Conclusion: Risk-Managed Property Acquisition in Vietnam’s Evolving Legal Landscape

As Vietnam transitions to a more transparent and investor-friendly legal regime under the Land Law 2024, land disputes will likely diminish in scope but not disappear entirely. Buyers—especially foreign nationals and institutional investors—must proactively mitigate risks through strategic due diligence, legal safeguards, and dispute resolution planning.

Understanding the mechanics of land conflict—and Vietnam’s evolving response to it—is not merely a legal concern but a strategic imperative for anyone seeking long-term real estate ownership backed by a legally sound Pink Book.

19. Navigating Regulatory Ambiguity and Bureaucratic Processes

Strategic Guidance for Real Estate Buyers Facing Evolving Laws, Pink Book Transitions, and Digital ID Reforms

For domestic and foreign investors alike, engaging in Vietnam’s property market in 2025 demands not only capital investment but also a high degree of regulatory literacy and procedural resilience. The country’s rapidly transforming legal architecture, combined with digitisation initiatives and new Pink Book formats, has introduced new layers of administrative complexity. For property buyers seeking secure title issuance—particularly the Pink Book—it is essential to understand, adapt to, and strategically mitigate the uncertainties posed by legal reform and bureaucratic delays.

Legal Fluidity: An Evolving Regulatory Ecosystem

Vietnam’s real estate legal system continues to undergo substantive reforms aimed at enhancing governance, market transparency, and investor protection. However, these transitions often outpace implementation readiness, creating grey zones where policy intent may not yet align with enforcement clarity.

Key Characteristics of Vietnam’s Current Legal Climate

Continuous Legislative Amendments:
- Frequent updates to laws—such as the Land Law 2024, Housing Law 2023, and the Real Estate Business Law 2023—are reshaping the legal landscape for buyers.
- These updates often come with interdependent decrees and circulars, creating complexity for investors who must wait for comprehensive enforcement guidelines.
Interpretational Variances Across Provinces:
- Implementation practices may differ across jurisdictions, meaning a regulation in Hanoi may be interpreted or enforced differently in Da Nang or Ho Chi Minh City.
- Buyers must navigate not only national statutes but also provincial People’s Committee policies and their evolving interpretations.

Digital Transformation and the E-ID Mandate for Enterprises (2025)

Vietnam’s push for e-governance includes a nationwide rollout of enterprise digital identification, with implications for both domestic businesses and foreign-invested entities involved in property transactions.

E-ID System Implementation Timeline

Milestone	Date	Implication
E-ID Account Requirement (For Enterprises)	Effective July 1, 2025	All entities involved in real estate must register for digital identification
VNeID System for Foreigners	Expected by Aug 19, 2025	Foreign buyers and entities await system access, delaying seamless compliance

Operational Concerns and Uncertainties

Limited Clarity on Foreign Access:
- As of mid-2025, foreigners still face uncertainty regarding registration pathways for enterprise-level digital identity.
- This may delay real estate activities involving foreign direct investors or overseas Vietnamese buyers.
Administrative Bottlenecks Expected:
- The rollout of new digital systems typically involves technical teething issues, inconsistent access, and delays in account approvals.

Compact Pink Book Format: Benefits and Burdens

In a move toward streamlining property documentation, Vietnam has introduced a smaller, modernised version of the Pink Book. While visually efficient, this updated format has raised practical concerns among property stakeholders.

Challenges with the New Pink Book Format

Insufficient Space for Transaction Updates:
- The new format contains limited space for endorsements, such as mortgage cancellations, ownership changes, and land-use updates.
- As a result, common administrative actions may require issuance of a completely new certificate, rather than simple annotations.
Increased Frequency of Reissuance:
- More frequent replacements are anticipated, causing:
  - Additional administrative fees
  - Greater paperwork
  - Longer processing times
Compounding Bureaucratic Load:
- This change, while aimed at simplification, paradoxically adds new steps and delays to routine property transactions.

Practical Mitigation Strategies for Buyers in 2025

Given the current environment of regulatory flux, administrative delay, and procedural ambiguity, real estate buyers must adopt a proactive and well-informed approach to mitigate risks and navigate Vietnam’s property landscape with confidence.

Recommended Best Practices for Navigating Regulatory Complexity

Stay Legally Informed:
- Monitor legal developments through official government portals, real estate legal advisories, or local legal firms.
- Track updates from the Ministry of Natural Resources and Environment, the General Department of Taxation, and the Ministry of Construction.
Engage Professional Advisors:
- Hire reputable, bilingual legal counsel or real estate consultants with proven experience in Pink Book issuance and regulatory compliance.
- These professionals can:
  - Interpret legal nuances
  - Assist with VNeID registration
  - Monitor province-specific policy shifts
Account for Bureaucratic Delays in Project Timelines:
- Build in a buffer of 2–3 months beyond official timelines for certificate issuance or property registration.
- Avoid investment strategies that rely on short-term turnover if dependent on Pink Book processing.
Document Transactions Rigorously:
- Maintain notarised records, transaction evidence, and communications.
- Insist on clarity in Sale and Purchase Agreements (SPAs), especially regarding timelines for Pink Book delivery.

Quick Reference: Major Bureaucratic and Regulatory Shifts Impacting Buyers (2025)

Issue	New Development	Impact on Buyers
Real Estate Law Updates	Multiple laws revised (Land, Housing, Real Estate Business)	Increased legal complexity; new compliance requirements
Pink Book Format	Compact certificate with limited annotation space	Higher likelihood of reissuance; potential administrative delays
Digital E-ID System (VNeID)	Mandatory for enterprises from July 2025	Foreigners face access delays; new step in Pink Book applications
Legal Interpretation Variability	Provincial discretion in legal enforcement	Inconsistent implementation; requires localised legal expertise

Conclusion: Strategic Navigation in a Reform-Driven Regulatory Era

Vietnam’s real estate sector in 2025 is undergoing profound digital and legal transformation. While these reforms hold long-term benefits for transparency and investor protection, they also introduce short-term uncertainty and operational complexity—especially for foreign buyers and first-time investors.

Navigating this terrain successfully requires institutional-level diligence, professional legal guidance, and a flexible investment strategy. By staying informed and legally protected, buyers can still harness the immense potential of Vietnam’s property market while minimizing the risks inherent in a transitioning legal environment.

20. Recommendations for Secure Property Investment in Vietnam

Expert Guidance for Navigating Legal, Financial, and Market Complexities in a Reform-Era Real Estate Landscape

Investing in Vietnam’s real estate sector in 2025 offers high potential returns—but also demands a meticulously planned, legally compliant, and data-informed approach. With the introduction of new real estate laws, evolving land valuation systems, digital identity requirements, and heightened scrutiny on foreign ownership, buyers—especially international investors—must now operate with elevated due diligence.

To mitigate risk and enhance long-term asset security, property investors are strongly advised to follow these comprehensive strategic recommendations.

Always Prioritise the Pink Book: The Foundational Legal Safeguard

The Pink Book (Certificate of Land Use Rights and Ownership of Residential Housing and Other Land-Attached Assets) remains the only legally binding proof of ownership for most property types in Vietnam.
It provides:
- Full legal recognition of land use rights and structural ownership
- The ability to resell, lease, mortgage, or transfer property
- Protection in cases of dispute or compensation under government land recovery

Key Insight: Without a Pink Book, the buyer assumes significantly higher legal risk and lacks enforceable ownership rights, especially under Vietnam’s evolving regulatory framework.

Engage Professional Legal Counsel from Day One

Retaining an experienced, Vietnam-based real estate lawyer is non-negotiable for:
- Conducting title due diligence
- Verifying SPA (Sale and Purchase Agreement) validity
- Reviewing zoning compliance and ownership caps
- Ensuring that all procedures for Pink Book issuance are correctly followed
Legal professionals also help:
- Avoid disguised nominee arrangements that may now violate the Enterprise Law 2025
- Interpret evolving land laws and apply for e-ID accounts or updated Pink Book formats

Tip: Opt for bilingual legal counsel familiar with foreign investor concerns.

Partner with a Reputable Investment Advisory Firm like Invest Vietnam

Invest Vietnam, a leading market-entry and investment consultancy, provides tailored services to both local and foreign property investors, including:
- Legal document translation and compliance monitoring
- Verification of developer obligations and project legality
- Advisory on market trends and location-based investment strategies
- Support with e-ID setup and enterprise formation for property holdings
Their expertise is particularly valuable in:
- High-stakes investments (luxury condos, mixed-use developments)
- Provincial regulatory compliance
- Navigating Pink Book reissuance for newer certificate formats

Why Invest Vietnam?

As a third-party consultancy, they bridge the gap between regulatory transparency and practical execution, helping clients avoid common missteps in a rapidly changing legal landscape.

Conduct Robust Financial and Tax Due Diligence

Cost Type	Typical Range or Rate	Responsibility
Value Added Tax (VAT)	10% of sale price	Buyer
Registration (Ownership) Fee	0.5% of property value	Buyer
Legal & Notary Fees	0.55% – 1.1% of property value	Buyer
Land Use Conversion Fees	Varies by location/classification	Buyer (where applicable)
Maintenance / Sinking Fund	2% of property value (excl. VAT)	Buyer

Fully understanding and budgeting for these statutory costs is essential to avoid last-minute liabilities.
Note: As per Land Law 2024, fees related to land use conversion (e.g., agricultural to residential) are now pegged closer to market rates, which can drastically impact total acquisition costs.

Undertake Deep Market Research Before Committing to a Purchase

Investors should study:
- City-specific pricing trends (e.g., 40–50% YoY growth in Hanoi apartment prices in 2024)
- Absorption rates and resale liquidity
- The “affordability gap” between central cities and emerging suburbs
Assess project quality, developer reputation, past Pink Book delivery performance, and resale potential.

Research Sources to Monitor:

VARS (Vietnam Association of Realtors)
General Statistics Office (GSO)
Provincial People’s Committees’ land use masterplans

Target Infrastructure-Driven Growth Corridors

The Vietnamese government is investing in landmark connectivity projects, such as:
- North-South Expressway
- Metro Line 2 (HCMC)
- Ring Road 3 & 4 (Hanoi & HCMC)
- Thu Thiem Bridge and Long Thanh International Airport

Why This Matters for Investors:

These projects:
- Unlock new real estate hotspots
- Increase capital appreciation potential
- Drive demand from both end-users and developers
Consider buying in emerging satellite cities or peri-urban zones poised for infrastructure-driven uplift.

Avoid Informal Nominee Arrangements and Prioritise Transparency

Historically used by foreigners to bypass land ownership restrictions, nominee agreements now attract greater regulatory scrutiny under the Enterprise Law 2025, which mandates:
- Beneficial ownership disclosure
- Severe penalties for misrepresentation

Key Risk:

Nominee structures can now expose investors to contract invalidation, asset forfeiture, or deportation risks.

Recommended Strategy:

Engage legal advisors to structure compliant ownership—such as forming a 100% foreign-owned enterprise with legal land-use rights.

Summary Table: Smart Investment Recommendations for 2025

Recommendation	Purpose	Why It’s Critical in 2025
Prioritise Pink Book	Secure legal ownership	Avoids fraud, resale complications, and title disputes
Hire Legal Counsel	Contractual and regulatory protection	Necessary due to evolving land, housing, and e-ID laws
Consult Invest Vietnam	Professional advisory and compliance support	Assists with legal setup, due diligence, and regulatory navigation
Budget All Taxes and Fees	Financial planning and transparency	Reduces hidden costs and ensures capital adequacy
Study Market Dynamics	Informed decision-making	Markets are shifting to suburban and infrastructure-led zones
Target Infrastructure-Backed Locations	Long-term appreciation	Enhances resale value and occupancy demand
Avoid Nominee Structures	Legal compliance	Enterprise Law 2025 enforces beneficial ownership disclosure requirements

Conclusion: Strategic Foresight Is Your Strongest Asset

Property investment in Vietnam is no longer a straightforward transaction—it is a complex process influenced by legal transitions, tax regulations, market imbalances, and geopolitical considerations. Securing the Pink Book, complying with Vietnam’s legal framework, and leveraging trusted advisors like Invest Vietnam can ensure that investors not only protect their capital but also unlock sustained property value in one of Asia’s fastest-growing real estate markets.

Conclusion

As Vietnam’s property market continues its dynamic evolution in 2025, the distinction between the Red Book and the Pink Book has become more than a matter of bureaucratic color—it is a gateway to understanding legal ownership, land use rights, and asset security in one of Southeast Asia’s most promising real estate frontiers.

For both domestic and foreign investors, understanding the nuances of these land ownership certificates is not merely advisable; it is essential for avoiding legal complications, fraudulent transactions, and future resale barriers.

Key Takeaways for Property Buyers in 2025

The Pink Book is the most commonly used and recognized certificate for residential property ownership and land-attached assets such as houses, apartments, and villas. It is issued by district- or provincial-level People’s Committees and serves as the ultimate proof of legal ownership in urban and suburban settings.
The Red Book, officially known as the Certificate of Land Use Rights, is traditionally issued for agricultural, rural, or undeveloped land, and typically applies to larger land parcels. Although less relevant for residential apartment buyers, it remains critical for land developers, industrial zone investors, and rural property transactions.
Foreign buyers, while restricted from land ownership, can legally obtain Pink Books for apartments and certain properties under approved projects. With increasing transparency and legislative reforms—particularly the Enterprise Law 2025, Land Law 2024, and the e-ID digital identification system—compliance has become both easier and more strictly enforced.
The introduction of annual land price tables starting in 2026, replacing outdated price frameworks, will align state land valuations more closely with market realities. This reform, while improving fairness, also increases financial obligations for certain land conversions and tax calculations.

Navigating Legal Complexities: A Strategic Imperative

The Vietnamese real estate legal framework in 2025 is marked by positive reform and increasing sophistication. However, it also introduces new layers of complexity—such as:

Digital ID requirements (VNeID)
Beneficial ownership disclosures for offshore investors
Limited update space in the new compact Pink Book format
Tighter scrutiny on nominee ownership structures

These changes underscore the importance of proactive legal compliance, timely Pink Book acquisition, and the avoidance of informal agreements that no longer offer protection under the law.

Risks Remain: Due Diligence Is Non-Negotiable

While Vietnam’s property sector continues to attract global investor interest, it is not without its risks:

Developer bottlenecks delaying Pink Book issuance
Fraudulent agents or illegal listings
Ambiguous land planning transparency, especially in areas facing state recovery
Market distortions from an oversupply of high-end units and a shortage of affordable housing

To mitigate these risks, investors must rely on:

Thorough due diligence
Reputable legal and real estate professionals
Clear understanding of land use categories and certificate types

Why the Right Guidance Matters

Whether you are a Vietnamese buyer, a foreign resident, or an overseas Vietnamese (Viet Kieu) seeking to invest in property, working with established consultants such as Invest Vietnam or engaging licensed legal advisors is essential. These professionals help navigate bureaucratic channels, conduct ownership verification, and ensure your investment aligns with current regulations.

The Future of Property Ownership in Vietnam: Transparent, Digital, and Market-Aligned

The reforms taking effect between 2024 and 2026 represent a major turning point in how land and housing rights are managed in Vietnam:

Land compensation is increasingly based on market prices
Voluntary land use agreements are promoted for equitable development
Domestic arbitration mechanisms are being institutionalized for conflict resolution
Urban planning strategies are shifting toward Transit-Oriented Development (TOD) and affordable housing zones

As Vietnam balances rapid urbanization with sustainable development, understanding the correct land certificate, ensuring Pink Book ownership, and maintaining regulatory compliance will remain key pillars of successful property investment.

Final Word: Own with Certainty, Invest with Confidence

Choosing between a Red Book and a Pink Book is not just a technical decision—it is a strategic one. It reflects the nature of the property, the rights you hold, and the legal security of your investment. With the right knowledge and advisory support, buyers in 2025 can not only protect their assets but also unlock the full potential of Vietnam’s rising real estate market.

Secure your Pink Book. Verify your ownership. Understand the legal framework. And above all—invest in Vietnam with clarity, foresight, and confidence.

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