Unblocking hundreds of housing projects

According to HoREA's (Ho Chi Minh City Real Estate Association) calculations, Ho Chi Minh City alone has 343 commercial housing projects from more than 300 enterprises, covering a total land area of 1,913 hectares registered for pilot implementation. Ho Chi Minh City typically accounts for about 25–30% of projects nationwide. Therefore, it is estimated that across the country, about 900 projects with a land use area of around 5,000 hectares will have their legal obstacles resolved under Resolution 171/2024/QH15 over the next five years.

Addressing Land Waste

Mr. Lê Hoàng Châu, Chairman of HoREA, stated that if each project averages 630 houses, Ho Chi Minh City's real estate market alone will gain 216,000 new housing units over the next 3 to 10 years. Broadly, the approximately 900 commercial housing projects nationwide under this pilot program, using about 5,000 hectares of land, could supply around 650,000 new homes to the market.

"This resource will generate significant revenue for the state budget and address land waste. Furthermore, it could attract investment capital of up to around VND 5 quadrillion (about USD 200 billion), creating widespread impact across various economic sectors and contributing to achieving the GDP growth target of 8% in 2025 and double-digit growth from 2026 onwards," Mr. Châu projected.

Mr. Lê Cao, Managing Lawyer of FDVN Law Firm, also noted that Resolution 171/2024/QH15 and Decree 75/2025/ND-CP will help hundreds of projects escape being "suspended" due to a lack of residential land. They also open opportunities for businesses that already own or can acquire land use rights to develop their projects without necessarily following the traditional land allocation or leasing processes. This not only eases project and enterprise difficulties but also facilitates the development of the housing market, aiming to stabilize housing prices and improve people's access to homes.

From the State's perspective, lawyer Lê Cao pointed out that previously, the government often intervened by repossessing land for project developers, creating administrative interference in market operations and resulting in non-transparent benefits for some businesses. Now, the government can step back from intervening in land mobilization while still collecting land-use conversion fees and business taxes, bringing revenue to the state budget as land is introduced into the market. In general, real estate resources will be circulated within the economy. Thus, investors benefit, citizens gain access to housing, and the State earns revenue—a win-win compared to leaving land resources "frozen."

The Need for Strict Monitoring Mechanisms

Although the resolution opens up significant opportunities for the real estate market, unlocking land resources and facilitating business operations, experts warn that the pilot program for land use rights agreements under Resolution 171/2024/QH15 could be ineffective if execution is not properly managed.

According to lawyer Lê Cao, enterprises cannot automatically implement pilot projects just because they own land or have land use right agreements. Investors must meet the program's conditions, criteria, and procedures. More importantly, the pilot program stipulates that the residential land area in pilot projects must not exceed 30% of the additional residential land area in the planning period. Thus, enterprises need to submit registration dossiers for approval. To prevent policy abuse through project "lobbying" or administrative favoritism, lawyer Lê Cao emphasized the need for strict oversight mechanisms. Registration and approval procedures must be transparent, public, and prioritize applications appropriately.

Dr. Nguyễn Văn Đính, Vice Chairman of the Vietnam Association of Realtors, stressed that Resolution 171/2024/QH15 is a crucial solution for removing obstacles, promoting projects, and boosting housing supply amid the current severe shortage. It will also help stabilize the real estate market. However, pilot projects must be located within planned, prioritized development areas—not anywhere opportunistically.

Lawyer Phạm Ngọc Hải, Director of AMI Law Firm and member of the Da Nang Bar Association, suggested that to implement the pilot program effectively and transparently, state management agencies should synchronize several solutions.

First, the State should publicly disclose information, particularly regarding planning, the list of pilot projects, and selection criteria, so that businesses and citizens can easily access and follow proper procedures. Authorities should also disseminate and guide businesses to ensure compliance and effective project implementation.

Second, local authorities must closely monitor project implementation and transparency, especially the People's Councils at all levels, ensuring that businesses do not mobilize capital or transfer ownership of units before obtaining sales permits.

Finally, since pilot implementation will inevitably face challenges and difficulties, timely guidance, support, and resolution are necessary. Issues and shortcomings during the pilot phase should be reported, reviewed, and summarized to improve future applications.