The Prime Minister called upon higher role and responsibility of state management agencies in inspection, appraisal and allowance of investments in housing development projects and real estate investment.
This is a salient point of Directive No. 2196/CT-TTg of December 6, on measures to strengthen the management of the real estate market.
Accordingly, to redress weaknesses and shortcomings and create conditions for healthy and sustainable development of the real estate market, the Ministry of Construction is urged to join other ministries and sectors engaged in real estate business in perfecting the housing and real estate trading regulations and better regulating the structure of housing products (commercial and social houses and houses for low-income earners).
It will implement programs to build houses for students and workers in industrial parks and low-income earners in urban areas and programs providing housing supports for rural people.
The Prime Minister also assigned the Construction Ministry to submit plans to develop houses for lease, including social houses, and saving funds for housing development in the first quarter of 2012.
Provincial/municipal administrations will join the Construction Ministry and related ministries in investigating major property projects in their localities before reporting their problems to the Prime Minister in the first quarter of 2012.
The Finance Ministry will propose property tax in order to reduce speculation and use land resources efficiently, and report results in the second quarter of 2012. It will also revise personal income tax on real estate transfer and submit a decree guiding the Securities Law, specifying the model of real estate investment funds to inject support capital for the real estate market through channels of the securities market.
The State Bank will reduce loans for compensation and site clearance of new projects and luxury property projects and loans for individuals trading in real estate for profits. It will work with the Construction Ministry in reviewing before continuing to grant loans for property projects that are nearly finished or will be ready for sale in 2012.-