Foreign Ownership of Real Estate in Vietnam: What the 2024 Housing & Land Laws Allow

The topic of "foreigners buying property in Vietnam" is often misunderstood. Some assume foreigners cannot own real estate in Vietnam at all; others assume they have the same rights as Vietnamese citizens. In practice, Vietnamese law takes a middle path: foreigners may own housing within defined limits, subject to specific conditions and restrictions.

Since the Housing Law 2023, the Land Law 2024, and their implementing guidance took effect on August 1, 2024, the legal framework governing housing ownership by foreign organizations and individuals in Vietnam has become clearer. Even so, investors still need to understand several important legal limits.

This article analyzes the current regulations for two main groups: (i) foreign individuals and organizations eligible to own housing in Vietnam, and (ii) overseas Vietnamese who retain Vietnamese nationality.

Foundational Principle: Foreigners Do NOT Have Land Ownership Rights in Vietnam

Under the Constitution and the Land Law 2024, land in Vietnam belongs to the entire population, with the State acting as the representative owner and unified manager.

However, Vietnamese law allows foreign organizations and individuals who qualify to own housing within a defined scope — including condominium apartments or individual houses within eligible commercial housing development projects.

The "30% of Apartments" and "250 Houses" Caps

To manage the proportion of housing owned by foreign organizations and individuals, and to safeguard national defense and security requirements, Vietnamese law sets quantity limits on housing that foreigners may own:

•        Condominium apartments: Foreigners may own no more than 30% of the total apartments in any single condominium building within a housing development project.

•        Individual houses: Within an area with a population equivalent to a ward-level administrative unit, foreign organizations and individuals may own no more than 250 individual houses within commercial housing development projects.

These caps operate on a first-come-first-served basis. Before placing a deposit, investors should require the project developer to provide written confirmation of the remaining quota for the project/building — ideally bearing the seal of the Department of Construction, where available.

The 50-Year Ownership Term and Renewal Possibility

The maximum housing ownership term for foreign individuals in Vietnam is 50 years from the date the Certificate is issued. Upon expiry, the owner may apply for an extension in accordance with the law; renewal is not automatic and depends on the conditions, procedures, and process prescribed by law at that time.

Who Is Eligible, and What Type of Real Estate Can Be Purchased?

Under the Housing Law 2023, foreign individuals eligible to own housing in Vietnam are those permitted to enter Vietnam and who do not fall under diplomatic privileges and immunities as prescribed by law.

Types of housing that may be owned:

•        Housing may only be owned within commercial housing development projects that are eligible for ownership by foreign organizations and individuals.

•        Housing may not be owned within national defense and security zones (as listed by the Ministry of National Defense and the Ministry of Public Security).

•        Ownership does not extend to agricultural land, standalone land-use rights outside commercial housing projects, or social (subsidized) housing.

Overseas Vietnamese ("Việt Kiều"): Key Changes under the 2023 Housing Law and 2024 Land Law

This is one of the most significant recent policy changes in housing and land law. Under the Housing Law 2023 and Land Law 2024, Vietnamese people residing overseas who retain Vietnamese nationality are recognized as having housing and land-use rights equivalent to Vietnamese citizens residing in the country, as prescribed by law.

Specifically:

•        They are not subject to the 30% apartment cap or the 250-house cap that applies to foreign organizations and individuals.

•        They may receive transfers of residential land-use rights within the scope permitted by law, not limited to commercial housing projects designated for foreigners.

•        They are not subject to the 50-year ownership term applicable to foreign individuals; they enjoy stable, long-term housing ownership as prescribed by law.

An important condition is that Vietnamese nationality status must be proven in order to be recognized with the rights of a Vietnamese citizen. Overseas Vietnamese who no longer hold Vietnamese nationality are subject to separate rules applicable to persons of Vietnamese origin residing overseas, with a different scope of rights compared to Vietnamese citizens.

For Vietnamese communities living in the United States, Australia, Canada, and Europe, these changes create more favorable conditions for owning housing and carrying out real estate transactions in Vietnam. However, investors must still complete the procedures to prove their nationality status and legal standing before executing any transaction.

Practical Advice Before Placing a Deposit

1.      Request written confirmation of the remaining quota for the project (for apartments) or the equivalent ward-level area (for individual houses).

2.      Check the national defense and security zone list to confirm the project is not located within a restricted area.

3.      Plan inheritance arrangements from the outset: if a potential heir is not eligible to own the property, an appropriate asset structure should be chosen in advance.

4.      Overseas Vietnamese: complete Vietnamese nationality confirmation procedures before signing the contract — otherwise, the transaction will still be classified in the foreigner category.

5.      Currency and capital transfer: funds remitted into Vietnam must go through a licensed direct/indirect investment capital account at an authorized commercial bank — not through an ordinary personal account.

Key Takeaways

•        Foreigners do NOT own land in Vietnam — they may only own housing (apartments or individual houses) within approved commercial projects, under a land lease-use right structure.

•        Caps: maximum 30% of apartments in a building; maximum 250 individual houses within an equivalent ward-level area.

•        Ownership term: 50 years, renewable once (up to 100 years); the renewal mechanism has no established practical precedent to date.

•        Overseas Vietnamese who retain Vietnamese nationality (including dual nationality) enjoy full citizen rights from 2025 onward — no caps, long-term ownership.

Frequently Asked Questions (FAQ)

Can foreigners buy housing in Vietnam?

Yes, but within defined limits. Vietnamese law allows foreigners to own housing (not land) within eligible commercial housing projects, subject to specific conditions and limits on quantity and duration.

Can foreigners own land in Vietnam?

No. Under the Constitution and the Land Law 2024, land in Vietnam belongs to the entire population, with the State acting as the representative owner and unified manager. Foreigners may only own housing within eligible commercial housing development projects.

What is the maximum percentage of condominium apartments foreigners can own?

A maximum of 30% of the total apartments in any single condominium building within a housing development project.

What is the maximum number of individual houses foreigners can own?

No more than 250 individual houses within an area with a population equivalent to a ward-level administrative unit, within commercial housing development projects.

How long can foreigners own housing in Vietnam?

A maximum of 50 years from the date the Certificate is issued. Upon expiry, the owner may apply for an extension in accordance with the law; renewal is not automatic and depends on the conditions, procedures, and process prescribed by law at that time.

Are overseas Vietnamese who retain Vietnamese nationality subject to the 30% apartment cap or 250-house cap like foreigners?

No. Vietnamese people residing overseas who retain Vietnamese nationality are not subject to the 30% apartment cap or the 250-house cap that applies to foreign organizations and individuals, and are not subject to the 50-year ownership term.

What should overseas Vietnamese prepare before buying property to receive the same rights as Vietnamese citizens?

They must complete the procedures to confirm Vietnamese nationality before signing the contract. Otherwise, the transaction will still be classified in the foreigner category and subject to the corresponding limits.

Next Step

Book a free 30-minute consultation with the Chilli FDI (Foreign Direct Investment) team at chilliconsulting.vn or via Zalo/WhatsApp +84 938 089 879.

Disclaimer: This article is for reference purposes only and does not replace formal legal advice. Regulations may change — please confirm with a licensed lawyer before taking action.