[Thanh Nien News, 2 April 2015] Thanh Nien News, in an article by Bao Van, reports that Vietnam’s property market generates new foreign interest. Below is an abridged version of the article.

…Another reason for foreign investors to increasingly enter the sector is a policy change allowing greater foreign ownership of property…

Foreigners with a valid visa and foreign companies and international organizations operating in Vietnam will be permitted from July 1 to buy houses and apartments. Now, only foreigners married to Vietnamese and those deemed to make significant contributions to the nation’s development are allowed to buy houses in the country.

The new rules allow maximum foreign ownership of 30 percent in any apartment building or 250 houses in a ward.

“It is a very good change of policy, opening up the real estate sector to expats, and creating an image of an opening of the economy to foreign capital,” Liem said. “It will help attract more FDI in the sector.”

…Linson Lim, president of Keppel Land Vietnam, said: “We remain confident in the long-term growth potential of Vietnam’s property market. It has a young and dynamic population and a growing middle-class with strong aspirations for home ownership.” The high urbanization rate, improving infrastructure and declining interest rates would also support housing demand, he said…

(The) Real estate sector ranked second last year, after the processing industry, in attracting FDI. In 2014 it attracted $2.54 billion, accounting for 12.6 percent of total investment, according to the Foreign Investment Agency…

The fact that Vietnam has been listed as one of the top 25 retirement destinations by International Living, an Irish magazine, could also spur demand for housing in the country from foreign nationals…

*** To read the full, unabridged article, click onto Vietnam’s property market generates new foreign interest.