A social housing project in Hải Phòng City. VNA/VNS Photo

The Land Law, the Housing Law and the amended Real Estate Business Law took effect on August 1. The real estate market will move to a new phase and operate in a more transparent and effective manner. Vietnam News Agency speaks to Đào Trung Chính, director of the Department of Planning and Land Resources Development, Ministry of Natural Resources and Environment on this topic.

Since the Land Law was adopted in 2003, it was reported that some projects have been stuck for many years without being resolved and some localities cannot determine land prices. How does the 2024 Land Law contribute to solving these problems?

The 2024 Land Law has issued a separate article (Article 257) with transitional provisions to give instructions on the determination of specific land prices for cases where land has been allocated or leased before the 2024 Land Law but land prices have not been determined.

Localities now have a legal basis to complete land price valuation and ask those cases to complete financial obligations of these cases.

The Government has issued Decree No. 71/2024/NĐ-CP regulating land prices and Decree No. 103/2024/NĐ-CP regulating land use fees and land rents, which specifically stipulate the method of land valuation and the calculation of additional payments for each case where land has been allocated or leased by the State under the 1993 Land Law, the 2003 Land Law, and the 2013 Land Law but land prices have not yet been determined.

The 2024 Land Law and its detailed guidelines have created a complete legal corridor for localities to execute and resolve long-standing backlogs related to land valuation.

Many experts believe that the new provisions of the 2024 Land Law will improve transparency in the real estate market, but they may also raise prices. A new law being passed and real estate prices falling is an unprecedented occurrence. What is your opinion?

It is anticipated that new regulations, which remove the land price framework, update the price list annually and give district authorities the authority to decide on prices, will enhance land use, allocation and budget revenue.

The real estate market will undoubtedly be impacted by this in a variety of ways. For instance, investors and individuals are able to forecast future trends in land prices because of the adjustments made to land prices during each period.

This contributes to the real estate market's increased stability and transparency.

This will also have an impact on the price at which homes and apartments are sold in neighborhoods with public infrastructure or investment projects.

The new provisions of the 2024 Land Law will contribute to a more equitable and transparent real estate market. This has a variety of effects on the real estate market and aids in preserving the rights of both land buyers and sellers.

Additionally, the 2024 Land Law features creative regulations that establish a distinct and varied pathway for businesses to obtain appropriate land funds to carry out projects that guarantee supply for the limited real estate segment, particularly for mid-range real estate.

Numerous specialised legal systems, including credit law, real estate business law and housing law, have impacts on the real estate market.

A number of significant policies have recently been released and amended.

The recently enacted land law policies will help balance the supply and demand for housing, solve a number of real estate project roadblocks and improve the environment for future real estate market activity.

In order to remove obstacles in the current real estate market, including those in land valuation, implementation of land financial obligations, what specific solutions should be taken?

The 2024 Land Law has many new, innovative and breakthrough contents which improve the effectiveness and efficiency of land management and use.

Of the total 260 articles, 97 articles are assigned to the Government, the Prime Minister, ministers, people's councils and people's committees of provinces and centrally run cities to detail and guide the implementation of the Law.

The 2024 Land Law will immediately be effective when implemented, especially the contents of land users' rights such as compensation, support, and resettlement policies when the State recovers land; land policies for ethnic minorities; land policies for Vietnamese people residing abroad who are Vietnamese citizens; land finance and land price policies; allowing land users to use land for multiple purposes; promoting decentralisation, reforming administrative procedures, cutting down on intermediaries in land management and use, reducing compliance costs in accessing land.

In order to remove obstacles in the current real estate market, relevant ministries and sectors need to continue to step up dissemination and training on the Land Law 2024 and other implementation documents to every agency, unit, association, socio-political organisation and those affected.

Ministries, sectors and localities need to urgently review legal documents related to land to issue them following their authority or submit to competent State agencies for amendments, supplements and replacements to ensure compliance, consistency and synchronisation with the Land Law 2024.

They must effectively implement the Land Law 2024 and closely link decentralisation with inspection, examination and supervision to promptly detect violations and impose strict punishment measures. — VNS