A housing project in HCM City. The State will regulate the market if property price rise by 20 per cent for three months. —VNA/VNS Photo
If prices in the real estate market increase by more than 20 per cent for three months, ministries and branches managing the property market have to propose measures to regulate the market.
Intervention in response to increases in the real estate transaction price index, is one of important contents of Decree 96/2024/NĐ-CP (Decree 96), effective from August 1.
Accordingly, the Ministry of Construction (MOC) will assess the real estate market situation and propose measures to regulate the market, based on the Government's direction or the price index, real estate transaction volume index, economic and social indicators and statistics of other sectors relating to the real estate market.
The decree states that the State will also regulate the property market when the market fluctuates and threatens socio-economic stability.
Regarding the measures on regulating the real estate market, MOC will coordinate with ministries, ministerial-level agencies and provincial people's committees to have reports assessing the market situation within 15 days and proposing the measures on regulating the real estate market to submit to the Government for approval.
The Ministry of Construction (MOC) suggests measures concerning policies on urban planning, construction, housing, and real estate business, as well as on the development programmes for urban areas, housing and real estate, and the structure of real estate products.
The measures will also relate to policies on investment and bidding proposed by the Ministry of Planning and Investment and policies on land from the Ministry of Natural Resources and Environment.
The Ministry of Finance will propose the measures relating to policies on tax, finance, securities and corporate bonds.
In addition, the State Bank of Việt Nam will suggest measures relating to credit policies.
Local people's committees will assess the progress of real estate projects in their areas and then propose regulatory measures for the local real estate market.
If approving the market regulation measures exceeds the Government's authority, those measures will be submitted to the National Assembly and the National Assembly Standing Committee for consideration and decision making. — VNS