Building for low-income earners in Dang Xa residential area in Gia Lam District. Photo VNA

The investor plans to build two six-storey blocks with 270 flats for low-income people in Ha Noi's outlying district of Gia Lam.

The area of the to-let flats will be 45sqm, 47sqm and 60sqm as well as 69.5sqm each. The design and quality of the to-let flats will be the same as of the flats that will be sold.

Dang Xa is the first property project in the capital city that has both commercial and social housing.

The rent for the low-income flats is scheduled to be VND30,000 (US$1.4) per square metre per month. The service fee for the flats is VND20,000 ($0.98) per 10sqm per month. These prices are said to be 40 to 60 per cent lower than the market prices.

The flats can be rented for five years. If a tenant wants to buy the property after that, he will be given priority. The flats will be sold at low-income housing rates, as regulated by the Ha Noi Department of Finance.

Therefore, the tenants of the flats will feel confident when they renovate or decorate their flats to match their requirements for a long stay, without worrying about the termination of the contract.

The targeted customers of the to-let flats are those who are eligible to buy social housing.

According to Vietnamplus, many people want to buy low-income houses, but because of short supply, they have to take the flats on lease first and then purchase it after five years.

The Dang Xa residential area has basic infrastructure, including a kindergarten school, a swimming pool and sports areas, as well as a park, a supermarket and restaurants.

Since last November when the project was announced, 180 households have registered to take the flats on lease.

According to the latest report of the National Standing Committee, the supply of social housing nationwide meets just seven per cent of the actual demand. Ha Noi has completed nine property projects with 4,945 flats. –  VNS