Foreign organizations entitled to own houses in Vietnam
The Law on Housing No. 27/2023/QH15, passed by the National Assembly on 27 November 2023 and effective from 1 August 2024 (under Law No. 43/2024/QH15 dated 29 June 2024, which brought the effective date forward), replaced the 2014 Law on Housing. Article 17(1) lists the foreign organizations and individuals entitled to own houses in Vietnam, including two organizational groups:
- Foreign-invested economic organizations that are investors of housing construction investment projects under the Law on Housing and real estate business law;
- Foreign organizations, including branches and representative offices of foreign enterprises, foreign investment funds and foreign bank branches operating in Vietnam, and other foreign organizations as prescribed.
Conditions for foreign organizations
Under Article 18(2) of the 2023 Law on Housing, a foreign organization wishing to own houses in Vietnam must hold an Investment Certificate or Investment Registration Certificate, or documents on permission to operate or establishment in Vietnam that remain valid at the time of signing the housing transaction (collectively the investment certificate), issued by a competent Vietnamese state authority as prescribed by law.
In other words, the core condition is that the foreign organization is lawfully operating in Vietnam with a valid license at the time of the transaction. A foreign company branch whose establishment license has expired, or a representative office that has ceased operations, does not qualify to own houses.
For foreign-invested economic organizations (Article 18(1)), the condition is being the investor of a housing construction investment project — tied to a specific housing project investment.
Scope and limits of ownership rights
Foreign organizations and individuals enjoy homeowners rights like Vietnamese citizens but must observe the limits in Article 20 of the Law on Housing 2023:
Number of houses
A foreign organization may only purchase, hire-purchase, receive as gifts, inherit and own houses within the quantity prescribed in Article 19 of the Law, and be granted Certificates for those houses.
National defense and security areas
Foreign organizations may not own houses in areas requiring national defense and security under Article 16. Where gifted or inherited houses fall in such areas or exceed the permitted quantity, the organization is only entitled to the value of the house (not title ownership).
Ownership term tied to the investment certificate
A key difference from foreign individuals: a foreign organization may own houses as agreed in the transaction but for no longer than the term stated in its investment certificate, including any extended period. The ownership term runs from the date the organization is granted the Certificate and is clearly stated therein. (Foreign individuals, by contrast, may own houses for up to 50 years from Certificate issuance, extendable once for up to 50 years.)
Handling upon expiry
Before the ownership term expires, a foreign organization owner may directly or through authorization donate or sell the house to persons eligible to own houses in Vietnam. If the term expires without sale or donation, the house becomes public property.
Procedures for foreign organizations to own houses
- Sign the housing transaction: purchase, hire-purchase, gift receipt or inheritance with the seller/donor. The organization investment certificate (or operation license) must be valid at signing.
- Registration and certification: register house ownership to obtain the Certificate of land use rights and house ownership under land law. The ownership term is stated in the Certificate.
- Post-ownership obligations: under Article 21 of the 2023 Law on Housing, foreign-invested economic organizations bear homeowners obligations under the general rules (maintenance, maintenance-fund contributions for common areas of apartment buildings, compliance with apartment management rules).
Recommendations
- Verify the validity of the investment certificate/operation license before signing — an expired license means loss of ownership eligibility.
- Confirm the house is outside defense/security areas and within the permitted quantity cap.
- Calculate the ownership term against the investment certificate term to plan timely extension or transfer, avoiding the house becoming public property.
This article was prepared with review by the FLAW AI Legal Council and is pending QA Council review before submission to the owner for approval. It is not the opinion of a licensed human lawyer and does not replace legal advice for a specific case.
