What is the definition of "real estate trading"? What are the rules for real estate trading in Vietnam?

What is the definition of "real estate trading"?

As prescribed in the Law on Real Estate Trading in 2014, real estate trading means capital investment in building, purchasing, and receiving real estate for sale, for transfer, for lease, for sublease, or for lease purchase; provision of real estate brokerage services; real estate trading floor services; real estate counseling services or real estate management for profit purposes.

What are the rules for real estate trading in Vietnam?

Pursuant to Article 4 of the Law on Real Estate Trading in 2014 stipulating the rules for real estate trading in Vietnam as follows:

- Contracting parties have equality before the law; freedom to conclude a contract on the basis of respect for their legitimate rights and interests provided that such agreement is not in contravention of law.

- Real estate to be put on the market must meet all the requirements prescribed in this Law.

- The real estate trading must be conducted honestly, publicly and transparently.

- Any organization or individual is entitled to conduct real estate trading in the area beyond national defense and security protection zone according to land-use planning approved by competent agencies.

What are prohibited acts in real estate trading in Vietnam?

Pursuant to Article 8 of the Law on Real Estate Trading in 2014 stipulating prohibited acts in real estate trading in Vietnam as follows:

1. Real estate trading does not satisfy requirements prescribed in this Law.

2. The real estate projects are not complied with planning approved by competent agencies.

3. Failure to disclose, or untruthfully disclose about the real estate.

4. Fraud and deception in real estate trading.

5. Illegal mobilization of funds; illegal use of mobilized capital of organizations or individuals and option fee of off-the-plan real estate buyers or lessees for improper purposes.

6. Failure to fulfill or completely fulfill financial obligations to the State.

7. Grant and use of real estate broker license in contravention of the provisions of this Law.

8. Collection of charges, fees and money amounts related to real estate trading in contravention of the provisions of law.

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