The Ministry of Construction and the Ministry of Finance are studying the tax on real estate speculation.

At the regular press conference for the third quarter of 2024 held on the morning of October 17, Mr. Vuong Duy Dung, Deputy Director of the Department of Housing and Real Estate Market Management ( Ministry of Construction ) admitted that housing prices have been on a "hot" upward trend recently. The leader of the Department of Housing and Real Estate Market Management said that the Ministry of Construction is coordinating with the Ministry of Finance to propose solutions that can help "control" housing prices.

According to Mr. Dung, the strong fluctuations in housing prices in recent times are due to many reasons. For example, the increase in input costs, especially land use and labor costs, or the limited supply of real estate.

The Ministry of Construction and the Ministry of Finance are studying the tax on real estate speculation. (Photo: ST)

"Although supply in the second quarter of 2024 has improved, it is not significant. Therefore, when supply is limited, speculators and brokers will have an impact on price stimulation, price inflation, and market information disruption, causing prices to increase further," Mr. Dung emphasized.

In addition, Mr. Dung revealed: Investment activities in other sectors of the economy are not favorable, so investors pour money into some safe real estate segments to invest and keep money. The shift of cash flow into real estate also causes house prices to fluctuate.

Adding to the reasons for the recent sharp increase in housing prices, Mr. Nguyen Viet Hung, Deputy Minister of Construction, said that the two reasons for the recent sharp increase in housing prices are speculation and market psychology.

"Speculation causes prices to increase unreasonably and home buyers have the mentality of buying houses to wait for prices to increase, which causes house prices to increase sharply," the Deputy Minister emphasized.

Therefore, according to the Deputy Minister, to stabilize the market, it is necessary to stabilize the psychology of home buyers through communication work.

According to Mr. Vuong Duy Dung, the Ministry of Construction has proposed many solutions to cool down the market in recent times, and at the same time has solutions to promptly implement the Land Law and the Real Estate Business Law so that the laws can soon come into effect.

In addition, price fluctuations in the past have also been due to auction activities, so it is necessary to review and guide legal regulations and adjust land price lists according to the 2024 Land Law to avoid negative impacts on the real estate market and ensure the rights of people and investors.

At the same time, manage real estate business activities of investors, real estate floors, real estate brokers, aiming to bring transactions through the floor and have state management, in order to make transactions transparent, avoiding price inflation.

Regular press conference for the third quarter. (Photo: Viet Vu)

Finally, according to Mr. Dung, it is necessary to amend and supplement tax policies related to real estate business, limit speculation, and short-term real estate buying and selling. These solutions are agreed by the Ministry of Finance and related ministries to study tax solutions.

"This is a new policy, which needs to be studied thoroughly and comprehensively, on that basis, fully assessing the impact, assessing the policy subjects, from business enterprises, to sellers, buyers, to see how it affects the market. From there, it is possible to limit speculative activities, suitable for specific conditions, avoiding negative impacts on the market in general and people's trading activities," Mr. Dung emphasized.

Source: https://www.congluan.vn/the-construction-and-finance-bo-is-working-to-solve-solutions-to-solve-real-estate-covid-19-post317258.html