Converting agricultural land to residential land from 2026: Reduced fees and opportunities for refunds.

Resolution 254/2025/QH15 stipulates a fee of 30% of the difference in land prices when changing land use purposes. Citizens who paid from August 1, 2024, may be reimbursed or have the difference deducted.

From January 1, 2026, new regulations on land finance will officially come into effect, bringing significant benefits to households and individuals when converting agricultural land to residential land. According to Resolution No. 254/2025/QH15 and Decree No. 50/2026/ND-CP, land use fees will be significantly reduced compared to previous regulations, aiming to resolve difficulties in implementing the 2024 Land Law.

Change the method of calculating land use fees to a percentage rate.

The focus of the new regulations is on determining land use fees based on a percentage of the difference between residential and agricultural land prices at the time of land use conversion. Instead of having to pay 100% of the difference as in the previous phase, people will be subject to a flexible fee structure depending on the area of ​​land.

• 30% fee: Applies to the area within the allocated residential land limit.
• 50% fee: Applies to the area exceeding the limit, but not more than once the limit.
• 100% charge: Applies to the area exceeding the limit by one time.

This mechanism is applied once to each household or individual on a self-selected plot of land. Land users must commit to the location of the plot eligible for preferential treatment in their application for land use conversion.

People who convert agricultural land to residential land will be reimbursed if they meet the necessary conditions. (Illustrative image)

Opportunity to get a refund or offset the land use fee already paid.

Notably, the new policy allows for retroactive processing of cases where financial obligations were fulfilled between August 1, 2024, and before January 1, 2026. If citizens have paid land use fees at the old rate (100% of the difference) and the amount is higher than the amount due under the new regulations, the difference will be refunded or offset against other financial obligations.

To be eligible for this benefit, land users must submit an application for a recalculation of land use fees before January 1, 2027. This is considered an important solution to ensure fairness, as land prices in many localities have increased sharply recently, making the cost of legalizing residential land a significant burden for many households.

Context and impact on the market

This adjustment to land finance policy stems from the practical implementation of the 2024 Land Law. In many areas, the application of the new land price list has led to a sudden increase in people's financial obligations, in some cases reaching billions of dong, making it difficult to secure stable housing. The new regulations not only help reduce cost pressure but also promote the legalization of land use rights, helping the real estate market operate more transparently and stably.

The guiding documents, including Decree No. 49/2026/ND-CP and Decree No. 50/2026/ND-CP, have also clearly stipulated the authority for exemption and reduction, as well as the responsibilities of state agencies, ensuring a quick and clear implementation process.

*Regulations may change according to the latest guidelines from relevant authorities. Citizens should contact their local land management agency to verify specific financial obligations at the time of the transaction.

Source: https://baolamdong.vn/chuyen-dat-nong-nghiep-sang-dat-o-tu-nam-2026-giam-phi-va-co-hoi-hoan-tien-424800.html