HoREA proposes policy on calculating land use fees for resettled people

According to HoREA, in more than 30 years of implementing the program of relocating and refurbishing houses along and on canals, Ho Chi Minh City has relocated more than 44,000 houses, contributing to improving the urban appearance and living conditions for thousands of households. However, since 2006, the progress of housing relocation has slowed down significantly.

Photo caption — A series of houses along canals and ditches in Chanh Hung ward (Ho Chi Minh City).

As of July 2025, the city has only relocated 2,984 out of a total of 6,500 houses targeted for the 2021-2025 period. There are still more than 39,600 makeshift houses with about 65,000 households living along 398 large and small canals, most of which are in poor conditions of infrastructure and social security.

HoREA said that most of the displaced people are not eligible for compensation for residential land but only receive support for construction costs. When resettled, most of them only receive the "minimum resettlement quota" which is an apartment, while some cases that are allocated resettlement land face great difficulties when having to pay land use fees to be granted land use right certificates. The current collection level, even though it is only a few hundred million VND, is still too heavy a burden for resettled people, this is a group considered "disadvantaged".

Based on this reality, the Ho Chi Minh City Real Estate Association proposed that the “resettlement land price” should only be calculated by 20% of the land price in the land price list multiplied by the land price adjustment coefficient, instead of applying the entire price and coefficient as usual. HoREA believes that this level is both reasonable and humane, helping people stabilize their lives, contributing to promoting the progress of relocation and urban renovation.

In addition, the Association also proposed to add a regulation defining the time of signing the BT contract as the time of determining the land price for payment for the BT project. According to HoREA, many previous BT contracts did not specify the time of project establishment or bidding, leading to difficulties in determining the price of the corresponding land fund.

This recommendation is also consistent with Decree 91/2025/ND-CP of the Government on the new urban area of Thu Thiem, which stipulates that "the time of initialing the BT contract" is the time of determining the payment land price.

HoREA believes that the completion of this regulation will remove difficulties for hundreds of pending BT projects, and will help speed up compensation and site clearance progress and achieve the goal of relocating 20,000 houses along canals in the 2026-2030 period, towards developing a civilized, modern, and humane Ho Chi Minh City.

Source: https://baotintuc.vn/bat-dong-san/horea-de-xuat-chinh-sach-tinh-tien-su-dung-dat-voi-nguoi-tai-dinh-cu-20251107155212962.htm