The process of placing deposits for off-plan homes is very chaotic.

It is not necessary to conduct real estate transactions through an exchange.

Participating in the discussion on the draft Law on Real Estate Business (amended) at the National Assembly's specialized committee meeting on the morning of August 29th, National Assembly representative Pham Van Hoa ( Dong Thap delegation) agreed with the content regarding guarantees for future housing projects to build trust between buyers and sellers…

However, according to Representative Pham Van Hoa, the draft Law on Real Estate Business (amended) needs to add specific regulations on the guarantee amount (deposit) for future housing to handle cases of contract cancellation when the buyer and seller cannot reach an agreement on their own.

Furthermore, regarding the content of real estate transactions conducted through exchanges, delegates expressed agreement with the opinion of the National Assembly's Economic Committee. They also emphasized that real estate exchanges primarily act as intermediaries to sell products, with the main purpose being business and profit…

Therefore, transparency and openness are not guaranteed. Mandating real estate transactions to be conducted through a trading floor is unnecessary. According to the representative, regarding this matter, the State should only encourage it, not mandate it.

Real Estate - National Assembly Deputies: The process of placing deposits for purchasing houses under construction is very chaotic. — National Assembly Deputy Pham Van Hoa.

Speaking on the matter, delegate Nguyen Thi Viet Nga (from Hai Duong province) stated that the amended Law on Real Estate Business has received considerable attention from the public. She commented on the issue of deposits in the business of housing and construction projects under development, as stipulated in Clause 6, Article 23.

Ms. Nga expressed agreement with the necessity of deposit regulations and argued that the absence of regulations on deposits, especially regarding the maximum deposit amount and the timing of deposits, would lead to many problems.

"In reality, the current situation regarding deposits for purchasing houses under construction is very chaotic because we lack regulations, leading to project developers misappropriating buyers' capital. Some projects even collect deposits of 30-50% of the total value of the project...", Ms. Nga said.

Delegates noted that housing is a major asset for people, and if there are no clear regulations regarding the deposit, buyers will lose a significant amount of money.

Regarding the timing of the deposit, Representative Nguyen Thi Viet Nga agreed with Option 1 as outlined in the Economic Committee's explanatory report on the draft Law on Real Estate Business (amended). The deposit agreement must clearly state the selling, leasing, or purchase price of the house or construction project, and the deposit amount must not exceed 10% of the selling, leasing, or purchase price of the house or construction project. The deposit collection is permitted when the project's basic design is appraised by a state agency and the investor possesses one of the land use right documents.

Representatives from Hai Duong province argued that such legal constraints would ensure the project's implementation without legal obstacles, preventing the premature collection of deposits before the project meets procedural requirements and has been appraised. This could lead to illegal fundraising by the investor, defrauding buyers of their deposits, or even taking a year to repay the deposit.

If the deposit deadline is stipulated as in Option 2, buyers will not be significantly affected, but developers and sellers will face obstacles and difficulties in their business calculations. Therefore, according to the representative, the deposit deadline as in Option 1 is reasonable.

Strictly manage the transfer of real estate ownership.

Agreeing with many contents of the draft law as well as the draft law dossier, explanatory report, and feedback presented, delegate Le Thanh Hoan (Thanh Hoa delegation) contributed further opinions on the requirement for notarization of real estate business contracts and real estate trading and brokerage contracts.

Real Estate - National Assembly Deputies: The process of placing deposits for the purchase of houses under construction is very chaotic (Figure 2). — National Assembly Deputy Le Thanh Hoan.

According to the delegates, regarding the notarization of contracts, the process of transferring real estate ownership needs to be strictly managed, as this regulation is essential and important for protecting the rights of citizens and ensuring that ownership rights are clearly defined. When confidence in ownership rights is guaranteed, it will promote buying, selling, and investing in assets, as well as the transparent development of the real estate market.

Signing real estate purchase and sale contracts, specifically between real estate businesses and individuals, without requiring notarization is unreasonable.

The delegates pointed out that the mechanism of signing sales contracts in a completely private manner, without an intermediary organization such as a notary public to oversee it, has caused many shortcomings, leading to numerous disputes and frauds, wasting time and money, and harming the interests of the people.

For most individuals, housing transactions are not a frequent occurrence, and due to their complexity and infrequent nature, people's understanding of how to best conduct such transactions is often limited.

Delegates argued that people should not be left to enter these transactions with only their trust in the integrity of real estate businesses, and suggested that clear regulations on notarization requirements are needed to tightly manage the process of transferring real estate ownership .

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