Short-term rental activities in apartments are still very active.

Huge demand from tourism industry

In recent years, the use of apartments to meet the accommodation needs of tourists has become popular in Vietnam, especially through online application platforms such as or social networking groups.

Among them, AirBnb – an online home rental platform has created a new market for apartment owners and travelers, where they can connect directly to find suitable accommodation. The popularity of the model has also formed online communities with hundreds of thousands of participants on social networks, becoming a place where homeowners can share experiences and create large rental groups.

In particular, in big cities like Hanoi, Ho Chi Minh City or tourist cities like Quy Nhon, Nha Trang, Ha Long, etc., short-term apartment rentals through online applications have become an attractive profit opportunity for apartment owners. Even investing in apartments for rent on AirBnb used to be a trend before the tourism industry was affected by the Covid-19 pandemic.

Tourists can easily find apartments for short-term stays in many popular tourist cities.

Sharing about this activity, Mr. Nguyen Van Long - owner of 5 2-bedroom apartments in Quy Nhon (Binh Dinh) said: "Instead of renting monthly to earn 7 million VND/month, each apartment rented short-term on applications or social networks can earn about 800 thousand/night. During the peak period of the tourism industry, the occupancy rate of apartments can reach 80-90%, helping to generate much better profits than short-term rentals".

However, according to Mr. Long, short-term rentals also depend on the development of the tourism industry. In the case of few guests, this landlord still has to convert some apartments to long-term rental models to avoid the situation of empty houses.

Similarly, Mr. Viet Ha (Ha Long, Quang Ninh) also has a stable cash flow thanks to the short-term rental model through the AirBnb application for many years. He also said that apartments are preferred by many domestic and foreign tourists over hotels because they not only provide accommodation and cooking facilities but also private amenities for residents.

The community of tenants and apartment owners is also active on social network Facebook.

“Tenants can use the amenities of the apartment complex, and also have a beautiful view that is no less than that of high-end hotels. Meanwhile, the price to rent an apartment is only half, or even one-third, of that of a hotel. Therefore, many tourists still prefer this model and I think it will not become outdated because it meets practical needs,” Mr. Ha shared.

Many Opinions Against Short-Term Rentals

Although this model meets the actual needs of the tourism industry, short-term rental apartment owners receive many objections from residents living in the same building.

Many opinions say that this model has a significant impact on the security and order of the building, especially affecting the rights of residents when overloading utility services. In addition, tenants are often tourists, so the operating hours will be different from those of long-term residents. Along with the mentality of having fun and relaxing, many tourists also violate the general rules of the apartment building such as operating overtime, making noise, and affecting neighbors.

Therefore, many apartment buildings have agreed to strictly prohibit owners from operating businesses in the form of hourly or daily rentals. They even hang banners and signs prohibiting homestay business activities right at the gate, such as at Vung Tau Melody Apartment (Thang Tam Ward, Vung Tau City, Ba Ria-Vung Tau Province) recently.

Melody Apartment in Vung Tau has posted a sign prohibiting homestay business activities.

Regarding this issue, the Ministry of Construction has issued an official dispatch affirming that the act of using apartments for purposes other than residential purposes such as hourly and daily rental services is strictly prohibited by law.

And Clause 8, Article 3 of the 2023 Housing Law also stipulates the prohibition of using apartments for non-residential purposes, effective from August 1, 2024. Previously, Article 6 of the 2014 Housing Law also strictly prohibited the use of apartments for non-residential purposes.

According to regulations, the activity of renting apartments by the day or by the hour is an accommodation activity, similar to the activity of a hotel and requires a license for accommodation services business. When operating accommodation services, it is necessary to issue invoices, declare and pay taxes, ensure fire prevention and fighting, and security. In addition, guests must register for temporary residence with local authorities.

Specifically, the conditions for accommodation and tourist accommodation establishments must meet the regulations in documents such as Decree 168/2017/ND-CP stipulating a number of articles of the Law on Tourism; Decree 96/2016/ND-CP stipulating security and order conditions for a number of conditional investment and business sectors and professions.

For the act of using an apartment for purposes other than residential purposes, the fine will be from 20 to 40 million VND and the apartment will be forced to be used for residential purposes, i.e., stop business activities. For the act of using the common area or the service area in a mixed-use apartment building for a different purpose than the original purpose (other business areas), the fine will be from 60 to 80 million VND and the use will be forced to be used for the original purpose, i.e., stop business activities for the wrong purpose.

Source: https://www.congluan.vn/du-bi-cam-hoat-dong-cho-thue-ngan-han-tai-can-ho-chung-cu-van-rat-soi-dong-post306431.html