Non-profit National Social Housing Development Fund: The 'dream' of many people about to come true?

In the draft Resolution, the National Assembly proposed the establishment of a National Social Housing Development Fund. This is a non-state budget financial fund established by the Government, operating not for profit, ensuring publicity, transparency, efficiency, proper use and compliance with the provisions of law.

The National Social Housing Development Fund is taken from the annual state budget allocation and other mobilized capital sources. Specifically, the revenue that investors in commercial housing construction investment projects contribute is equivalent to the value of the 20% land fund invested in building technical infrastructure systems to build social housing according to the provisions of the law on housing, or revenue from the sale and lease of public housing.

The National Social Housing Development Fund is a non-profit organization. (Photo: Rice)

Commenting on this issue, Dr. Nguyen Van Khoi, Chairman of the Vietnam Real Estate Association (VNRea), said that the establishment of the National Housing Development Fund and the development of low-cost housing is reasonable. This is an important and dominant segment, when there is a new supply that meets actual demand, it will help the real estate market develop more balancedly, while promoting the role of ensuring social security.

“The urgent and serious direction and orientation of the Prime Minister will create a strong driving force in the development of low-cost housing, especially in large cities, effectively solving the problem of housing shortage for low-income people,” said Dr. Nguyen Van Khoi.

Sharing the same view, Mr. Nguyen The Diep, Vice President of Hanoi Real Estate Club, affirmed that the policy of establishing a national housing fund to develop low-cost housing in large cities is a breakthrough. Because this fund will regulate the real estate market in terms of macro and price.

When the market lacks supply, the State will open a fund to develop housing and serve social security. When supply exceeds demand, the State will close it and regulate flexibly.

"Of course, during the implementation process, it is also necessary to research, based on general planning, regional planning, and practical basis to come up with appropriate strategies," said Mr. Diep.

Meanwhile, Mr. Le Hoang Chau, Chairman of the Ho Chi Minh City Real Estate Association (HoREA) proposed that instead of naming it the National Social Housing Development Fund, it should be named the Housing Development Fund, removing the word "social".

Because in the long term, the National Housing Fund will be used to develop low-cost housing in large cities, including two types of housing: social housing and low-cost commercial housing.

Therefore, the name of the National Housing Development Fund is flexible and covers housing support policies for the disadvantaged in society, including support mechanisms for young people to buy low-cost commercial housing, without having to change the name of the National Housing Development Fund.

In addition, Mr. Chau proposed that the National Housing Development Fund should be managed by the Fund Management Council chaired by the Minister of Construction.

Dinh Tran

Source: https://www.congluan.vn/quy-phat-trien-nha-o-xa-hoi-quoc-gia-khong-vi-loi-nhuan-giac-mong-cua-nhieu-nguoi-sap-thanh-hien-thuc-post340903.html