Resolution No. 48/2007/NQ-CP On adjusting certain main contents of the policy on selling state-owned housing to tenants under Decree No. 61/CP dated July 5, 1994 of the Government and the rental price for state-owned housing that has not been renovated or rebuilt

On September 7, 2006, the Government issued Resolution No. 23/2006/NQ-CP "on several measures to accelerate the progress of selling state-owned housing to tenants as stipulated in Decree No. 61/CP dated July 5, 1994 of the Government." This resolution has contributed to accelerating the progress of selling housing in localities throughout the country. According to the reports of 53 provinces and cities, up to the end of December 2006, 9,235,277 square meters with 200,158 units were sold, accounting for 58% of the total state-owned housing fund, the remaining number of houses available for sale is 64,471 units, representing 18.6% of the total.² 

However, the work of selling state-owned housing to tenants still faces some difficulties and obstacles that need to be overcome, mainly in specific contents such as: transferring the housing fund managed by self-managed agencies; adjusting the selling price for state-owned housing located on streets and roads, and villa-type housing; collecting land use fees when selling state-owned housing for type IV housing in collective residential areas; allowing the sale of apartment-style condominiums after households have independently improved them to ensure independent use and adjusting rental prices for state-owned housing that is not for sale or tenants who do not purchase.

To resolve the aforementioned difficulties and obstacles in order to accelerate and soon conclude the process of selling state-owned housing to tenants as stipulated in Decree No. 61/CP dated July 5, 1994 of the Government, the Government agrees to adjust certain contents in the policy on selling state-owned housing as follows:

1. From the date this Resolution takes effect, the People's Committees of provinces and centrally governed cities (hereinafter referred to as provincial People's Committee) shall be responsible for managing the entire housing fund under state ownership within their jurisdiction that is subject to self-management and report to the Prime Minister on the management situation of the housing fund under self-management no later than October 1, 2007, clearly stating the agencies and units that have not completed the handover to clarify their responsibilities; instruct the local housing management agency to directly manage this housing fund. For housing units eligible for sale, they shall be sold according to the provisions of Decree No. 61/CP dated July 5, 1994, Resolution No. 23/2006/NQ-CP dated September 7, 2006 of the Government, and this Resolution.

For housing units that do not have the origin of being housing but have been arranged by agencies and units for housing purposes, the following management regulations shall apply:

a) In cases where housing was arranged before the issuance of Decision No. 118/TTg dated November 27, 1992 of the Prime Minister on rental prices for housing and inclusion of housing rent in salaries (hereinafter referred to as Decision No. 118/TTg), and the land area allocated for housing is an independent compound or can be separated from the compound of the office or agency; has its own access route, does not obstruct the front facade of the office or agency; does not affect surrounding space and scenery; the agency or unit does not require usage and is consistent with the approved land use planning at the local level, then it shall be transferred to the management of the provincial People's Committee (where the house is located); the provincial People's Committee shall sell the house to tenants according to the provisions of Decree No. 61/CP.

b) In cases where housing was arranged after the issuance of Decision No. 118/TTg or housing was arranged before the issuance of Decision No. 118/TTg but does not meet all conditions specified in point a of this Section, the current regulations on reorganization and disposal of state-owned housing and land shall apply.

2. Entrust the provincial People's Committee to base on the Housing Sale Plan approved by the People's Council at the same level and the remaining number of housing units, to clearly classify each type of housing, grade housing, and each area to decide on appropriate sales methods suitable to the actual situation of the locality, with the following basic principles:

a) For individual high-yield housing units located on streets and roads, entrust the provincial People's Committee to develop the sales method and price at the time of sale, submit to the approval of the People's Council at the same level before implementation. For households that do not purchase, they may continue to lease according to the current rental price; from January 1, 2008 onwards, the new price as stipulated in Clause 4 of this Resolution will be applied.

For the remaining state-owned villa housing funds in Hanoi and Ho Chi Minh City: entrust the People's Committees of these two cities to review, establish management plans through the People's Councils of the cities and report to the Prime Minister for comments before implementation. The deadline for submitting the report is no later than November 15, 2007.

b) For type IV housing in collective residential areas, except for those specified in point a of this Section, when sold, the land price and housing price shall be applied according to points a and b of Section 2 of Resolution No. 23/2006/NQ-CP dated September 7, 2006 of the Government. The land use fee in the sale price of the house shall be recorded as a debt without interest in the Certificate of House Ownership and Land Use Right granted to the buyer. During the period when the house purchase debt is not fully repaid, if the buyer conducts transactions with the house (sale, gift, exchange, mortgage), they must repay the land use fee debt before carrying out these transactions.

c) The exemption and reduction of land use fees and house prices when selling state-owned housing according to Decree No. 61/CP shall be implemented according to the systems established before January 1, 2005.

d) The sale of state-owned housing to tenants must be conducted openly, transparently, with simplified procedures, creating favorable conditions for buyers and ensuring social stability. Cases that have already been sold before the effective date of this Resolution shall not be retroactively applied.

3. For apartment buildings with non-closed unit structures where localities have not yet had the conditions to renovate or rebuild but tenants have self-renovated to ensure independent, voluntary, and consensual use through written agreements requesting to purchase, sales shall be permitted according to the provisions of Decree No. 61/CP dated July 5, 1994, Resolution No. 23/2006/NQ-CP dated September 7, 2006, and this Resolution.

4. As of January 1, 2008, rental prices for state-owned housing that has not been renovated or rebuilt shall be applied according to new rental prices suitable for each category, grade, and quality of housing; consistent with current laws on housing. The Ministry of Construction shall take the lead, coordinate with the Ministry of Finance and relevant ministries and sectors to submit to the Prime Minister a framework for new rental prices for housing in the third quarter of 2007. Based on this framework, provincial People's Committees shall issue specific rental prices for housing in accordance with the actual situation of their locality.

5. The Ministry of Construction shall be responsible for monitoring, urging, inspecting the implementation results of this Resolution, and reporting the summary of work selling state-owned housing to tenants under Decree No. 61/CP to the Prime Minister in January 2008.

6. Ministers, heads of ministerial-level agencies, heads of government-affiliated agencies, Chairpersons of provincial and centrally-administered city People's Committees are responsible for implementing this Resolution./