Dong Nai: Advancing social housing policies to fulfill the dream of homeownership

Dong Nai is one of the provinces undergoing rapid industrialization, driving a growing demand for social housing, particularly among workers and low-income earners. In this context, preferential credit policies have become a vital bridge, helping many people realize their dream of stable housing and an improved quality of life. The effort by the Transaction Office of the Vietnam Bank for Social Policies (VBSP) in Trang Bom District to bring social housing policies closer to the people has produced clear and tangible results. Thanks to preferential loan packages and the partnership of businesses involved in social housing projects, significant positive changes are taking place.

One such case is Nguyen Vu Duy, a computer science lecturer at the Vietnam National University of Forestry in Dong Nai (VNUF2). For years, he had dreamed of building a proper home for his family. In 2022, when he began construction on a house with a total cost of nearly 1 billion VND, his financial situation was still insufficient. It was then that he learned about the preferential loan program offered by the Vietnam Bank for Social Policies (VBSP) for building, renovating, or repairing homes, an initiative designed to support poor, near-poor, low-income households, as well as other eligible policy beneficiaries.

Thanks to the prompt help of the Trang Bom VBSP Transaction Office, Duy’s family received 500 million VND to finish their home. He shared, “Our family had only saved enough to cover half of the construction cost. Fortunately, I learned about a loan package from VBSP dedicated to government employees and low-income workers. We submitted the necessary documents and were approved for a 500 million VND loan. I’m truly grateful to the VBSP for enabling us to realize our dream of stable housing and a settled life.”

Nguyen Vu Duy, a resident of Hamlet 1, Trang Bom commune, is overjoyed to move into his newly built home funded by a social housing loan. Photo: Le Duc

Nearly two years ago, Trieu Thanh Truong, an employee of Pousung Vietnam Co., Ltd., was among the first households in Trang Bom to access preferential loans for purchasing social housing. With a loan of 125 million VND and his own savings, Truong was able to buy a social housing unit for himself.

For him, this marked a significant turning point in his life, a step toward stability and long-term settlement. “With my current income of just over 8 million VND per month, it would have been impossible for me to buy a home without the preferential loan from the VBSP. I feel delighted and grateful,” Truong shared.

Many low-income earners have been able to purchase homes thanks to credit loans from the VBSP. Photo: Le Duc

According to a report from the Trang Bom transaction office of the VBSP, as of September 30, 2025, the office had disbursed over 20 billion VND in loans to 45 customers. The current outstanding loan balance exceeds 15 billion VND across 40 customers. The preferential credit program for social housing has helped 45 low-income earners, workers, and policy beneficiaries to build or renovate 33 homes and purchase more than 12 social housing units.

Vo Anh Tuan, Deputy Director of the Trang Bom VBSP transaction office, stated that under Government Decree No. 100/2024/ND-CP, detailing specific provisions of the Housing Law regarding the development and management of social housing, effective from August 1, 2024, the lending interest rate is set at 6.6% per annum. This rate aligns with the loan interest rate for poor households, as regulated periodically by the Prime Minister.

The maximum loan amount is up to 80% of the home's value for purchasing, renting, or lease-purchasing purposes. For new construction, renovation, or repair of homes, the loan can cover up to 70% of the estimated budget or proposed capital use plan, not exceeding 1 billion VND, and no more than 70% of the value of the collateral securing the loan. The maximum loan term is 25 years from the date of the first disbursement.

Staff of the Trang Bom transaction office of the VBSP disburses preferential credit loans to residents in the locality. Photo: Le Duc

Another positive factor is that procedures for purchasing social housing are now conducted in accordance with government regulations. Meanwhile, the Dong Nai Provincial People’s Committee has issued a decision designating the eligible groups that are allowed to purchase social housing. Project developers have also actively shared this information through the official websites of the Department of Construction and the Provincial People's Committee. These platforms offer clear and comprehensive lists of eligible buyer categories and publicly display selling prices, thus making it easier for residents to access and benefit from the State's social housing policies.

Social housing project - Apartment complex for workers located in the central service area of Bau Xeo Industrial Park, Trang Bom commune. Photo: Le Duc

In Dong Nai province, many low-income workers have been able to access preferential loans, enabling them to purchase social housing or build their own dream homes. These success stories serve as vivid testimony to the effectiveness of social housing policies in turning the dream of stable living into reality for numerous families.

Vo Trong Hoa, Deputy Director of the Dong Nai Branch of the VBSP, shared: “Recognizing the importance of this program, our branch has actively coordinated with local authorities, political and social organizations, as well as savings and loan groups, to disseminate information, identify and verify eligible beneficiaries, and create favorable conditions for them to access credit. The social housing credit program for policy beneficiaries is implemented directly through the activities of VBSP Dong Nai.” In the first nine months of this year, the Dong Nai VBSP branch disbursed loans to over 150 households for purchasing, lease-purchasing, repairing, or constructing social housing. The total amount disbursed exceeded 140 billion VND, bringing the branch’s total outstanding social housing loan balance to more than 530 billion VND, with 1,250 active borrowers.

A view of the Bao Vinh Social Housing Project, located in Bao Vinh ward. Photo: Le Duc

Nguyen Duc Lenh, Deputy Director of the State Bank of Vietnam - Regional Branch 2 (covering Ho Chi Minh City and Dong Nai), stated: “The results of social housing loan disbursement in Dong Nai province have been very positive. Two key factors have contributed to this success. First is the effective implementation of social housing credit policies. Second, the VBSP in Dong Nai, along with other credit institutions, has proactively engaged with social housing projects, coordinated closely with developers and relevant agencies throughout the entire process, from identifying eligible beneficiaries to providing consultation and guidance, thereby making it easier for policy-targeted individuals to access preferential credit.”

He emphasized that the intense attention to and execution of planned social housing projects have been crucial in ensuring a reasonable supply of affordable housing. This endeavor, in turn, has supported the effective implementation of credit policies in the province and allowed the program to achieve tangible results over time.

“Developing social housing is not merely about meeting immediate housing needs. It serves as a foundation for long-term sustainable development. When workers and laborers have stable housing, they are more likely to remain committed to their jobs and local communities. This undertaking contributes to social security, political stability, and lays the groundwork for comprehensive and sustainable development,” he added.

On October 10, 2025, the Government issued Decree No. 261/2025/ND-CP, amending and supplementing specific provisions of Decree No. 100/2024/ND-CP dated July 26, 2024, which details several articles of the Housing Law on the development and management of social housing, and Decree No. 192/2025/ND-CP dated July 1, 2025, which provides detailed regulations and enforcement measures of Resolution No. 201/2025/QH15 dated May 29, 2025, by the National Assembly, piloting specific special mechanisms and policies for the development of social housing. In the newly issued decree, the Government agreed to raise the income ceiling for social housing buyers. Specifically, the monthly income limit has been increased to 20 million VND for individuals, 40 million VND for married couples, and 30 million VND for single individuals raising young children. (Previously, the limits were 15 million VND per month for individuals, 30 million VND per month for married couples, with no separate provision for single parents raising young children.)

By Le Duc – Translated by Hong Van, Minho