Various solutions to help low-income earners access home ownership

Raising income ceilings, expanding eligibility, reducing loan interest rates, and eliminating residency verification requirements are among the new and upcoming policies aimed at creating a breakthrough in developing social housing (SH), toward a safe, healthy, and sustainable real estate market.

Model of a 3.5-hectare social housing project under construction in Trang Bom Commune, Dong Nai Province.

As a locality with high demand in this segment, Dong Nai expects that the new regulations will help low- and middle-income earners settle down sooner, while also accelerating the progress of ongoing social housing projects in the province.

Raising income ceilings, expanding eligibility, and reducing loan interest

In recent times, the Politburo, National Assembly, Government, and the Prime Minister have issued numerous policies to ensure housing for all citizens. Notably, after the transition to a two-tier local government system, many policies have been adjusted and supplemented to better reflect real-world needs.

One of the most significant new policies taking effect in October is the Government’s resolution to raise the income ceiling for social housing buyers. Specifically, the cap has been increased to 20 million VND per month for individuals, 40 million VND for married couples, and 30 million VND for single parents with small children (previously 15 million VND and 30 million VND per month, respectively). This policy broadens the beneficiary base, making it easier for middle-income urban residents to access social housing, while also stimulating demand and encouraging enterprises to invest in new supply.

For the 2025–2030 period, the Government has assigned Dong Nai to complete nearly 64,500 social housing units, with the province setting its own target of 65,000 units. To date, the province has approved investment policies for 38,000 units, while procedures for the remaining 27,000 are being finalized for investor selection

Following that, on October 17, the National Assembly Standing Committee (NASC) passed a resolution adjusting personal income tax deductions. Accordingly, the basic deduction will increase from 11 million VND to 15.5 million VND per month for taxpayers, and from 4.4 million VND to 6.2 million VND per month for dependents, effective from the 2026 tax year. This adjustment will increase disposable income, reduce tax burdens, and provide workers with greater financial capacity to purchase homes.

In addition, at the second meeting of the Central Steering Committee on Housing Policy and the Real Estate Market on October 10, Prime Minister Pham Minh Chinh directed the State Bank of Vietnam to expedite the disbursement of the 145 trillion VND credit package for social and worker housing, making loans more accessible and reducing interest rates for both developers and buyers.

At the second meeting of the Central Steering Committee on Housing Policy and the Real Estate Market held on October 10, Prime Minister Pham Minh Chinh directed the State Bank of Vietnam to accelerate the disbursement of the 145 trillion dong credit package for social housing and worker housing, in a more streamlined manner, and to reduce lending interest rates for both developers and homebuyers.

In Dong Nai, the province has issued regulations adding two new priority groups eligible to purchase social housing to help ensure welfare and residential stability: civil servants and public employees transferred from the former Binh Phuoc area to work at the new Dong Nai administrative center or whose homes are located 20 kilometers or more from their workplace; and residents whose land was reclaimed for project implementation but who do not meet the criteria for resettlement.

Dong Nai proactively implements comprehensive solutions

Over the past period, Dong Nai has not only strictly implemented central laws, decrees, and circulars but also issued its own detailed regulations to realize housing welfare policies.

Ho Van Ha, Member of the Provincial Party Committee and Vice Chairman of the Dong Nai People’s Committee, stated that the province has established a Steering Committee for Social Housing Development; issued regulations on criteria, eligibility, and conditions for purchasing, renting, and rent-to-own social housing; and directed the Department of Construction to shorten administrative processing times to speed up project implementation. As a result, in September 2025, the Provincial People’s Committee assigned 10 investors to develop about 11,000 apartments, while approving four commercial housing projects to directly invest in social housing with a total of 6,000 units.

In the next phase, the province aims to allocate sufficient cleared land to meet the Government’s housing targets for the 2025–2030 period, with land planning focused on areas with high demand, convenient transportation, and infrastructure connectivity. The province remains committed to the policy of reserving 20% of land in commercial projects for social housing.

Regarding mechanisms, Dong Nai proposes a “4 exemptions and 2 reductions” package, including: exemption from land-use or lease fees, project appraisal fees, and construction permit fees; early refund or exemption of input taxes; a 30–50% reduction in industrial park infrastructure connection fees; and a 50% reduction in administrative processing time.

The province also plans to adjust the structure and type of housing products to match residents’ actual needs and payment capacity. Specifically, it will prioritize low-rise apartment buildings (5–6 floors) with units ranging from 30–50m², modular and quick-construction designs, and simultaneously develop three product lines: rent-to-own housing for workers (with childcare, healthcare, and community facilities), homes for sale to public employees and low-income workers, and worker dormitories.

In terms of resources, Dong Nai has allocated nearly 1,200 hectares of land for social housing development. Besides central bank credit packages, the province will utilize local interest rate support funds and mobilize socialized capital from enterprises and industrial parks.

To meet housing targets and ensure stable living conditions for all citizens, the province has proposed that the central government issue guidelines on reimbursing technical infrastructure costs for the 20% land allocated to social housing that has been handed over to the State but developed by other investors, to prevent prolonged disputes. The province also recommends maintaining and potentially expanding preferential credit packages, issuing green bonds for social housing infrastructure, and encouraging public-private partnership models, such as “infrastructure-for-apartment” exchanges, to shorten implementation time and enhance market absorption.

By Hoang Loc – Translated by Trieu Ngan, Minho