(PLO)- Decree 44/2022 shows a positive signal to make the market transparent, which is still volatile.
According to Decree (ND) 44/2022, effective from August 15, regulating the construction, management and use of information systems on housing and real estate market (real estate), agencies, organizations and individuals that need to use information must pay expenses for exploitation and use of information on housing and real estate market according to regulations.
Investors and businesses are willing to pay fees to get accurate information about the real estate market. Illustration: KIEN CUONG
Customers exchange information about real estate products for investment. Photo: KIEN CUONG
Willing to pay for information
Specifically, according to Decree 44, organizations and individuals wishing to register for the grant of the right to exploit and use information and data on housing and the real estate market will have to send a request form to the agency or unit that manages, provides information and data directly in writing to the supplier (send via official letter, fax, post) or register online on the provider’s website.
“I just found out about this, this is quite new. However, in my opinion, it takes time to see how it is implemented, how to charge for information…?” – Mr. Vu Nguyen, a real estate investor from Lam Dong province, said.
According to Mr. Vu Nguyen, real estate information is extremely necessary for investors in particular and people in general. For a long time, information such as planning, project legality … are quite obscure to the people. “If I pay a fee to get useful information, I’m willing to pay,” said Mr. Vu Nguyen.
The fee for information will be easily accepted, because the real estate value is large and I believe everyone will agree to pay a fee for valuable information.
On the business side, Mr. Nguyen Hoang Viet, Chairman of the Board of Directors of Son Viet Property JSC (SVP) – a real estate development and distribution unit, said that real estate value is created from the use value of real estate.
“This use value increases every time there is a change, upgrade of infrastructure, population density or simply a change in land use purpose… Therefore, it is necessary to disclose to people all necessary information related to current and future land use planning, to help people feel secure in buying and selling” – Mr. Viet said.
According to Mr. Viet, part of the current inadequacy comes from the unclear disclosure of planning information, where people do not know where to access this information, except for a small group of professional investors. Therefore, many fraud cases still take place and the State takes a lot of time and money to detect and handle.
“The fee for information will be easily accepted, because the value of real estate is large and I believe that everyone will agree to pay a fee for valuable information, helping me avoid all risks in real estate transactions as well as find real estate that suits my needs and finances” – Mr. Viet assessed.
Decree 44 stipulates forms of exploitation and use of database on housing and real estate market, including:
– Through the portal of the housing and market information system http://www.batdongsan.xaydung.gov.vn; web portal of the Department of Construction;
– Through the request form or written request;
– By a contract between the agency managing the housing and market information system and the party that exploits and uses data on housing and market according to regulations.
The real estate business community very much welcomes the “Conference on developing a safe, healthy and sustainable real estate market” hosted by Prime Minister Pham Minh Chinh on July 14. It can be said that this is the first time the real estate market has been specified by the Prime Minister with the goal of “safe, healthy and sustainable” development with the vision that the real estate market is a “real estate ecosystem” with organic links with other types of markets.
In order for the market to develop to achieve the goal of “safe, healthy and sustainable”, the State needs to create a transparent, fair, and competitive business and investment environment through the construction and completion of a synchronous and unified legal system, including laws and sub-law documents (with Decree). Along with that is to improve the effectiveness and efficiency of law enforcement by ministries, branches and localities.
Mr. LE HOANG CHAU, Chairman of Ho Chi Minh City Real Estate Association (HoREA)
Four issues to keep in mind when implementing
Legal expert Nguyen Tan Dat, Director of NTD Law Vietnam, explained: “After seven years of validity, Decree 117/2015 is no longer relevant and needs to be replaced. Decree 44/2022 has built an information system including a database, a software system and a built information technology infrastructure, which will perform synchronous and unified management from the central to local levels.
Specialized information, data and data on housing and real estate market are regularly updated into the common database system, on that basis, specialized management agencies have researched, analyzed, evaluated, and made statements and forecasts about the market. This creates favorable conditions for agencies, organizations and individuals related to the housing and market sectors to access information for easy management, policy making, investment and business activities.
However, Mr. Dat said that the issue related to personnel to manage and operate the information system is one of the problems when implementing Decree 117 mentioned by the Ministry of Construction.
“To overcome this shortcoming, in Decree 44, the proposal states more clearly and in detail the solution to partially overcome the problems, possibly in the direction of specifying that the Ministry of Construction is responsible for organizing professional training and retraining for officials assigned to perform the management and operation of the system at central and local levels on an annual basis,” said Mr. Dat.
In addition, the solution for this Decree to come into practice in the fastest and most effective way, Mr. Dat noted four factors. Firstly, the Decree needs to be developed in the direction of publicity, transparency and openness, housing and market information, housing statistics in a way that is simple and easy to collect, ensuring state management objectives of relevant ministries, branches and localities.
Secondly, it is necessary to speed up the digitization of administrative work at state agencies so that the procedures on the people are easy to access and understand, reducing unnecessary cumbersome administrative procedures and documents.
Third, it is necessary to strictly implement information transparency, regularly update information and data to meet the needs of individuals/organizations. This issue is really important and urgent.
Fourthly, strengthen the work of dissemination to the people, so that when people participate in trading relations, they will know the information they are transacting, thereby limiting unnecessary disputes and complaints.•
Two directives to implement Decree 44
In order to implement Decree 44/2022 on construction, management and use of information systems on housing and real estate market, on July 18, the Ministry of Construction sent an official letter requesting ministries and ministerial-level agencies; The People’s Committees of the provinces and centrally-run cities urgently and focused on directing the implementation of a number of contents.
Firstly, for the People’s Committees of provinces and centrally run cities, organize training, disseminate and propagate Decree 44 to departments and agencies (Department of Construction, Department of Natural Resources and Environment, Department of Planning and Investment, Department of Taxation, District People’s Committee, real estate project investors, real estate trading floors).
Second, inspecting the assurance of information technology infrastructure in housing and real estate market (servers, workstations). Direct the agency managing the information system on housing and construction real estate market to implement solutions for information security and safety.
Directly or assign qualified organizations to undertake the management and operation of servers, informatics equipment and computer networks, ensuring the operation of the system.
Assign responsibility for managing database on housing and real estate market to relevant agencies and organizations in making plans to digitize data that is not in digital form; take managerial, professional and technical measures to ensure the safety of information and digital data on housing and the real estate market.