Vietnamese property developer fined $10,770 for failing to report 136 apartment sales to foreign buyers

The penalty was imposed under a decision by the chairman of the Ho Chi Minh City People’s Committee after the real estate developer failed to submit information on the apartments sold to foreign buyers to the municipal Department of Construction by email and in writing.

The 136 apartments are part of the commercial, office and apartment complex in An Khanh Ward, Ho Chi Minh City, commercially known as Gateway Thao Dien.

Earlier, the municipal Department of Construction’s specialized inspection division issued a record of the administrative violation against Son Kim Land on August 7.

The department subsequently submitted a proposal to the municipal People’s Committee chairman seeking an administrative penalty.

Gateway Thao Dien covers more than 10,940 square meters and comprises 439 apartments.

The project was launched in 2015 and completed in 2017, with total investment capital exceeding $100 million.

Rules on foreign ownership

Vietnam’s 2023 Housing Law allows foreign individuals and organizations to own commercial housing, including apartments and landed houses in housing development projects, except in areas subject to national defense and security restrictions.

Foreign ownership is subject to quotas. 

Foreign individuals and organizations may own no more than 30 percent of the residential apartments in an apartment building.

For landed houses, foreign individuals and organizations may own no more than 250 adjacent houses or villas.

The law also requires developers to report information on housing sold to foreign buyers to the relevant housing authorities by email and in writing for publication on the authorities’ official websites.

Under Government Decree 16/2022, developers that fail to submit the required information are subject to fines ranging from VND260 million ($9,998) to VND300 million ($11,536).