Authored by the expert who managed and guided the team behind the Vietnam Property Pack
Everything you need to know before buying real estate is included in our Vietnam Property Pack
Property buyers in Vietnam face hidden costs that can add 12% to 15% to their purchase price beyond the initial property value.
First-time buyers often underestimate expenses like government taxes, legal fees, document translations, and ongoing management costs that significantly impact their total investment. Understanding these surprise expenses helps buyers budget properly and avoid financial shocks during the purchase process.
If you want to go deeper, you can check our pack of documents related to the real estate market in Vietnam, based on reliable facts and data, not opinions or rumors.
Vietnam property purchases involve substantial hidden costs beyond the advertised price, with government taxes, legal fees, and ongoing expenses adding significant amounts to the total investment.
Foreign buyers face additional complexities including document translation costs, banking fees, and approval processes that can substantially increase their budget requirements.
| Cost Category | Amount/Range | When Paid |
|---|---|---|
| Government VAT (new properties) | 10% of property price | At purchase |
| Registration/Stamp Duty | 0.5% of property value | At registration |
| Legal and notary fees | 0.5-1% of purchase value | During transaction |
| Document translation/certification | $4-12 USD per page | Before purchase |
| Monthly management fees | $30-200 USD/month | Ongoing |
| Interior finishing (bare units) | $7,000-20,000 USD | After purchase |
| Annual property tax | 0.03-0.15% of property value | Yearly |
How much should I budget for government taxes and registration fees when buying a property in Vietnam?
Government taxes and registration fees typically cost 12.5% to 13% of your property's purchase price in Vietnam.
Value Added Tax (VAT) represents the largest government cost at 10% of the property price for newly built properties. This tax applies to all new developments and cannot be avoided or negotiated down.
Registration tax, also called stamp duty, adds another 0.5% of your property's value to complete the legal transfer process. The maintenance fee for apartment purchases typically costs 2% of the purchase price, paid upfront during the transaction.
For resale properties, you'll pay a Property Transfer Tax of 2% instead of VAT, making government costs slightly lower at around 4.5% total for older units.
As of September 2025, these rates remain standard across major Vietnamese cities including Ho Chi Minh City, Hanoi, and Da Nang.
What are the average notary and legal service costs that first-time buyers often overlook?
Notary and legal service costs range from 0.55% to 1.1% of your property's purchase value for standard transactions.
Notary fees specifically cost between 0.05% and 0.1% of the property value, though this expense is sometimes split between buyer and seller depending on negotiation terms. These fees cover document verification and official witness services required for legal property transfers.
Legal fees represent the larger expense, typically ranging from 0.5% to 1% of the purchase value for straightforward transactions. Complex documentation scenarios, foreign buyer approvals, or unusual property structures can increase legal costs significantly above the standard range.
First-time buyers often underestimate these costs because they assume basic legal support is included in the purchase process, but Vietnam requires extensive legal documentation and professional oversight for all property transactions.
It's something we develop in our Vietnam property pack.
How much does it typically cost to translate and certify foreign documents into Vietnamese for the purchase?
Document translation and certification costs range from VND 140,000 to 500,000 per page (approximately $6 to $20 USD), depending on language complexity and certification requirements.
Basic translation services cost VND 100,000 to 300,000 per page ($4 to $12 USD) for standard documents like passports, financial statements, and employment letters. More complex legal documents or rare languages increase translation fees substantially.
Notarization of translated documents adds VND 40,000 to 200,000 per page ($1.60 to $8 USD) to ensure legal validity. Vietnamese authorities require certified translations for all foreign documents used in property purchases, including income verification, bank statements, and identification documents.
Most foreign buyers need to translate 5 to 10 pages of documentation, bringing total translation costs to approximately $200 to $400 USD for a complete property purchase file.
English and Chinese documents typically cost less to translate due to available local expertise, while European languages command higher fees due to specialist translator requirements.
What hidden banking or transfer fees come up when sending money into Vietnam for a property deal?
Banking and international transfer fees typically cost 0.4% to 0.8% of your total transfer amount, plus additional intermediary bank charges that can add hundreds of dollars to large property transactions.
| Fee Type | Cost Range | Applied To |
|---|---|---|
| Wire transfer fees | 0.1-0.3% (capped) | Transfer amount |
| Currency conversion | 1-2% | USD to VND exchange |
| Receiving bank fees | $15-50 USD flat | Per incoming transfer |
| Intermediary bank charges | $25-100 USD | Per routing bank |
| Compliance processing | $50-200 USD | Foreign buyer verification |
| Same-day processing | $100-300 USD | Expedited transfers |
| Documentation fees | $25-75 USD | Proof of funds |
Currency conversion fees often surprise buyers because they're applied to the exchange rate spread rather than as a transparent percentage. Banks typically offer rates 1% to 2% below market rates, effectively adding this amount to your transfer costs.
Some Vietnamese banks require additional approval processes for foreign buyers, incurring administrative costs of $50 to $200 USD that aren't disclosed upfront. Multiple intermediary banks in the transfer chain can each deduct $25 to $100 USD, reducing the amount that reaches your Vietnamese account.
Are there unexpected costs tied to getting approval for foreign ownership, and how much do they usually add up to?
Foreign ownership approval processes can cost $1,000 to $2,500 USD in legal and facilitation fees for complex cases, beyond standard purchase expenses.
Legal firms charge $1,000 to $2,000 USD for foreign buyer approval assistance, particularly for corporate entities or complex ownership structures. These fees cover document preparation, government liaison services, and compliance verification required for foreign property ownership in Vietnam.
State processing fees for foreign buyers add administrative costs that vary by province and property type. Ho Chi Minh City and Hanoi typically charge higher processing fees than smaller cities due to increased scrutiny and documentation requirements.
Extra documentation requirements for foreigners include income verification, source of funds proof, and criminal background checks that must be obtained from home countries and translated into Vietnamese. These additional documents can cost $500 to $1,000 USD to obtain and process properly.
Delays in approval processes sometimes require extended legal support, pushing total facilitation costs above $2,500 USD for complicated cases involving multiple government departments or unusual buyer circumstances.
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How expensive are ongoing management or maintenance fees in new developments compared to older buildings?
New development management fees cost $50 to $200 USD per month, while older buildings typically charge $30 to $70 USD monthly for basic maintenance services.
Premium new developments with extensive facilities like swimming pools, gyms, and 24-hour security command the highest management fees of $150 to $200 USD monthly. Mid-range new buildings with standard amenities like elevators, basic security, and cleaning services charge $80 to $120 USD per month.
Older buildings offer lower monthly fees but require more frequent repair contributions that can cost $300 to $800 USD annually for major building maintenance like elevator repairs, roof work, or façade improvements. These unexpected repair assessments often surprise foreign buyers who budget only for regular monthly fees.
New developments typically include comprehensive maintenance coverage in their higher monthly fees, while older buildings may charge separately for major repairs, utilities, or facility improvements beyond basic cleaning and security services.
Ho Chi Minh City's District 1 and District 7 premium buildings charge the highest management fees, while Hanoi's older buildings in Ba Dinh and Hoan Kiem districts offer more affordable monthly costs but higher repair frequency.
What surprise costs can come from connecting utilities like water, electricity, and internet after purchase?
Utility connection costs typically total VND 3 million to 6 million (approximately $120 to $240 USD) for water, electricity, and internet setup, plus security deposits that can add another $100 to $300 USD.
1. **Water connection**: VND 1 million to 2 million ($40 to $80 USD) one-time setup fee, plus VND 500,000 to 1.5 million ($20 to $60 USD) security deposit2. **Electricity setup**: VND 1 million to 2 million ($40 to $80 USD) connection fee, with deposits ranging from VND 1 million to 3 million ($40 to $120 USD) based on estimated usage3. **Internet installation**: VND 500,000 to 1.5 million ($20 to $60 USD) for fiber connection, plus equipment rental of VND 200,000 to 500,000 ($8 to $20 USD) monthly4. **Cable TV setup**: VND 300,000 to 800,000 ($12 to $32 USD) installation, with monthly packages from VND 150,000 to 400,000 ($6 to $16 USD)5. **Gas connection**: VND 800,000 to 1.5 million ($32 to $60 USD) for natural gas line setup where availableSome new developments charge higher connection fees if utilities aren't included in the original sale package. Premium buildings may require specific utility providers, limiting buyer choice and potentially increasing costs above standard market rates.
It's something we develop in our Vietnam property pack.
How much should a buyer set aside for interior finishing or furniture, given that many new units are sold bare?
Interior finishing and furniture costs range from $7,000 to $20,000 USD for basic completion of standard-sized apartments sold as bare units in Vietnam.
Basic interior finishing including flooring, painting, kitchen cabinets, and bathroom fixtures typically costs $4,000 to $8,000 USD for a 70-90 square meter apartment. Higher-quality materials and finishes can push costs to $8,000 to $15,000 USD for the same space.
Furniture and appliances add another $3,000 to $7,000 USD for essential items including refrigerator, washing machine, air conditioning units, bed, sofa, and dining furniture. Imported or premium brand appliances significantly increase this budget category.
Vietnamese developers commonly sell new condominiums as completely bare units with only basic electrical and plumbing rough-ins completed. Buyers must install all flooring, paint all walls, and provide all fixtures, cabinets, and built-in storage solutions.
Labor costs in Vietnam remain relatively affordable, with skilled renovation work costing $15 to $25 USD per square meter, but material costs for quality finishes approach international pricing levels in major cities like Ho Chi Minh City and Hanoi.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Vietnam versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
What typical repair or renovation expenses do foreigners underestimate when buying resale properties in Vietnam?
Resale property renovation costs typically range from $7,000 to $25,000+ USD for complete updates, with foreigners often underestimating scope and local labor complexity.
Minor repairs including painting, fixture replacement, and basic maintenance average $1,000 to $4,000 USD depending on property condition and age. These costs often surprise buyers who assume Vietnamese labor rates make all repairs inexpensive.
Full renovations involving kitchen replacement, bathroom updates, and flooring changes cost $7,000 to $15,000 USD for standard apartments. Premium materials or structural changes can push renovation budgets above $25,000 USD for comprehensive updates.
Water damage repairs represent a common surprise expense in Vietnam's humid climate, particularly for older buildings with poor waterproofing. Mold remediation, wall repairs, and moisture control systems can cost $2,000 to $6,000 USD beyond cosmetic renovation work.
Electrical system updates often exceed buyer expectations because older Vietnamese buildings may require complete rewiring to meet current safety standards, costing $1,500 to $4,000 USD for typical apartment units.
How much extra do buyers usually pay for parking spaces or motorbike storage in apartment complexes?
Car parking spaces cost $50 to $130 USD monthly for rental, or $10,000 to $30,000 USD for permanent ownership rights in apartment complexes.
Motorbike parking typically costs $5 to $20 USD monthly and is rarely included automatically in property purchase prices, even in buildings where car parking might be bundled. Most buildings charge separately for motorbike spaces due to high demand and limited availability.
Premium developments in Ho Chi Minh City's District 1, District 2, and District 7 charge the highest parking fees, with some luxury buildings requesting $100+ USD monthly for covered car parking. Underground parking commands premium rates over surface-level spaces.
Permanent parking space purchases require separate legal documentation and transfer processes, adding notary fees and registration costs to the parking space acquisition beyond the base purchase price.
Many buildings limit the number of parking spaces available for purchase by unit owners, creating waiting lists and premium pricing for available spaces, particularly in central urban locations where parking demand exceeds supply significantly.
What are the common yearly property tax and insurance costs, and how do they compare to the purchase price?
Annual property tax costs range from 0.03% to 0.15% of property value, while residential insurance typically costs $80 to $250 USD yearly for standard apartment coverage.
Land tax rates vary significantly by location, with urban areas like Ho Chi Minh City and Hanoi charging higher rates near 0.10% to 0.15% of assessed property value annually. Rural and suburban properties face lower tax rates closer to 0.03% to 0.05% of value.
Property insurance costs depend on coverage level and building type, with basic fire and natural disaster coverage starting around $80 USD annually for typical apartments. Comprehensive coverage including theft, water damage, and civil liability can cost $150 to $250 USD yearly.
Combined annual tax and insurance costs typically represent 0.15% to 0.35% of the property's purchase price each year, making them relatively affordable compared to many other countries but still requiring proper budgeting for ongoing ownership.
New property tax regulations in 2025 may increase rates for luxury properties over certain value thresholds, particularly affecting high-end condominiums in prime locations throughout major Vietnamese cities.
How much should a buyer expect to spend on agent commissions or "facilitation fees" that aren't clearly stated upfront?
Agent commissions and facilitation fees can cost buyers 1% to 2% of the purchase price through various charges that aren't transparently disclosed during initial property discussions.
Standard real estate agent commissions of 1% to 3% are typically paid by sellers, but buyers often encounter additional "facilitation fees," negotiation charges, and incentive commissions that add 1% to 2% to their total purchase costs. These fees are sometimes presented as necessary for transaction completion.
Buyers using independent representatives or working with unlisted agents should clarify all fee structures upfront, as some agents charge both seller commissions and buyer facilitation fees for the same transaction. This practice isn't always disclosed clearly during property viewing stages.
Foreign buyers face particular exposure to facilitation fees because agents may position certain services as essential for foreign ownership approval, charging extra fees for document preparation, translation coordination, or government liaison work that overlaps with standard legal services.
It's something we develop in our Vietnam property pack.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Hidden costs represent a significant portion of Vietnam property purchases, often adding 12% to 15% to the advertised price through taxes, fees, and ongoing expenses.
Foreign buyers face additional complexity through document translation requirements, banking fees, and approval processes that require careful budgeting beyond the base property investment.
Sources
- Vietnam Foreign Property Ownership - BambooRoutes
- How to Buy Property in Vietnam - Russin Vecchi
- Property Taxes in Vietnam - Russin Vecchi
- Real Estate Law Firm in Vietnam - Lawyers Vietnam
- Vietnam Property Buying Guide - Global Property Guide
- Business Document Translation in Vietnam - Incorp Asia
- Notary Services in Vietnam - Move to Asia
- Guide to Taxation in Vietnam - ASEAN Briefing