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Everything you need to know before buying real estate is included in our Vietnam Property Pack
Trusting property developers in Vietnam requires careful vetting, as the market includes both reliable companies with decade-long track records and those involved in major financial scandals.
Vietnam's real estate sector features established developers like Vinhomes, Masterise, and Gamuda Land alongside smaller firms with varying reliability standards. Major developers typically offer transparent financial records, completed projects you can visit today, and proper regulatory compliance, while some operators have faced bankruptcy, buyer lawsuits, or incomplete developments.
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.
Vietnamese property developers range from publicly-listed companies with transparent financials to smaller firms with limited track records.
Major red flags include upfront payment demands, missing land titles, lack of construction permits, and no completed projects to visit.
| Verification Criteria | Top-Tier Developers | High-Risk Developers |
|---|---|---|
| Completed Projects | Multiple finished developments, 5-10+ years old | No completed projects or poor maintenance |
| Financial Transparency | Public stock exchange listing, audited reports | Private company, no financial disclosure |
| Payment Schedule | Tied to construction milestones | Demands majority upfront payment |
| Legal Documentation | Valid land titles, construction permits | Missing permits, unclear land ownership |
| Foreign Ownership | Registered for foreign sales, clear 50-year terms | Unclear foreign ownership status |
| Buyer Protection | Escrow mechanisms, legal contract review | No deposit protection, unfavorable terms |
| Market Reputation | Positive buyer feedback, few lawsuits | Frequent complaints, legal disputes |
Can I visit completed projects from this developer right now?
Reputable Vietnamese developers have multiple finished projects you can inspect in person today.
Major developers like Vinhomes, Masterise, Gamuda Land, and Novaland have delivered completed developments in Ho Chi Minh City and Hanoi that remain accessible for visits. Vinhomes Central Park in District 1, Landmark 81 in Binh Thanh District, Royal City in Hanoi, and Celadon City in Tan Phu District are examples of projects you can walk through and evaluate today.
Established developments like Vinhomes Royal City (opened in 2010) and Times City Hanoi (completed in 2012) demonstrate long-term structural integrity and ongoing maintenance standards. These older projects allow you to assess how buildings age and whether common areas, elevators, and facilities remain in good condition after 5-10 years of occupancy.
If a developer cannot show you completed projects, this represents a significant red flag. New developers without finished work may lack experience in project delivery, construction quality, or post-completion management.
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How do their existing buildings hold up after 5-10 years?
Top Vietnamese developers maintain their buildings well over time, while lesser developers show signs of deterioration or management issues.
Vinhomes properties like Times City (2012) and Royal City (2010) continue to show strong structural integrity, functioning elevators, maintained landscaping, and active building management after more than a decade. These developments retain market value and remain desirable addresses for both residents and investors.
Gamuda Land developments like Celadon City phases completed between 2015-2018 demonstrate consistent maintenance standards, with facilities like swimming pools, gyms, and common areas remaining operational and well-kept. Building facades show minimal wear, and mechanical systems continue functioning properly.
However, some developers show inconsistent long-term maintenance. Buildings from smaller or financially-stressed developers may exhibit issues like broken elevators, poor landscaping upkeep, water damage, or failing air conditioning systems in common areas within 5-7 years of completion.
You should specifically check elevator functionality, water pressure consistency, common area cleanliness, security system operation, and whether promised amenities like pools or gyms remain accessible and functional.
Are their financial records transparent and verifiable?
Publicly-listed Vietnamese developers provide audited financial statements, while private developers often lack transparency.
Stock exchange-listed companies like Vinhomes (VIC), Novaland (NVL), Nam Long (NLG), and Khang Dien (KDH) publish quarterly and annual financial reports through the Ho Chi Minh Stock Exchange (HoSE) and Hanoi Stock Exchange (HNX). These reports detail revenue, debt levels, cash flow, major shareholders, and project-specific investments.
You can verify developer financial health by reviewing their debt-to-equity ratios, cash reserves, and recent bond issuances. As of September 2025, developers with debt ratios above 70% or recent credit downgrades require extra scrutiny regarding project completion capability.
Private developers or unlisted companies typically provide limited financial disclosure, making it difficult to assess their ability to complete projects or handle economic downturns. This lack of transparency increases investment risk significantly.
Major red flags include developers refusing to share basic financial information, recent credit rating downgrades, or involvement in financial scandals like the Van Thinh Phat case that affected multiple real estate firms.
What do local buyers say about living in their developments?
Vietnamese buyer and tenant experiences vary significantly between top-tier developers and smaller operators.
Major developers like Vinhomes generally receive positive feedback for build quality, amenities, and initial customer service, though complaints may emerge over time regarding management fees, maintenance responsiveness, or unit handover delays. Vietnamese social media groups and property forums provide detailed resident feedback for specific projects.
Common complaints against weaker developers include poor construction quality, water leakage, elevator malfunctions, inadequate parking, noise problems, or unresponsive building management. These issues typically surface within 1-2 years of occupancy and can significantly impact property values.
You should check Vietnamese Facebook groups, property forums like Batdongsan.com.vn, and local real estate agent networks for project-specific feedback. Legal disputes or class-action lawsuits against developers are public record and searchable through Vietnamese court databases.
High-profile scandals like those involving Van Thinh Phat or smaller developers facing bankruptcy have generated extensive buyer complaints and legal actions that you can research through local news sources and legal databases.
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Is the developer properly licensed and registered?
Legitimate Vietnamese developers must be registered with the Ministry of Construction and local provincial authorities.
You can verify developer licensing through the Ministry of Construction's online database and provincial construction department records. Proper registration includes business licenses, construction permits, and project-specific approvals from local authorities.
Each project requires separate permits from the provincial People's Committee, district-level construction departments, and environmental authorities. These permits should be available for buyer review before contract signing.
Red flags include developers operating without proper licenses, projects lacking construction permits, or companies not registered at their claimed business addresses. Foreign buyers should particularly verify that projects are authorized for foreign ownership.
Major developers like Vinhomes, Masterise, and Gamuda Land maintain current licensing across all their projects and can provide documentation upon request. Smaller developers may have incomplete or expired permits that create legal risks for buyers.
Do they offer realistic payment schedules tied to construction progress?
Reputable developers structure payments according to construction milestones, while risky operators demand large upfront payments.
| Construction Phase | Typical Payment Percentage | Red Flag Payment Demand |
|---|---|---|
| Contract Signing | 10-15% | 30%+ upfront |
| Foundation Completion | 15-20% | 50%+ before groundbreaking |
| Structure Topping Out | 20-25% | 70%+ before structure complete |
| External Works Finish | 15-20% | 80%+ before external completion |
| Unit Handover | 20-30% | 95%+ before handover |
Vietnamese regulations protect buyers by limiting upfront payments and requiring progress-based payment schedules. Developers demanding 50% or more before significant construction progress violate these protections.
Established developers typically offer payment plans spanning 24-36 months with payments tied to verifiable construction milestones. Each payment should correspond to completed work that you can inspect.
Be wary of developers offering steep early-payment discounts or pressuring you to pay large amounts before construction begins. These practices often indicate cash flow problems or projects that may not be completed as promised.
Can I verify the land title and ownership documents?
Legitimate projects have clear land use right certificates that buyers can inspect before signing contracts.
Vietnamese law requires developers to hold valid land use right certificates (red book or pink book) for all project land. These documents should be available for buyer review and specify the permitted land use, ownership duration, and any restrictions.
You can verify land ownership through the district-level Land Registration Office where the project is located. This verification confirms the developer's legal right to develop and sell units on the land.
Projects without clear land titles, disputed ownership, or unclear usage rights create significant legal risks. Some developers attempt to sell units before securing proper land rights, leaving buyers vulnerable to legal challenges.
Foreign buyers should particularly verify that land titles permit foreign ownership and that the project is registered as eligible for foreign sales under Vietnamese regulations.
Which independent lawyers can review my purchase contract?
Several reputable Vietnamese and international law firms specialize in property contract review for foreign buyers.
International firms like Tilleke & Gibbins, Baker McKenzie, DLA Piper, and Rajah & Tann Vietnam maintain Vietnamese property expertise and can identify hidden contract risks, unfavorable terms, or regulatory compliance issues.
Local Vietnamese firms like VCI Legal, Minh Khuê & Associates, and YKVN also provide contract review services with deep knowledge of local property law and common developer practices.
Contract review should cover payment terms, handover conditions, penalty clauses, foreign ownership compliance, and dispute resolution mechanisms. Independent legal review costs typically range from $500-2,000 depending on contract complexity.
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Has the project obtained all necessary permits and approvals?
Construction and environmental permits must be secured before legitimate sales can begin.
Vietnamese projects require multiple approvals including construction permits, environmental impact assessments, fire safety approvals, and infrastructure connection permits. These should be available for buyer inspection.
Developers selling units before obtaining permits are offering speculative investments with significant completion risks. Construction cannot legally begin without proper permits, making timely project delivery uncertain.
Environmental permits are particularly important for larger developments, as projects can be halted or modified if environmental concerns arise after construction begins.
You should request to see all relevant permits and verify their validity with issuing authorities. Projects with pending or incomplete permits should be avoided unless you're comfortable with substantial completion risk.
How do their prices compare with similar properties nearby?
Premium developers typically price units 10-30% above local market averages, while comparable projects should be within reasonable ranges.
Vinhomes, Masterise, and similar high-end developers command premium pricing due to brand reputation, amenities, and build quality. However, prices should remain within 30% of comparable projects in the same district and property type.
You can compare prices using recent transaction data from real estate websites like Batdongsan.com.vn, Alonhadat.com.vn, or through local real estate agents. Price comparisons should consider unit size, floor level, view, and included amenities.
Significantly overpriced units may indicate inflated developer expectations or limited market demand. Conversely, below-market pricing could signal hidden issues, distressed sales, or quality concerns.
Current market data as of September 2025 shows average Ho Chi Minh City apartment prices ranging from $1,200-4,000 per square meter depending on district and project quality, while Hanoi averages $800-2,500 per square meter.
Are foreign buyers legally allowed to own units in this specific project?
Vietnamese law permits foreign ownership of apartments in qualified projects with specific restrictions and time limits.
Foreigners can own apartments in developments registered with the Ministry of Construction as eligible for foreign sales. Foreign ownership is limited to 30% of total units in any single project, and ownership is granted for 50-year terms that are renewable in principle.
Not all projects are authorized for foreign ownership. Developers must specifically register projects for foreign sales and maintain records of foreign ownership percentages to remain compliant.
Foreign buyers should verify project registration for foreign ownership and confirm that the 30% foreign ownership limit has not been reached. This information should be available from the developer and verified through Ministry of Construction records.
Land houses (landed properties) remain generally prohibited for foreign ownership, with rare exceptions for specific economic zones or investment categories requiring substantial minimum investments.
What protection exists if the developer goes bankrupt during construction?
Vietnamese buyer protection mechanisms offer limited coverage, making developer financial stability crucial for purchase decisions.
Current Vietnamese regulations provide minimal deposit protection or completion guarantees if developers fail mid-construction. Buyers often face lengthy legal processes to recover payments and may receive only partial reimbursement.
Some major developers maintain escrow accounts or project completion insurance, but these protections are not universal or legally required. You should specifically ask about deposit protection mechanisms before making payments.
Recent high-profile developer failures have left buyers waiting years for resolution, with many receiving only partial refunds. This risk makes developer financial stability and track record critical evaluation factors.
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.
Trusting Vietnamese property developers requires thorough due diligence across multiple verification criteria.
Major developers with transparent financials, completed projects, and proper licensing offer the lowest risk, while smaller operators without track records or proper documentation should be avoided.
Sources
- InvestAsian - Vietnam Property Developers
- BCI Central - Top 10 Developers in Vietnam 2023
- House in Hanoi - Biggest Real Estate Developers
- AP News - Vietnam Tycoon Death Trial
- The Investor - Vietnam Outstanding Real Estate Projects
- Bloomberg - Vietnam Real Estate Queen Downfall
- The Investor - Novaland Share Issuance
- Tilleke & Gibbins - Corporate Real Estate Vietnam
- Vietnam Briefing - Real Estate Market 2025
- Reuters - Vietnam Property Developers Bond Scam