The new law aims to make the property market more transparent and digital, but developers worry it could increase costs and home prices.

A meeting was held on August 6 to discuss the new law.

The Vietnam Real Estate Association says the new law should follow a resolution to create a modern legal framework for land and property, and it should make the market more transparent and efficient.

The association also wants to reduce administrative procedures and improve the use of land resources.

The new law includes digital property IDs and simpler procedures.

A government official said the draft law has been discussed many times and will be submitted to the National Assembly for approval.

The new law has 10 chapters and 61 articles, focusing on giving more power to local governments and reducing administrative procedures.

One key change is that local governments will have the power to approve transfers of real estate projects.

The draft law also proposes to cut some business conditions and simplify administrative procedures, reducing processing times by 118 days.

Every property will need a unique identification code before it can be sold.

This code will stay with the property forever and be its digital identifier.

Other changes include allowing more types of real estate contracts to be transferred and permitting local housing funds to do real estate business.

Developers cannot collect more than 95% of a property's value before the buyer gets the ownership certificate.

The remaining 5% will be kept in a guaranteed account until the buyer gets the certificate.

The proposal also allows mortgaged projects to be transferred with the mortgage holder's consent.

Developers want some changes to the law.

While developers like some of the changes, they want lawmakers to reconsider some provisions.

One company proposed removing the need for authorities to confirm that buildings are eligible for sale before transactions can happen.

The company also wants more flexibility regarding financial obligations during project transfers.

Another company asked lawmakers to clarify rules about who can sign deposit or property sale contracts.

The company also proposed keeping the existing rule that allows developers to sell projects if local authorities do not respond within 15 days.

Developers are concerned about the requirement for banks to provide formal guarantees before selling off-plan housing.

Currently, developers only need to get approval in principle for such guarantees.

One company argued that mandatory guarantees would increase financing costs, which would be passed on to homebuyers.

Another company called for clearer timelines for issuing property identification codes, warning that delays could disrupt transactions.

Nguyen Le