Vietnam has made rapid progress over the past several decades, averaging GDP growth rates exceeding 7% all throughout the 1990s and 2000s.
The country remains one of Asia’s more promising markets as it opens to foreign investment – and buying property is arguably the best way to gain from Vietnam’s economic rise as a whole.
Vietnam has especially become competitive in its industrial sector. China is falling in popularity among global companies that increasingly prefer building factories in Southeast Asia.
This is probably caused by rising costs, more regulations, weaker growth, and a strong “home-bias” in the Chinese market. A looming trade war with the United States also certainly doesn’t help problems in Asia’s biggest economy.
Whatever the cause might be, East Asia is experiencing a downturn while Southeast Asia is on the rise.
As such, many investors are looking at Vietnam – Southeast Asia’s third most populous country and one of the fastest growing in the region. But foreigners have, at least up until recently, had few options when investing in Vietnam.
Lack of investment variety in Vietnam is quickly changing though. During the summer of 2015, the government relaxed property ownership rules for foreign investors.
Anyone with either a 3-month tourist or residence visa may now own land on a renewable, 50-year lease. Foreign companies have even less restrictions when buying property. It’s not quite that simple and there are additional rules, discussed further below, that you should consider.
However, there’s little doubt Vietnam is going in the right direction and making it way easier to invest here as a foreign buyer.
Places like Cambodia and Thailand make purchasing property as a foreigner less difficult. With that said, the Vietnam government has made clear which way they’re moving towards by lifting restrictions on foreign ownership of both companies and real estate.
Until things are easier for investors, there are still countless ways to get your feet wet and start investing in Vietnam property. It’s definitely bureaucratic, but once you have figured everything out it’s possible to (at least de-facto) own apartments and houses alike in Vietnam.
Courtesy of investasian.com