Buying off-plan in Vietnam means paying a developer in stages for an apartment that has not yet been built or completed, in exchange for a sale contract and, eventually, a finished unit and an ownership certificate. The 2023 Law on Real Estate Business, in force since August 2024, protects buyers by capping the deposit, limiting how much may be paid before handover and before the certificate is issued, and requiring a bank guarantee for off-plan sales. Even so, delays, changes and certificate problems remain the main risks, and foreign buyers should plan for them.
Off-plan sales are where many foreigners first meet the Vietnamese property market, because developers market new towers abroad and to expatriate communities, and because new projects are where foreign quotas are easiest to find. This guide explains how the legal protections work, what can still go wrong, and how to inspect and accept a finished apartment. It is general guidance; the law is detailed and changes, so have a lawyer read the specific contract.
When a developer is allowed to sell off-plan
A developer cannot simply announce a tower and start taking money. The law sets conditions before housing that will be built in the future can be sold: the project must have the required approvals and land documents, the construction permit where required, and, for apartment buildings, the foundations must have been completed. The provincial housing authority must also confirm in writing that the housing is eligible to be sold off-plan. A careful buyer asks to see that confirmation.
The developer must also arrange a guarantee from a bank covering its obligation to hand over the home on time. If the developer fails to deliver as committed, the buyer can claim against the bank for money paid and other amounts covered by the guarantee. Ask for the guarantee letter for your specific unit, read what it covers and when it expires, and keep it with your contract. In past years some buyers discovered too late that their unit was not covered.
Before these conditions are met, developers sometimes collect money under labels such as "booking fees", "expressions of interest" or "capital contribution" agreements. These may not carry the same protections as a proper off-plan sale. Treat any payment before the legal conditions are met as money at risk.
The same caution applies to resales of off-plan contracts. Before handover, some buyers sell their position to someone else by transferring the sale contract, a process the law allows under conditions and with the developer's confirmation. A foreign buyer taking over such a contract should check that the transfer is properly documented, that the foreign quota covers them and that the bank guarantee still applies.
Deposits and the staged payment rules
Deposit cap. Under the 2023 Law on Real Estate Business, a developer may take a deposit only once the project meets the conditions for sale, and the deposit may not exceed 5 percent of the selling price. The deposit agreement should state the price and the area of the unit.
First payment. The first instalment, including the deposit, is generally limited to 30 percent of the contract value.
Before handover. The total paid before the apartment is handed over is capped, generally at 70 percent of the contract value for a developer that is not a foreign-invested enterprise; different caps can apply to foreign-invested developers, so check the contract against the law.
Before the certificate. The buyer should not pay more than 95 percent of the price before the ownership certificate is issued. The last 5 percent is a lever that encourages the developer to complete the certificate process.
Payments follow progress. Instalments should be tied to construction milestones, not just dates on a calendar. If construction stalls, payments should stall too.
What can still go wrong
The legal framework reduces the worst risks but does not remove ordinary ones. The most common is delay: construction runs late because of financing problems, permits, material costs or disputes with contractors. Contracts usually include a grace period before penalties apply, and penalties for late delivery are often modest compared with the cost to a buyer who is paying rent elsewhere. Read the delay clause and ask what happens if handover slips by a year.
The second risk is change. Layouts, finishes, facilities and even the number of floors can change during construction. A contract that allows the developer to change specifications "of equivalent quality" without your consent gives you little control. Look for clear specifications in an annex and a right to refuse or claim if changes are material.
The third, and in Vietnam the most frustrating, is the certificate. In a number of projects, buyers have lived in their apartments for years without receiving pink books, because the developer had not completed land obligations, the project's legal file had problems, or the building was used as security for a loan. Without a certificate, selling, mortgaging and even proving ownership are difficult. The 95 percent rule helps, but the best protection is a project whose legal file is clean from the start.
A quieter risk is the market itself. Prices quoted at launch assume a finished, well-managed building in a neighbourhood that develops as promised: the new road, the school, the shopping centre. If those arrive late or not at all, the apartment may be worth less at handover than buyers expected, and resale to other foreigners is limited by the building quota. Buy off-plan for a home you would be content to live in, not on the assumption of a quick resale.
Due diligence specific to off-plan
On top of the checks for any apartment purchase, off-plan buyers should cover the following before paying a deposit.
- Ask for the provincial housing authority's written confirmation that the housing is eligible for off-plan sale.
- Ask for the bank guarantee for your unit and read what it covers.
- Check the developer's record: completed projects, whether owners there received their certificates, and whether the developer has been involved in serious disputes.
- Confirm the foreign quota position for the specific building, in writing, before signing.
- Read the payment schedule and make sure instalments are tied to construction milestones within the legal caps.
- Read the clauses on delay, changes in specifications, area tolerance and what happens if the net area at handover differs from the contract.
- Have a lawyer acting for you review the contract and annexes in both languages before you sign.
None of these steps needs inside connections. They need time and a willingness to ask direct questions, which reputable developers are used to answering.
Area, finishes and the specification annex
Off-plan contracts sell something you cannot yet walk into, so the annexes do most of the work. The specification annex should describe the finishes room by room: flooring, wall finishes, kitchen cabinets and appliances, bathroom fittings, doors, windows, air conditioning provision and electrical points. Vague descriptions such as "premium brand or equivalent" leave room for substitution. Ask for named specifications where possible and photographs of the show flat as part of the record.
Area is the other hidden variable. The contract should state the net usable area that will appear on the certificate, the tolerance allowed at handover, and how the price is adjusted if the measured area is larger or smaller. Some marketing materials quote a larger area including walls and shared columns; the contract and certificate are what matter.
Finally, check what is shared and what is yours. Balconies, loggias, storage rooms and parking spaces may be treated differently from the apartment itself. Parking in particular is often sold or rented separately, and the right to a car space is not automatic. Get these points written down now, because they are hard to negotiate once the building is finished.
Handover: inspecting before you accept
When the apartment is ready, the developer invites you to inspect it and sign a handover record. This is your best moment of leverage, so do not rush. Bring someone with technical knowledge if you can, or hire an independent inspection service. Check walls, floors and ceilings for cracks and unevenness, doors and windows for alignment and seals, plumbing for leaks and drainage, electrical outlets and the distribution board, and the air conditioning connections. Run water in every tap and the shower, and look underneath sinks.
Measure the net area and compare it with the contract. Most contracts allow a small tolerance, with the price adjusted if the difference exceeds it. Write down every defect on the handover list and ask for the timeline for fixing them. Signing a clean handover record when the apartment has visible defects makes later claims harder.
Once you accept, the defects liability period begins. For new housing, developers are required to provide a warranty period for structural elements and equipment; read your contract for what is covered and for how long. Keep photographs of the condition at handover, and report problems in writing as they arise, because a written trail is what makes a warranty claim work.
Is off-plan right for you?
Off-plan can make sense for a buyer who has time, does not need the apartment soon, has studied the developer and is comfortable with delay. It offers access to new buildings, foreign quotas that are not yet full, and payment spread over the construction period. For someone who needs a home within a year, or whose visa and work situation may change, a completed apartment that can be inspected, with certificates already issued to owners in the building, carries far less uncertainty.
Many long-term residents rent in the area for a year or two first, watch how a new project is progressing, talk to existing owners and only then decide. That patience costs some rent but buys knowledge that a sales gallery cannot give.
Whatever you decide, keep the purchase in proportion. An off-plan apartment is a long project that touches your visa plans, your savings and your family's future. Write down what would make you walk away, such as a full foreign quota, no guarantee for your unit or a developer whose earlier buyers still lack certificates, and hold to it when the sales team offers a discount that expires on Friday.
Câu hỏi thường gặp
How much deposit can a developer take for an off-plan apartment in Vietnam?
Under the 2023 Law on Real Estate Business, a developer may take a deposit only after the project meets the legal conditions for sale, and the deposit may not exceed 5 percent of the selling price. The deposit agreement should state the price and area of the unit. Payments under other labels before the conditions are met may not have the same protections.
What is a bank guarantee for off-plan housing?
It is a commitment by a bank to the buyer that, if the developer fails to hand over the home as promised, the buyer can claim back money paid and other amounts covered by the guarantee. The developer must arrange it for off-plan sales. Ask for the guarantee for your specific unit, check what it covers and keep it with the contract.
How much do I pay before getting the pink book?
The law generally limits payments before the ownership certificate is issued to 95 percent of the price, so the last 5 percent is paid when the certificate is delivered. Earlier caps apply to the first instalment and to the total paid before handover. Check that your contract's payment schedule respects these limits.
What happens if the developer delivers late?
The contract sets the handover date, any grace period and the penalty for late delivery, which the developer pays to the buyer. If delays are severe, the buyer may have rights to terminate and claim refunds, and the bank guarantee may apply. Read the delay clauses carefully before signing, because penalties are often small compared with your own costs.
Why do some apartment owners in Vietnam wait years for their pink books?
Delays usually come from the developer's side: unpaid land-use fees, incomplete legal procedures for the project, changes to approvals, or the project being mortgaged. Owners can live in their apartments but find it hard to sell or mortgage them. Choosing a developer and project where earlier buyers already received certificates is the best protection.
Can foreigners buy off-plan apartments in Vietnam?
Yes, foreign individuals can buy off-plan units in commercial housing projects that are open to foreign ownership, subject to the foreign quota for the building. The same legal protections on deposits, staged payments and bank guarantees apply. Confirm the quota position for your unit in writing before paying.