HANOI, Nov. 17 (Xinhua) -- Vietnam's real estate market has recovered but more policies to develop small and cheap apartments should be provided to address increasing demand, according to the Vietnam Real Estate Association (VNREA) on Thursday.
The proposal on the local real estate market was sent to Vietnam's ongoing second session of the 14th National Assembly after the association's congress in October.
According to VNREA, the market still has risks such as an unbalanced goods structure. Demand from the majority of people was mid-and-low-end houses while most projects on the market are high-end, reported Vietnam's state-run news agency VNA.
The market lacks products with prices suitable to many people's finances, said the VNREA, adding that the development of social housing has been slow because funds and policies related to social housing have not been fully resolved or not met demand.
Thus, VNREA proposed methods to promote funds for social housing development and to implement policies of the Law of Housing for the need for housing of low-income people and industrial zone workers.
The policies included reduction of value added tax and corporate income and priority in approaching investment capital. The association has proposed differences in tax rates as well as land and credit policies between high-end commercial housing projects and low-price commercial housing projects, reported VNA.
