Using a Home for the Wrong Purpose Can Bring a Fine of Up to 30 Million Dong

Vietnam’s government has issued Decree 339 on administrative penalties in construction, technical infrastructure management, housing management and development, and real estate business.

The decree sets fines of 20 million to 30 million dong for individual homeowners who use a home for a purpose not allowed under regulations, or who fail to create and retain the required housing records. The previous Decree 16 of 2022 did not include the record-keeping violation.

The same fine applies to foreign individual homeowners who fail to notify the housing management authority in writing before renting out a home, or who fail to notify the authority when a rental contract ends. Foreign individual homeowners can face fines of 30 million to 50 million dong for owning a home despite being ineligible, failing to meet ownership conditions, paying for a purchase or rent-to-own arrangement outside a Vietnamese credit institution, or submitting an extension application late.

Violators may be required to use the home for the correct purpose, create and retain housing records, or submit the required rental notices. Foreign individuals who own homes improperly must return the properties to the sellers and receive refunds for money already paid, while also complying with payment rules.

The decree sets fines of 40 million to 60 million dong for organizations that use homes improperly or fail to keep required records. Foreign organizations can be fined 60 million to 100 million dong for violations including ineligible ownership, failure to meet ownership conditions, housing people who do not work for the organization, or paying for a purchase outside a bank operating in Vietnam. Developers also face penalties ranging from 80 million to 140 million dong for failures involving project reporting, social housing standards, shared systems and on-site resettlement housing.