The Government Office recently issued a notice outlining conclusions from the prime minister’s meeting on rental housing development in Hanoi.
According to the notice, the prime minister highlighted major imbalances in the housing market, saying supply and demand remained mismatched.
A view of Hanoi from above (Photo: Nguyen Hai).
He noted that the market was heavily focused on commercial housing and homes for sale, while long-term rental housing at affordable prices remained in short supply despite strong public demand.
The prime minister also said existing policies and mechanisms had not been attractive enough to encourage private investment in long-term rental housing projects.
To address these problems, Hanoi was instructed to develop multi-purpose urban areas and review all planning schemes and land reserves to create appropriate strategies for rental housing development.
The city was also asked to assess housing demand and target groups while proactively implementing investment and construction mechanisms that comply with quality standards and regulations.
Authorities were urged to study suitable financial mechanisms and establish long-term rental prices aligned with residents’ affordability.
The prime minister stressed that Hanoi should develop professional and modern management systems while implementing large-scale rental housing models capable of meeting the real housing needs of people living and working in the city.
Prime Minister Le Minh Hung speaks at the meeting (Photo: Doan Bac).
He also called for more flexible use of revenue generated from commercial housing projects, including social housing, to fund rental housing development in accordance with regulations.
Hanoi authorities were instructed to prepare investment, construction and operational plans for rental housing projects and propose mechanisms to mobilise social resources for the initiative, with a report due to the prime minister in July.
The city government was also tasked with urgently coordinating preparations to begin construction on several rental housing projects in Hanoi in June.
At the national level, the prime minister directed the Ministry of Construction to work with local authorities, particularly in Hanoi, Ho Chi Minh City, Dong Nai, Haiphong and Danang, to assess rental housing demand across different groups and government agencies to avoid future supply-demand imbalances.
The prime minister also suggested studying mechanisms that would allow businesses and cooperatives to purchase commercial or social housing solely for rental purposes.