Big demand but the market lack of affordable housing, difficult access to loans from the bank makes the purchase of young people are difficult.
Many fundamental measures have been dissected at the conference “Solutions to meet the demand for housing for young customers” by the Youth Newspaper held on 13 October morning to find the solution to this problem.
Bank is not yet supported
According to expert Bui Quang Tin, Vietnam has a “golden” population aged 25-45, accounting for 32.23% of the population structure. In Ho Chi Minh City, more than 50,000 people are married each year. Therefore, the demand for housing from this department is very large.
The problem for young buyers is how to balance the limited financial resources that still have living space dream. At the same time, to ensure the safety of your investment.
Banks usually have two forms of repayment: installment payments are gradually reduced and interest paid periodic, pay period. The periodic installment payment method with decreasing outstanding debt is considered to be better suited to the need to buy houses for living and customers have a stable source of income. “However, banks do not really support young customers when borrowing money to buy a house,” Tin said.
Bui Quang Tin advised the borrower to buy the house carefully before deciding to borrow from the bank. If not carefully calculated, the buyer seems to be insolvent. At many of the openings of real estate projects, the most visible scene is bank credit officers launching offers to buy home with interest rates support.
However, the preferential interest rate is only for a certain period of time, usually not more than 3 years. After that time, the bank will apply the floating interest rate with the 12 or 13-month deposit plus margin method and be re-calculated on a yearly basis.
After a period of enjoying preferential interest rates, high-interest rates and declining customer incomes, the probability of home mortgages is very high as incomes are not sufficient to offset the increase in interest rates or revenues. Not enough to pay the old interest rate.
“We can predict the trend of interest rates in the coming time, but the risks of the economy such as inflation rise abnormally, economic policy changes … is very difficult to calculate and predict. Therefore, this abnormal change will cause high-interest rates and damage to customers, “Tin said.
Bui Quang Tin also warns that when contacting customers to persuade them to borrow money, bank employees always offer attractive loan programs on interest rates and even promotional packages that outperform the program of other banks.
Many clients listened to that conviction and quickly put pen to paper on the loan agreement, which barely accounted for the volatility of interest rates, job stability, additional sources of income, the project …
The risk to the customer is at the stage of performing the loan agreement. After signing the contracts related to the loan, banks rarely pay attention to customers and almost the two parties only comply with the signed contract.
Le Minh Hoang Long, Department of Business Administration at the University of Banking in HCM City, said that potential customers of the real estate market are the first time people buy a house. However, this object encountered many obstacles, between the dream of buying a home and the ability to perform.
The first obstacle is financial. The biggest difficulty is to accumulate the minimum capital to buy apartments, accounting for 30% of the apartment value. Most of the customers have to manually adjust this amount. The remaining 70% of them usually have to borrow from banks.
In addition to the problem of paying for loans, young people face financial burdens. Young customers go to buy a large part of the house rent, the cost to spend from this to VND2.5-4 million / month. Apartment projects often need time to complete, the project has completed the price is too high. So when waiting for the house, the financial burden is more piling up. The total cost can be up to VND 5-12 million per month in the first year with preferential interest rates and will increase in the following years.
The third obstacle is the lack of preferential loans from banks and access to preferential loans by the State. Finally, price hindrances, selective housing products and information and legal uncertainties.
“For flat products, often the information will provide one-way from the investor or broker of the real estate floor. When the project is not completed, the quality and legal information of the young people do not have the experience to verify, but mainly rely on consulting staff, the reputation of the owner or ask relatives, friends, “he Long said.
Should reduce interest rates
At the enterprise level, representatives of Vietcomreal said that with the principle of improving the life of the community, creating opportunities for all classes, including middle-income people can settle in, luxury apartments Vietcomreal still targets young couples with average income of two people is about VND25-35 million.
“We offer a lot of incentives and support for home buyers like zero interest rates because investors pay interest on behalf of buyers until they receive their homes. So customers are very secure because they receive new interest and are not afraid of the slow progress of construction, “The Vietcomreal representative said.
According to Vietcomreal, to encourage young people to buy houses, in addition to investors offering reasonable price is not enough but also need the support from the bank. At the moment, lending rates in Vietnam are high. In the future, Vietnam should adjust the interest rate of 6% is reasonable.
“If the interest rate is 6% per annum, medium- and high-end real estate will have good liquidity and solve many problems that are hurting the country like inflation, such as overloaded infrastructure. This time, it is easy to resettle housing when people gather in the apartment and spend larger land fund to expand roads, speeding up infrastructure development, “Vietcomreal representative suggested.
Meanwhile, An Gia Investment said that the demand for housing of young people is always high but there are relatively specific criteria that to attract this object, the investor must meet. For example, the house for young people should be the apartment area from 1 to 2 bedrooms, moving to the center in about 15 minutes to facilitate the work.
Mr. Ngo Quang Phuc, Deputy General Director of Him Lam Land Company, said that in 2016, the company will open nearly 2,000 apartments priced from VND1 – 1.5 billion. Pham Van Dong Highway, Hanoi Highway, Song Hanh Road, Vo Van Kiet Avenue …
Mr. Phuc advises newly-weds to choose to buy a home, in addition to financial matters, priority should be given to two important points. The first is the convenience of moving to serve the job. The second is the living facility for yourself and your children.
Mr. Le Minh Hoang Long suggested the State Bank should quickly launch new support package with more open and clear policies for young people to access home loans. In addition, there should be an online information center or information channel through the selected banks so customers know their personal credit history to access bank loans.
Investors should also be more interested in creating popular products for young customers, linking with banks to have policies to subsidize interest rates. At the same time, there are products with real-time payment schedule instead of monthly or partial payment until the receipt of the house to facilitate the customer.
You are reading the article “It Is Necessary To Have Policies To Support Young People To Buy A House” in
the section “Real Estate News” on the website: https://realestatevietnam.com.vn/.
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