When buying property in Vietnam, foreign owners need to consider not only the cost of the apartment, but also mandatory fees, taxes, and regular property maintenance expenses after handover.
In Vietnamese residential complexes, several standard mandatory fees are charged:
1. Management Fee (Phí quản lý)
This is a mandatory monthly payment for the maintenance of common areas, elevators, security, cleaning, and general building management.
- Calculation: Usually set per square meter (VND/sqm/month).
- Range: Depending on the project class, it ranges from 15,000 to 35,000 VND per sqm/month (approximately $0.60–$1.40).
- Payment Start: Begins immediately after apartment handover, regardless of whether the owner resides in the apartment.
2. Sinking Fund / Maintenance Fee (Phí bảo trì)
This is a one-time non-refundable fee intended for major building repairs (e.g., roof, facade, elevators, pumps) after several years.
- Amount: Legally set at 2% of the unit price before VAT (excluding land value).
- Payment: Paid to the developer as a lump sum together with the final installment upon handover.
- Management: The fund is transferred to the Homeowners' Committee for management 1–2 years after occupancy.
3. Parking Fees
- Car: Fixed monthly fee. The number of spots may be limited for foreigners.
- Motorbike: Small monthly fee.
4. Utilities
- Electricity, Water: Rates are set by the government and paid according to meters.
- Internet and TV: Paid directly to service providers.
Rental Income Tax
Tax is charged only if the annual rental income exceeds 500 million VND.
Since 2026, the rules for fiscal accounting for landlords in Vietnam have undergone major changes. In accordance with Nghị định 68/2026/NĐ-CP and Thông tư 18/2026/TT-BTC (which came into force on March 5, 2026), the tax-free limit on property rental income was raised from 100 million to 500 million VND per year, and the mechanism for calculating VAT and PIT became combined. Learn more in this article.
⚠️ Important: The 500 million VND limit is granted per landlord (individual), not per individual property. If you own multiple apartments, their annual incomes are aggregated.
Renovation and Rental Rules
To maintain order and safety, owners must comply with strict rules:
- Renovation (Fit-Out): Before starting any work, it is necessary to obtain permission from the property management company and, in some cases, from the developer.
- Rentals: Short-term rentals (e.g., via Airbnb) are often prohibited or strictly restricted in residential complexes and are allowed only in serviced apartments or commercial real estate.
- Registration: The owner is obliged to register tenants with the local police (directly or through the property management company).
Issuance of the Pink Book (Ownership Certificate)
Although submitting an application is part of the buying process (Step 9 in Chapter 3), obtaining the document itself is the final stage of ownership:
- Initiation: The developer is usually responsible for applying for the Pink Book for foreigners.
- Timeline: Usually takes 3–12 months after completion of construction and technical acceptance, depending on the workload of the local DONRE (Department of Natural Resources and Environment).
- Rights: The Pink Book is issued for a 50-year leasehold period with the possibility of extension (for foreigners only).