Vietnam foreign ownership quota: the 30% rule explained

The single most important rule for foreign property buyers in Vietnam is the 30% foreign ownership cap per condominium building. Misunderstanding it is the most common reason expat buyers lose deposits or end up unable to register their title. This article covers what the cap is, how it works in practice, how to check it, and what happens when it's full.

The two caps that matter

Under Decree 99/2015/ND-CP and the updates in Decree 30/2021, two foreign ownership caps apply:

• Apartments / condominiums: maximum 30% of total units in any single building can be foreign-owned at once.
• Landed houses (villas, townhouses): maximum 250 houses per administrative ward (phường) can be foreign-owned.

Both caps are rolling totals, not lifetime quotas. When a foreigner sells to a Vietnamese buyer, the foreign slot opens up and another foreigner can buy in. When a foreigner sells to another foreigner, the slot transfers.

How the cap actually works at a project

Imagine a 1,000-unit condominium tower in Thu Duc City. The 30% cap means up to 300 units can be foreign-owned at any one time. The developer tracks this. So do the notaries who handle the closing and the Land Registry that issues the Pink Book.

When a buyer expresses interest:

1. The developer checks current foreign-owned count for the building.
2. If under cap, the unit is offered with a "foreign-eligible" designation.
3. If at cap, the unit can only be sold to a Vietnamese buyer.

The developer must be transparent about which units are currently foreign-eligible. In practice, always ask in writing for a unit-level confirmation before paying a deposit. A developer who refuses to put it in writing is a red flag.

What "ward" means for the landed-house cap

A phường (ward) is an administrative subdivision smaller than a district. HCMC's District 1 alone has 10 wards; District 2 (now part of Thu Duc City) had 11 before reorganisation.

The 250-house cap is per ward, not per district or per city. So in a high-demand ward — say An Phu in Thu Duc City — the 250 slots can be allocated quickly. Sellers of resale landed houses to foreigners must check the current ward count before signing.

Off-plan vs resale: the cap behaves differently

Off-plan apartments (buying from the developer before the building is finished): the developer maintains a running count and you book a foreign-eligible unit at signing. Quota checking is the developer's responsibility.

Resale apartments (buying from an existing owner): the resale broker and the notary verify quota at closing. If the building's foreign count has dropped below 30% since the original owner bought, your purchase is fine. If it has risen above 30% (unlikely in resale but possible after a quota increase challenge), the notary may refuse.

What happens if you sign a contract for a unit at cap?

If a building has already hit 30% and you sign anyway:

1. The notary will refuse to notarise the SPA.
2. The Land Registry will refuse to issue a Pink Book.
3. Your deposit is at risk — recoverable in principle under contract law, in practice subject to Vietnamese civil procedure and the developer's cooperation.

This is the scenario foreign buyers most often get burned on. Avoid it by getting written quota confirmation before the deposit, not after.

How to check the quota status yourself

Three layers of verification, in order of authority:

1. Developer's written confirmation, on company letterhead, naming the specific unit, citing the building's current foreign-owned count vs the 30% cap.
2. Independent lawyer's check against the Department of Construction's records (paid service, ~5M VND).
3. At-closing notary verification — the notary is legally required to confirm before notarising the SPA, but by then your deposit is in.

For high-value transactions, do all three. For typical purchases, layer 1 plus layer 3 is the standard.

Recent changes worth knowing

Decree 30/2021 clarified:

• Quota is calculated at the building level, not the project level. A multi-tower project has a separate 30% allocation per tower.
• Renewals of the 50-year leasehold (when the first wave matures around 2065) do not reset the quota count.
• Inheritance of foreign-owned units by Vietnamese heirs frees a foreign slot at the moment the inheritance Pink Book is reissued.

Further amendments are under discussion as of mid-2026 — particularly around increasing the cap in selected expat-concentrated wards. Watch the official government portal for updates.

Practical tactics for foreign buyers

• Buy early in a project's launch cycle. The 30% allocation fills fastest for new flagship buildings — get in before the slots close.
• Prefer larger buildings. A 1,000-unit tower has 300 foreign slots; a 200-unit boutique has 60. More room for repatriation/resale liquidity.
• Confirm before deposit. Always. Never trust verbal assurance.
• Choose wards with active expat communities. Thao Dien (now in Thu Duc City), Phu My Hung (District 7), and central District 1 have the most foreign-eligible inventory because developers there specifically design for the foreign market.

Disclaimer

Last reviewed 1 June 2026. The quota framework is set by Decree 99/2015 and Decree 30/2021. Amendments are under discussion — confirm current rules with a verified agent and a Vietnam-qualified property lawyer before transacting. SifuProperty is not a law firm and this is not legal advice.

Related reading:

• Can foreigners buy property in Vietnam? Complete guide
• HCMC apartments for foreigners: best districts & buildings
• Browse foreign-eligible HCMC apartments