In recent years, Vietnam’s real estate market has been growing and attracting the attention of many foreign investors. Along with that, the demand for real estate brokerage services is also increasing. However, a question is: Are foreigners allowed to practice real estate brokerage in Vietnam? To answer this question, it is necessary to consider current legal regulations on real estate business in Vietnam.

1. What is a real estate broker?

According to the provisions of the Real Estate Business Law 2023, real estate brokerage is an intermediary for parties in buying, selling, transferring, leasing, subleasing, and leasing real estate. 

At that time, real estate brokers play the role of connecting between the demand side (buyers, renters) and the supply side (sellers, renters). They are responsible for finding, consulting and supporting parties to complete transactions, ensuring legality and rights for related parties. Real estate brokerage content regulated by law includes:

• Find partners that meet customers’ conditions to participate in negotiations and sign contracts.
• Authorized representative to perform work related to procedures for buying, selling, transferring, leasing, subleasing, and leasing real estate.
• Providing information and support for parties in negotiating and signing contracts for purchase, sale, transfer, lease, sublease, and lease purchase of real estate.

2. Conditions for practicing real estate brokerage in Vietnam

According to the Law on Real Estate Business 2023, real estate brokerage is a form of real estate service business, whereby real estate brokerage is a conditional profession, requiring practicing organizations/individuals to comply with real estate regulations in Vietnam. 

2.1. Conditions for individuals

Article 62 of the Real Estate Business Law 2023 stipulates that individuals who want to practice real estate brokerage in Vietnam must meet certain conditions, including:

• Have a real estate brokerage practice certificate;
• Must practice in a real estate trading floor service business or a real estate brokerage service business.

According to the above regulations, it can be seen that the conditions for individuals to practice real estate brokerage are to have a brokerage practice certificate and practice in an enterprise. Thus, Vietnamese law does not allow individuals to operate real estate brokerage independently without belonging to an organization or enterprise. Therefore, individuals can only practice real estate brokerage in Vietnam if they have a valid practicing certificate and must operate in a real estate brokerage business or establish a brokerage service business in accordance with regulations.

2.2. Conditions for organizations

Conditions for organizations that want to do real estate brokerage services include:

• Must establish a real estate service enterprise according to regulations;
• There must be regulations on real estate brokerage services;
• Must have physical and technical facilities that meet operational requirements according to Government regulations;
• Have at least 01 individual with a real estate brokerage certificate;
• Before operating real estate brokerage services, real estate brokerage service businesses send information about the business to the state management agency on real estate business at the provincial level where the business is established to be posted on the housing and real estate market information system according to the provisions of this Law.

Thus, organizations that want to do real estate brokerage services must have sufficient human resources, practice certificates and comply with relevant legal regulations.

2.3. Conditions for issuance of real estate brokerage practice certificates

Conditions for issuance of real estate brokerage practice certificates are specified as follows:

• Passed the test on real estate brokerage knowledge;
• Have full civil act capacity;
• Not being prosecuted for criminal liability, being detained, serving a prison sentence, being subject to administrative measures such as being sent to a mandatory drug treatment facility, compulsory education facility, or being banned by the Court from holding a position, practicing a profession or doing certain jobs.

Conditions for taking the real estate brokerage knowledge test are specified as follows:

• Subject: Vietnamese citizens, Vietnamese residing abroad according to the law on nationality and foreigners who are eligible to take the exam according to regulations
• Have full civil capacity and are not in a state of criminal prosecution or serving a prison sentence.
• Graduated from high school or higher.
• Have a certificate of completion of a training management course, fostering knowledge of real estate brokerage practice.
• Submitted the exam registration application and exam funding to the Provincial People’s Committee.

2.4. Other conditions

According to the Investment Law 2020, real estate brokerage services are not included in the list of industries banned from investment for foreign investors. However, foreigners who do business in this service often have to establish foreign-invested enterprises or cooperate with Vietnamese enterprises to operate legally.

A noteworthy point is that foreigners are not allowed to own land in Vietnam according to the provisions of the Land Law. However, they can own apartments or some other types of real estate according to the Housing Law. This partly affects the ability of foreigners to operate brokerage activities in the real estate sector in Vietnam.

3. Conclude

Thus, according to current legal regulations, foreigners can practice real estate brokerage in Vietnam if they meet all legal and residency conditions and have a valid practice certificate. However, they cannot practice brokerage as independent individuals, but must work in a real estate brokerage business or establish a brokerage service business. In addition, organizations that want to do real estate brokerage services must comply with human resources, legal and financial conditions according to Vietnamese law. 

To operate smoothly and legally, foreigners need to carefully learn the relevant regulations, especially about real estate ownership and how to establish a business in Vietnam. This helps ensure transparency and legality in real estate business activities of foreigners in Vietnam.

4. About Us, Hankuk Law Firm

■ Hankuk Law Firm – Introduction

The goal of the legal services provided by HANKUK LAW FIRM is to support businesses, investors, and people. Our organization employs skilled Korean lawyers, partners, and professionals to provide legal services to businesses related to corporations and litigation.

To support the startup process, our lawyers and staff provide a wide range of services, including business law consulting, tax and immigration law consulting, real estate services, business consulting, marketing and communications, human resources, product distribution, franchise options, etc. We provide expert advice on every aspect of your business needs.

To protect the legitimate rights and interests of our clients and achieve the best results, we provide legal advice and participate in civil lawsuits related to business, labor, marriage, family, and inheritance.

■ Contact us now

For reliable and effective legal advice, please contact HANKUK LAW FIRM now. We are committed to providing you with the best possible answers and our team of experienced lawyers has extensive knowledge in many legal fields. We are always here to provide the most competent and dedicated support, whether you are dealing with contractual issues, commercial disputes or need guidance on foreign investment. HANKUK LAW FIRM is honored to have assisted hundreds of domestic and international clients in skillfully resolving complex legal issues as their trusted legal partner. Do not let legal issues hinder your success. Let us accompany you towards legal achievement and comfort. For prompt guidance and support to ensure your rights are always maintained at the highest standards, contact HANKUK LAW FIRM now.

■ Contact Hankuk Law Firm:

Website: http://hankuklawfirm.com/en/  FB: https://www.facebook.com/hankuk.lawfirm  Tiktok: https://www.tiktok.com/@hankuklawfirm Youtube: https://www.youtube.com/@hankuklawfirm6375 Email:  info@hankuklawfirm.com   SĐT: 0369.77.11.46