Rental housing emerges as new pillar of housing policy amid supply-demand gap
With home prices increasingly beyond reach, rental housing is emerging as a key solution, though affordable supply remains scarce. Ho Chi Minh City fast-tracks social housing projects to meet 2030 target US$5.5 billion social housing credit package stalls amid supply shortage HCMC plans to convert unused resettlement housing into social housing HCMC proposes stronger incentives to accelerate…
With escalating home prices, rental housing is gaining prominence as a vital aspect of housing policy, despite the scarcity of affordable rental options. The draft Law on Housing (amended) is set to be presented to the National Assembly in October 2026, aiming to address policy obstacles and provide opportunities for low-income earners to settle by emphasizing rental housing development.
A recent report by SGGP Newspaper examined the current state of rental housing and gathered insights from relevant agencies and real estate firms on mechanisms and policies to encourage investment in this sector. Despite years of policy refinement and substantial resources dedicated to housing development, the real estate market predominantly focuses on commercial housing and salable social housing.
Meanwhile, the demand for rental and lease-purchase social housing remains unmet due to insufficient quality and pricing. Pham Thi Tuyen, an office worker, resides in a boarding house measuring less than 20 square meters, which accommodates her family of five. Despite her family's combined monthly income of VND30 million, they only have VND5 million-VND6 million in savings post-expenses each month, making home ownership a distant dream.
Similarly, Nguyen Duc Hanh, a worker in My Hanh Commune, Tay Ninh Province, finds the cost of a social housing project exceeding his financial capacity. The Luong Hoa social housing project, situated 13km from the nearest industrial zone, further deters potential buyers due to its inconvenient location and lack of public amenities.
Le Huu Nghia, the General Director of Le Thanh Company, revealed that an overwhelming majority of workers without housing prefer stable rentals for 49 years, but support policies for housing purchases have been ineffective. The Ho Chi Minh City Department of Construction has set a target of developing 199,400 social housing apartments from 2021-2030; however, the city will need to construct an additional 181,257 social housing units between 2026 and 2030 to meet actual demand.
In Ho Chi Minh City, approximately 33,520 workers and laborers are in need of housing, with 3,181 cases requiring rental and 30,339 cases requiring lease-purchase, with the majority expressing the need for stable living arrangements. Da Nang City, a leading locality in social housing development, manages nearly 11,000 apartments and social housing condos under state ownership, along with 2,000 student dormitory rooms.
Although rental rates in Da Nang meet workers' needs, the lengthy process of completing housing-related documents continues to discourage many from securing long-term rentals.
Written by urgent.news from SGGP English Edition Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
