Land compensation for planning green parks in Vietnam

by Anh Việt

Hello LSX. My name is Minh Hoai, I have bought a piece of land. However, I was just about to build a house when I was informed that this land is in the planning of a green park. So about the matter “Land compensation for planning green parks in Vietnam” Let’s find out with LSX in the article below.

Legal grounds

  • Land Law 2013

Conditions for enjoying land compensation in Vietnam

Under Land law 2013, Individuals or households using land will be entitled to a portion of the money from the latest land compensation law if the following conditions are met:

Condition 1: The land in use is not rented land with annual rental payment

Condition 2: Having a certificate of residential land use right (red book) or being eligible for a certificate but not yet being granted one.

In addition, there are Vietnamese people residing abroad who own houses associated with residential land use rights in Vietnam and have a certificate or are eligible for a certificate. but have not been granted, they will still be entitled to the money according to the land compensation law.

In what cases are people compensated when the state recovers land?

According to the provisions of Article 74 of the 2013 Land Law, land users will be recovered by the State if they are eligible for compensation including:

Households and individuals using land have a certificate of land use right, a certificate of house ownership and residential land use right, a certificate of land use rights, and ownership of houses and other assets attached to the land. Or is eligible for a license but has not yet been issued

Communities, religious and belief establishments that are using land with a certificate or are eligible for a certificate but have not yet been granted a certificate.

Overseas Vietnamese are allocated land by the State with collection of land use levy or leased land with one-off rental payment for the entire lease period; receive the transfer of land use rights in industrial parks, industrial clusters, export processing zones, hi-tech zones, economic zones, have a Certificate or are eligible for a Certificate but have not yet been granted a certificate.

Organizations that are allocated land by the State with collection of land use levy or leased land with one-off rental payment for the entire lease period; receive the inheritance of land use rights, receive the transfer of land use rights but the paid land use levy or transfer money has not originated from the state budget, have a certificate or are eligible for grant Certificate that has not been issued

Foreign organizations with diplomatic functions that are leased land with one-off rental payment by the State for the entire lease period and have a Certificate or are eligible for a Certificate but have not yet been granted a certificate.

Economic organizations, overseas Vietnamese, foreign-invested enterprises that are allocated land by the State with land use levy to implement investment projects on construction of houses for sale or combined sale. lease; lease land with one-off rental payment for the entire lease period, have a Certificate or are eligible for a Certificate but have not been granted one.

For the exception when the land user does not have a land use right certificate, and has not yet met the conditions for grant of a land use right certificate, compensation is still provided in Article 77 of the 2013 Land Law. If the land user is a household or an individual directly engaged in agricultural production before July 1, 2004, the land user shall be compensated for the actual land area in use, the portion exceeding the quota. delivered will not be compensated.

What is green park planning?

Green park planning is a form of large campus planning. The planned land is planned to plant and develop trees. Normally, green parks are planned to create a healthy and fresh living environment for people in the city.

Like other land planning issues, the land under the green tree planning area needs to be publicly, transparently, clearly and widely announced by the authorities to the people. From there, limiting cases of buying and selling, transactions that are not beneficial to people.

Land for planning green parks is usually located in big cities. The planning of tree work in these cities is to limit the impact of smog and greenhouse effect on the general climate. In addition, in the middle of a noisy and dusty city, the green park will be the right place for people to enjoy relaxing moments, immersing themselves in nature.

Green parks are an ideal place for people to participate in sports and activities. This place also attracts many young people to participate in extracurricular activities, team building,…

Land compensation for planning green parks in Vietnam

According to the State’s regulations, individuals and households with land under the planning will be compensated when there is a decision on land recovery. Thus, the land plots in the green planning area, if eligible, will be compensated by the State in accordance with regulations.

People’s Committees of provinces and centrally run cities shall formulate and implement resettlement projects prior to land recovery in order to compensate with houses and residential land for people whose residential land is recovered but must relocate. The resettlement area is planned for many projects in the same area and must have the same or better development conditions as the old residence.

In case there is no resettlement area, the person whose land has been recovered will be compensated in cash and given priority to buy or rent state-owned houses for urban areas; compensation in residential land for rural areas, in case the value of the recovered residential land use right is greater than the compensated residential land, the person whose land is recovered shall be compensated in cash for the difference.

If the locality does not have land to compensate individuals and households whose land has been recovered, compensation must be made in cash. The amount of compensation is equivalent to the value of the land plot and properties attached to the land. The land value is compensated according to the land price set by the People’s Committee of that province at the time of land recovery.

Can a house with a green park plan get a bank loan?

Bank loan is a form of borrower who wants to borrow money from a bank for the purpose of using it for some of the following issues: Business, personal consumption, buying real estate…

Bank loans come in many forms, such as installment loans, credit loans, and mortgage loans.

The problem in the question that we are solving is that the house that is planned for a green park can get a bank loan, not in the form of a mortgage. Means using the borrower’s assets (mortgage) to borrow a certain amount of capital from the bank.

According to many experts, if the house is planned with a green park, it is very difficult to get a mortgage. However, borrowers can still get a loan from a bank if they carefully prepare all the documents and do legal research before taking out a loan.

Houses under the green park planning are often more difficult to get a mortgage than other houses. Therefore, homeowners need to have methods to be able to get loans in a favorable way.

What are the conditions for buying and selling land for planning green trees that have not been recovered?

Pursuant to Clause 1, Article 188 of the 2013 Land Law, individuals, organizations, households, and owners of land parcels covered by the planning may conduct land purchase, sale and transfer transactions if they satisfy the following conditions: meet the following conditions.

– Land is not disputed.

– Land use rights are not distrained to ensure judgment enforcement.

– The purchase and sale of land takes place during the land use term.

– The person who inherits the property is the land plot. However, heirs who are foreigners or overseas Vietnamese who are not eligible to buy houses attached to the land for use will not be granted a land use right certificate for that land plot. However, this person is allowed to sell the inherited land plot in two cases.

+ In case the agricultural land use right has been converted, the land user may sell the land under the green tree planning after the decision on land allocation or land lease is issued.

+ In case of inheriting the land use right, the land user may exercise the right to sell when there are conditions to issue the Red Book.

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Frequently asked questions

What is the procedure when mortgaging a green park planner?

To apply for a bank loan, you need to prepare the following documents:
– Identity card, household registration book, temporary residence
– Marriage registration. Certificate of marriage registration status
– Property records: documents proving property ownership
– Proof of income: In addition to the legal documents mentioned above, you need to prove your income to the bank. This proves your ability to earn and repay debt.
Dossier of loan purpose: this is an indispensable document, you need to clearly state what you borrow to use for purposes, must be clearly stated and not legal.

What are some necessary conditions for a green park planner mortgage loan?

Persons who are individuals or households who are Vietnamese or overseas Vietnamese but have Vietnamese nationality.
Legally qualified persons aged 18 years or older, not more than 60 years old.
Those with household registration or long-term temporary residence registration.
Those who guarantee the ability to repay debt, stable income.
The house, property, and red book must be owned by the mortgagor and guaranteed by a 3rd party.

How to identify land with green park planning?

The easiest way to know if the land has a tree park plan is to look at the land certificate to see if it says “property and land under the green park plan” or not?
If the above words are written on the paper, the house or land area is under the green park planning.
The house with green park planning on the land certificate will clearly state this.

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