“Real estate investment is getting more and more difficult day by day”, that is shared by Mr. Hai, a real estate investor from Da Nang. Mr. Hai said that at present, investors are facing many big obstacles. Some banks have restricted lending for real estate investment. This also means that, if there is no large capital, even though the land is beautiful, investors must accept to ignore new investment opportunities.
Not stopping there, Mr. Hai added, his investment work is also finding new directions. More than 10 years of experience, thanks to buying large and small plots of land, has helped him bring good profits. Because, the ability to liquidate small plots of land is easy thanks to the appropriate level of finance. Still continuing the “old formula”, at the end of 2021, at the beginning of 2022, Mr. Hai plans to hunt land in new markets such as Ninh Thuan, Phu Yen… to find a large plot of land, cut to an area of 60-150m2/lot.
However, this investor admits that work is increasingly not smooth because the provinces are tightening and managing the division of plots and plots. “Although some provinces have temporarily suspended the division of agricultural land plots, even with residential land, eligible, the division is quite complicated and “brooded” for a long time,” said Mr. Hai.
Meanwhile, investor Tran Quynh (Hanoi) said, within 3 months, he had to spend time and effort for these transfers all related to tax declaration. “My file to the tax side was returned and asked to correct the transfer price according to the transaction level.”
For example, recently, in mid-March, Quynh transferred a 150m2 provincial land plot located in a deep alley, worth 1.2 billion VND. After that, Mr. Quynh was returned to the dossier and asked to sign a commitment that the declared price was correct for tax calculation.
Mr. Quynh said urgently: “Just seeing the low declaration level, the tax side will not understand. They think that the transfer price is lower than the market price. But what is the market price is a very vague definition. Because high and low depend on emotions, there is no clear measure. If there is a plot of land that I can buy cheaply because I cut my losses, the tax side only notices: Not declaring the correct market price. Ask me to sell the land at the same price as the land at the time of virtual fever. If so, it will be a loss to the buyer because the transfer cost will be pushed up too high.”
The difficulties that Mr. Hai and Mr. Quynh are facing are the reality that many investors have to face.
Mr. NNM, a real estate leader from Hanoi, said that real estate investment is currently being tightened. “Borrowing money for real estate investment is no longer easy. Some bank credit officers are refusing land mortgage loans. Approval documents are becoming difficult. This is one of the tentative moves. The starting point for the real estate market will be more tightly controlled. That is also a difficulty for investors and at the same time warns of the decline of the real estate market.”
According to this leader, even the division of plots, and especially the calculation of real estate transfer tax, will push real estate investors into anxiety and apprehension. Investment profits decreased, it was difficult to get real estate loans, leading to a sharp decrease in the demand for money on land. “These may be warning signals of the market’s decline in the near future. Some of my friends are in a hurry to exit,” Mr. M. emphasized.
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at Blogtuan.info – Source: cafebiz.vn – Read the original article here