Poor families qualify for cheap housing under points system
Vinaconex Xuan Mai Concrete and Construction Joint Stock Co deputy director Nguyen Van Da spoke to the Viet Nam News about his company's project to build low-income housing. There are opinions that VND600 million (US$31,570) for a 70-sq.m flat is still too high for low-income people. What do you think?
The price of a flat is calculated based on market prices and the Ministry of Construction's Circular 15/2009/TT-BXD issued on June 30,2009. I think the price of VND8.2 million (US$430) per square metre is reasonable.
Moreover, low-income people can buy flats by instalments. After putting down at least a 20 per cent deposit of the price, 2 per cent interest rate and terms of payment will remain fixed for 10 years.
People wanting to buy these flats must have monthly income below the average level regulated by the Ha Noi People's Committee. This year the committee expects average Hanoian's earnings to stand at VND3.1 million (US$160) a month.
The price of $31,570 for a flat is reasonable for people who meet the standards regulated by the municipal People's Committee.
Can you tell more about the criteria people have to meet to be able to buy a flat?
The norms based on the Prime Minister's Decision 67/2009/QD-TTG issued on April 24 2009, the Ministry of Construction's Circular 36/2009/TT-BXD issued on November 16 2009 and the Decision 34/2010/QD-UBND issued on August 16 2010 by the Ha Noi People's Committee.
People will earn points for each criterion they meet. For example, people without any accommodation will receive 50 points; those who have a flat with an average area of no more than 5square metre per person will be given 30 points. Heroic Mothers, invalids, sick soldiers, the families of war dead will receive 10 points. People granted a State honour will be awarded 6 points.
The points will be added together and the list of people having the highest points will be submitted to the Ministry of Construction for approval.
If too many people have the same amount of points they will be selected randomly.
As of now, how many flats have actually been built? And when can people begin handing in their applications to buy them?
The company has been building the CT1 edifice in Ha Dong District. The high-rise has 328 flats with an area of 62-81sq.m. The 18th floor of the building was completed and we expected the whole work would be done later this year.
On August 21 the company began construction work on five 19-floor buildings in Kien Hung Ward in the same district. The buildings have a total of 1,512 flats with an average area of 70sq.m each.
This week we will begin to receive applications from low-income earners.
Is the company incurring a loss by building flats for low-income people?
The company earns 10 per cent of the value from every apartment sold, so we're not going to take any losses. — VNS