Guidance on mortgages of residential houses yet to be built

Byihc

On December 9, 2015 the State Bank of Vietnam issued Circular No. 26/2015/TT-NHNN guiding on procedures for mortgage and lifting mortgage of houses yet to be built (Circular 26). Apart from regulations on lifting mortgages, Circular 26 provides guidance on the mortgage of houses formed in the future (Future House) and residential housing development projects (Project) only at credit institutions.According to Article 1 of Circular 26, the Future Houses and/or the Projects could be used as secured assets to be mortgaged at credit institutions. Such regulation is evaluated as an effective way to improve both real estate markets and credit services in Vietnam. Developer/ purchasers could mobilise the amount of money from mortgaging the Future House and/or the Project as secured assets, and on the other hand, credit institutions could collect the mortgage interest and fees.

However, not all Future Houses and/or Projects can be mortgaged. Circular 26 provides specific conditions of the Future Houses and/or the Projects to be mortgaged. Particularly, subject to a certain case, all conditions stipulated in Article 7 of Circular 26 shall be satisfied. Notable conditions stipulated in Circular 26 are that in the case of mortgage by the developer, the Project shall fall in the list of residential house development projects in compliance with Article 8 of Circular 26. Accordingly, the Future Houses and the Projects to be mortgaged by developers at credit institutions include:
• Construction projects or renovation projects for building a separate houses or a group of houses;
• Investment projects for building houses which have technical infrastructure in sync with social infrastructure in rural areas;
• Investment projects for building urban areas or building on a land with mixed use which is an available area for building houses;
• Investment projects for building the houses with mixed use of residential and business.

In addition, in the case of the Future Houses mortgaged by the developer, the completion of the foundation of the building is required as a condition of entering into a mortgage transaction.

In respect of limitation in mortgage of the Future Houses or the Projects, Circular 26 provides that in a case where a Future House or Project has been mortgaged, the developer or purchaser can only mortgage part of the Project exclusive to the secured Future House in previous transactions. Also, in case the property rights of the assets (the Future Houses, Projects) have been mortgaged, such assets are prohibited to be used as the secured property in another mortgage transaction.

In respect of conducting the mortgage transaction, specific rights and obligations of the mortgager and mortgagee are clarified clearly in Article 4 and Article 5 of Circular 26. In case of mortgage transactions entered into by and between purchaser and mortgagee, a developer must provide fully and truly all documents in relation to the Future Houses upon request of relevant parties and promptly support parties in performing the mortgage at credit institutions in compliance with the laws of Vietnam.

Circular 26 also provides that parties in the mortgage transaction shall comply with relevant regulations on notarisation and registration of mortgages as a secured transaction according to the laws of Vietnam.

In the event of a mortgage transaction entered into by parties before December 10, 2015 in which secured assets are the Projects or the Future Houses, parties shall implement the content of the mortgage contract in compliance with former regulations of the laws of Vietnam at the time of signing. All amendments and supplements of the mortgage contract from the date of December 10, 2015 must conform to the provisions of Circular 26.Circular 26 took effect on December 10, 2015 and replaces former regulations on mortgage and lifting mortgage of houses yet to be built.

––––––––––––––
Ho Chi Minh City Office – Unit 305, 3rd Floor, Centec Tower
72-74 Nguyen Thi Minh Khai, Ward 6, District 3, Ho Chi Minh City, Vietnam
Tel: (84) 8 3823 9640 / Fax: (84) 8 3823 9641
E: minh.tran@indochinecounsel.com
Hanoi Office – Unit 705, 7th Floor, CMC Tower, Duy Tan Street, Cau Giay District, Hanoi, Vietnam
Tel: (84) 4 3795 5261 / Fax: (84) 4 3795 5262
E: hanoi@indochinecounsel.com
W: www.indochinecounsel.com

Similar Posts

  • 外资分享中国不良资产盛宴的法律途径

    Byihc

    Click here for English version 在当前的经济环境下，不良贷款（NPL）商业银行的比例将继续在中国的增长，2016年2月，中国人民银行等八部委联合发布《关于金融支持工业稳增长调结构增效益的若干意见》，提出加强和改进不良资产处置的力度和效率，这给不良资产的处置业务带来了新的市场机会。而对于在2001年前后就开始积极参与中国不良资产处置的境外投资者，这无疑又是一轮外资分享中国不良资产盛宴的新的投资机遇！ 允许境外投资者参与中国不良资产处置的最早规定是2001年10月财政部、中国人民银行和原对外贸易经济合作部联合发布的《金融资产管理公司吸收外资参与资产重组与处置的暂行规定》，这为境外投资者参与中国不良资产的处置提供了制度依据。2001年11月，由摩根士丹利、雷曼兄弟、花旗集团旗下的所罗门美邦、KTH基金和中金丰德公司组成的投标团向中国华融资产管理公司（“华融”）购买了四个不良资产包，账面价值共计108亿元人民币，自此开启了外资大规模参与中国不良资产处置的序幕。之后，随着国家相关政策的陆续出台，境外投资者以多种方式全面参与了中国不良资产的处置，直至2005年左右政策性不良资产处置完毕后逐渐退出。目前来讲，银行不良资产从2015年开始增长迅速，巨大的市场已经吸引了越来越多的国际投资银行的目光。值此新一轮不良资产投资机遇到来之际，我们总结了境外投资者过往参与中国不良资产处置的主要方式，并提出了境外投资者在目前经济形势下投资不良资产的创新方式，以供目前尚在筹备或已经积极参与中国不良资产市场的国际投资银行、以及拟吸引境外投资者作为合作伙伴共同合作处置不良资产的境内机构借鉴。 1、 金融资产管理公司以不良资产进行境外投资 根据《金融资产管理公司吸收外资参与资产重组与处置的暂行规定》，金融资产管理公司是吸收外资参与不良资产处置的主体。鉴于相关法律法规尚未授予商业银行吸收境外投资者处置不良资产的权限，在过往实践中，境外投资者均是通过参与金融资产管理公司所拥有的不良资产的重组与处置的方式介入中国不良资产市场。 在2001年第一轮启动吸收外资参与不良资产重组与处置之初，尽管《金融资产管理公司吸收外资参与资产重组与处置的暂行规定》对此提供了原则性制度依据，但包括国家发展与改革委员会、外经贸主管部门、外汇管理部门在内的各相关主管部门尚未制定相关配套规定，故金融资产管理公司如何利用外资处置不良资产的具体操作路径尚处于摸索阶段。笔者在2001年为中国东方资产管理公司（以下简称“东方”）提供法律服务的“沿江包”项目即是经国务院有关部门正式批准的将不良资产组合投资境外的试点项目。该项目的基本交易框架为：东方广州办事处以其所拥有的账面价值约人民币18亿元的贷款债权为基础作价投入，美国投资者以现金投入，共同在美国成立基金管理公司，东方因此取得该公司的相应股权；东方将股权转让给境外投资机构，获得转让对价；基金管理公司委托香港罗宾咸永道会计师事务所作为服务商负责上述债权的清收；因债权清收并非罗宾咸永道的专长，故其又与东方广州办事处进行合作，由后者提供服务协助债权清收工作，并向后者支付相应的服务费。“沿江包”项目是国内第一个利用外资处置资产包的项目，它推动了我国不良资产领域的外汇管理制度的建立和完善，包括债权由内债转变为外债的登记方式、外汇收入的结汇手续、对外担保的备案登记等制度都是在该项目的实践操作中逐渐形成的，并最终体现在2004年12月17日国家外汇管理局发布的《关于金融资产管理公司利用外资处置不良资产有关外汇管理的通知》中（汇发[2004]119号，现已废止）。 上述交易还创造了一个通过以不良资产包进行境外投资，从而利用外资处置不良资产的交易模式，基本交易模式可以概括为：金融资产管理公司将不良资产包作价，作为出资投入至境外公司，相应取得境外公司的股权，再将该股权出售获得转让对价；另一方面，金融资产管理公司可以作为不良资产包的服务商，提供债权清收服务，收取相应的服务费。 2、 金融资产管理公司将不良资产打包转让给境外投资者 此模式与上文所讲第一种金融资产管理公司以不良资产进行境外投资模式不同的是，金融资产管理公司通过将不良资产打包出售卖断给境外投资者，获得的对价是现金，而非境外公司的股权。这是最直接也是运用最为广泛的境外投资者参与我国不良资产处置的方式。华融、东方、中国信达资产管理公司、和中国长城资产管理公司四大资产管理公司都曾与境外投资者进行过此类交易。笔者也曾经分别代表金融资产管理公司作为卖方、以及代表国际投行作为买方，完成了多个大型不良资产包的直接打包转让交易。 金融资产管理公司将不良资产打包出售给境外投资者，需要遵循《金融资产管理公司条例》、《金融资产管理公司资产处置管理办法（修订）》（财金[2008]85号）等规定进行处置审批和实施，并需要执行我国外债相关的法律和有关法规。 与金融资产管理公司将不良资产打包出售给境内投资者相比，向境外投资者出售不良资产包导致债务由境内机构对内负债变为对外负债，因此受到外汇管理部门及发展和改革部门的监管。在我们多年来为金融资产管理公司及境外投资者在该领域提供法律服务的过程中，观察到相关立法规定及政府监管措施逐渐宽松的变化，具体体现为： 国家外汇管理局 国家外汇管理局首个有关利用外资处置不良资产的监管规定系前文提及的《关于金融资产管理公司利用外资处置不良资产有关外汇管理的通知》（汇发[2004]119号，现已废止）。根据该通知，金融资产管理公司对外转让不良资产应就外汇收支及汇兑问题报国家外汇管理局批准，购买或受让不良资产的境外投资者则应在交易完成后到外汇管理部门办理不良资产转让的备案登记手续。境外投资者购汇汇出其因处置不良资产所获得的收益也需要到外汇管理部门办理核准手续。 国家外汇管理局于2015年1月9日发布的《关于金融资产管理公司对外处置不良资产外汇管理有关问题的通知》（汇发[2015]3号）则规定：金融资产管理公司对外处置不良资产获得的对价款直接到银行办理入账及结汇手续；境外投资者处置其所受让的境内不良资产所取得的收益亦直接到银行办理对外购付汇手续，无需再向外汇管理部门申请办理批准、核准和备案手续。 国家发展和改革委员会…

  • Shipping & Insurance

    Byihc

    Turning the lens on the plight of ship owners on what can only be described as despondent times in the industry, our inaugural Shipping & Insurance issue features a cover story which carves out four of the biggest concerns currently affecting them. In addition, an industry expert from Tilleke & Gibbins helpfully guides us through the issue of limitation of liability for ship owners in Thailand in our Special Report. Additionally, we bring you the highlights from a key-note speech delivered to the In-House Community in Singapore by the Attorney-General, who called for the serious discussion of greater regulation of the in-house counsel role at InHouse Community’ 13th In-House Congress in the Lion City.