Apartment Classification: A Crucial Aspect of Real Estate Transparency

Apartment ​classification‍ is a vital aspect of the ⁢real estate industry, reflecting the⁣ construction quality, amenities, and accompanying services of a building. However,​ many‌ projects‌ have not been classified according to regulations, leading to a situation where investors self-classify their products.

This lack of classification can​ lead‌ to buyers‌ choosing an⁣ apartment with‌ a lower rating than⁤ expected, resulting ‍in quality, services, and⁤ amenities that do not match expectations. Moreover, each category has different prices based⁢ on quality and ‍amenities, and if ‍not understood​ clearly, ⁣home‍ buyers may pay a high price for ⁤an apartment with a low rating.

The Housing⁢ Law 2023 and Decree 95/2024/ND-CP stipulate that apartment building classification is not a mandatory requirement. ⁢However,‍ this ⁣classification is considered necessary to determine the ​correct value of apartments on the market⁢ and⁤ to ​help consumers‍ have clear information before buying or renting.

Apartment buildings are classified into three classes: class 1, class 2, and class 3, based on 13 criteria, including 8 mandatory⁣ criteria such‍ as location, apartment‌ location, amenities within the ​apartment complex, parking space, corridors, hallways, ⁣elevator, power supply, and apartment. The minimum criteria ‍are compliance with building codes.

A grade 1 apartment building, the highest classification, ⁤needs to meet additional conditions regarding distance to the park ⁤or entertainment​ area. It must also have an educational or medical and sports ⁢service ‍area, a separate freight elevator, and charging stations for electric vehicles.​ For every 02 apartments in a class ​1 project, there needs⁣ to ⁢be at least 01 car⁣ parking space with‍ a standard area of ⁤25 m2.

A grade 2 apartment building​ requires every 4 apartments to have at least 1 ⁣parking space with a standard area of ⁢25 m2. A grade 3 apartment ​building requires ⁣each 100 m2 of usable area⁣ to have 01 parking slot.

All three ​apartment classes‍ must have community living space, and‍ grade 2​ apartments need a children’s play area, shopping center, or supermarket. A class 1 apartment building requires ⁤additional ⁢amenities such as a swimming pool, ‌an educational or medical or sports service area.

The classification also considers five additional criteria: operation management services, ⁤environment,​ security, safety, fire and explosion prevention, green buildings, efficient energy ⁢use, digitalization, and smart homes.

The ‍classification contributes to the transparency of information⁤ related ​to the quality and value of apartments, thereby protecting the rights of consumers ⁣and promoting healthy competition in the real estate market.

Real estate experts​ emphasize the importance of mandatory regulations on apartment classification to protect consumer rights and create​ transparency⁤ in the real estate market.