What is a future-formed apartment according to the 2026 law?

1. What is a future-formed apartment according to new legal regulations

1.1. What is the concept of a future-formed apartment according to the Law on Real Estate Business 2023

What is an off-plan apartment needs to be understood first from the legal definition of housing, future-formed construction in the Law on Real Estate Business 2023. According to the Law on Real Estate Business 2023 (No. 29/2023/QH15), an off-plan apartment is housing that is under construction investment and has not yet been nghiệm thu (accepted/inspected) for use according to the provisions of construction law. The core point in 2026 is that this asset must be part of a real estate project that has been approved by competent state agencies and fully meets the conditions on permits and infrastructure before being officially allowed for transaction.

1.2. Distinguish off-plan apartments from delivered apartments and apartments eligible for title deeds

What is an off-plan apartment will be clearer when placed next to two other stages: handed-over apartments and apartments eligible for certificate issuance. An off-plan apartment is a product under construction or not yet accepted for use, whereas a handed-over apartment is the stage where buyers can receive the house to live in or exploit according to the contract. The eligibility for certificate issuance is another legal layer, linked to land records, assets attached to the land, and the status of submitting documents to the competent authorities, so a handed-over apartment is not necessarily completed with the certificate issuance step immediately. This is why buyers should not equate these three legal milestones as one.

Distinguishing apartment stages helps understand the legal status correctly. (Source: Collected)

1.3. Why future-formed apartments remain a popular choice in the market

What is an off-plan apartment is not just a legal question but also relates to the reasons why this type of product remains popular in the market. In practice, apartments launched from the construction phase often allow for cash flow to be broken down according to the payment schedule, a more abundant supply compared to completed houses, and buyers have more choices regarding floor, direction, area, or location within the project.

The market report published by the regulatory authority in 2025 also shows that the supply of ongoing projects eligible for sale continues to account for a significant proportion, reflecting the strong presence of this segment in actual transactions. However, popularity does not mean the same level of safety among projects, as the biggest differences still lie in legal status, progress, and the developer's execution capacity.

2. Conditions for future-formed apartments to be offered for sale

2.1. Conditions of the project and of the apartments before opening for sale

What is an off-plan apartment only becomes a tradable commodity when the project and product meet the prescribed legal conditions. According to current regulations, an apartment is eligible for sale only when the investor has fulfilled land financial obligations and obtained a valid construction permit. Notably, project information must be publicly disclosed on the Housing and Real Estate Market Information System as stipulated by the Government. This disclosure is mandatory to enable buyers to independently check the legal status, progress, and any restrictions (if applicable) of the apartment before deciding to invest.

Legally qualified apartments can only be opened for sale and transaction. (Source: Collected)

2.2. Legal documents buyers need to check before investing

What are off-plan apartments will be less risky if buyers check legal documents from the beginning instead of waiting until signing the contract. Groups of documents to be cross-checked include investment policy approval or project investment approval, land use rights documents, construction dossiers, public information of the project on the system and the enterprise's website, along with documents showing that the housing is eligible for sale or lease-purchase performed by the investor according to regulations.

2.3. New regulations on deposit, payment, and guarantee require special attention

What is an off-plan apartment is often associated with buyers' concerns about deposits and payment schedules, as this is a factor that directly affects their rights. When engaging in transactions of this type, customers often worry whether the deposit amount is secured and the payment progress is transparent. A significant change aimed at protecting buyers is the new regulation on deposits, helping to reduce risks and increase peace of mind during the buying and selling process.

Deposit and payment regulations help protect future apartment buyers. (Source: Collected)

According to Clause 5, Article 23 of the Law on Real Estate Business No. 29/2023/QH15, a real estate project developer is only allowed to collect a deposit not exceeding 5% of the selling price or lease-purchase price of future-formed housing or construction works when the housing or construction works have a basic design appraised by a state agency and the developer possesses one of the land use right documents as stipulated. The deposit agreement must clearly state the selling price, lease-purchase price, and apartment area. This prevents developers from illegally mobilizing capital when they do not yet meet legal conditions.

3. Rights and risks when buying a future-formed apartment

3.1. Practical benefits of buying off-plan apartments

What are off-plan apartments are often of interest to buyers because there are several clear practical benefits. With this type of product, cash flow is usually divided into many installments according to progress, buyers have more choices regarding unit location, floor, direction, or area, and in many cases can access prices according to early sales phases instead of waiting until handover.

Future apartments offer advantages in price and options but require legal checks. (Source: Collected)

This is also why this segment still maintains its appeal amidst new supply being strongly absorbed by the market in some areas. However, the benefits are only meaningful when the project is eligible for transaction and the construction progress is verified by documentation, it should not be simply understood that all apartments sold early create an advantage for buyers.

3.2. Common risks if buyers do not carefully check legal aspects and progress

What are future-formed apartments are also a group of products prone to risk if buyers do not carefully check the legal status and actual progress. Common situations include projects not yet eligible for sale, promotional information preceding the legal status, construction progress slower than committed, assets being mortgaged, or contracts stipulating unfavorable terms for the buyer.

The biggest risk often comes from the project being mortgaged by a bank without being cleared before sale. According to current regulations, if the investor has mortgaged the project, they must attach documents proving the mortgage has been cleared or have a tripartite agreement (buyer - investor - bank) regarding the non-clearing of the mortgage.

To ensure absolute safety, buyers need to request the investor to provide a document from the provincial real estate business management agency regarding housing eligible for sale or lease-purchase according to the provisions of Article 24 of the Law on Real Estate Business No. 29/2023/QH15.

3.3. Groups of buyers who should be more cautious with future-formed apartments

What are off-plan apartments need to be considered more carefully with specific buyer groups. Buyers who intend to live in the property and need to move in soon are usually more sensitive to delays than long-term investors, while those who rely heavily on loans are easily affected if the payment schedule and disbursement times do not match. Additionally, individuals who are not accustomed to reading contracts, have not previously reviewed project documentation, or lack experience in cross-referencing public information with the actual construction site should also spend more time before signing. The caution here is not to deny this type of product, but to ensure the purchase decision is aligned with a risk tolerance suitable for each person's true needs.

4. Tips for Buying Off-Plan Apartments More Safely in 2026

4.1. How to Read Project Progress and Cross-Reference with Legal Documents

What are off-plan apartments will be better understood if buyers know how to compare construction progress and legal progress. Images of the construction site, show units, or promotional materials only reflect a part, while what needs to be checked is whether the project has fully disclosed information, whether there is a notice of eligibility for sale, and whether the actual construction progress is consistent with the payment schedule in the contract. When the progress on site is fast but the legal documents are incomplete, buyers should still remain cautious. Conversely, if the legal aspects are clear, transparent, and the construction progress is updated synchronously, the safety of the transaction will be significantly higher.

4.2. How to evaluate the investor, development unit, and sales contract

What are off-plan apartments in reality, it is also linked to the developer's capacity and how the contract divides responsibilities between parties. Buyers should review the handover history of previous projects, the level of transparency in information disclosure, how the company responds regarding progress, guarantees, mortgages, and design changes. When reading the contract, pay attention to the payment schedule, penalties for delayed progress, handover standards, rights to handle cases where construction extends completion time, and content related to contract transfer. A branded developer but an unbalanced contract can still create risks, so evaluating the company and evaluating the signed document should be done in parallel.

4.3. List of information buyers need to check before signing the contract

Before signing the purchase agreement, the buyer's checklist should be based on Article 24 of Law No. 29/2023/QH15 on Real Estate Business. The documents to be checked include: documents on land use rights in accordance with land law; Construction permit (if required); project dossier and approved construction design drawings; acceptance minutes for the completion of foundation construction for apartment buildings or residential buildings; a written commitment or guarantee contract from a commercial bank regarding the investor's financial obligations to customers (unless customers voluntarily waive the guarantee as prescribed by law); and a document from the competent state authority confirming that the housing or construction is eligible for business as prescribed.

Legal checklist to check apartment eligibility before buying. (Source: Collected)

What are off-plan apartments are no longer just a familiar concept in the market, but have become a subject that needs to be understood correctly according to new laws before deciding to buy. By clearly understanding the legal nature, sale conditions, deposit mechanism, and necessary documents to check, buyers will have a more solid basis to evaluate projects, limit risks, and choose apartments that suit their actual needs in 2026. The current regulations are being applied according to the Law on Real Estate Business 2023, the Law on Housing 2023, and Decree 96/2024/ND CP.