Many banks 'launch' preferential loan programs, helping young people have the opportunity to settle down

Supporting people to stabilize their housing has always been a concern of the Party and the Government. Implementing the Government's direction, the banking sector has implemented many housing support policies for people, including a credit program for young people under 35 years old to borrow to buy houses. However, up to this point, the outstanding balance of the program is not high...

Help young people settle down

Implementing the direction of the Government and the State Bank, 9 commercial banks have implemented a loan program for people under 35 years old to buy social housing from a capital source of 145,000 billion VND for social housing loans according to Resolution 33/NQ-CP dated March 11, 2023. The preferential loan interest rate is lower than the average medium and long-term VND loan interest rate of 4 state-owned commercial banks, the maximum preferential interest rate application period is 15 years. Specifically, in the first 5 years: lower than 2%/year (as currently applied to the Housing Loan Program according to Resolution 33/NQ-CP), in the next 10 years: lower than 1%/year.

Responding to the Government's policy of supporting young people to have housing, from March 26, 2025 to December 31, 2025, BIDV will implement a Credit Package to support young people to buy/rent-purchase houses with unprecedented support policies aimed at helping young people own houses and settle down.

Transaction at BIDV Nghe An.

Super attractive fixed interest rate of 5.5%/year for 3 consecutive years, after 3 years the interest rate is calculated by the 24-month term capital mobilization interest rate + 3% and the principal exemption policy within 5 years helps young people feel secure in reducing debt repayment pressure, enjoying life in their own home. Each customer can apply a maximum of 1 loan under this Credit Package to buy/hire-purchase 1 house, the outstanding balance applying the maximum support interest rate according to the package is 5 billion VND/customer. In case the customer has a loan demand higher than 5 billion VND, the outstanding balance exceeding 5 billion VND will be applied to BIDV's regular credit package interest rate from time to time.

Ms. Nguyen Thi Ly - Deputy Director of BIDV Nghe An said: At the time of signing the Credit Contract, the customer is a young person of the prescribed borrowing age up to a maximum of 35 years old according to the year of birth and has no outstanding home loan debt at BIDV at the time of granting credit. As of May 30, 2025, BIDV Nghe An has provided loans to 17 customers under the credit support program for young people to own houses, with a disbursement turnover of nearly 40 billion VND.

At AgriBank, with the desire to support more and more customers to access preferential loans, especially young customers (under 35 years old) to settle down, start a business and develop the economy in a sustainable way, the Bank for Agriculture and Rural Development of Vietnam (AgriBank) has allocated 10,000 billion VND to implement a Home Loan Program for young customers with preferential interest rates, fees and service products that provide comprehensive financial solutions to help young people manage their finances, realize their desire to own a dream home and stabilize their lives.

HD Bank Nghe An is one of the banks implementing a credit program to support young people to buy houses with preferential interest rates. Photo: TH

The Director of AgriBank Nghe An said that the borrowers fully met the lending conditions according to current regulations of Agribank and the regulations of the Program. However, up to now, the outstanding loan balance of the program is not much.

Currently, there are a number of credit programs supporting young people to buy houses with preferential interest rates. In addition to major banks such as BIDV, AgriBank, banks such as ABBANK, LPBank, HDBank and ACB all have home loan packages for young people, with many incentives on interest rates, loan terms and loan limits.

Program balance is not high, why?

A representative of the State Bank of Region 8 said: In order to support young people to buy houses, 35 commercial bank branches under the management of the State Bank of Region 8 (including 15 commercial banks in the 3 provinces of Nghe An, Ha Tinh, Quang Binh) have taken advantage of the support of the Head Office to implement many home buying support packages, including young people under 35 years old participating with an initial fixed interest rate more preferential than the interest rate of the Preferential Loan Program under Resolution 33. However, this interest rate is mainly in the first period of 9 months, 12 months, ... then it is floating according to the margin plus long-term savings interest rate announced by the bank, therefore, the sales of these programs by May 30, 2025 reached just over 175 billion VND, with 124 borrowers.

According to the assessment, the outstanding debt of the program up to this point is not high, partly because this program has just been implemented, on the other hand, customers who need to buy houses are usually aged 35 and over, so the customer segment under 35 years old is less. Young people have unstable income, lack of savings and few collateral assets, which makes it more difficult to approve loans. Some young people also think that the real estate market in Vinh is currently heating up, so young people are hesitant to decide to buy a house at this time.

Ms. Thuy Linh in Vinh Phu ward (Nghe An) said that she is in need of a loan to buy a house, but at this time real estate prices are high, and access is not easy. , Ms. Linh shared.

Social housing project for workers and laborers in industrial parks in the Southeast Economic Zone. Photo: PV

Meanwhile, the number of social housing projects, worker housing projects, and apartment renovation and reconstruction projects in the area that are eligible for loans under the program is not much.

In Nghe An, there are currently 5 social housing projects, of which 4 have not yet started construction, and the remaining 1 is a social housing project for workers and laborers working in industrial parks in the Southeast Economic Zone at location 1, Trung Loc commune. The project is invested by Kim Thi Real Estate JSC, which has borrowed commercial capital from the bank, but is not yet eligible to sell to home buyers.

For social housing on the land fund of 20% of commercial housing projects: there are currently 30 projects, of which 3 projects have started construction, including: High-rise, townhouse, and villa housing area on Nguyen Viet Xuan Street South of Hanoi Housing Investment and Development Joint Stock Company No. 30 (the project has not been announced by the Provincial People's Committee, the investor has not completed the procedures to sign contracts with home buyers); Housing area for low-income people and employees of Nghe An Petroleum Investment and Trading Joint Stock Company (the project has not been announced by the Provincial People's Committee; the list of home buyers has not been established); Housing area in Truong Vinh ward of Trong Dong Real Estate Investment Joint Stock Company (the project has not been announced by the Provincial People's Committee, and has not yet begun construction).

Workers' Housing Projects (accommodation for workers in industrial parks): There are 6 investment projects but none have been announced by the Provincial People's Committee and the investors are building them for the purpose of renting accommodation for workers in their industrial parks/corporations.

Apartment renovation and reconstruction projects: There are 2 investment projects, 6/15 buildings have been built. Project investors are approaching and learning about the 120,000 billion VND credit package and 1 investor has borrowed commercial capital from the bank.

According to the State Bank of Region 8, in general, the progress of social housing projects is still too slow, many projects have not been constructed, leading to a shortage of social housing. It is recommended that the People's Committees actively direct and urge investors to complete investment project procedures to create a basis for the Provincial People's Committee to publish information on the electronic portal, or issue a decision to announce eligible projects, in order to support investors in accessing cheap bank credit capital. For completed projects, it is recommended that the Department of Construction study and advise on procedures for reviewing and assessing eligible subjects to buy social housing, and encourage investors to widely publicize the list of eligible buyers so that credit institutions and credit institution branches have information to approach customers who are home buyers.

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Source: https://baonghean.vn/nhieu-ngan-hang-tung-chuong-trinh-vay-uu-dai-giup-nguoi-tre-co-co-hoi-an-cu-10301378.html