Southeast Asia and Australia Property Rules — October 11, 2026

Top developments

Vietnam Proposes Restricting Foreign Ownership to Apartments Only

In early October 2026, Vietnamese authorities introduced a draft revision to the Law on Housing that would strictly limit foreign ownership to apartments, effectively removing the provision allowing foreigners to own landed houses (villas and townhouses). This move aims to tighten control over land use and prevent speculative holding by foreign entities, who would be restricted to buying, leasing, or inheriting only apartment units.

Singapore’s Two-Speed Market: Private Prices Up, HDB Down

Singapore’s Urban Redevelopment Authority (URA) flash estimates for Q3 2026 show private residential prices rose by 1.4%, reaching a record index of 222.5, the fastest quarterly growth in two years. Conversely, HDB resale prices fell by 0.2% for the third straight quarter, despite the lifting of the 15-month wait-out period for private property owners. Transaction volumes for private homes shrank by 30%, while HDB volumes surged by 17.7%, indicating a shift in buyer preference toward public housing amid affordability concerns.

FIRB Cracks Down on Foreign Land Banking in Melbourne

The Australian Foreign Investment Review Board (FIRB) has intensified enforcement against overseas buyers who fail to develop purchased properties, labeling these activities as illegal land banking. Recent actions include hefty fines and forced sales of homes and apartments in Melbourne that were acquired but left undeveloped. This strict enforcement underscores Australia’s commitment to ensuring foreign investment contributes to housing supply rather than speculation, with the ban on foreign purchases of established homes extended until June 2029.

Hanoi Apartment Market Cools as Supply Drops 60%

Hanoi’s apartment market is experiencing a slowdown, with new supply in Q3 2026 falling nearly 60% compared to the same period last year. Developers are adopting cautious strategies due to high interest rates and weak purchasing power, leading to a stabilization of prices rather than continued growth. While prices remain high relative to income, the "cooling" trend marks a return to value-based pricing after a period of rapid appreciation.

Local view

Vietnam: Local media reports indicate that the proposed changes to the Housing Law are being discussed in Ho Chi Minh City and Hanoi, with stakeholders concerned about the impact on foreign investment inflows into landed properties. The Ho Chi Minh City Real Estate Association (HoREA) has submitted proposals to amend the Land Law to reduce construction costs and improve transparency, aiming to make properties more affordable for domestic buyers while managing foreign participation.

Singapore: Analysts note that the divergence between private and HDB markets suggests a "flight to safety" among buyers who are priced out of the private market but are willing to wait for resale HDB flats. The record number of million-dollar HDB deals (209 in September alone) highlights a polarized market where high-end public housing competes with entry-level private condos.

Context & numbers

• Singapore Private Price Index: Rose 1.4% in Q3 2026 to a record 222.5.
• Singapore HDB Resale Index: Fell 0.2% in Q3 2026; 7,528 transactions recorded.
• Australia Home Value Index: Fell 1.1% month-on-month in September 2026, with Sydney down 1.4% and Melbourne down 1.1%. Sydney prices are now 8.6% below their February 2026 peak.
• Vietnam HCMC Primary Prices: Increased 3% quarter-on-quarter to an average of USD 4,210/m², driven by luxury project launches rather than broad-based appreciation.
• Hanoi Supply: Q3 2026 new apartment supply dropped ~60% year-on-year.

On the radar

• Vietnam Land Law Amendments: Finalization of the draft Housing Law amendments restricting foreign ownership of landed properties is expected in the coming months, which could significantly alter the villa/townhouse market dynamics for international investors.
• Singapore BTO Launches: New Build-To-Order (BTO) flats launching in November 2026 may further moderate resale demand if supply meets buyer expectations.
• Thailand Nominee Crackdowns: Thai authorities are continuing to seize illegal villas and shut down nominee shell firms in Phuket and other resort areas, signaling stricter enforcement of foreign ownership quotas.