Interview with Ken Duong, International Attorney on the Vietnam Tourism Crackdown and Short-Term Rental Regulations

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Table of Contents

Introduction

In this interview, Ken Duong — an international and business immigration attorney with more than 15 years of experience and 12 years living in Vietnam — explains the seismic changes reshaping vietnam tourism and the vietnam real estate market. If you are an investor, property owner, digital nomad, traveler planning where to stay in Ho Chi Minh City, or someone following vietnam news and travel to vietnam updates, this conversation lays out the legal reality behind the headlines: why short term rental practices have been targeted, what Decree 79 requires, how enforcement is changing, and how to operate legally in a market that is rapidly evolving.

This interview condenses the key points from Duong Global Business Consulting Group's coverage and Ken Duong’s practical advice. It touches on the controversial claim that "vietnam tourism self-destructs makes short-term rentals illegal," explores real-world impacts on airbnb vietnam hosts and guests, and offers travel to vietnam tips for guests and investors alike.

Q: Ken, what changed in Vietnam's laws that suddenly put short-term rentals in the spotlight?

A: For years, vietnam tourism rules treated stays shorter than 30 days as "tourist accommodation"—in other words, effectively like a hotel. The legal framework has been on the books for a while, but enforcement was lax. That changed with Decree 79, which took effect in August 2023. Decree 79 clarified three major requirements: (1) short term rental properties rented for under 30 days must have tourism permits and meet fire and safety inspections, plus a system to register guests; (2) building management consent is required, meaning condo boards can prohibit short-term rentals inside residential blocks; and (3) hosts must declare earnings and comply with tax regulations, including VAT and business taxes. Put simply: running a short-term rental in Vietnam now carries the same basic compliance burdens as operating a small hotel.

Q: Why is vietnam tourism enforcement suddenly ramping up after years of minimal action?

A: Enforcement increased for several pragmatic reasons. First, citizen complaints reached a boiling point: residents in many apartment buildings were facing noise, safety concerns, and overcrowded amenities, as whole blocks effectively turned into pop-up hotels without hotel-level oversight. Second, local governments realized the tax losses from invisible income streams were significant—unlicensed short term rental hosts were earning money without reporting or paying taxes. Third, public safety and building security issues forced action—property managers didn’t know who was coming and going, and when damage or vandalism occurred, tracing responsibility was difficult. In response, cities like Ho Chi Minh City publicly announced crackdowns and implemented stricter building enforcement measures, including access controls and, in some cases, facial recognition for using elevators and pools.

Q: What are the specific nightmares residents and building managers experienced that prompted the crackdown?

A: The on-the-ground problems were tangible and frequent:

  • Security concerns: Without guest registration systems, management couldn't identify guests when incidents happened.
  • Resident revolts: Long-term residents who paid for serenity found their buildings noisy and crowded, with weekend parties and turnover that destroyed community bonds.
  • Overcrowded amenities: Pools, gyms, and parking became dominated by short-term visitors, leaving permanent residents with reduced access.
  • Invisible tax revenue loss: Unlicensed hosts earned income and offered cheaper accommodation compared to regulated hotels—but they avoided taxes and safety compliance.
  • General social friction: High turnover reduces neighbor trust and the shared social fabric that makes apartment life functional.

Q: How does this compare with other countries in the region, like Thailand?

A: The pattern is similar across Southeast Asia. Thailand faced a wave of "Z condos," often bought by foreign investors and used as short term rentals without proper registration. Thai hoteliers and local residents protested; the response included calls for stricter enforcement, fines, and even bans. The key lesson for both Thailand and Vietnam is consistent: rapid real estate growth, weak enforcement, and loopholes create an environment where short-term rentals can become a problem quickly if rules aren’t applied equally.

Q: Who benefits from this crackdown? Who loses?

A: Winners and losers emerge clearly once rules are enforced:

  • Winners:
    • Hotels and licensed operators: They gain a level playing field because short-term rentals must now meet safety standards and pay taxes.
    • Long-term residents: Enhanced security and fewer transient guests mean quieter buildings and restored amenities.
    • Government: Increased tax compliance recovers revenue for public services and enforcement.
  • Losers:
    • Budget travelers: Fewer unlicensed, cheaper airbnb vietnam options means travelers seeking inexpensive private stays may face higher prices or less availability.
    • Hosts who operated informally: Those relying on short-term rental income without proper licenses face fines, legal risk, or forced closure.

Q: Is airbnb vietnam finished in Vietnam? Will tourists still be able to find places to stay?

A: Short answer: airbnb and short-term rentals are not dead in Vietnam. What is changing is where and how they operate. Expect a future where:

  • Fewer short-term listings in standard residential buildings unless they are fully licensed and building management consents.
  • Purpose-built complexes: Entire developments may be repurposed or designed to host only short-term stays with tourism licenses, staff, and 24/7 operations.
  • Higher compliance: Hosts who register as tourism enterprises, pay taxes, and meet safety requirements will continue to offer stays—often at slightly higher prices due to compliance costs.

So travel to Vietnam tips should now include verifying a host’s registration. If a host refuses to state whether their listing is legally registered, that’s a red flag. Ask before booking to avoid problems if police enforce crackdowns or if Airbnb delists illegal units.

Q: For property owners and investors, how should they respond to these changes in vietnam real estate?

A: Investors need to adapt strategically. The key steps include:

  1. Due diligence: Before buying, confirm whether the condo or building allows short-term rentals and whether there are existing registered tourism licenses for units. Real estate due diligence helps avoid buying “time bombs.”
  2. Compliance: If you intend to operate short term rentals, register as a tourism enterprise, obtain necessary permits, document fire and safety compliance, and set up proper guest registration systems.
  3. Building relations: Gain building management consent. Without it, even licensed units can be restricted by condo boards.
  4. Tax planning: Declare earnings, pay VAT, and keep clear accounting to avoid fines and audits.
  5. Consider alternative models: Convert units for mid-term rentals, co-living, or long-term lease models to reduce regulatory friction.

Duong Global can assist with restructuring portfolios and handling registration and tax compliance for investors who want to stay within the law and maintain profitability in the vietnam investment space.

Q: How are authorities enforcing the new rules inside apartment buildings?

A: Enforcement approaches vary by locality and building, but notable methods include:

  • Local police crackdowns: Cities issuing public statements and launching inspections to find unlicensed short-term rentals.
  • Building management actions: Condo boards implementing tighter guest policies, sign-in procedures, or access controls.
  • Technology: Some buildings are using facial recognition systems to regulate access to elevators, pools, and other amenities, ensuring only registered residents and approved guests can use facilities.

These measures signal that enforcement is not just theoretical; it's practical and, in some places, quite visible.

Q: What practical steps should travelers follow for safe bookings and to avoid being caught in a crackdown?

A: Travelers should be proactive and cautious. Practical travel to vietnam tips include:

  • Ask the host directly if their unit is legally registered as a tourism accommodation and whether they have the tourism permit number. Keep written confirmation.
  • Prefer hotels, licensed homestays, or listings that explicitly state compliance with local laws.
  • Review host responses: If a host evades the question, consider it a red flag and book elsewhere.
  • When in doubt, contact platforms like Airbnb and request proof of compliance or choose properties with multiple vetted reviews that mention legal operation.
  • Keep a copy of your booking and any host correspondence in case enforcement action affects your stay.

Q: For hosts who want to run short-term rentals legally, what does the process look like?

A: Running legally involves several key administrative steps:

  1. Register as a tourism enterprise or business where required.
  2. Obtain tourism permits and ensure compliance with fire, safety, and building codes. This may include inspections and certifications.
  3. Secure written consent from building management if the condominium rules require it.
  4. Implement a reliable guest registration and record-keeping mechanism—hotels must capture guests’ identification and register them properly with authorities.
  5. Set up proper accounting, declare revenue, and remit VAT and other applicable taxes.
  6. Consider hiring a local management company or legal counsel to manage compliance and interact with authorities.

Duong Global offers services to help obtain these licenses, restructure portfolios, and ensure compliance with vietnam visa questions or tax obligations—helpful for both foreign and local owners navigating the system.

Q: Some people say the crackdown is just a money grab by the government. Is that a fair critique?

A: It’s understandable why critics use that framing—collecting taxes is part of the government’s motivation—but the broader picture includes public safety, resident quality of life, and legal fairness. Consider the following:

  • Tax fairness: Hotels and licensed operators were at a disadvantage when unlicensed rentals avoided taxes and safety compliance; leveling the playing field is an economic fairness issue.
  • Public safety and community stability: Enforcement seeks to protect residents from noise, crime risk, and the erosion of community trust caused by high-turnover occupants.
  • Regulatory intent: The laws existed before; the recent shift is less about inventing new burdens and more about implementing existing rules that align with tourism standards.

So while tax revenues are part of the rationale, the crackdown also addresses legitimate social and safety concerns that long-term residents raised.

Q: How will these changes affect vietnam tourism in the short and long term?

A: Short term, expect disruptions: fewer cheap unlicensed options, potential confusion for travelers, and adjustment pains as platforms and hosts adapt. Long term, the effect could be positive for the overall tourism ecosystem:

  • Better consumer protection: Licensed accommodations are more likely to meet safety standards, improving guest safety.
  • Stable local communities: Long-term residents regain trust in gated communities and amenities.
  • Market rationalization: The market may bifurcate into licensed short-term complexes and long-term residential buildings, creating clarity for both tourists and residents.
  • Investment clarity: Foreign investors and vietnam foreign investment flows will adapt to clearer rules, potentially reducing the number of risky purchases that end in legal disputes.

Q: What are some red flags guests should look for on airbnb vietnam listings?

A: Guests should watch for these warning signs:

  • Host refuses to state whether the property is registered as a tourism accommodation.
  • Listings that advertise “no registration required” or promote “bypass” options for check-in.
  • Multiple short-notice cancellations or listings that frequently switch account names—this could indicate evasion attempts.
  • Lack of clear contact details for the host or property manager on arrival.

If you suspect a listing is unlicensed, request proof and consider reporting it to the platform or choosing an alternative.

Case Study: Ho Chi Minh City's Hardline Stance

Ho Chi Minh City's recent public announcement banning unlicensed short-term rentals in apartment buildings served as a wake-up call. Condo boards that had previously been lenient moved quickly to tighten guest policies. Some buildings implemented facial recognition to manage access to elevators and shared facilities. This case demonstrates how a single city's decision can catalyze national awareness and cause ripple effects across the vietnam real estate market.

Practical Checklist for Hosts, Investors, and Travelers

Use this checklist to navigate the new landscape:

  • Hosts/Investors:
    • Confirm building management policies before buying or listing. (Building consent is critical.)
    • Register your property and business for tourism operations if you intend to host stays under 30 days.
    • Pass required fire and safety inspections and maintain documentation.
    • Set up formal accounting; declare income and remit VAT and other taxes regularly.
    • Keep transparent, written agreements with any property managers and maintain guest logs.
  • Travelers:
    • Ask whether the listing is licensed and request proof; keep correspondence.
    • Prefer licensed hotels or certified homestays if you want guaranteed compliance.
    • Understand vietnam visa rules and entry requirements before arrival.

Ken Duong’s Pro Tip

“Before you book your Airbnb, ask your host if they are legally registered. If they don’t want to tell you, that’s a red flag. Keep written evidence you asked—if police raid and issue fines, you’ll have proof you were misled and may be able to get a refund from the platform.” This practical travel to vietnam tip from Ken underscores how guests can protect themselves amid enforcement shifts.

Duong Global Business Consulting Group provides legal and consulting services for individuals and companies navigating the vietnam investment landscape. Their offerings include obtaining tourism licenses, restructuring real estate portfolios to avoid unregistered condos, conducting real estate due diligence, and assisting businesses expanding into Vietnam. For investors interested in vietnam investment visa matters, vietnam passport questions, or vietnam tourist visa guidance, legal counsel can smooth the path.

Conclusion

The enforcement wave against unlicensed short term rentals marks a turning point for vietnam tourism and vietnam real estate. While some see this as a harsh crackdown, the broader picture is a move toward regulated growth that protects residents, levels the playing field for hotels, and ensures tax compliance. For travelers, this means being more diligent when booking and preferring licensed options. For hosts and investors, it means adapting business models, registering properly, and paying taxes. For those who want to travel to vietnam tips, the single best piece of advice is to ask before you book and keep proof.

If you are navigating this new reality—whether you're managing an airbnb vietnam listing, buying property, or planning your next trip—legal guidance can save time, money, and headaches. As the rules become clearer and enforcement intensifies, market participants who act early and lawfully stand to benefit.

Interview with Attorney


FAQ

Q: Is short term rental really illegal in Vietnam now?

A: Not wholly illegal, but highly regulated. Decree 79 clarifies that rentals under 30 days are considered tourist accommodations and must meet tourism licensing, fire and safety inspections, and tax registration. Additionally, building management consent is often required. Unlicensed operations are subject to fines and closure.

Q: How does Decree 79 impact vietnam tourism and local residents?

A: Decree 79 impacts vietnam tourism by enforcing safety and tax rules, which can improve overall guest protection and the reputation of licensed operators. For local residents, it reduces noise, security issues, and overcrowded amenities tied to high-turnover guests.

Q: If I’m a traveler, how can I avoid problems when booking?

A: Ask the host if the property is registered as a tourism accommodation, request proof of the permit, prefer hotels or licensed homestays, and keep booking communications. If a host refuses to answer, consider that a sign to book elsewhere.

Q: As an investor, should I still buy condos for short-term rentals?

A: You can still invest, but do thorough due diligence. Make sure the building allows short-term rentals, get building management consent, understand local enforcement patterns, and prepare to register and comply with tax and safety obligations.

Q: Will enforcement spread to all Vietnamese cities?

A: Enforcement tends to vary by locality. Major cities like Ho Chi Minh City and Hanoi have demonstrated a willingness to strictly enforce the rules, and we can expect other cities to follow as complaints and tax concerns grow. Investors and hosts should assume increasing enforcement nationwide.

Q: How can Duong Global help with these issues?

A: Duong Global offers services including obtaining tourism licenses, real estate due diligence, restructuring portfolios, tax compliance, and legal representation for foreign investors. They help clients comply with Vietnam’s regulatory regime and navigate challenges like vietnam visa questions and the complexities of living in vietnam as a foreigner.

Q: Will this crackdown harm vietnam tourism overall?

A: In the short term, it may reduce the number of low-cost private options and cause confusion. In the long term, it could strengthen the tourism sector by ensuring safety and fairness, which may attract higher-quality investment and provide better experiences for international visitors.

Q: Are there alternatives to short-term rentals in Ho Chi Minh City?

A: Yes. Travelers can opt for hotels, licensed serviced apartments, and purpose-built short-stay complexes. For those wondering where to stay in Ho Chi Minh City, looking for verified, licensed accommodations is the safest strategy.

Q: What keywords should I search to stay updated on this topic?

A: Search terms like "vietnam tourism," "airbnb vietnam," "vietnam real estate," "vietnam news," "travel to vietnam update," "where to stay in ho chi minh city," and "vietnam investment" will surface current developments. Follow reputable sources and legal advisories like Duong Global for practical guidance.

Final Thoughts

The story of Vietnam’s short-term rental crackdown sits at the crossroads of community safety, tax fairness, and the future of vietnam tourism. For hosts, investors, and travelers, the message is the same: adapt, comply, and be diligent. This is a new chapter in vietnam travel and investment—one that separates those who act responsibly from those who rely on legal ambiguities. As enforcement tightens, opportunities remain for licensed, professional operators. If you’re navigating the changes—whether buying a condo, listing a property on airbnb vietnam, or planning a trip—get professional help when needed and always ask the right questions before you commit.

Interview conducted with Ken Duong of Duong Global Business Consulting Group. For legal assistance related to vietnam investment, vietnam tourist visa matters, or running compliant short-term rentals, consider reaching out to professionals who understand both the law and real estate nuances in Vietnam.

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