Cases Where Housing Can Be Converted in Function

Cases where housing can be converted in function according to legal regulations aim to change the purpose of asset use. Project investors or housing owners must strictly comply with planning and technical design conditions when performing the conversion. Mastering the regulations helps clients optimize real estate exploitation value and ensure legality. The following content by Long Phan Consulting Company will provide legal regulations on housing function conversion.

In what cases is it permissible to convert the function of a residential building?

Based on Article 53 of Decree 95/2024/ND-CP, cases of housing function conversion include:

1. Resettlement Housing to Social Housing: Only when the area no longer needs resettlement housing, and the converted housing meets social housing area standards under the law on social housing development and management.
2. Social Housing to Resettlement Housing: Only when the area no longer needs social housing but has a demand for resettlement housing.
3. Official Duty Housing to Resettlement Housing: Only when the area no longer needs official duty housing but has a demand for resettlement housing.
4. Old Public Housing to Official Duty or Social Housing:
   • To Official Duty Housing: When the area meets official duty housing standards prescribed by the Prime Minister.
   • To Social Housing: When the area meets social housing standards prescribed by the law.
   • Note: If the State no longer needs old public housing and it cannot be converted, the ownership representative decides to auction it to recover funds for the budget.
5. Prime Minister’s Decision Cases:
   • Social housing (public asset) to official duty housing; or official duty housing to social housing (public asset).
   • Resettlement housing (public asset) to official duty housing.
   • Student/worker housing to social housing for lease/lease-purchase/sale.
   • Note: Determining conversion cases requires thorough appraisal. Investors must prove the change does not overload existing technical infrastructure.

>>>See more: Non-public housing conversion procedure

What are the requirements for converting a house to a different function?

Based on Article 49 of Decree 95/2024/ND-CP, the requirements for housing function conversion are as follows:

• For unfinished housing construction investment projects not yet accepted and put into use, if the investor needs to adjust investment objectives, they must perform the adjustment of project objectives in the investment policy according to the law on investment and the law on housing; for projects using public investment capital, the adjustment of project investment policy follows the law on public investment.
• For housing that has completed acceptance and been put into use according to construction law but has not been arranged for use, function conversion is performed according to the Law on Housing 2023 and Decree 95/2024/ND-CP.
• Converted housing must meet the regulations in Clause 2, Article 124 of the Law on Housing 2023 and regulations in Article 49 of Decree 95/2024/ND-CP.
• Only perform function conversion for housing falling under the cases specified in Clause 1, Article 124 of the Law on Housing 2023; for apartment buildings, a part or the entire apartment building can be converted.
• Housing function conversion must not change the technical infrastructure and social infrastructure system of the area containing the converted housing; must ensure standards and regulations under construction law; and comply with financial and tax obligations regarding the converted housing according to land law, housing law, tax law, and relevant laws.
• Converted housing must have the same construction investment capital source as the housing after conversion.
• For projects invested with public investment capital, after function conversion, the management of money collected from leasing, lease-purchasing, or selling housing is performed according to Article 60 of Decree 95/2024/ND-CP.

Principles of converting the function of residential buildings

According to Article 124 of the Law on Housing 2023 (amended and supplemented by Point b, Clause 5, Article 5 of Decree 144/2025/ND-CP), housing function conversion must comply with the following principles:

1. It must be consistent with the approved provincial housing development program and plan, ensuring no loss of public assets.
2. Housing after being converted in function must be used effectively, for the right purpose, and suitable for the technical standards and regulations of the converted housing.
3. It must be approved by the representative of the owner of public housing for housing belonging to public assets; or by the Provincial People’s Committee for housing not belonging to public assets.

Sample document for requesting a change of function for a residential building

The process of carrying out administrative procedures for housing function conversion is strictly regulated to ensure housing fund control. Clients need to prepare a complete legal dossier and submit it to the competent housing management agency. Following the correct sequence helps shorten processing time and ensures the validity of the approval document.

The first and most important step deciding the success of the conversion is dossier preparation. According to Article 51 of Decree 95/2024/ND-CP, the written request for housing function conversion (Form in Appendix IV of Decree 95/2024/ND-CP) includes the following contents:

• Address of the housing requested for conversion.
• Name of the project investor of the housing requested for conversion.
• Type of housing proposed for function conversion.
• Reason for conversion.
• Proposed time for performing the conversion.
• Commitment to managing and using the housing after conversion.

>>>See more: Housing function conversion procedure

The competent authority receives and processes the application

The authority to convert the function of public housing invested and constructed under projects is specified in Article 50 of Decree 95/2024/ND-CP and Clause 1, Article 20 of Decree 144/2025/ND-CP, including:

1. For housing invested and constructed under projects:
   • Representative of the public housing owner: Performs approval for housing belonging to public assets.
   • Provincial People’s Committee: Approves housing function conversion in remaining projects not falling under Point a, Clause 1, Article 50 of Decree 95/2024/ND-CP.
2. For housing not invested and constructed under projects:
   • Representative of the public housing owner: Approves function conversion for official duty housing arranged for subjects managed by Ministries, ministerial-level agencies, government agencies, and other central agencies (hereinafter referred to as central agencies) and public housing specified in Point d, Clause 1, Article 13 of the Law on Housing 2023 managed by central agencies.

Long Phan Consulting Company provides consulting services on cases where housing can be converted in function

Housing function conversion involves many legal regulations. Therefore, clients should research carefully or use our in-depth consulting services to ensure the conversion is performed correctly. Long Phan Consulting Company will provide housing function conversion consulting services, structured into the following key areas:

• Providing advice on cases where housing can be converted in function;
• Instructions on preparing documents and procedures for applying for a change in the intended use of a residential property;
• Providing advice on the requirements that need to be met to convert the function of a house to residential use.
• Consult with the competent authority to obtain permission for converting the function of the residential property.
• Drafting legal documents related to the conversion of residential properties.
• The client representative will carry out the procedures for converting the function of the house.
• Provide advice and answer other related questions.

Frequently Asked Questions about cases where housing can be converted in function

Below, Long Phan Consulting Company provides some frequently asked questions related to cases where housing can be converted in function. We invite interested clients to refer to this information:

How does the investor submit the application?

According to subsection 1.2, Section I.1, Part II of Decision 872/QD-BXD, the investor can submit the application directly, via postal service, or online to the Provincial Public Administration Service Center.

Is there a fee for the procedure to convert the function of a residential property that is not public property?

According to sub-section 1.8, Section I.1, Part II of Decision 872/QD-BXD, the procedure for converting the function of residential buildings that are not public assets is not subject to fees. This means that the investor will not have to pay any administrative fees to the state agency throughout the entire process, from submitting the application to receiving the approval document.

Under what circumstances does the Prime Minister decide to convert the function of a residential building or convert the function of a residential building for auction?

Cases where the Prime Minister decides to permit the conversion of housing functions as stipulated in point d, clause 1, Article 124 of the 2023 Housing Law, as guided by Chapter IX of Decree 95/2024/ND-CP, include:

• Converting the function of social housing belonging to public property to public housing, or vice versa; converting public housing to social housing belonging to public property;
• Converting the function of housing for resettlement purposes, which is public property, into official residences.
• Converting student housing or worker housing into social housing for the purpose of renting, lease-to-own, or selling housing in accordance with the law on the development and management of social housing;
• In cases where student housing as stipulated in point c, clause 1, Article 57 of Decree 95/2024/ND-CP or housing for resettlement as stipulated in Article 53 of Decree 95/2024/ND-CP does not meet the conditions for conversion to social housing, the project investor shall submit a request to the Prime Minister for consideration and approval to allow the auctioning of this housing.

However, according to Point a, Clause 5, Article 5 of Decree 144/2025/ND-CP, effective from July 1, 2025, the Government does not have the authority to decide on the conversion of housing functions in the above cases.

According to current regulations, how can the function of a detached house be converted for a different purpose?

According to Clause 5, Article 9 of Circular 10/2021/TT-BXD, in the case where the homeowner converts the function of use of part or all of a detached house:

• If the conversion of the building’s intended use, along with the repair and renovation, does not fall under the cases exempted from permits as stipulated in point d, clause 2, Article 89 of the 2014 Construction Law, as amended and supplemented by clause 30, Article 1 of the 2020 amended Construction Law, then the homeowner must follow the procedures for obtaining a construction permit as prescribed by law. In this case, the design and construction of the building must comply with the regulations of applicable technical standards and be consistent with the building’s new function.
• If the change of land use does not involve repairs or renovations, the homeowner must still comply with the laws on fire prevention and control, environmental laws, and other relevant laws (if any).

How long does it take to process the procedure for changing the function of a house?

According to Clauses 2, 3, and 4 of Article 51 of Decree 95/2024/ND-CP, the processing time for converting the function of a house will depend on the competent authority that approves it (Ministry of Construction, Provincial People’s Committee, or housing management agency). Typically, the processing time at specialized agencies (such as the Department of Construction) ranges from 30 to 45 working days. However, the actual total time may be longer depending on obtaining opinions from relevant departments and agencies, and the time it takes for you to complete financial obligations or technical renovations to the building.

Conclusion

Cases where housing can be converted in function require deep understanding of the Law on Housing and Decree 95/2024/ND-CP. Clients need to follow the correct appraisal and approval sequence.

For professional advice, please contact Long Phan Consulting Company via hotline 1900636389.