Prohibited Acts in Real Estate Brokerage Activities 2026

Prohibited Acts in Real Estate Brokerage Activities 2026 is a critical legal topic that practicing organizations and individuals need to understand as the legal framework for real estate business continues to be refined towards 2026. Long Phan Consulting Company analyzes the prohibited acts under current regulations to serve as a reference for compliance.

Prohibited acts in real estate brokerage activities

Current laws and the Code of Ethics and Professional Conduct for Real Estate Brokers in Vietnam (VPEC 2024) have established clear behavioral limits. Violations may result in administrative penalties or criminal liability. According to Rule 9 of VPEC 2024, brokers are prohibited from:

1. Brokering real estate ineligible for business.
2. Failing to disclose or disclosing incomplete/untruthful information.
3. Fraud or deception in brokerage activities.
4. Illegal mobilization or misappropriation of customer capital.
5. Collecting fees/commissions contrary to regulations.
6. Failure to fulfill financial obligations to the state.
7. Arbitrarily changing fee rates without proper authority.
8. Unfair competition or poaching customers.
9. Using internal information for personal gain (insider trading).
10. Making false/misleading statements about other brokers.
11. Providing information disadvantageous to their own enterprise.
12. Losing contracts/documents of the enterprise/customer (except force majeure).
13. Soliciting “under-the-table” money for better products.
14. Unprofessional attitude/conduct.
15. Using another broker’s information without permission.
16. Representing both parties (dual agency) in the same transaction.
17. Brokering real estate owned by oneself.

Conditions for organizations and individuals when engaging in real estate brokerage services.

According to Clause 1, Article 61 of the Law on Real Estate Business 2023, real estate brokerage is a conditional business line. Organizations must establish an enterprise or cooperative and meet the following:

1. Have regulations on brokerage service operations.
2. Have facilities and technical equipment (stable trading address for over 12 months; machinery/equipment per Article 18, Decree 96/2024/ND-CP).
3. Have at least 01 individual holding a real estate brokerage certificate.
4. Send enterprise information to the provincial state management agency for posting on the information system before operating.

Conditions for individuals to practice real estate brokerage.

To eliminate illegal practices, Clause 2, Article 61 of the Law on Real Estate Business 2023 requires practicing individuals to:

1. Hold a Real Estate Brokerage Practice Certificate.
2. Practice within a Real Estate Exchange Service Enterprise or a Real Estate Brokerage Service Enterprise.

Legal consulting services for real estate brokerage in Long Phan

Long Phan Consulting Company provides comprehensive legal solutions to ensure safety and sustainable development:

1. Establishment & Organization:
   • Advising on procedures to establish brokerage enterprises and register business lines.
   • Drafting internal regulations, risk control processes, and standard contracts.
   • Handling notifications to the Department of Construction.
2. Training & Certificates:
   • Guiding individuals on the roadmap and conditions for the brokerage certificate exam.
   • Reviewing personnel records to ensure compliance with certificate requirements.
3. Dispute Resolution & Compliance:
   • Representing clients in fee/commission disputes.
   • Litigation support in Court or Commercial Arbitration.
   • Advising on handling legal crises related to prohibited acts to minimize financial and reputational damage.

Frequently Asked Questions

Below are some frequently asked questions in the real estate brokerage business; please refer to them:

Can an owner broker their own land and collect fees?

No. Brokerage is an intermediary activity. If you own the property, you are a party to the transaction (seller). Brokering one’s own asset violates professional ethics rules. (Legal Basis: Item 17, Rule 9, VPEC 2024).

What are the requirements for the brokerage enterprise’s headquarters?

The enterprise must have a specific location/headquarters. The transaction name and address must be stable for over 12 months to facilitate management. (Legal Basis: Article 18, Decree 96/2024/ND-CP).

What penalties apply to prohibited acts?

Depending on the severity, brokers may face administrative penalties, civil compensation, or criminal prosecution.

Is compliance with the Code of Ethics mandatory?

Yes. Compliance with professional ethics and conduct rules is a mandatory obligation to ensure market professionalism and transparency. (Legal Basis: VPEC 2024).

Conclusion

Identifying Prohibited Acts in Real Estate Brokerage Activities helps Clients avoid legal risks. Long Phan Consulting Company commits to assisting in establishing standard operating procedures. Please contact Hotline 1900636389 for timely support.