HCMC Short-Term Rental Ban: What Landlords Need to Know After Decision 26/2025

In February 2025, Ho Chi Minh City issued Decision 26/2025, banning rentals under 30 days in residential apartment buildings. It wasn’t a surprise — HCMC had been signaling this move for years through selective enforcement and public consultation rounds. But the formalization changes things. Landlords who built income models around Airbnb now face a clear choice: adapt or operate illegally.

The scale of exposure is real. The ban directly affects 8,740 apartments across 24 projects citywide (VnExpress, 2025). More tellingly, not a single Airbnb listing in HCMC before the ban held a valid short-term rental license — the entire platform-driven STR ecosystem had been running on regulatory tolerance, not legal footing (Airbtics, July 2025).

This guide covers what the ban actually prohibits, which landlords are exposed, what legal alternatives exist, and how to transition without taking an unnecessary income hit.

TL;DR: HCMC’s Decision 26/2025 (February 2025) bans all residential apartment rentals under 30 consecutive days, affecting 8,740 apartments across 24 named projects — and 0% of prior Airbnb hosts held valid licenses (Airbtics, 2025). Compliant alternatives — 30-day minimum stays, corporate housing, furnished long-term leases — can recover most of the income gap without legal exposure.

What Does Decision 26/2025 Actually Prohibit?

HCMC’s Decision 26/2025 bans the rental of residential apartments for any period shorter than 30 consecutive days. The prohibition applies specifically to apartments within residential condominium buildings (chung cư) — not commercial serviced apartment complexes, hotels, or standalone houses (Vietnam Law Magazine, 2025). HCMC had been actively soliciting public feedback on STR regulation from late 2024, and Decision 26 reflects that process (VCI Legal, 2024).

Three things landlords need to understand about the ban’s scope:

The 30-day threshold is firm. A 28-day booking still violates the decision. The minimum lawful rental period in a residential apartment is 30 consecutive days — no exceptions for extended-weekend stays or partial-month arrangements.

The prohibition is building-level, not unit-level. If your building is classified as residential, the ban applies to your unit regardless of what your neighbors do. You can’t selectively comply in a building where others aren’t.

“Didn’t know” isn’t a defense. The regulation was covered extensively in Vietnamese media through 2024-2025. Building management companies (BQLs) were required to post notices to residents. Regulatory awareness is assumed.

According to Vietnam Law Magazine (2025), the ban followed sustained complaints from resident associations about fire safety incidents, noise, security gaps, and the erosion of residential community standards in buildings where STR had proliferated. Fire safety was HCMC’s stated primary justification — a position that carries weight given Vietnam’s recent history of residential building fires.

Which Buildings and Landlords Does the Ban Affect?

Decision 26/2025 doesn’t hit all landlords equally. The 24 named projects in the initial decision are the enforcement focus — buildings in Districts 1, Binh Thanh, Thu Duc, and District 7 where STR density was highest and resident complaints most concentrated (VnExpress, 2025). But the 24-project list isn’t a ceiling. It’s a starting point.

Directly in scope:

• Residential condominium apartments (chung cư nhà ở) of any size used for sub-30-day rentals
• Buildings with a history of STR-related complaints from resident associations or BQLs
• Units listed on Airbnb, Booking.com, or similar platforms with sub-30-day minimum stay settings

Outside the immediate scope:

• Commercial serviced apartment complexes (căn hộ dịch vụ) with hospitality business registration
• Hotels and guesthouses with proper accommodation licensing
• Standalone houses (nhà phố), villas, and landed property

The gray zone: Any residential apartment building that had been operating STR informally — no formal commercial classification, no BQL consent, no hospitality license — carries the full enforcement risk regardless of whether it appears on the current named-project list.

Property managers handling STR-to-LTR transitions for clients report a consistent pattern: the most exposed landlords aren’t those who ran STR casually. They’re the ones who bought specific units because an agent or developer projected Airbnb income. Those projections were built on market conditions and regulatory tolerance that no longer exist. Their financing assumed STR yields; the regulatory floor has moved.

If you’re uncertain whether your building is in scope, your BQL and local ward housing authority (phòng quản lý đô thị) are the right first calls. Don’t rely on what neighboring units are doing — enforcement typically starts with complaints, and your neighbor’s compliance status doesn’t protect you.

To understand how these changes affect rental income across different parts of the city, see the HCMC Rental Market District Guide.

What Is the Financial Impact on Landlords?

The raw income gap between STR and long-term rental in HCMC is significant — and it widens with unit size. A well-positioned 2-bedroom apartment generating $2,200/month on Airbnb at 70% occupancy compares to $950/month on a standard long-term lease. That’s a 130% STR premium before costs.

But gross STR income isn’t net STR income. Platform commissions run 3% on top of per-stay cleaning costs (VND 200,000–400,000 per turnover), linen replacement, utilities bundled into the nightly rate, and noticeably higher maintenance frequency from rotating guests. A realistic net STR figure runs 20–30% below gross. That narrows the gap — but doesn’t close it for high-occupancy units in good locations.

Where the calculus actually shifts is vacancy and management load. STR occupancy is seasonal and unpredictable. Long-term leases deliver consistent month-on-month income once tenanted, with near-zero vacancy management overhead. For a landlord who isn’t personally managing day-to-day operations, the STR premium may be substantially consumed by management costs.

The landlords best positioned for the transition aren’t necessarily those with the highest STR income. They’re the ones who kept their units in LTR-standard condition throughout the STR period. Platform guests are hard on interiors. A unit with 200+ short-stay turnovers typically needs meaningful refurbishment — repainting, mattress replacement, kitchen appliance overhaul — before it can command top-tier LTR rents. Factor that cost into your transition budget before quoting a rent figure to a long-term tenant.

Use the Vietnam Rental Yield Calculator to model your specific unit’s net return under long-term lease terms.

What Are the Legal Alternatives to Short-Term Rentals?

Decision 26/2025 closes one income model. It doesn’t close the income optimization opportunity. Several legally compliant strategies let landlords earn above standard LTR rates — the right choice depends on your unit’s location, furnishing standard, and how much management time you want to put in.

Option 1: 30-Day Minimum Stays (Medium-Term Rentals)

The simplest compliance path is resetting your minimum stay to 30 consecutive days. Both Airbnb and Booking.com support monthly stays, and the target tenant segment shifts to business travelers on extended assignments, relocating professionals, digital nomads, and expats in their first month before signing a longer lease. Monthly rates for this segment typically sit 20–40% above equivalent long-term lease rates for well-furnished, centrally located units. You stay on the platforms; you stay legal.

Option 2: Corporate Housing for Expat Tenants

Corporate relocation leases — where a company, not an individual, signs as the tenant — typically run 6–12 months and pay a 15–25% premium over standard residential LTR rates. The company covers utilities, HR manages the logistics, and you get a creditworthy counterparty on a proper lease. For well-furnished units in Thao Dien, District 1, District 7, or near major business parks, this is the strongest legal alternative to STR income. For detail on sourcing and managing this tenant type, see Managing Corporate Expat Tenants in HCMC.

Option 3: Furnished Long-Term Lease with Premium

A fully furnished unit targeting mid-range professionals or junior expats commands 20–30% more than an unfurnished equivalent in the same building. The STR-to-LTR income gap narrows considerably when you compare furnished LTR against an unfurnished baseline rather than against another furnished STR. Smaller units — studios and 1-bedrooms — in high-demand locations like Binh Thanh, District 4, and Tan Binh work particularly well here.

Option 4: Serviced Apartment Registration

For landlords with multiple units in the same project, formally registering as a commercial serviced apartment operator converts what’s currently illegal into a protected business structure. It requires hospitality business registration, fire safety certification, and potentially a classification change at the building level. The administrative load is significant, but it’s the structurally compliant path for landlords who want to operate short stays legitimately long-term.

For more on minimizing vacancy during and after your transition, see How to Reduce Vacancy in HCMC Rental Properties.

Is Decision 26/2025 Being Enforced? Understanding the Real Risk

Enforcement is uneven as of mid-2025. Airbtics documented in July 2025 that the ban was “not strictly enforced” across the city — typical for early-stage regulatory rollouts in Vietnam, where the law exists and enforcement infrastructure is still building. There’s a tolerated non-compliance window before consistent action begins.

This doesn’t mean the risk is trivial. Three exposure vectors matter for any landlord still running STR:

Building management companies (BQLs). BQLs have the authority and motivation to enforce the ban themselves, without waiting for a government directive. Resident associations in several HCMC projects had spent years complaining about STR operations before Decision 26 — the noise, the security gaps, strangers in lifts, common area damage. Those associations will push their BQL to act. BQLs can block STR guest access, issue written warnings, and escalate to ward authorities before any fine is issued.

Insurance voidance. Most residential apartment insurance policies in HCMC cover units for residential use only. Operating an undeclared commercial activity can void your contents and liability coverage. A guest injury or property damage claim in a unit the insurer determines was operating as an undeclared guesthouse leaves you personally exposed — regardless of what the Airbnb listing terms say.

Enforcement trajectory. Vietnam’s regulatory pattern is consistent: informal activity is tolerated until enforcement infrastructure catches up, then it’s enforced comprehensively. The 24-project list is where enforcement started, not where it ends. Landlords betting on permanent tolerance are misreading the direction.

The highest-risk profile right now is a landlord continuing STR in a building whose BQL has already received resident complaints. Resident associations and BQLs have faster, more motivated enforcement power than ward authorities — and their motivation is genuine quality-of-life concerns, not a compliance checklist.

How to Transition Your Unit to Long-Term Rental

If you’ve been running STR and need to pivot, the transition has four practical steps.

1. Assess LTR readiness honestly. STR units are furnished for presentation and fast turnover. Long-term tenants need different things: adequate storage, a proper workspace, a functional kitchen (not just a kettle and a portable cooker), durable surfaces, and enough wardrobe space for a year’s worth of belongings. Walk your unit as a potential 12-month tenant, not as a weekend guest.

2. Price from current LTR data. Use batdongsan.com.vn, PropertyGuru Vietnam, and local agent comparables to benchmark your unit against what’s actually renting in your building and district. A well-furnished, recently refreshed unit should target the top 20–30% of comparable listings. You won’t match your Airbnb gross — but you’ll find the defensible LTR ceiling for your specific unit.

3. Tighten your tenant screening. A difficult Airbnb guest leaves after two nights. A difficult long-term tenant can stay two years and cost significantly more to exit. The screening stakes are categorically different. For a practical framework on vetting tenants in the HCMC context, see How to Screen Tenants for HCMC Apartments.

4. Register the lease. Under the Vietnam Housing Law 2023 (effective January 1, 2025), residential lease agreements for six months or longer should be registered with the local ward housing authority. Registration protects both parties and is required for proper tax filing under the current VND 200M/year rental income threshold — which doubled from VND 100M as of January 1, 2026 (TPM Tax Agency, 2025). For the full picture on what you owe and when, see the Vietnam Rental Income Tax Guide for Landlords.

Frequently Asked Questions

What exactly does Decision 26/2025 prohibit?

HCMC’s Decision 26/2025 bans the rental of residential condominium apartments for any period under 30 consecutive days (Vietnam Law Magazine, 2025). The ban covers bookings made through Airbnb, Booking.com, Agoda, and direct channels. It doesn’t apply to commercial serviced apartments with hospitality licensing, hotels, or standalone houses.

Can I still list my HCMC apartment on Airbnb after Decision 26/2025?

Yes — with a 30-day minimum stay setting. Airbnb supports monthly and extended-stay bookings, and this remains legal under Decision 26. What you can’t do is accept sub-30-day bookings in a residential apartment building. Switching to monthly minimums keeps your listing visible on the platform while keeping you in compliance.

What are the penalties for ignoring the ban?

Immediate risk comes from your BQL, which can block STR guest access and escalate to ward authorities without waiting for government enforcement. Insurance coverage may be voided for units operating as undeclared commercial accommodation. Administrative fines under Vietnam’s housing regulations apply as enforcement develops — and the trajectory is toward stricter, not looser, enforcement.

Does Decision 26/2025 affect all HCMC districts equally?

The initial named-project list focused on 24 buildings in Districts 1, Binh Thanh, Thu Duc, and District 7 — where STR density was highest. The regulation applies citywide to all residential apartments, but enforcement priority tracks where complaints originate. Buildings with active BQLs and vocal resident associations face earlier enforcement regardless of district.

What’s the best legal income strategy after the STR ban?

Corporate housing for expat tenants is the highest-returning compliant strategy for well-furnished, well-located units: 6–12 month leases at 15–25% above standard LTR rates, with a creditworthy company as the tenant. For landlords who want to stay on rental platforms, 30-day minimum stays recover 20–40% of the STR premium while keeping the listing active and the operation legal.

The Bottom Line

Decision 26/2025 closes an income model that was running on regulatory tolerance, not legal footing. The transition is real — no compliant strategy fully replicates peak STR returns. But the alternatives aren’t bad. Corporate housing, 30-day minimum stays, and furnished long-term leases each recover meaningful portions of the income gap while eliminating the legal exposure, the management intensity, and the insurance risk that came with platform STR.

Key takeaways:

• Decision 26/2025 bans residential apartment rentals under 30 consecutive days in HCMC
• 8,740 apartments across 24 named projects are directly in scope; the list isn’t exhaustive
• 0% of prior Airbnb hosts in HCMC held valid short-term rental licenses
• The strongest legal alternative for well-furnished units is corporate housing (15–25% LTR premium)
• Enforcement is uneven now but the direction is consistent — BQL action can precede government fines

For property managers supporting landlords through this shift: the conversation isn’t about loss — it’s about replacing volatile STR income with stable managed income. That’s a defensible pitch with any landlord who’s thought seriously about where enforcement is heading.

Continue Reading

Leasing:

• Tenant Screening for HCMC Apartments
• Managing Corporate Expat Tenants in HCMC
• How to Reduce Vacancy in HCMC Rental Properties

Market Intelligence:

• HCMC District-by-District Rental Guide: Yields and Tenant Profiles
• Ho Chi Minh City Real Estate Market 2026

Finance:

• Vietnam Rental Income Tax Guide for Landlords
• Rental Yield Calculator Vietnam

Tools:

• Hausive — property management software for Vietnam