Residential service fees unrealistic hinh anh 1The My Dinh residential quarter in Hanoi. (Photo: VNA)

Hanoi (VNA) - Service fees at residential buildings in Hanoi, ranging from 700 VND (3 US cents) to 16,500 VND (72 cents) per square metre, under the capital’s newly-issued decision are thought to be unrealistic.

The decision, approved by vice chairman of the capital People’s Committee Nguyen Doan Toan late last week, said that the service fee was 700-5,000 VND (3–22 cents) per square metre in a building without an elevator and 1,200-16,500 VND (5-72 cents) per square metre in a building with elevators.

Service fees exclude fees for swimming pools, saunas, cable television and internet, the decision said.

Nguyen Thanh Hung, deputy head of the Vietnam Building Management Association, told the Thanh Nien (Young People) newspaper that the range for the service fee was not “close” to the current fees in local residential buildings.

In reality, a service fee of 8,000 VND (35 cents) per square metre was often applied in luxurious residential buildings in Hanoi, he said.

For some residential buildings, fees of 10,000 VND (44 cents) per square metre had included fees for swimming pool or gym centre, he said.

According to Hung, only a few residential buildings collected service fees above 15,000 VND (66 cents) per square metre, while most buildings in the city collected service fees under 10,000 VND per square metre.

However, service fees were up to 20,000 VND (88 cents) per square metre in the Indochina Plaza Residential Building in Cau Giay District, but residents are willing to pay the fee because of the good service.

“The above examples show the service fees the city issued does not match with reality and is unnecessary,” he said.

Agreeing with Hung, a real estate expert said the city administration should use the list of residential buildings classified by the Ministry of Construction before issuing service fees.

This would make the service fees closer to the reality, he said.

In response to the complaints, a representative from the construction ministry said the issuing of service fees at residential buildings in Hanoi and other localities came after several residential buildings in Hanoi overcharged, prompting complaints from residents.

Therefore, the administration regulated the highest service fee to fix the problem, he said.

Based on the regulated service fee, managers of residential buildings and residents could decide a suitable fee for both sides, he said.-VNA