LAND VALUATION BEFORE LAND SUBDIVISION: WHY IS IT NECESSARY?

28-10-2025

In 2025, land subdivision continues to attract strong attention from residents, investors and businesses as demand for transfer, gifting and asset division increases. However, regulations on minimum area, procedures and documentation have introduced many new points under the 2024 Land Law. Without proper understanding, applications may be returned or rejected. This article from Hoang Quan Appraisal helps you fully update the 2025 regulations on subdividing residential and agricultural land, while providing guidance on land valuation before subdivision to ensure optimal value and legal compliance.

Land subdivision continues to attract strong attention from residents, investors and businesses

What is land subdivision? When is land subdivision permitted?

Land subdivision is the process of dividing a land parcel that has been granted a Land Use Rights Certificate (Red Book) into two or more smaller parcels based on the land user’s needs. This procedure is common when parents divide land for children, sell part of a property or prepare for investment projects or residential planning.

According to Article 190 of the 2024 Land Law, land users are entitled to subdivide land if the parcel:

  • Has a valid Land Use Rights Certificate.

  • Is not subject to planning, seizure or disputes.

  • Meets the minimum subdivision area prescribed by each province.

Note: Land subdivision not only optimizes land use value but also facilitates transfer, mortgage or issuance of separate certificates.

Regulations on subdividing residential and agricultural land in 2025

From January 1, 2025, the 2024 Land Law officially takes effect, clearly defining conditions and minimum areas for land subdivision.

For residential land:

  • Urban areas: minimum area from 40 – 60 m², minimum frontage of 3 – 4 m.

  • Rural areas: minimum area from 80 – 100 m², depending on locality.

For agricultural land:

  • Perennial crop land and rice land must reach 500 – 1,000 m² after subdivision.

  • Newly formed parcels must comply with land-use planning.

In addition, subdivision must ensure lawful access roads and technical infrastructure connectivity, avoiding “landlocked” or unusable parcels.

Regulations on subdividing residential and agricultural land in 2025

Land subdivision procedures in 2025: Required documents & detailed process

To carry out land subdivision, applicants must prepare complete and valid documents and submit them to the district-level Land Registration Office or the commune-level People’s Committee (where no Land Registration Office exists).

Required documents:

  • Application for land subdivision (Form No. 11/ĐK).

  • Original Land Use Rights Certificate.

  • Copies of ID card/Citizen ID and household registration.

  • Written agreement on division (in case of co-ownership).

Subdivision process:

  • Submit the application and wait for land measurement and on-site inspection.

  • The Land Registration Office updates records and new parcel information.

  • Receive new Red Books after completing financial obligations.

Processing time: approximately 15 – 20 working days.

Cases where land subdivision is not permitted

Not all land parcels are eligible for subdivision. According to Article 75 of Decree 43/2014/NĐ-CP (amended and supplemented in 2024), cases where land subdivision is not permitted in 2025 include:

  • Land under dispute, subject to enforcement seizure or undergoing administrative violation handling.

  • Land located in land-use planning areas, residential planning zones, protected corridors for public works, irrigation, transportation or historical–cultural relics.

  • Land parcels failing to meet minimum area requirements after subdivision as prescribed by each province or city.

  • Land without a valid Land Use Rights Certificate or land mortgaged but not yet released by banks.

  • Land used for improper purposes, inconsistent with approved planning or belonging to projects with incomplete technical infrastructure.

Therefore, before preparing a subdivision application, land users should carefully verify planning information, legal status and actual area to avoid application rejection or unnecessary costs.

Cases where land subdivision is not permitted

Minimum area for subdividing rural residential & agricultural land

Many people ask: “What is the minimum area for subdividing agricultural land?”

According to guidance from the Ministry of Natural Resources and Environment, the minimum area depends on land type and locality:

  • Agricultural land for perennial crops: 500 m² or more.

  • Rice land and aquaculture land: from 1,000 m².

  • Rural residential land: minimum 80 m² with a minimum frontage of 5 m.

Compliance with these requirements ensures eligibility for issuing new certificates and avoids planning violations.

If your land does not meet subdivision requirements, you may consider merging with adjacent land or converting land use to residential land to qualify.

Subdivision procedures for gifting land to children, land with houses and project land

  • Subdivision for gifting land to children: Parents must execute a notarized land use rights gift contract. The recipient then proceeds with subdivision and title transfer.

  • Subdivision of land with existing houses: Land must be re-measured to ensure house boundaries do not overlap and the new parcel qualifies for certification.

  • Subdivision within projects: Permitted only after the investor completes technical infrastructure in accordance with approved 1/500 planning.

Land valuation – An indispensable step before land subdivision

Land subdivision is not merely an administrative procedure but also a process of reassessing the asset’s true value. Conducting land valuation before subdivision helps ensure fair asset division, reasonable pricing for sale, and accurate completion of legal, tax and banking documentation.

As land prices fluctuate daily due to market changes and planning adjustments, an accurate valuation report helps mitigate mispricing risks, protect legal rights and shorten processing time.

Hoang Quan Appraisal – licensed by the Ministry of Finance – is a leading and trusted partner in land valuation services for subdivision, transfer, mortgage and project investment.

Land valuation – An indispensable step before land subdivision

We commit to providing clients with:

  • Transparent pricing and fast results within 24 hours.

  • Valuation reports meeting legal standards and recognized by banks and State authorities.

  • Free consultation on the latest local subdivision regulations and guidance on completing valid documentation.

  • Professional valuation processes, optimized costs, and absolute accuracy.

Contact Hoang Quan Appraisal now for a free quotation and 1-on-1 consultation with our specialists:

Hoang Quan Appraisal Co., Ltd.

Conclusion

Land subdivision is an important step for asset management, transfer, or lawful gifting, but it requires a clear understanding of regulations, minimum area requirements, and legal documentation. Accurate land valuation not only helps save costs but also ensures faster application approval.

Hoang Quan Appraisal – a reputable firm licensed by the Ministry of Finance – is ready to support fast, accurate, and fully compliant land valuation services for subdivision. Contact us today for free consultation and the best quotation!


Đánh giá: 5.0 /5 (2 phiếu)

Hoang Quan Appraisal Company Limited
-

Related article

Send request a quote

Please share with us some of your information, we will contact you upon request

Hoang Quan Appraisal Company Limited

Address: 74 Tran Huy Lieu, Phu Nhuan Ward, Ho Chi Minh City

Email: contact@sunvalue.vn

Phone: 0934 252 707

Contact for cooperation: 0938 304 843

Business License No.: 0302659127 Cấp ngày: 28/06/2002 - Sở Kế Hoạch & Đầu tư TP. HCM

hotline zalo facebook