ADVANTAGES AND DISADVANTAGES OF BUYING AND SELLING REAL ESTATE AND CARS WITHOUT NOTARIZATION AND MARITAL STATUS CERTIFICATION

The Ministry of Public Security is currently drafting a Resolution proposing the removal of notarization procedures and marital status certification in transactions involving the purchase, transfer, donation, mortgage, and inheritance of land use rights, as well as transactions for the purchase and transfer of ownership of motor vehicles, provided that the relevant information has been fully digitized and authenticated in the National Databases.

Accordingly, instead of notarizing contracts or presenting certificates of single status, parties will be able to conduct transactions directly based on electronic data managed by:

·         The National Population Database (verification of personal identity, marital status, place of residence, etc.);

·         The Electronic Civil Status Database (marriage registration, divorce, birth, death, etc.);

·         The Land Database;

·         The Motor Vehicle Registration and Management Database;

·         The VNeID application and other high-level electronic authentication platforms.

This proposal represents an important step forward in administrative digital transformation, aiming to reduce paperwork and procedures while enhancing transparency and convenience for citizens.

This raises the question: What are the advantages and disadvantages of buying and selling real estate and cars when notarization and marital status certification are removed?

1. Advantages of removing notarization and marital status certification

a. Reduction of administrative procedures, saving time and costs

Citizens will no longer need to visit notary offices or commune/ward People’s Committees to obtain certificates of single status or to notarize contracts.

Verification will be carried out automatically through electronic systems, helping to:

• Shorten transaction processing time;
• Reduce costs related to notarization, certification, and travel;
• Minimize “ask–give” practices, delays, and administrative overload.

b. Improved accuracy and transparency of information

Authorities can cross-check and authenticate information directly through digitized data systems such as VNeID or the National Population Database, thereby:

• Eliminating risks of forged documents and contracts;
• Ensuring that seller and buyer information is genuine and lawful;
• Reducing disputes arising from the use of falsified documents or inaccurate information.

c. Contribution to national digital transformation

The use of unified electronic data reflects a strong shift toward electronic administration and paperless transactions.

This also serves as a foundation for implementing Level-4 online public services, creating a favorable legal environment for the development of digital government and the digital economy.

d. Greater flexibility and convenience for citizens and businesses

Citizens, including those residing abroad, can conduct transactions remotely, authenticate online, and sign electronic contracts without physical presence, thereby saving time and resources.

2. Disadvantages and potential risks

a. Risk of errors and lack of data synchronization

At present, national databases are not fully synchronized. If personal data (such as marital status or property ownership) has not been accurately updated, the removal of notarization may:

• Lead to incorrect or invalid transactions due to inaccurate information;
• Increase the risk of disputes where one party’s rights are not adequately protected.

b. Legal risks due to the absence of an independent verification intermediary

Currently, notaries serve as independent intermediaries who verify voluntary intent, civil capacity, and the legality of transactions. If notarization is removed, individuals will bear full responsibility for the content and legal consequences of their transactions, making dispute resolution and evidentiary proof more complex when conflicts arise.

c. Personal data security concerns

The exchange and extraction of data via online systems require high-level cybersecurity and electronic authentication. In cases of data leakage, impersonation, or unauthorized access, individuals may face serious consequences due to exposure of personal and asset-related information.

d. Traditional reliance on paper-based documentation

A large portion of the population, especially in rural areas, is not yet familiar with electronic transactions. Completely removing notarization and paper-based certification may cause confusion, hesitation, or procedural errors among users.

3. Recommendations and directions for improvement

• National databases should be fully completed and synchronized before large-scale implementation.
• Pilot implementation may be conducted in localities with well-developed digital infrastructure, such as Ho Chi Minh City, Hanoi, and Da Nang.
• A legal framework for electronic authentication equivalent to notarization should be established, such as digital signatures and electronic contracts with national identification codes.
• Data security should be strengthened, alongside training and guidance for citizens on the use of online public services.

4. Conclusion

The removal of notarization and marital status certification in real estate and car transactions is an inevitable step in the digital transformation process, contributing to simplified administrative procedures, cost savings, and enhanced transparency. However, to ensure citizens’ rights and legal safety, the State must complete data infrastructure, strengthen information security, and establish reliable electronic authentication mechanisms before officially applying this policy on a wide scale.