Housing is always a critical problem for cities in general and Hanoi in particular, where the urbanization process is swift. During the period before 1988 (The Soviet financial assistance) there were 3 sectors of housing supply in Vietnam: the private, the public, and the informal sectors, but the public sector played the central role in the construction and provision of housing production. The housing policy was heavily subsidized. The Government has distributed housing in kind, which includes infrastructure system, public facilities… Housing delivery and standards were mainly based on salary levels and occupation. The housing rent was not enough even for small maintenance. It did not reflect the true cost of the buildings, including the cost of land, depreciation, operation and maintenance, interest, etc. Every year (before 1988) the Government had a certain investment for housing according to the national budget. But because of the lack of finance and the heavily subsidized policy, the Government supply never met satisfactorily the needs and the demand of the citizens. In Hanoi, a large number of residents do not have adequate housing. There is always a housing shortage and the average dwelling area per person is only 5m.