Trend of buying property in Cambodia has increased in the recent years. Mainly due to strong economy growth for more than a decade and Cambodia started to allow foreigners to own strata title condominium in 2010.
Cambodia economy growth is expected to stay strong over 6 - 7% in the next few years according to World Bank forecast. In addition, Cambodia integration into the ASEAN Economic Community (AEC) will strengthen investor confidence in the Kingdom and boost the economy growth. As result, this will lead stronger demand from local and overseas in buying property in Cambodia.
Buying property in Cambodia prime location
Choosing the right location is one of the most important factor when you buy property in Cambodia. You must make sure that you are buying in the prime location where reputable companies have established their presence.
The most prime location in Phnom Penh are Russian Boulevard and Chamkarmon district area. Notable names such as Shangri-La, Naga World Casino and Hotel, AEON mall, Sofitel, ANZ bank, Maybank, and many more set up their headquarter here.
Buying property in Cambodia as a foreigner
Starting from April 2010, new law has been passed to allow foreigner own strata title residential/commercial property. Foreigner allow to buy condominium/office space above ground floor.
Foreigner is not allowed to own land, landed property, and ground floor condominium outright. In this case, foreigners allow to own maximum 49% and 51% must be under Cambodian national's name.
Buying property in Cambodia offers great potential return of investment, to minimize the risk, make sure you buy from reputable developer such as Singapore public listed developer.
Type of ownership
Soft title (possessory right) is based on the right of possession and is issued by the local village chief officials.
Hard title is registered with the Land Office, and trumps claims of ownership based on possessory right.
We highly advice you to get your hard title when you buy property in Cambodia to avoid any unnecessary dispute in the future. 4% of property price is payable upon completion of your property to get your hard title.
Buying property in Cambodia offers deferred payment scheme. Low down payment upfront and balance upon completion.
Same as every countries, you need to pay property tax when you buy property in Cambodia. For detail property tax in Cambodia, you can refer to our Cambodia property tax article.
Things to note when buying property in Cambodia
- Location: Buy in the most prime location
- Developer: Buy from reputable developer
- Ownership: Must obtain your hard title
- Payment: Deferred payment scheme