Cambodia is one of the Southeast Asian Nation (ASEAN) countries in the tropical area covering 181,035 square kilometers (69,898 square miles). The country’s geography, tourism, natural resources, and economic growth are key factors to invest in many sectors, especially the growing real estate. The following are the advantages that guarantee the secure investment.

Natural Disaster Free Zone

The Cambodian geological area is a gift for escaping highly damaging disasters. Cambodian people never heard of earthquakes, volcanic eruptions, tsunami, tropical storms, winter storms, tornadoes, hail storms, drought, and frost. This unique benefit attracts tourists and investment to the country. The weather is neither too cool nor too hot. The environment makes people feel relaxed to live.

Tourism Potential

Cambodia coastal areas are perfect for trading and tourism. The Kingdom has one international port in Preah Sihanouk province for importing and exporting products from and to the world.

Many beautiful beaches for tourists can be visited in Preah Sihanouk, Kampot, Kep and Koh Kong provinces.  The country’s coastal length covers 440 kilometers.

According to UNESCO, Cambodia counts three famous cultural destinations listed as World Heritage sites. They are Angkor temples in Siem Reap province listed in 1992, Temple of Preah Vihear in Preah Vihear province in 2008 and Temple Complex of Sambor Prei Kuk, Archaeological Site of Ancient Ishanapura in 2017.

As a result, international tourist arrivals to Cambodia in 2016 amounted to 5,011,712. The first four months in 2017 counts 1,915,812 foreign visitors, according to Tourism Statistics Report.

Economic Growth

Cambodia keeps its GDP growing by 7.1 % in 2017 and estimated to remain the same next year, according to Asian Development Bank. The growth data has been similar since 2012, thanks to political stability and peace in the Kingdom.

Currency

The national currency of Cambodia is Riel (1$ = 4,000 Riels). However, American dollars are accepted virtually everywhere in the country. This will make it easier for foreign investment.

Real Estate Market

1. Land market prices

1.1. Residential

The average price is 2,913 USD per square meter. The monthly rental fee is 1,553 USD. The income tax is 14.00 %. And there are three types of price category: affordable (average 1,500 USD per square meter), mid-range (average 2,700 USD per square meter) and high-end (average 3,200 USD per square meter), according to Global Property Guide.

1.2. Commercial

​​- Rental Income: The average income rental yield from 5% to 8%. 

- Transaction Costs: The total of transaction costs is about 7.4% to 8%. The costs include real estate agent (3%) and transfer (4%) and another admin cost 1,300 USD.

2. Property Ownership    

Land ownership is against the Constitution and is still out of the question. Foreigners are now allowed to own apartments and condominium units, but not land, and therefore not the first floor of buildings, according to Cambodian law in May 2010. Cambodia distinguishes between “Apartment “and “Flat”. Apartment refers to a non-landed housing unit in a building or known as condominiums, while “Flat” is shop house, land property and with the ground floor.

Land can, however, be held by foreigners on long (renewable) leases and through majority locally-owned companies incorporated in Cambodia.

Provincial name list in Cambodia

This provincial division in Cambodia is classified as follows: