Cambodia’s construction has continued unabated for at least the past four years, attracting the attention of residential investors. Even considering the supply chain disruptions caused by Covid-19, real estate services firm CBRE plans to increase condominium supplies by 34% this year. The firm expects to complete a total of 28,000 units by the end of the year, exceeding the current supply of 21,000 units as of Q2.
In the opinion of Reid Kirchenbauer, founder of Asian property, it is one of the best ways to benefit from Cambodia’s “unprecedented” economic growth since the Khmer Rouge was cut off more than 20 years ago.
Over the past decade, foreign investment activity in Cambodia has increased by more than 800%. Multinational firms with their workforce have raised the need for adequate housing to start work in the capital, Phnom Penh, and have boosted the interest of property investors.
While K chner Bauer agrees that there are “definitely opportunities” especially in the inner core Phnom Penh districts such as Dawn Penn, Chamkarmon and 7 Makara – he acknowledges that some investors are interested in the project. Have been burned due to incomplete or insufficient material use, and emphasize its importance.
The economic recovery for Real Estate Cambodia has started positively, with investors returning to Sihanoukville. While global travel bans are being delayed, it seems that international interest has begun to return.
Investors can also count on the Cambodian government’s efforts to improve the construction quality of new projects. While rents have eased since the epidemic, Hodge says investors can still expect a 5.5-6% return on standard condos in good condition.
Although modern condoms have to go through a rigorous review system before they can be sold, Hodge advises buyers to check the credentials of a project thoroughly. For example, a fire safety that does not comply with international standards such as the US, Hong Kong or Singapore codes can be a breach of contract if you are expecting a tenant of this level.
For any investor, the most painful task is to find the right investment option and invest in it. There are many investment options available. Important thing is to find the perfect one.
Aside from the investment options, the most important thing is space. The return on a particular investment option will vary from country to country. Taking the example of real estate. The return you receive will vary by country. Investing in Cambodia real estate market of a country with poor property and economic market performance will not give you a good return. Instead, you should invest in the country with continued economic growth and better performance of the property market.
Investment in Cambodia has attractive laws and a working young population. However, there are still some risks to consider when planning an investment.
1.Reduction of export goods due to possible suspension of EBA scheme.
2. European countries receive 2/4 of all exported goods. Losing duty-free and quota-free access can result in lower export volumes.
3. The finance sector invests heavily in construction. This is a direct result of the Belt and Road Initiative.
The declining trend in the tourism sector could mean a decline in real estate projects. As a result, the value of financial sector investment may decrease. A slight slowdown in the Chinese economy will have a significant impact on Cambodia’s own development.
In this article, talk about whether Cambodia is a good place to invest. Cambodia Real Estate is the country that went through the Great Depression of 2000 and 2007 successfully.
Did you know that it is the sixth fastest growing country in the world?
At that time almost all the countries of the world were affected. Countries around the world were struggling with the economic downturn, while Cambodia was doing very well. Over the past decade, Cambodia has managed to maintain its GDP growth.
As the country’s economy grows, more and more investors are showing interest in Investing in Cambodia. FDI in Cambodia has increased by more than 800% in the last 10 years. From these statistics, we can say that Cambodia could be a great country for investment.
Here are some reasons you should consider investing in Real Estate Cambodia:
No Visa Restrictions
The first and foremost reason why most investors are attracted to Invest in Cambodia is that there are no visa restrictions. It is easy to get a visa in Cambodia. Depending on your nationality, you can get a free tourist visa for 14 to 30 days.
No Need to Change Citizenship
Depending on the country, there are different rules for investing. Some countries require investors to change their citizenship in order to invest in Cambodia Real Estate. Speaking of Cambodia, this is not the case. To enter business or real estate, you do not need to change your citizenship. As a foreigner, you can buy property in Cambodia through the Strata title or through the designated structure.
Strong GDP Growth
GDP is an important parameter to measure the economic growth of any country. Cambodia’s strong GDP growth over the past several years is one of the reasons it has attracted investors. In Cambodia, the textile and tourism industries play a major role in GDP. The country has been earning an average of 7% of GDP since 2011.
Increasing Property Prices
If you are thinking of investing in the property market, Cambodia may be the best country for you. First of all, you don’t have to change your citizenship to do this. And another reason is the constant rise in property prices. The Cambodian real estate market has been booming since the passage of the Foreign Property Law in April 2010.
Therefore, Cambodia is a safe country for investment. It is ideal for business as well as real estate investing. With rising land prices, investing in the Cambodian property market can help you make better profits. Sihanoukville and Phnom Penh are Cambodia’s top cities in the property market. Therefore, you can invest in Sihanoukville real estate or Phnom Penh real estate.