Phnom Penh’s condo market has been volatile and in a bubbly phase, mainly due to speculation and high supply. ...Read more
Phnom Penh’s condo market has been volatile and in a bubbly phase, mainly due to speculation and high supply.
Read lessAngkor Times Latest Questions
Australians are treated in the same way as other foreigners and have no issues buying strata-titled (condominium) units without the need of setting up holding companies or to partner with local nominees. Read more
Australians are treated in the same way as other foreigners and have no issues buying strata-titled (condominium) units without the need of setting up holding companies or to partner with local nominees.
Read less(All money in USD) Stevo and I earn less than $35,000 combined annually. We recently moved to a 1-bedroom apartment in a western-style building east of the Russian Market, one of the more popular expat areas. For us, the cost of ...Read more
(All money in USD) Stevo and I earn less than $35,000 combined annually. We recently moved to a 1-bedroom apartment in a western-style building east of the Russian Market, one of the more popular expat areas.
For us, the cost of living in Cambodia is pretty cheap. We only pay $400 per month in rent (including utilities) plus $50-$80/month for electricity. Our rent includes housekeepers who come twice a week.
Previously we lived in a 3-bedroom Cambodian style apartment for $350 per month on the west side of the Russian Market. There we paid $75-100 for utilities (trash collection, internet, water, electricity) and $40 for a housekeeper who came twice per week.
We eat at restaurants about four to five times per week ($5-15 per meal for two). Cooking a majority of our meals at home with produce bought from a local outdoor market in Phnom Penh and meat from “western-style” grocers helps to keep our cost of living in Cambodia down.
We go to events around the city several nights per week. We both go to a gym in Phnom Penh. Stevo does cross-fit , and I do yoga . If you’re looking for a cinema, Phnom Penh has many to offer. From laidback independent movie houses to one of the few 4DX screens in the world, you’ll definitely be able to get your movie fix.
Because of the cheap cost of living in Cambodia, we can afford to travel around Cambodia about once per month to Kampot, Sihanoukville, Siem Reap, and other provinces in Cambodia.
We have taken trips around the region to Thailand Myanmar Vietnam Malaysia , the Philippines Singapore Taiwan , and Laos , and are planning for more international travel.
We live better and feel happier than we did back in our hometown in southern California. Our life in Phnom Penh is simple, fulfilling, and never dull.
Eating deep-fried tarantulas, some of the best food in Phnom Penh, at Romdeng , one of our favorite restaurants.
What is the Real Cost of Living in Cambodia?
Source: twocantravel.com
Read lessPhnom Penh is divided into districts. A majority of expats live in BKK 1, 2 or 3, Russian Market, or by the Riverside. BKK 1 and 2 tend to be more expensive with restaurants, bars, and shops geared toward expats. ...Read more
Phnom Penh is divided into districts. A majority of expats live in BKK 1, 2 or 3, Russian Market, or by the Riverside. BKK 1 and 2 tend to be more expensive with restaurants, bars, and shops geared toward expats. BKK 3 (near the Tuol Sleng Genocide Museum) and the Russian Market have a good blend of western and local amenities.
The Riverside area tends to be crowded with tourists and can feel seedy due to the lady bars and nightclubs in the area. However, it is close to many restaurants, shops, and attractive tourist sites.
Another area of the city growing in popularity with expats is Tuol Kork, located 20-30 minutes from downtown. Phnom Penh is expanding outward, and the further outside the city center you go, the lower your cost of living in Cambodia is going to be.
Read lessBuying Property in Cambodia: The Definitive Guide Do you plan to buy property in Cambodia? It’s also the last frontier country in Southeast Asia where it’s comparatively easy to start a business. With that said, being a developing country, things are done differently ...Read more
Buying Property in Cambodia: The Definitive Guide
Do you plan to buy property in Cambodia?
It’s also the last frontier country in Southeast Asia where it’s comparatively easy to start a business.
With that said, being a developing country, things are done differently compared to what many foreigners are used to.
Before you engage in Cambodia’s property market, it’s important that you learn about ownership regulations, property options available, where you should buy property, and more.
Source: asiapropertyhq.com
Can foreigners buy property in Cambodia?
Cambodia’s property ownership regulations are similar to those in Thailand and many other Southeast Asian countries. Here, foreigners can only get freehold ownership of strata-titled properties (mostly condos) and aren’t allowed to own land.
Similar regulations apply in the Philippines, Vietnam, and Thailand, just to give you some examples. As read in Article 16, “Amended Law on Investment”, persons with Cambodian citizenship or Cambodian entities have legal rights to own land.
It’s simple as that. But there are ways for foreigners to buy and at least control land.
Source: asiapropertyhq.com
Buying Land in Cambodia
You can buy land in four different ways in Cambodia. The process is not risk-free, nor easy if you’ve never engaged in the Cambodian property market.
Therefore, I highly recommend you to hire a reputable property lawyer and real estate agent earliest possible that can guide you through the buying process.
Let’s look at the four different options you have when buying land as a foreigner.
Source: asiapropertyhq.com
1. Buying Land Through a Cambodian Company
This is probably the safest option to buy land in Cambodia. It’s recommended in many other countries, including Indonesia . Bear in mind that the process to set up a company does require a bit of capital and time.
As foreigners can only own 49% of company shares, assure that you set up the company with partners you trust.
Despite being a minority shareholder of the company, you will be able to control the ownership of the property by using different contractual setups.
It’s crucial to do due diligence and appoint a property lawyer to help you through the process.
Source: asiapropertyhq.com
2. Setting up a Leasehold Agreement
Foreign investors can lease land for a period of 15 to 50 years.
Sometimes, you’ll be able to extend the lease up to 50 years. If the state owns the land, the maximum lease period is 40 years.
Keep in mind, one of the most important tasks to manage before entering a leasehold agreement with a landowner is to check the title.
The title includes information about:
Your rights to control the property
Your rights to sell or rent out the property
If there are any encumbrances or mortgages since previous ownership
Source: asiapropertyhq.com
Read lessIf you’re tired of spending everything you earn on the monthly bills, you could chop them by a huge percentage if you went to live in Cambodia. How do these expenses for living in Cambodia compare to yours? A 2-bedroom apartment with ...Read more
If you’re tired of spending everything you earn on the monthly bills, you could chop them by a huge percentage if you went to live in Cambodia.
How do these expenses for living in Cambodia compare to yours?
A 2-bedroom apartment with a pool in the capital city for $500, a $5 massage for an hour, a full-time nanny or housekeeper for $120 a month, meals out for $2, taxis for a dollar or two.
A while back I put out a book on cutting your expenses in half by moving abroad Get it here ) In the course of that, I interviewed loads of expats living in different countries. If you pinned me to the wall and said I had to tell you which country was the absolute cheapest place to live in Southeast Asia, Cambodia would be the answer. It’s one of the cheapest places to live in the world really, edged out by just a few. If you’re earning a couple grand in passive income, this could be your spot for a four hour work week
Read less1. Long Term –> Agriculture If your strategy is to play long term, and create assets that are valuable for the next 50 years, look towards agriculture. its an easy win. Farming is largely backed by government support, and everyone seems ...Read more
1. Long Term –> Agriculture If your strategy is to play long term, and create assets that are valuable for the next 50 years, look towards agriculture. its an easy win.
Farming is largely backed by government support, and everyone seems to realize this is an important sector for the country.
Cambodia in 2012 received its FIRST order of rice from China, and it won’t be China’s last order of rice from Cambodia. Jim Rogers has stated that if you want to be rich “become a Chinese farmer.” Better yet, don’t become a Chinese farmer and start a business in a communist country – start an agriculture business, and sell the rice to the Chinese from right next door.
Cambodia is well positioned to be the agricultural hotbed of southeast Asia . As Vietnam, China and Thailand race towards development, a growing population and rising middle class will demand more protein. Food, in general, will see a massive increase in demand, and decrease in supply in the 21st century. Cambodia and Myanmar are strategically positioned to start an agriculture business.
2. Short Term Tourism
Tourism on the southern beaches could absolutely explode in coming years. A spillover from the overcrowded Thai tourism market is inevitable, and Cambodia has pristine beaches that rival any in neighboring Siam.
Tourism has been growing over 10% YOY in Cambodia.
2.8 million tourists visited Cambodia in 2011
12 percent more than the 2.5 million arrivals in 2010.
Compare this to the 15 million tourists that visited Thailand in 2011 , 55% of which were return tourists.
“Officials believe that international arrivals will reach 4.5 million by 2015 and 7 million by 2020” source , It is clear that the trend in UP for tourism, and there is still amazing beachfront plots available. Instead of wasting your money in Phuket , why not spring next door to the next Phuket.
Foreigners can’t own the ground floor of a building but are free to buy condos and other real estates, but it can if you get a passport… 3. Wildcard Investment –> Cambodian Citizenship Alternatively, if you have the cash and want to make a run at it, you might seriously consider a citizenship by investment, or even set up some sort of program that provides this service to others.
As it stands, the total cost of this citizenship will run you about $200,000.
Source: flagtheory.com
Read lessWant a 2nd passport? You can get a legit Cambodian citizenship and 2nd passport. It’s also a great place to form a company and start a business, and here’s why… Most wanderers who finally make it to Cambodia have a truly peripatetic ...Read more
Want a 2nd passport?
You can get a legit Cambodian citizenship and 2nd passport.
It’s also a great place to form a company and start a business, and here’s why… Most wanderers who finally make it to Cambodia have a truly peripatetic perspective. Unlike Thailand to the west, the country really is undiscovered.
SE Asia’s best kept secret – Cambodia is rarely the first stop for a traveler to Asia, that’s far more likely to be Toyko, Bangkok, Hong Kong or Singapore – not Phnom Phen . Most people don’t know about it, many that do wrongly assume there is nothing there.
But it is the false pretense that there is ‘nothing there’, which makes business opportunities ripe for the picking.
But Cambodia is a gem.
From the ancient temples at Ankor Wat in Siem Riep, to the seaside province of Sihanoukville; Cambodia is full of Exotic Experiences, Polite People, and Interesting Investments. Also, its the only SE Asian country you can get a passport, and whereas it would take over 10 years to get citizenship in Thailand (and probably never happen anyway) its possible to get a legit citizenship in less than a 4 months in Cambodia.
Source: flagtheory.com
Read lessAs you already understood the best way to have a high income is to buy a property, but can a non-resident or a foreigner buy a property in Cambodia and make money? Cambodia not only allows foreign investment, but also encourages ...Read more
As you already understood the best way to have a high income is to buy a property, but can a non-resident or a foreigner buy a property in Cambodia and make money?
Cambodia not only allows foreign investment, but also encourages them, perhaps more than anywhere else in Southeast Asia. Creating almost any type of business with 100 percent foreign ownership is easy.
An annual multiple entry visa costs $ 250 and is issued in a few days. Staying in Cambodia with a long-term visa is simple and cost-effective. For property buyers, foreigners may be entitled to own condominium apartments on their own behalf. The general consensus is that new condominium buildings are overrated.
You can often find the best deals in old apartment shops left over from colonial times. Land with development potential is also promising for active investors. However, for these two types of real estate, everything is becoming more difficult, since foreigners cannot directly own anything other than a condominium.
A land holding is more legally protected, but requires annual license fees and monthly tax returns. Profits can be worth the extra effort and expense if you buy property on a larger scale in Cambodia.
In addition to title rights, another feature on the Cambodian real estate market is the distinction between “hard rights” and “soft rights”. Both grant you the legal status of unconditional ownership and must belong to either a Cambodian person or a Cambodian company.
“Hard rights” are registered through the land registry of the national government and give property owners an undeniable right. Soft Rights are instead registered through the local government. “Soft”, at least theoretically, are not as iron as “hard.” In fact, more than 90 percent of real estate in Cambodia belong to “soft rights.” And they serve as legal, government-recognized proof of ownership. Soft are strong enough. Therefore, almost any local bank will accept them as collateral for a secured loan.
Most Cambodians even prefer soft-property because the transfer fee is much lower.
Not only this, but also the local government spends much less time processing information than the national government. Everything can be solved in a few days, not months – which makes life especially easy.
With that said, due diligence is a good idea. Real estate investors often hire a lawyer. To talk with neighbors, view the land registry. And make sure that the seller of real estate with “soft law” is truly the true owner and does not have burdens.
Source: adamfayed.com
Read lessAs mentioned at the start of this article, the risks of investing in Cambodian property are too high for most people. But what are the arguments in favour of doing so? Well historically, countries at the crossroads of economic routes have ...Read more
As mentioned at the start of this article, the risks of investing in Cambodian property are too high for most people.
But what are the arguments in favour of doing so? Well historically, countries at the crossroads of economic routes have always been in a favorable position.
Cambodia is located at the crossroads of the economic flow of neighboring Thailand, and the developed trade through the Gulf of Thailand makes it a connecting country between fast-growing China and India.
Since 2004, Cambodia has been a member of the World Trade Organization (WTO) and the Association of Southeast Asian Nations (ASEAN). This provides privileged access to key markets in the USA, Korea and Europe.
Prime Minister Hun Sen has served in his post for over 30 years and retains significant support from a large network of business leaders in the region thanks to the strong economic growth of the Kingdom and its management of the national and military police.
Stable domestic policies influence the formation of a new middle class, which strives for urban centers. According to a study by Realestate.com.kh, in 2016, 79% of Cambodians expressed confidence in the purchase of real estate over the next several years.
Foreign agencies with a name on the real estate market have an important role in the urbanization process.
Therefore, the government is trying to create a stable favorable environment for foreign investors: 100% ownership of the company, except for land (rent for 99 years); creating incentives for investment; easy account opening and profit repatriation.
In addition to low land and labor prices, tax benefits, lower cost of living, investors are also attracted by the growing popularity of Cambodia as a tourist destination. Together with progressive urbanization, it raises the speed of infrastructure development to a new level.
Why is it important for real estate? The development of infrastructure in the conditions of the tourist flow multiplies development options in different directions and the emergence of new types of property and the improvement of existing ones: from the condominium to traditional Khmer wooden houses.
Along with nature, which makes the country a popular center for beach holidays, the rich cultural heritage of the Kingdom is also an enduring factor in attracting tourists.
The title of the world’s main tourist attraction, given in 2015 to the temples of the Angkor Wat Temples in Siem Reap (under the protection of UNESCO) caused a real tourist boom in Cambodia.
There are currently three operating international airports in Cambodia. The number of arrivals at the moment has already reached the figure of 5 million.
For neighboring Asian countries where gambling is prohibited, casinos are also particularly attractive. There are 60 of them in Cambodia.
Another 150 are planned to be built. Together with the development of various services for recreation and entertainment, this can earn Cambodia the status of the second Macau.
Options of investments.
What kinds of investments are available if you want to invest in Cambodia?
Long-term investment → Agriculture
If you have chosen a long-term investment strategy and want to create assets that will have value over the next 50 years, then you could look towards agriculture. Farming is widely supported by the government, so everyone wants to participate in this sector that is important for the country. In 2012, Cambodia received from China its FIRST order for the supply of rice. Jim Rogers argued that if you want to become rich, “become a Chinese farmer.” But even better, do not become a Chinese farmer and do not open your own business in a communist country, start an agricultural business and sell your rice to neighboring China. Cambodia is well positioned as an agricultural center in Southeast Asia. With the growth of economic development, an increase in population and middle class, Vietnam, China and Thailand need more food. In the 21st century, the general demand for food increased at times, but supply fell. Cambodia and Myanmar are strategically committed to running this business.
Short-term investments → Tourism
In the coming years, tourism on the southeast coast will develop rapidly, unless the coronavirus will change the equation for the long-term. The Thai tourist market is already very crowded, and in Cambodia there are pristine beaches that can compete with any Siamese. Cambodia’s annual tourism growth exceeded 10%. In 2011, 2.8 million tourists visited Cambodia, which is 12% more than in 2010 – 2.5 million. Compare this data with 15 million tourists who visited Thailand, with 55% of them were those who returned home. The authorities are confident that by 2014 the number of international tourists will increase to 4 million, and by 2020 – up to 7 million. Obviously, tourism is on the rise, and there are so many amazing desert beaches ready to use. Instead of spending your money in Phuket, why not invest it in opening your own Phuket. Foreigners cannot own land, but can buy apartments or other real estate. True, a passport is required for this.
Portfolio investments → Cambodian passports
In addition, if you have cash and you want to put it into business, then you should think about obtaining citizenship by investment. Now the average cost of citizenship is about $ 75,000, which is much more profitable than obtaining citizenship in the Dominican Republic – $ 95.00 (this is per person, and an additional $ 120,000 per family) or in Saint Kitts and Nevis (where this process is based real estate investment), where you pay over $ 500,000, including taxes. Among other things, a Cambodian passport will give you visa-free access to all ASEAN countries. Cambodia’s passport can be obtained without any problems through investing in the country. In many cases, this will be a slightly gray passport, so you need to be sure of the people you will contact.
Condominiums → Apartment investments
In recent years, the most profitable and reliable investment destination in Cambodia remains an apartment in a condominium. Condominiums are, as a rule, newly built high-rise buildings, fully equipped for housing. Condominium apartments are usually privately owned. The wide distribution of this type of housing gives freedom in choosing a district. From sleeping, far from tourist centres to the most streaming. However, there are concerns that the property market will collapse and that a bubble has been caused by the recent explosion in prices.
Source: adamfayed.com
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