The real estate market has had numerous drastic changes to it over the last few years due to the pandemic. While it’s still considered a safe investment, prices have taken a steep downturn for most properties in Cambodia. This means it’s quite a difficult situation to be in if you are a current homeowner or investor. However, if you are only planning to invest in a home to live in it or for property gains, it’s a great time to get a property.
To equip yourself with the right knowledge and make informed decisions, you need to know the current landscape of the real estate market in Cambodia. As such, learning the results of the price trends in the market for the first quarter of 2022 will allow you to determine how the prices will fluctuate for the rest of the year. In line with this, you can read everything you need to know below about price trends.
Price trends per unit for rent
Currently, it’s a buyer’s market in the real estate industry but this doesn’t mean that the number of renters have significantly decreased. As such, the average price value of renting within Cambodia has not seen a remarkable change except for some units as reported by the analysis provided by real estate company realestate.com.kh. See below the reported price differences.
For those who rent two bedroom houses, there hasn’t been much of a change from the average $500 price value since March 2021. While the price increased by 10% to $550 in April 2021, the value quickly reverted back to the original the following month and has since remained the same.
On the other hand, for those who rent three bedroom houses, its rental prices have seen significant volatility since March 2021 where it started at $950 then quickly decreased by 34.74$ at $620 in the following month. While median price value rose again in May and October of the same year, the average price was reduced again in September, and finally in December. Since its last downturn, the median rental value remained the same at $600.
Condominiums & Apartments
One bedroom condos and apartments haven’t seen much change since March 2021 where the average was at $475. Its median value decreased to $350 in September 2021 but in recent months rose up to $425.
For two bedrooms, its median value decreased quickly from $750 in March 2021 to $550 the following month. It remained mostly steady in the following months until November 2021 where it rose to its previous $750 average and has only decreased to $725 in succeeding months.
Meanwhile, three bedroom price values decreased by 50% from the average of $1,200 in March 2021 to $600 in September. However, it went back to the original price in November and rose by 2.08% in February 2022 at $1,225.
Price trends per property for sale
Since most foreign investors stayed off international waters for their investments, the real estate sector in Cambodia has seen a huge number of locals investing in properties. Considering prices have gone down due to the pandemic as well as a shift in target buyers, average prices for most properties have gone up as seen below.
Compared to other property types, there hasn’t been a huge shift to average residential properties since March 2021 up to 2022. At a median value of $151,194 in March of last year, there were small price fluctuations that rose to $170,000 average in September 2021. It increased again 0.98% in February 2022 before returning to the $170,000 average in March 2022.
Among other property types, one of the best selling ones are commercial prices since its fluctuations had an upward trend. Back in March 2021, average values were at $703,000 which quickly decreased by 43.81% at $395,000.
However, the median prices saw a continuous increase and recorded at $885,000 in January 2022. Recently, in March of this year, it saw an increase at $1,100,000. Based on this, an upward trend is to be expected for commercial real estate properties for the rest of the year.
The price value of land has seen a huge increase in average value over the course of 2021 up to 2022. Considering the median price was at $285,000 in March of 2021, it skyrocketed in July of the same year by 387.88% at $878,180. However, it decreased by 55.68% in that September to $380,000 and has remained a bit steady in that price value since. Current average prices of land since February 2022 remained to be $350,000.
Know the real estate market
Making informed decisions after knowing the trends in the real estate market is the best move you can make, especially considering the price volatility due to external factors. However, once you’ve already decided to invest in your next real estate, you can make the process easier for you. All you need to do is contact leading real estate company IPS Cambodia to help you all throughout the process! Start investing now.