As environmental concerns gain popularity globally, 2023 real estate trends in Cambodia will see a spike in eco-friendly and sustainable building construction. The demand for luxury real estate in Cambodia is anticipated to continue to rise through 2023 and beyond. Growing demand for rental houses is another forecast for the Cambodian real estate market in 2023 and beyond.
The Cambodia's real estate market has grown rapidly over the past ten years. Still, in 2023, it will face challenges from changing global economic conditions, a slowdown in Chinese demand, and an overabundance of new developments. Nevertheless, Positive indicators exist, such as Cambodia's economy's continuous expansion and the government's initiatives to enhance the investment climate. So, it is a good time for buyers to invest in properties such as condos or mid-rise condos as the prices are in their favour.
What Are The Top 6 Reasons To Invest In Phnom Penh Condos?
Phnom Penh anticipates double-digit GDP growth and offers investors a promising future.
The government is soliciting feedback from the business community and development partners to improve the nation's investment rules and increase its appeal to foreign investors.
The nation's quick rise was facilitated by its political links to China. Manufacturing, infrastructure, and agricultural growth made contemporary dwellings with amenities necessary. Due to the large influx of foreign expats moving to the city in search of employment, condominiums are in high demand.
Compared to other Western countries, the cost of living is incredibly low.
The two largest industries in Cambodia's economy are garment manufacturing and tourism, which likely is the same with Phnom Penh. However, highly qualified workers are also in great demand.
Numerous private language schools in Cambodia are always in need of new instructors. Even though these employments are typically low paying, you should still be able to make ends meet and have a fulfilling life while residing in Cambodia.
Advantages of Choosing a Condos for Sale Phnom Penh
Condos in Phnom Penh are typically less expensive to rent or buy than apartments or houses, particularly in the city center.
Condos are often more secure than other types of rental properties. Gated entrances, security guards, and CCTV cameras are examples of such measures.
Many Phnom Penh condo complexes provide amenities such as swimming pools, gyms, playgrounds, and rooftop terraces.
Condo buildings are typically well-kept because the homeowners' association is in charge of the common areas and exterior of the building. It means tenants are not responsible for landscaping, repairs, or maintenance.
Condos in Phnom Penh are frequently found in central areas, near public transportation, shops and restaurants.
What Is The standard of Living In Phnom Penh?
Compared to most of its bordering countries, Phnom Penh typically has cheaper living expenditures.
There are numerous locations throughout the city for inexpensive housing and public transportation. A reasonably priced option to move around the city is a motorbike taxi or a tuk-tuk.
You can get around Phnom Penh for about $5 if you take a tuk-tuk. From fine dining establishments to street cuisine, Phnom Penh has it all.
There are many delicious street food vendors in the city and inexpensive home cooking choices for those on a tight budget.
The supermarkets are overflowing with low-cost international and domestic merchandise. There are 4,080 KHR for every USD. The official currency is the Cambodian Riels (KHR). However, US dollars are frequently utilized.
Cambodia and its province Phnom Penh are both culturally wealthy countries.
The majority of people are Buddhists, and about 90% of people are Cambodians or Khmers. Despite Khmer being the official language, English and French are also commonly spoken.
Condo Types, Characteristics and Avg Rent Offered by IPS Cambodia
When looking for a condominium for sale in Phnom Penh, there are many things to consider. Which area in Phnom Penh most closely matches your lifestyle? In what location are the prime international schools located? Which shopping malls and markets exist in the area? Which Phnom Penh neighborhoods are suitable for families? Whatever your demands, we'll help you find the perfect condo in Phnom Penh.
Condos on a budget are intended for people living in Phnom Penh who want to own a home but have a small income. These condominiums are perfect for a small family of two or three people because they have one or two bedrooms. The low-cost condos would set you back $1600 square meters for a room between 30 and 50 square meters. These condos are also appropriate for quick visits.
This kind of condo comes with three or four bedrooms.
The middle class is the target market for these condos. Condos in the mid-end would run about $2500 per square meter.
It is also referred to as luxury condos and are equipped with a wide range of facilities.
It's usually found on the top floor of a structure and has seven or eight rooms.
The amenities in condooffered cost $3,300 or more per square meter and are comparable to those of a five-star hotel.
Condo rentals in BKK range from $600 to $1,100 for a one-bedroom unit. $900 to $1,500 for a two-bedroom and $1,500 to $2,500 for a three-bedroom.
Also, get acquainted with Time Square 306 through our comprehensive guide. Located in BKK1, the favourite locale for expats in the capital, it's a golden chance for personal accommodation or income through leasing.
Renters in BKK1 (most prestigious location) can get condos for between $600 and $1,100 per month for a one-bedroom unit, $1,500 to $1,900 for a two-bedroom and $1,500–$2,500 for a three-bedroom unit.
Toul Tum Poung
With a plethora of local souvenir shops, clothing and accessory stores, food vendors, and even electrical goods for sale, the expansive Russian market serves as the area's hub.
View Russian Market / Toul Tom Poung rental condos.
In Russian Market/Toul Tom Poung, condo rentals are available for between $450 and $1,000 per month for a one-bedroom unit.
$900 to $1,500 for a two-bedroom and $1,500 to $2,500 for a three-bedroom.
One of the parts of the capital that is changing the fastest is Boeung Trabek, which is tucked in between Mao Tse Toung Blvd, Monivong Blvd, and Toul Tom Poung.
It comprises several brand-new apartment buildings, a calm residential neighbourhood, and nearby businesses.
The Royal University of Law and Boeung Trabek Plaza are well-known landmarks. Boeung Trabek offers condos and apartments for rent starting at $400++ and up.
The Olympic Market is the most well-known landmark.
Compared to TTP and Boeung Trabek, apartments and other properties are more costly.
The rental costs for the housing spaces are the same as those in BKK and Tonle Bassac.
Olympic is primarily a business district.
Rents for its upscale condo buildings and apartments begin at $600++. Basic condos, meanwhile, start at $350++ and up.
In contrast to neighbouring districts, there are fewer contemporary condos here.
You can rent condos in Daun Penh and the Phnom Penh riverbank neighbourhood monthly for $400–$1,000 for one bedroom, $900 to $1,300 for a two-bedroom and $1,300 to $2,000 for a three-bedroom.
Khan 7 Makara
The 7 Makara Khan is a small but highly accessible district in Cambodia's capital, Phnom Penh. Khan 7 Makara is home to various structures, including recently renovated shopping malls, residential buildings, commercial offices, and older villas.
The National Sports Complex, Olympic Stadium, and the recently constructed Olympia City development form the area's central core. This massive complex features multiple malls attached and is home to many national sports competitions for Cambodia.
Because of its location, it is easily accessible from all parts of the city as it is crossed by or passes by several major roads.
In contrast to Chamkar Mon, 7 Makara offers cheaper land and housing. The price range of apartments and condo for sale in 7 Makara is $83,600 to $196,121, with $130,000 being the median property price.
You may locate a modern condo for sale/rent in Phnom Penh in this ideal neighbourhood, which is home to several well-known condo buildings, such as De Castle Phnom Penh.
There are neighbouring Sen Sok's large Aeon Mall II, one of the nearby international standard shopping malls.
However, TK Avenue, a small shopping centre in the heart of Toul Kork, serves as a good stand-in.
Wide streets dotted with spacious villas and brand-new condo complexes ring the Toul Kork area, making it an excellent choice for families looking for extra rooms at a reasonable cost.
Toul Kork is an excellent spot for tourists looking for a rental condo close to the airport in Phnom Penh.
Monthly rentals at Toul Kork condos range from $400 to $600 for a one-bedroom unit, $600 to $1,000 for a two-bedroom and $1,000 to $1,800 for a three-bedroom.
The Khan Meanchey is located in the southern and eastern regions of Cambodia's capital, Phnom Penh.
Steung Meanchey is the largest of Khan Meanchey's four Sangkats.
The district is used for industrial purposes right now. When the factories' contracts expire, the government intends to relocate them to a different province. Negotiations are in progress to turn the area into a residential area.
It is a long-term solution to the shortage of residential and commercial real estate. Still, there are many apartments and shophouses available for $350 a month.
Russey Keo is Tthe second-largest district in the city of Phnom Penh is called Russey Keo. Its land area is approximately 106 kilometres.
Russey Keo is evolving as a result of some very big boreys and mixed-use construction. Russey Keo is home to more Chinese, Japanese, and Korean expats than Westerners.
Large-scale breweries and manufacturing facilities can be found in Russey Keo, along with a number of businesses having offices here. Residential homes, villas, and apartments comprise most of the neighbourhood.
The cost of renting a shophouse, a local apartment complex or a villa with Khmer architectural influences is less here.
Russey Keo's Camko City offers expensive mixed-use development properties. It serves wealthy locals as well as visitors.
The properties are identical to BKK1 in terms of features, services, and costs. The monthly rental price in this area is quite low, starting at $350.
Sen Sok is a rapidly developing neighbourhood in the northwest of Phnom Penh's city centre that is expanding and modernising at a rapid pace.
Sen Sok is seeing a large influx of residents looking for more reasonably priced land and real estate.
It has the greatest concentration of gated communities, or boreys. The two most prominent landmarks are Makro Supermarket and AEON Mall 2.
The cost of commercial land ranges from $800 to $2,500 per square metre. The primary thoroughfares and the areas encircling AEON Mall II have the highest value. At $400–1,500, residential properties are marginally less expensive. The starting rent for studios and one-bedroom apartments is $300++.
Por Senchey Sen Chey
Por Senchey includes one of Cambodia's premier industrial estates, the Phnom Penh Special Economic Zone, and the Phnom Penh International Airport.
This area is a little more expensive than other suburbs like Sen Sok, Meanchey, and Russei Keo because of its proximity to the airport, even though it is still far from the city centre. The monthly rental can begin at $600.
Nearly the entire western region of Phnom Penh is covered by Por Senchey. Due to the inexpensive land prices, it is a desirable investment area for low- to mid-priced development. There aren't many expensive residential areas. Most housing options are gated community houses, shophouses, or Khmer villas.
One of the neighbourhoods prepared for commercial use is Chbar Ampov, which offers stunning views of the Mekong and Bassac Rivers.
More housing is available for those who live and work in the city thanks to these developments. Apart from that, there are still a variety of affordable Khmer villas and local apartments available, with monthly rates of about $300 for apartments and about $600 for villas.
There are countless mixed-use buildings and apartment for sale in Phnom Penh, offering a never-ending supply of rental space. There is a residential space here that is suitable for you, whether you work in the city or decide to live here permanently.
How IPS Cambodia Can Help to Buy a Condo in Phnom Penh
As a top real estate company, we are experts at assisting single people and families in finding the perfect homes. We are your go-to partner in finding the ideal condo in Phnom Penh because of our in-depth understanding of the local real estate market and commitment to providing great customer service.
Additional advantages of selecting IPS Cambodia for your Phnom Penh condo for sale include:
Ample Listings of Properties
Our website features a comprehensive and current database of Phnom Penh condos.
We have a large selection of condos in our extensive property listings, all of which may be customised to meet your needs, tastes, and budget.
We provide various options to meet your needs, whether you're searching for a studio apartment, a one-bedroom condo, a large family condo, or an opulent penthouse.
Our team of brokers is aware that listing browsing is not enough to find the ideal property.
In order to comprehend your unique needs and preferences, we provide individualised consultation services.
We can offer insightful advice and assist in identifying the solutions that best fit your preferences for location, spending limit, and lifestyle by taking the time to listen to your needs.
Local Market Proficiency
Being a well-known real estate company in Cambodia, we are well-versed in the Phnom Penh local market.
Our team of seasoned agents is well-versed in the rental market dynamics, city areas, and rental trends.
By utilising our experience, we can offer insightful commentary and guidance to assist you in making well-informed choices on renting a condo in Phnom Penh.
Negotiations and Property Viewings
We will schedule property viewings at a time that works for you once you've narrowed down your choice of suitable condos.
Along with offering professional advice and attending to any queries you may have regarding the properties, our committed agents will go with you to the viewing.
Furthermore, we will help you acquire the finest possible buying/rental agreement for the condo of your choice by assisting you in negotiating beneficial lease conditions.
Support for Lease Agreements
It can be difficult to navigate the leasing agreement process, particularly when doing it abroad.
We make this procedure easier by providing thorough support for leasing agreements.
In order to safeguard your rights and interests, our staff will thoroughly go over the lease IPS terms and conditions.
They will help you with the paperwork, ensuring a hassle-free and seamless process throughout.
Assistance After Rental
Beyond the rental procedure, we are dedicated to making sure our customers are satisfied.
We offer first-rate post-rental assistance to resolve any problems or questions that could come up during your lease.
Our committed staff is available by phone to help with any maintenance needs, utility connections, or general questions you may have.
We want your rental experience in Phnom Penh to be as smooth as possible.
Step-by-Step Guide on Buying a Condo in Phnom Penh
Understand the Real Estate Market in Cambodia
Real estate investment is seeing rapid expansion in Cambodia, particularly in the capital city- Phnom Penh.
The city's expansion, vibrant street markets, breathtaking French architecture, and ancient monuments are attracting interest from all over the world.
Condos are especially appealing to foreign investors since they are simple to purchase
Educate Yourself on Cambodian Foreign Property Ownership
Cambodia is one of the few Asian nations where foreign real estate ownership is somewhat simple.
Foreigners can readily acquire strata titles for condominium units and even legally own 100% of a Cambodian company.
On the other hand, establishing a land holding company or collaborating with a Cambodian national may be necessary for the ownership of other kinds of property.
Pricing and Budgeting
For international buyers, condos in Phnom Penh are reasonably priced in Cambodia. The best condos in Phnom Penh are the luxury ones, costing up to $3,000 per square meter. Midrange condos typically cost about $2,200 per square meter.
Location can have a big impact on prices in Cambodia; downtown Phnom Penh locations, such as condos for sale in Daun Penh, are more expensive than the outskirts and newer neighbourhoods, such as 7 Makara.
Pick the Ideal Neighbourhood
Think about areas like 7 Makara, Daun Penh, or BKK1 for the greatest living conditions and investment opportunities.
These districts each have a different combination of features, ways of living, and room for expansion.
Recognise Fees and Taxes on Real Estate
Property taxes in Cambodia are relatively minimal. The annual real estate tax is 0.1% of the value over $25,000 of the property at market. With possible deductions, the tax rate on rental income is 10% for residents and 14% for non-residents.
Required Documents: When renting or buying a condo, ensure you have all the necessary paperwork, including copies of your passport and visa and several passport images to be posted with the Sangkat where you reside.
Legal Considerations for Expats and Locals: Having a formal leasing agreement in place is crucial. The following details ought to be included in the rental agreement: The condominium's address, the rental time, the monthly rent and any other fees, the security deposit, the obligations of the landlord and tenant, and the termination clause are all included. When renting or buying a condo in Phnom Penh, seek legal counsel for additional clarification.
Payment Terms and Conditions: There are different terms and restrictions for renting or buying a condo in Phnom Penh, depending on the owner and the particular property. When buying a condominium Phnom Penh, understand the terms of the sale agreement, the payment schedule, and any required down payments. In the case of renting a condominium in Phnom Penh, a security deposit, late fines, utilities, and rent are typical payment terms and conditions. The rental agreement should specify the monthly rent amount and the date of payment.
Accepted Payment Methods: You and the owner must decide on a payment plan that works for everyone. While some owners prefer cash, others take credit card payments or bank transfers.
Financing Options and Mortgage Information: Various banks offer loans for buying a condo. Research the various financing options, interest rates, and mortgage programs. There are not many financing options for renting a condo. The only alternative is that you take a personal loan.
Moving and Settling In
Moving to a new condo Phnom Penh can be a thrilling experience. There is a lot to accomplish when it comes to getting ready to settle into your new house.
Consider using a moving company if you have many items or are moving a long distance.
MRB Trucking, Asian Tigers, and AGS International Movers are a few of the top moving companies in Phnom Penh.
If you're moving from overseas, these companies can help with customs clearance, packing, and transportation.
Checklist for a Smooth Moving Process
The following tips will help your move go smoothly:
After selecting a moving company, get a quote and plan your move.
Ensure you have all the documents required for customs clearance, particularly if you're moving abroad.
Sort and organise your belongings before packing to get rid of unnecessary material.
Sort your boxes and label them neatly to facilitate unpacking.
When moving, think about getting insurance for your possessions.
Put separate whatever you'll need right away when you get there.
Setting Up Your New Home
You must do a few things to set up your new condo after you have moved in. Here are some pointers:
Change the door locks.
Install your utilities, including gas, water, and electricity.
Link your cable TV and internet together.
Arrange your newly acquired area and unpack your possessions.
Give your new house a personalised touch by decorating it.
Tips for Decorating and Optimising Space
Before buying furniture, measure the space to make sure it will fit.
To optimise space, use furniture with several uses.
To add a bit of Cambodian culture to your condo, use regional artwork and furnishings.
Mirrors and light-coloured furnishings can help areas feel bigger.
Once you've made yourself at home, you may want to start participating in the community.
Acknowledge the conventions of the community and educate yourself about Cambodian culture.
A few excellent ways to get involved are volunteering, attending community events, or joining a local organisation or group.
Property Management Services Post Renting
After renting, get in touch with Property Management Services to make sure their rented space is maintained and cared for, to handle safety and security issues, to ask for extra services, to get answers to questions about the lease, to ask general questions, to handle community issues, and to give feedback.
Maintenance and Repair
Process for Reporting Issues: Notify the management team right away if you have any maintenance or repair issues. The management team will then dispatch a maintenance worker to address the issue.
Expected Timelines for Fixes: The severity of the problem will determine how long it takes to resolve. You will receive an estimated timeline from the management team for the resolution of the issue.
Annual Upkeep Inspections: Requesting yearly maintenance inspections is a good idea, particularly for appliances like air conditioners, water heaters, and electrical equipment.
Make your buying experience simple with IPS Cambodia. Take a look at our current condo for sale Phnom Penh postings! Browse our collection of condos in Phnom Penh to find the ideal place to call home.
Are you prepared to arrange a viewing, or are you just in search of more details? Please do not hesitate to contact us. Complete our simple inquiry form, and we'll guarantee a prompt response to help you with.
Prime Locations to Buy/Rent Condo in Phnom Penh
Navigate through our expansive offerings of condos for sale & rent in different districts of Phnom Penh:
Individual units in older shophouse structures make up many of the inexpensive flats for sale in Phnom Penh; however, these apartments are only accessible to Cambodian residents because they do not have a strata title.
When searching for a condo for sale in Phnom Penh, foreign buyers should limit their consideration to properly authorized developers.
Purchasing off-plan offers several advantages, including selecting the units and frequently even the furniture and fixtures.
If you quickly act when making plans, you may even be able to find a deal. Several condos for sale in Phnom Penh provide guaranteed rental yields of roughly 7% for two years, even if the unit is not rented out to attract investment purchasers.
Prospective buyers can also take advantage of very appealing financing options, with many condos in Phnom Penh starting at around $200 per month and requiring little to no down payment.
You obtain total ownership of the land and all of its contents when you possess a freehold property. There's no time limit on how long you can hold it; you own it entirely. Owners of leasehold properties only have the property under lease for a set period. Upon the lease's expiration, your ownership will end.
Financial and Legal Consequences
Owning a freehold home entails handling all associated costs and legalities on your own. Till the end of your lease, you will be the owner of any financial and legal consequences pertaining to the leasehold property.
Upkeep and Remodelling Accountabilities
You are responsible for the upkeep and renovations because the freehold property was initially yours. You are only responsible for the inside of the property as a lessee. The landlord or property developer must maintain the outside of the property.
Cambodia is a nation that welcomes investors and has relatively minimal taxes. The annual property tax in the nation is set at 0.1% of the market value of any property over 100,000,000 Khmer riel, or $25,000.
Similarly, residents only pay a 10% tax on rental revenue, while non-residents pay 14%. Numerous deductions are also applicable, which reduces that sum even more.
Others, like a 2% landowner tax, usually don't affect foreigners or condo purchasers.