Property investment

Doing your research and hiring the right people are important when you’re investing in a property.

Knowing the market before investing in a property can be rewarding. And we’re glad we can help you evaluate your options as you familiarize yourself with Cambodian real estate. Even with recent slowdowns in the past years, property in the right areas of Cambodia can still be considered great investments due to to global interest by retail brands and its expansion towards the outskirts of the capital and into the major provinces.

But nothing is really guaranteed, especially for long-term investments. Fortunately, major developments and investments from countries like China and Japan are expected to boost the economy, infrastructure, and the housing market of Cambodia.

With the increase in income and a change in mindset for most Cambodians, housing loans in the country grew to $211.3 million in 2016 from $177.8 million in 2015. And with hundreds, if not thousands, of loans being applied for each day, we will be glad to assist you in finding the right loan and lender for your needs so that you can focus on finding your dream home.

Here are a few tips for finding rewarding rental homes.

Houses vs units

Depending on a renter’s needs, a house is moresuitable if you want more freedom in terms of design and extra space either for other family members or just as a matter of preference. In terms of costs though, you have to consider maintenance, repair, and even household bills.

Units, on the other hand, are easier to maintain and less costly because there’s less space to manage. But there are a bit more items on the list of restrictions in terms of renovations and space.


Convenience is one of the biggest factors in properties that people look for. So, consider searching for a property that’s located near establishments like banking centers, restaurants, convenience stores, public transport, schools, and markets.

It helps to also do your research on different factors such as market predictions, recent market activity, occupancy rates, predictions, and surrounding infrastructure. If you’re able to visit the property, make a visit and get some first-hand perspective.

Be objective

The head was placed above the heart for a reason. And that’s because with any important decision you make, especially ones involving huge amounts of money, you should always think things through. While a property’s interior and exterior might initially look appealing, but if the property is prone to calamity or the neighborhood is not appealing, then you lose in the end.

Think about the necessities first before you evaluate if you can afford your wants. Initially, you can look at the build quality, the condition it’s in, door and window placements, outlets, parking, and other important property details. After that, you can move on to things like the view, amenities such as a pool, and a garden.

Covering the charges

Besides loan repayments, properties bought for investment need sufficient funding for maintenance and repairs, under the rental agreement. You also have to consider the association fees for shared amenities with properties like condominiums.

Protect your investment

Make sure you take out an insurance that provides sufficient coverage for standard risks like fires, flooding, and other natural calamities. Also think about an appropriate advanced payment plan for your property’s security just in case a tenant suddenly decides to skip town.

Register For Taxation

Landlords who are a registered taxpayer can “gross up” and claim the withholding tax credit against their profit tax. Grossing up happens when you charge the renter more than the original asking price. This is also beneficial for renters because they’re getting the full benefit of the rental. There’s 20% less profit tax.

Manage your investment

If you don’t have enough time to manage all these and the property, you can always hire the services of a management firm to assist you in collecting rent, coordinating with vendors for maintenance and repairs, and managing any disputes.

If you decide to manage the property yourself, you will need to commit to study the different laws concerning tenancy.

We recognize that each borrower has a different circumstance, and some may have a more complex need than others. We are connected with various experienced lenders who have handled clients with complicated needs. Send us a request and we’ll make sure to connect you to them quickly.

A general list of investing FAQ

Cambodia has grown significantly during the past few years. The World Bank has called it one of the “Olympians of Growth” next to China, India, Vietnam, and Laos. It was also named as one of the new “Tiger Economies In Asia” by the Asian Development Bank (ADB) and categorised as a lower-middle income economy by the International Monetary Fund (IMF). This upgrade of income status poses as an indication that many locals will now be able to afford better housing.

The key driver of the country’s economy is its trade industry -- particularly, on finished goods exports and raw material import. As proof of this, Cambodia was ranked as the biggest trade partner of ASEAN in 2014. And in 2015, volumes rose to $8.5 billion and $10.6 billion for exports and imports, respectively. This increasing trade volume can be attributed to the growth of the agriculture industry, manufacturing industry, and the construction boom of the country The country’s growth can also be attributed to it being a gateway for international investments. Its this openness that makes it such a great place to invest in. People are flocking towards it. This means a higher demand for property for both workers and other investors.

Depending on your financial capabilities, the maximum allowable loan can vary for each person. Before applying for a loan though, you can use one of our tools to check how much you need to prepare first. Or we can also connect you to our network of lenders who are more than willing to personalize a loan package for you.

Our loan classifications guide is the perfect place to get more information regarding the available loans in Cambodia. If you still have more questions though, we’re always happy to to connect you to the right lenders for a more in-depth explanation.

A 10% deposit is usually required in Cambodia after doing your due diligence. Get in touch with us and we’ll connect you to a professional who can discuss pricing, along with your borrowing options!

Repayment costs rely heavily on loan rates and loan terms. Contact us now and we’ll help you quickly get in touch with partner lenders who can offer repayment packages customized for your needs.

The frequency of repayment can be flexible, depending on the lender. But it’s always better to do it weekly or fortnightly because this decreases the loan amount and the time you have to pay the loan back.

Cambodia doesn’t currently have special loans or grants for buyers purchasing their first home. But our partner lenders can definitely customize loans that could fit your personal needs. Just reach out to us and we’ll be sure to connect you to a wide range of exceptional lenders.

There are a number of fees involved when buying a property. To avoid any surprises, the list below sets out all of the usual costs:

  • Transfer Tax — Amounts to 4% of the property’s assessed value. Land dimension, land location, and the purpose of use are some of the standards considered for the assessment.
  • Legal fees — Usually ranges from 0.20% to 0.50% of the sales price. The fee is inclusive of property checks, legal advice, and legal processing.
  • Property Tax — Only applicable for immovable property priced $25,000 or more, this tax is collected every year at 0.1% of the property’s value.
  • Title Verification — Checking for encumbrances or disputes under a specific title cost around $12.50. This is stated in Prakas 995, dated December 28th, 2012.
  • Loan Processing Fee — This is a lender’s charge to help cover costs that were incurred for the loan processing and valuation.
  • Application For Registration — There is a required cadastral transfer fee amounting to KHR 600,000 for the insertion in the legal documents of the name of the new owner. This is done at the District Land Office of the Ministry of Land Management, Urban Planning & Construction,
  • Property Insurance — Although optional, getting property insurance allows you to protect your investment should something suddenly go wrong, such as getting flooded or having the property burn down.
  • Ongoing costs — This is inclusive of maintenance and repair costs. This also includes payment for the household bills. Funds for future renovations would also be helpful when investing in a property.
Ready to get started?
Whatever your circumstances we'll find the right deal for you, not the lender. Start your new chapter and one of our team will be in touch shortly.