The Cambodian real estate market has seen significant growth in the last few years. Like other sectors, the real estate business in the country is booming – paving paths for foreign investors to make investments in this sector. Not only has this significantly contributed to the economy of the country, but it has also developed the ground for new investors who are looking to earn some substantial money.
Cambodia is one of the fastest-growing economies in South East Asia – and it is no surprise to tell you that it has become a paradise for real estate people in business and investors. A large number of international companies are investing in Cambodia – especially in the real estate business. A recent report shows that foreign investment in the country has grown by eight-hundred percent for the last ten years.
Sustainability in the Economic Development
Cambodia has seen boosted economic development for the last 20 years. From 1994 to 2015, the country’s GPD grew by 7.6% and continues to grow by 7% from 2017 onward. This is strategically important for the country’s growth and development as well as the increasing the economy – making Cambodia the world’s 6th fastest-growing economy.
According to the Asian Development Bank, Cambodia experienced a sustainable economic growth of 7.1% between 2017 and 2018. The report published by the Asian Development Bank shows that by 2017, the country will continue to sustain the increase by 7% in the coming years. When it comes to GDP growth, Cambodia is coming closer to Myanmar – and currently, it ranks second in the ASEAN countries.
Real Estate Prospects in 2020
Previously, Cambodia was considered an emerging country because it did not make efforts to bring foreign investments in the country. Later on, after 2005, the state made various efforts to increase bilateral relations with advanced countries in the world, including China and the USA. However, the good thing is that Cambodia is among the few countries which were not hit by the great recession or financial crisis of 2008.
Unlike other ASEAN countries, it is easy and affordable to buy properties in Cambodia. For example, you can purchase a property for less than $1000 per square meter. Likewise, in Phnom Penh, you can buy a property for as little as $150 per square meter in the outskirts and $9000 per square meter in the city center. You can convert these properties into residential spaces, which has an excellent rental yield of 6-8% with capital growth of 1-5%.
Foreigners can own condominium units and apartments in Cambodia – under the 2010 Foreign Ownership Property Law. If you are a foreigner, you can hold up to 70% of condominiums or related projects. Cambodia, the real estate sector, is an available frontier market for local and foreign investors, which means new companies are rapidly jumping into the real estate market every day to take benefit of the growth potential.
The year 2020 will open new opportunities for investors in the real estate market. The Cambodian government is making substantial efforts to focus more on attracting foreign investors in the country – especially in the real estate sector.
If you are looking to make investments or buy property in Cambodia – i.e., both luxurious and affordable plus profitable year-round, LZ Sea View Residences will guide and help you purchase the best property in Cambodia.