FAQ: real estate and investing in Cambodia

This page gathers answers to the questions most often asked before buying property in Cambodia: about foreign ownership, yield and developer guarantees, payment and installments, remote deals, taxes, risks, and how we work. If your question isn't here — write to us and we'll answer personally.

Foreign ownership

Can a foreigner buy property in Cambodia?

Yes. A foreigner can own an apartment or office above the ground floor directly, in their own name, under strata-title. There is one limit: foreigners may own up to 70% of the private unit area in a building. A foreigner cannot own land or the ground floor directly. Read more in the article can a foreigner buy property in Cambodia.

What is strata-title?

Strata-title is a title to an individual apartment in a building where the common areas and the land beneath it are jointly owned by the owners. It is precisely strata-title that lets a foreigner own an apartment directly and register it in their name on the cadastre. A breakdown is in the article strata-title in Cambodia.

How does strata-title differ from freehold and leasehold?

Freehold is full, perpetual ownership. Strata-title is a form of direct ownership of an apartment in a multi-unit building (what's available to a foreigner). Leasehold is a long-term lease, not ownership: you use the property under a contract, but it isn't registered as yours. For an asset in your own name you need strata-title, not leasehold.

What is the 70% foreign quota?

By law, foreigners may own no more than 70% of the total private unit area in a single building. Before buying, you need to check whether the specific apartment falls within this quota in the chosen project. We verify this during property selection.

Can a foreigner buy land or a house in Cambodia?

Land cannot be registered directly to a foreign individual. Indirect schemes exist (through a company with local participation, a long-term land lease, nominee structures), but they are more complex and carry additional risks. For most investors, an apartment or office under strata-title is simpler and safer.

Yield, GRR and buy-back

What is GRR — guaranteed rental return?

GRR (Guaranteed Rental Return) is a programme under which the developer pays a fixed annual percentage regardless of whether the property is let. For Odom Tower, for example, it's 8% net per year for 5 years. It's a clause in the contract with the developer. What to check in the contract: what sum the percentage is calculated from, who the guarantor is, how and when it's paid, and what happens on early termination.

What is the guaranteed buy-back (GBB)?

GBB (Guaranteed Buy Back) is the developer's obligation to buy the property back at a pre-agreed price. For example, a 110% buy-back in year 5 for Odom Tower means the developer returns 110% of the purchase price. At the end of the term the buyer can choose: use the buy-back or sell the property themselves.

Where does "150% return over 5 years" come from?

It's the sum of two parts: rental income of 8% per year × 5 years = 40%, plus the buy-back of the principal with a premium = 110%. That gives 150% of the invested sum returned over 5 years. A detailed calculation on a real example is on the Odom Tower page.

Is 150% my profit?

No, and this is an important point. 150% is the total return (the principal + rent + buy-back premium), not net profit. The net profit above the invested sum is around 50%. We deliberately always show both figures, so the calculation is honest and there's no disappointment at the meeting.

Do all properties have the GRR and buy-back programme?

No. The GRR + GBB programme applies to a limited number of units and is offered on a first-come basis. Availability and terms are confirmed on request. Not all projects have such a programme at all — in residential complexes, for example, income is calculated from market rent.

What is the yield on projects without GRR?

For projects without a guaranteed programme (for example, residential complexes), income is calculated from market rent — usually in the range of 5–8% per year before costs, plus possible capital growth. This is a market forecast, not a guarantee, and it must be calculated for the specific property taking vacancy and management costs into account.

Buying, payment and installments

How does buying work step by step?

Briefly: request and consultation → property selection → booking → SPA contract and first payment → installment payments → handover and title registration. Each step is described in detail on the how buying works page.

What is the SPA?

The SPA (Sales & Purchase Agreement) is the main purchase contract. It fixes the price, the specific unit, the payment plan, completion dates, GRR/GBB terms (if any), and the rights and obligations of the parties. The contract can be signed at the developer's office or remotely.

What installments are available?

Developers offer interest-free installments (0%) over 25 to 45 months depending on the project. A typical scheme: booking → 20–30% down payment on signing the SPA → installments → 30% on handover. Sometimes the final part can be replaced with a developer loan. Read more in the article property abroad in installments.

How much is the booking fee?

The booking secures the unit and price, taking the property off the market. The cost depends on the project: from $500 (for example, Time Square 9) to $5,000 (Odom Tower). The booking is made by bank transfer remotely.

How does payment from abroad work?

All payments are made by bank transfer in US dollars to the developer's account in Cambodia. Before the deal, it's worth checking with your bank in advance about international transfers to Cambodia. We help think this through before booking.

Can I get a loan from the developer?

In a number of projects, yes: the final part of the payment (for example, 30% on handover) can be replaced with a developer loan — usually around 10% per year for up to 10–15 years. The terms depend on the project and are fixed in the contract.

Remote deals

Can I buy without ever visiting Cambodia?

Yes, most clients buy remotely. The consultation is online, the booking and SPA are remote, and payments are by transfer. If needed, a notarised power of attorney is issued to the partner in Phnom Penh. Details are in the article how to buy an apartment in Cambodia remotely.

Who oversees the property while I'm abroad?

The NovAsia partner in Phnom Penh provides on-the-ground presence: construction monitoring, photos and video from the site on request, communication with the developer's office, and presence at handover. This replaces in-person presence at the offline stages.

Do I need a visa or residency to buy?

No. The right to buy property doesn't require residency or a residence permit. And the purchase itself doesn't automatically grant residency — these are different things. Read more in the article buying property abroad without residency.

Taxes and costs

What taxes and fees apply on purchase?

The main ones: a stamp duty at registration of around 4% of the value (reliefs apply periodically — to be confirmed), a legal fee and a transfer fee. These are one-off costs at registration. A breakdown is in the article taxes on property in Cambodia.

What annual costs does an owner have?

An annual property tax of 0.1%, a management fee and reserve fund (for example, around $3 per m² net per month after the GRR period), utilities at the tariff rate, and insurance. The exact amounts depend on the property and are fixed in the contract.

Is there a tax on rental income?

Yes, when letting, tax is withheld on rental income. During the GRR programme period, the developer often bears the tax and operating costs — this needs to be checked in the contract for the specific project.

Is there a capital gains tax on resale?

A 20% capital gains tax has been legislated, but its introduction has been deferred — currently to 1 January 2027 (not 2026, as some sources state). Because the timeline and regime have shifted, the current capital-gains treatment should be verified at the time of the deal with an independent specialist rather than relying on outdated data.

Risks and reliability

How risky is it?

Cambodia is a developing market: potential returns come with risks. The main ones: construction delays, changes in demand and rental rates, limited resale liquidity, developer quality, legal changes, and management costs. These are normal property risks in a growing market, and it's important to weigh them soberly.

How can risks be reduced?

Check the developer's track record (how many projects delivered and on time), read the contract rather than the marketing materials, don't invest money you may need in 1–2 years, and where possible bring in an independent lawyer before the deal. We work only with developers that have a history of delivered projects.

What if the developer doesn't finish the building?

This is the key risk when buying at the construction stage. The main protection is choosing a developer with a proven history of projects delivered on time. It's also important to check the contract terms for delay and termination. We highlight this during selection.

What if I change my mind after booking?

Refund terms depend on the contract: a booking may be refundable or non-refundable, and each project has its own rules. This needs to be clarified before paying the booking — we discuss the terms in advance.

About NovAsia

Who is NovAsia?

NovAsia is an information and advisory project and an intermediary agency for selecting investment real estate in Cambodia. We help match a property, understand the terms and support the deal through partners on the ground in Phnom Penh. Read more on the about page.

How much do your services cost the buyer?

For the buyer, selection and consultation are free — we work as a partner of the developers. You pay the developer for the property under the contract; there's no separate buyer commission for selection.

Are you a developer?

No. We are not a developer, a bank or a party to the sale-and-purchase contract. You sign the contract directly with the developer. NovAsia helps with information, selection and support.

How do I get in touch?

Fastest is on Telegram via the bot or personally @novasiadmin. All contact methods are on the contacts page.

Cambodia and Phnom Penh

Why Cambodia specifically?

The key reasons: a dollar economy (settlements in USD, no tie to the local currency), direct foreign ownership of apartments, a low entry threshold compared with Dubai and Thailand, and a growing market. At the same time, this is a developing market with its own risks, which we don't hide.

Which districts of Phnom Penh are best for investment?

The most in-demand are BKK1 (the most prestigious, the centre of business and rental activity), Chamkarmon, Norodom Boulevard and Daun Penh. The choice of district affects the rental rate and liquidity. An overview is in the article districts of Phnom Penh.

Cambodia or Thailand / Dubai — which to choose?

It depends on your task. Cambodia wins on entry threshold and the availability of GRR/buy-back programmes, Thailand is a more mature market, and Dubai is more expensive and more liquid. Honest comparisons are in the articles Cambodia or Thailand and an alternative to Dubai.

NovAsia projects

How do Odom Tower, Kingston Royale and Time Square 9 differ?

Odom Tower — Grade A commercial offices with a GRR 8% programme and 110% buy-back, the yield flagship. Kingston Royale — a residential complex with a low entry (from ~$40,664), 0% installments and furniture included. Time Square 9 — premium art-deco residences in BKK1. The choice depends on your goal: income, low entry or a premium location.

Can I buy several properties?

Yes. Many investors combine: for example, a yield property with GRR plus a residential one with a low entry. We'll help build a portfolio for your strategy and budget.