Cambodia real estate glossary

The Cambodian market uses terms that many foreign buyers have never dealt with before: strata title, foreign quota, sinking fund, GRR. Here we explain each of them the way we would in a consultation — with caveats and notes on what exactly to verify in the documents. Every term has a direct anchor link, so the glossary works as a reference while you read our articles and project pages.

Terms: Strata title · Hard / Soft title · Freehold / Leasehold · Co-owned building · Foreign quota · SPA · Reservation fee · Handover · Sinking fund · Management fee · Gross / Net area · GRR · Buyback (GBB) · Assignment · Presale / Off-plan · Total return · Gross yield · Net yield · Effective price · Snag list · Render · confirmation status · Conflict · Not found

Sections: Ownership and titles · Reservation, contract and transaction · Condominium governance and management · Off-plan, construction and handover · Area, layout and specification · Price, payments, taxes and costs · Rental and return metrics · Resale and exit · Property and project types · How NovAsia verifies data

Critical terms — check before payment and signature

A few concepts directly affect the safety of your money and rights. For each, what to check in advance:

• Strata title — whether your specific unit can be registered to a foreigner.
• Foreign quota — whether the building's foreign quota is already used up.
• SPA — what is actually fixed in the contract, not the presentation.
• Reservation fee — refundability and the deadline to move to the SPA.
• GRR and buy-back — who is the guarantor, the base, term and breach consequences.
• Total return — this is not net profit.
• Effective price — the real deal cost after discounts.
• confirmation status and "not found" — what a field's value is based on.

Strata title

The form of ownership for an individual unit (apartment or office) in a registered co-owned building. Strata title is what allows a foreigner to directly own property in Cambodia — but only a unit above the ground floor and within the building's foreign quota. The land under the building does not pass into foreign ownership. Before booking, verify that the project has (or will issue) an actual strata title rather than an alternative structure. A detailed breakdown is in our article on strata-title in Cambodia.

Hard title / Soft title

Two levels of property-rights registration in Cambodia. A hard title is registered at the national level with the land registry: the most protected option, recognised directly by the state. A soft title is registered at the local level (commune or district): historically common and cheaper to issue, but weaker protection in a dispute. Strata title for condominium units is a form of national-level registration. When buying, understand exactly which title you will receive and when.

Freehold / Leasehold

Freehold is perpetual ownership. Leasehold is a long-term lease (in Cambodia usually up to 50 years with renewal options) where the land or property remains owned by another party. A foreigner in Cambodia can hold freehold on a unit via strata title; freehold on land is not available to foreigners — land involves leasehold or structures with Cambodian participation, each of which requires its own legal review.

Co-owned building

The legal status of a condominium in which private units belong to individual owners while common areas (lobby, lifts, roof, utilities) are held in shared ownership by all owners. Strata title for a unit can only be issued in a registered co-owned building. If a building does not have this status, "buying an apartment" may legally mean a very different arrangement — verify this before transferring any money.

Foreign quota

The statutory cap on the share of a co-owned building that foreigners may own (typically up to 70% of the private units, excluding the ground floor and underground levels). If the quota in a specific building is exhausted, a foreigner cannot register ownership of a unit even after signing a contract. Before booking, ask the project to confirm that the quota still allows registration of the unit to a foreign buyer. More on foreign ownership rights and strata title in "Can a foreigner buy property in Cambodia".

SPA (Sale and Purchase Agreement)

The sale and purchase agreement — the core document of the transaction between the buyer and the developer. The SPA fixes the price, payment schedule, completion deadlines, delay penalties, termination terms and all income or buyback programmes. The simple rule: legal force belongs to what is written in the SPA, not in the presentation or the ads. We recommend an independent legal review before signing. A full clause-by-clause breakdown with a green / yellow / red rating is in the SPA review; the full process is described on the "How buying works" page.

Reservation fee

The first payment that reserves a unit for the buyer before the SPA is signed (on the Cambodian market usually from a few hundred to a couple of thousand dollars, depending on the project). Check the reservation terms: whether the fee counts toward the price, whether it is refundable if you withdraw, and the deadline for signing the SPA. Terms vary from project to project — clarify before paying.

Handover

The moment the developer completes construction and hands the unit over to the buyer. The final payment (handover balance) is usually tied to handover, after which the buyer receives the keys and title registration begins. If you are buying on an installment plan, calculate in advance how much cash this stage will require — in many plans it is a significant share of the price. More on payment schedules in our guide to developer installment plans.

Sinking fund

The building's reserve fund — a one-off or periodic owner contribution for capital needs: facade repairs, lift replacement, major utility works. It is usually paid at handover and calculated per square metre of the unit. This is a separate cost on top of the purchase price — include it in your full cost of ownership and confirm the rate for the specific project.

Management fee

The regular (usually monthly) charge for building operations: security, cleaning of common areas, pool and utilities maintenance. It is charged per square metre of the unit; the rate depends on the project class and the management company. When calculating rental returns, the management fee is deducted from income — keep this in mind when comparing gross and net yields.

Gross area / Net area

Gross area includes a share of common areas, walls, and sometimes balconies with a coefficient. Net area (carpet area) is the actual internal area of the unit. The difference can reach 15–25%. Marketing prices per m² are almost always quoted on gross — when comparing projects, recalculate to net, otherwise the comparison is misleading. Request both figures from the project before booking. A breakdown of how area is measured and re-calculated is in the gross vs net area guide.

GRR (Guaranteed Rental Return)

A rental income programme from the developer: the developer pays a fixed annual percentage of the unit price for an agreed period, regardless of actual occupancy. An example from our catalogue: GRR 8% net for 5 years on Odom Tower. Important: GRR is a contractual obligation of a specific developer, not a property of the market. Check in the SPA: the calculation base, gross or net, who the guarantor is, the payout schedule and early-termination terms. The programme is only as reliable as the party promising it.

Buyback / GBB (Guaranteed Buy Back)

A contractual obligation of the developer to repurchase the unit at a pre-agreed price after a set period (example: 110% of the purchase price after 5 years). Combined, GRR + GBB can produce a total return of around 150% of the invested amount over 5 years — but that is the total return (principal + rent + buyback premium), not profit. The net profit above the invested amount in this example is around 50%. Do not mix these two figures up. Buyback terms, like GRR, exist only in the contract with the developer. How these programmes relate to market rent and price growth is covered in guaranteed rent and buyback.

Assignment

Selling your rights under the SPA to another buyer before handover — exiting the deal without waiting for completion. Whether assignment is allowed, the developer's re-registration fee and any restrictions (for example, a minimum share of the price already paid) are set by the specific project's contract. If the option to exit before completion matters to you, check the assignment terms before signing the SPA, not after.

Presale / Off-plan

Buying during construction (or before it starts) at prices below completed stock, usually with a developer installment plan for the construction period. The upside is the entry price and a flexible payment schedule; the downside is construction-delay risk and the fact that you are buying from renders, not a finished building. Assess the developer's track record: how many projects it has actually delivered and on what timelines. Completed alternatives exist too — for example, Le Condé BKK1.

Total return

The sum of all payments and returned capital over a period under a stated scenario. The key caveat: total return is not net profit. Separate the original capital, costs, taxes and any unfulfilled assumptions. Example: "150% over 5 years" under GRR + buyback is a total return, while the net profit above the invested amount here is around 50%. How to read yield honestly — in the investor guide.

Gross yield

Gross rental income divided by a stated value base — before costs and tax. Always show the period, the price base (what value it is measured against) and the source of the achieved rent. Gross yield looks higher than net because it ignores the management fee, vacancy, repairs and tax. Comparing yields — in the investor guide.

Net yield

Yield after an explicitly listed set of costs and taxes under a specific scenario. The word "net" is meaningless without the list of deductions, the period, vacancy and the value base — clarify exactly what has been deducted. It is net yield, not gross, that should be compared between projects. Breakdown — in the investor guide.

Effective price

A comparable deal cost after stated cash discounts, required packages and other defined adjustments — what lets you compare offers fairly. Do not deduct the advertised value of a "gift" (furniture, appliances) as cash without a verifiable basis. You can calculate it with the effective net price calculator.

Snag list

A dated list of discrepancies found during inspection — with photos, location, responsible party and repair deadline. It is compiled at handover and serves as evidence that defects were recorded. Keep unit defects, common-area defects and separate equipment warranties apart — these are different areas of responsibility. More in our guide to handover, defects and warranty.

Render

An illustrative image of the proposed appearance of a project or unit. A render does not prove actual completion, the view, the materials or the contractual specification — it is a picture, not evidence. How a show unit and a render differ from the delivered property — in show unit vs delivered property.

confirmation status

A label showing what a value is based on: an official document, written confirmation, public claim, secondary source, conflict or "not found". The state describes the strength of a specific item of evidence, not the overall reliability of the project. The full classification is in the Trust Center.

Conflict

A state in which two relevant sources give incompatible values or conclusions. The correct response is to show both versions with dates and sources, not to silently pick the convenient one. Example on the site: a disputed completion quarter on one of the projects. How we handle conflicts — in the Trust Center.

Not found

Confirmation was not found after a documented search. It is not proof of absence and not permission to insert an average. If a field is marked "not found", it must be requested from the developer or seller before the deal. On the methodology — in the Trust Center.

Ownership and titles

These terms answer the central question of any deal: what exactly you receive, which document proves it, and what limits apply to a foreign buyer. Market language tends to simplify — "buying an apartment" can mean several different legal structures, so always match the name of the document against the wording of your contract.

Master title

The title covering the land parcel or the whole project — the document that gives the developer the right to build and sell in the first place. Individual unit titles are later carved out of it. As a buyer you want to know whose name the master title is in and whether it carries any charge: a mortgaged parcel affects how and when owners receive their own titles.

Private unit

The legally separate space inside a co-owned building that belongs to you personally, as opposed to the common areas. The private unit is what the title describes: number, floor, area, boundaries. Check that the description in the contract and in the title matches the unit you were actually shown.

Co-owned parcel

The land parcel under a co-owned building, held collectively by the owners of the units. A foreign owner does not hold land directly, but as a unit owner participates in that collective share. The status of the parcel is checked together with the master title — it is part of the basis for issuing strata titles.

Common area

The parts of the building that belong to no single unit: lobby, corridors, lifts, roof, parking, pool, plant rooms. They are owned in shares and maintained out of the regular charges. Read the list of common areas and the rules for using them before you buy: that is where you learn what is genuinely included and what is a paid or restricted service.

Perpetual lease (registered long lease)

A structure in which the buyer receives a registered long-term lease rather than ownership. It appears where direct ownership is not available to foreigners — land, for example, or units outside the foreign quota. The key questions are the term, the renewal mechanism, whether the right can be transferred, and what happens if the landlord sells the property. This is not the equivalent of freehold and should not be treated as such without legal review.

Ground-floor restriction

Foreigners cannot own units at ground level or below; ownership is limited to units above the first floor. This is a general restriction on foreign ownership, not a quirk of a particular project. If a ground-floor unit appears in your shortlist, it cannot be registered in a foreign name directly — clarify the alternatives before paying a reservation.

Title registration

The procedure that records your right in the register and produces the title document for your unit. A signed contract and payments do not by themselves create title: registration normally follows completion of construction and fulfilment of the contract terms. Clarify in advance who files the paperwork, which costs fall on the buyer, and within what period the developer undertakes to deliver the title.

Encumbrance

Any restriction recorded against a title: a mortgage, a developer's charge, a seizure, a third-party right. An encumbrance does not always make a deal impossible, but it always changes its terms and its risk. Checking encumbrances is a standard part of legal due diligence, and it matters especially on the resale market.

Reservation, contract and transaction

Between the reservation and the signed SPA a buyer passes through several documents, and nearly all of them have legal consequences. Below are the concepts you will meet in contract texts and in correspondence with the sales team. The rule throughout: what is signed counts, not what was said in the meeting.

Reservation agreement

A short document that holds a specific unit and price for you while the main contract is prepared. It sets the validity period, the amount paid, how that amount is credited, and what happens if you withdraw. It is already a contract, not a formality — read it as carefully as the SPA.

Refundable / non-refundable

This wording decides whether your money comes back if the deal does not proceed, and on what conditions. Refundability often depends on the reason: a buyer changing their mind is treated differently from a developer failing to meet a condition. Ask for the specific grounds for refund and the deadline for repayment to be written into the document.

Addendum / annex

An addendum changes the terms of a contract already signed; an annex is a part of it (floor plan, finishing specification, payment schedule). Individual arrangements — a discount, an included package, a bespoke schedule — only have force once they are recorded this way and signed by both sides. Make sure you hold signed copies of every annex.

Due diligence

The review of the property, the developer and the documents before any substantial payment: titles and encumbrances, the seller's legal entity, construction permits, delivery record, contract terms. It should be carried out by an independent adviser, not by the project's sales team. The outcome is either a decision to proceed or a list of contract changes to request.

KYC and source of funds

The identity and source-of-funds checks run by banks and professional parties to the transaction. Typically a passport, proof of address and documents evidencing the origin of the money are requested. Prepare these early — KYC is where international transfers most often stall.

Power of attorney

The document by which you authorise a representative to sign and act on your behalf — the basic tool of a remote purchase. What matters is the scope of authority, the validity period and the formalities: for use abroad a power of attorney usually needs notarisation and legalisation. Draft the powers narrowly, for defined actions, rather than as a blanket authority.

Contracting party

Who is actually named in the contract as seller and as buyer. The project brand, the marketing company and the entity that carries the obligations are frequently not the same. Match the party named in the contract against the company's records and against the bank details you are asked to pay to.

Developer entity

The Cambodian-registered company that owns the project and is liable under the contract. A well-known group name or a foreign partner is no substitute for checking the entity itself: it is that company you will be dealing with in the event of delay or dispute. Confirm whether the party to the SPA is the same as the holder of the master title.

Payment recipient

The account and account name specified in the contract. Payments should go to the contracting company's details, not to a manager's personal account or a third company. Verify any change of bank details through an independent channel — substituted payment instructions remain a common fraud.

Governing language and governing law

Contracts are often bilingual, and the text will state which version prevails in case of discrepancy and which country's law applies. This is not boilerplate: it determines how a disputed clause will be read. If the prevailing version is in a language you do not read, a translation for your lawyer is essential.

Notices

The mechanism by which the parties formally inform each other of events: readiness for handover, delay, a claim, termination. The contract sets the address, the delivery method and the point at which a notice is deemed received. Keep your contact details in the contract current — a missed notice can mean a missed deadline.

Dispute resolution and arbitration

The clause that decides where the parties go when things go wrong: negotiation, the courts, or arbitration (commercial disputes in Cambodia are often referred to the national arbitration centre, NCAC). The chosen route drives cost, timing and where an award can be enforced. This is a clause worth discussing before signing, not after a dispute arises.

Default, termination and refund

The terms describing what counts as a breach by each side, how the contract ends, and which amounts are returned or retained. The consequences are often asymmetric: buyer default is spelled out in detail while the developer's liability is left general. Read this section before signing and ask for specific periods and amounts.

Condominium governance and management

Once you have the keys, the way the building is run determines both your living experience and your running costs. These terms appear in condominium rules, invoices and meeting minutes.

Co-owner

The owner of a private unit in a co-owned building. Beyond rights over the unit itself, a co-owner holds a share of the common property, a right to take part in decisions about the building, and an obligation to pay its shared costs. Voting weight is usually tied to unit area — the exact mechanism sits in the internal regulations.

Internal regulations

The document that governs life in the building: use of common areas, renovation works, pets, short-term letting, access for guests and contractors. It binds owners and tenants alike. If you are buying to rent out, read the letting section before you commit — restrictions on short-term rental are common.

General meeting and management board

The decision-making machinery of the building: the general meeting of co-owners and an elected board that represents them and oversees the management company. Budgets, charge rates and major works are approved through them. If you will own remotely, establish early how you can vote at a distance and how you receive minutes.

Management company and property manager

The management company runs the building as a whole — security, cleaning of common areas, engineering, budget. A property manager looks after your individual apartment: finding tenants, collecting payments, repairs, reporting. These are separate roles under separate contracts; do not assume the building's management company will handle your rental.

Special assessment and building budget

The building budget is the annual spending plan from which the regular charge rate is derived. A special assessment is an additional one-off levy approved by owners when reserves fall short of a major works bill. Ask the management company whether such levies have been raised before and whether any are already approved: it is a real cost that buyers rarely budget for.

Master insurance policy

The policy taken out over the building as a whole, covering the structure and the common areas. It generally does not cover your interior finishes, your contents, or your liability towards neighbours — those need a separate owner's policy. Check what the master policy actually includes and where its cover stops.

Off-plan, construction and handover

Project stages, contractual dates, delay, inspection, defects and the moment you get the keys. These terms appear in the SPA and in developer correspondence exactly when a mistake costs most — when the money is already paid and the property does not yet exist.

Pre-launch

An early sales stage when units are offered before the public launch — sometimes before the final price list and before the full set of project documents is in place. Access is often formalised through a short reservation form rather than a full SPA, so it matters what the signed paper actually fixes and how it converts into a contract. Ask for written confirmation of the price, unit number and timeline: at this stage verbal arrangements change most easily.

Construction milestone

A construction stage that triggers the next instalment: completion of the foundation, of a given floor, of the roof or of the facade. The key question is who confirms that the milestone has been reached and with what document — a statement from the sales team is not confirmation. Ask for dated site photographs and check them against the wording of the payment schedule.

Target vs contractual completion date

The target (marketing) date is the one used in presentations and advertising; the contractual date is the one written into the SPA, and delay consequences are counted from it. The two often differ, and only the second one has legal weight. Before signing, compare the date in the contract with the date in the brochure and clarify what event it is measured from and what counts as "completion".

Grace period

A cushion of time beyond the completion date, agreed in the contract, during which a delay is not formally treated as a breach. Your realistic waiting time is the contractual date plus this period, and its length is set by the specific SPA. Check whether the grace period can be extended again and on what grounds.

Long-stop date

The outer date after which the buyer gains the rights set out in the contract — for example, to terminate and claim a refund. It is one of the few real protections against a prolonged delay, and it may simply be absent from the contract. Look in the SPA for whether such a date exists, what exactly it gives the buyer, and within what window the claim must be made before the right lapses.

Delay notice

A formal notification from the developer that the timeline has moved. The contract usually prescribes the form, address and delivery method for notices, and whether a notice counts as received depends on following that procedure. Keep every notice with its date: this is the evidence base if the matter becomes a dispute.

Force majeure

A contractual clause releasing a party from liability for missed deadlines due to defined events. The risk for the buyer lies in how broadly it is drafted: the vaguer the list, the easier it is to justify a delay. Read which events are listed, whether the developer must notify you when one occurs, and whether any limit applies to extensions on this ground.

Completion certificate

An official confirmation from the competent authority that the building has been completed and is fit for use. It is not the same as your unit being ready, and not the same as title registration — these are separate stages that happen at different times. Clarify which document you are being shown, who issued it, and which building or phase it covers.

Handover notice

The developer's notification that the unit is ready, together with an invitation to inspect and accept it. Contractual clocks usually start running from this notice: for inspection, for the final payment, for signing the acceptance record. Check in the SPA what happens if the buyer does not attend in time and whether a representative under power of attorney may accept instead.

Handover balance

The remaining share of the price due at the moment the keys are transferred; under many instalment plans this is the largest single amount of the whole transaction. Several other items are usually payable alongside it — reserve fund contributions, insurance, registration costs. Request a full written list of everything due at handover in advance so the total does not come as a surprise.

Clean acceptance

Signing the handover record without listing any defects. Such a signature can weaken your ability to raise claims later, so inspect carefully and record everything you notice, including small items. If you are pushed to sign "clean" with a promise to fix things afterwards, insist that the issues are recorded in writing.

Defect liability period and warranty

The period after handover during which the developer is obliged to remedy defects, plus separate manufacturer warranties on equipment. Duration, scope and the claim procedure are defined by the contract and its annexes — there is no single market standard. Before signing, clarify what is covered, how and where to file a claim, and which cases are expressly excluded.

Area, layout and specification

How area is measured, what finishing and furniture actually include, and how a show unit or a render differs from the property you receive. This is where the gap between what the buyer imagined and what the contract says is widest.

Internal area / Carpet area

The usable floor area inside the unit — excluding any share of common areas and, as a rule, excluding internal walls. It is the only figure that maps directly onto an intuitive sense of how big an apartment is. Request it separately from the saleable area and clarify what exactly the measurement includes.

Saleable area

The area that the developer's price per square metre is multiplied by. It may include a share of common areas, walls and a weighted portion of the balcony — the composition is set by each project's own methodology, not by a single market standard. Always ask for a written breakdown of what makes up the saleable area of your unit.

Balcony area

The area of open or semi-open spaces belonging to the unit. It may be counted into the saleable area in full, partially with a reduction factor, or not at all, and the approach differs from project to project. Clarify how the balcony is treated in your price: with different methodologies, price per square metre stops being comparable between projects.

Common-area allocation

The share of lobbies, corridors, lift halls and service spaces that is distributed across units and included in their saleable area. The more amenities and shared space a project has, the larger this share tends to be. It is also commonly the base for the management fee, so it affects both the purchase price and your monthly costs.

Price per square metre

A figure that only means something together with its base: which area it was divided by and what that area contains. The same unit looks cheaper when the price is divided by a larger saleable area and more expensive when divided by the internal area. When comparing projects, bring the price to a single base and check whether parking, finishing and furniture are included.

Floor plan / Unit layout

The drawing of the unit with dimensions, room arrangement and usually the position of risers and service ducts. The plan is an annex to the contract, and it — not the brochure — describes what you are buying. Check that the plan is attached to the SPA, that the unit number matches, and whether a permitted tolerance for deviation between actual and designed area is stated.

Show unit

A demonstration apartment in the sales gallery or in the building itself. A show unit illustrates a possible interior, but it may differ from the delivered property in layout, materials, built-in furniture, appliances and even dimensions. Anything you expect to receive must be listed in the contractual specification; photographs of a show unit carry no contractual force.

Specification / Material schedule

The contract annex describing what is actually delivered: floor finishes, sanitary ware, windows, air conditioning, kitchen units, appliances. Wording such as "or equivalent" gives the developer a substitution right, and how broadly that right is drafted matters. Insist that the specification is signed together with the SPA rather than left in a presentation.

Shell & core / Fitted / Turnkey / Furniture package

Shell & core means a bare unit with structure and services brought to it; fitted means finished but usually unfurnished; turnkey and a furniture package mean an agreed set of furniture and appliances is included. These labels are used loosely across the market, so rely on the itemised specification rather than the word in the brochure. If a furniture package is presented as a gift, clarify whether it is part of the contract price and what happens if the supplier changes.

Price, payments, taxes and costs

What the final amount is actually made of, how payment schedules work, and which costs appear after the purchase. Rates and duties in Cambodia change, so below we explain the structure of each payment; confirm the actual amounts with an independent lawyer and tax adviser before you transact.

List price / Base price / Cash price

The list price is the one shown in the official price list; the base price is the unit price before options and packages; the cash price is the offer for buyers paying in full up front. These three rarely coincide and are easy to confuse in negotiation. Always record in writing which price is being discussed and what is already included in it.

Discount / Incentive

A cash discount reduces the contract amount; an incentive (furniture, appliances, prepaid fees, parking) does not. Treating them as the same thing distorts comparisons, because the advertised value of a gift is usually marketing value rather than market value. Compare offers by the amount you actually pay, not by the size of the headline benefit.

Payment plan / Payment schedule

The SPA annex setting out the shares of the price tied either to dates or to construction stages. It is the schedule, not a verbal arrangement, that determines when and how much you owe and what happens if you are late. Before signing, match the schedule against your real cash flow — especially the large amount falling due at handover.

Down payment / Deposit

The first substantial payment after the contract is signed, usually due shortly after reservation. Check whether the reservation fee is credited against it, which account it goes to, and under what conditions it is refundable. Verify the payee separately: it should match the legal entity named in the contract.

Developer instalment

Paying in stages during construction without a bank, including the widely advertised "zero interest" plans. No interest does not mean no mark-up: the instalment price and the full-payment price usually differ, and that difference is the cost of the financing. Compare both options in money terms and find out in advance what happens if you need to change the schedule.

Late payment / Default / Cure period

The contract section covering what happens if a payment is late: penalty interest, the window you have to put it right, and the developer's right to terminate. It usually also states how much of what you have already paid is retained on termination caused by the buyer. This is one of the most important sections of the SPA to review, and its terms vary widely between projects.

International transfer fee and FX spread

Money is lost not only on the bank's fee but also on the conversion rate and on correspondent-bank charges that can be deducted along the way. As a result the developer sometimes receives less than you sent and asks you to top up the difference. Agree in advance who bears these costs and confirm the full payment details and the currency of payment.

Stamp duty, registration and cadastral fees

The mandatory state payments arising on transfer of rights and registration of title in the new owner's name. Their amount, calculation base and allocation between the parties depend on current legislation and on the contract, so this should be settled before signing. Ask a lawyer for the current rates and assessment base, and check the contract for who pays what and when.

Annual property tax

A recurring owner's tax calculated from an assessed value of the property rather than from your purchase price. The calculation method, payment deadlines and any exemption threshold are set by legislation and can change. Budget for this cost when planning ownership and confirm the current parameters with a tax adviser.

Rental income tax

The tax arising when the unit is let. The treatment depends on who the owner is, how the tenancy is documented, and whether the tenant or the management company withholds the tax. Any yield calculation that ignores it is gross and incomplete — clarify the regime that applies to your situation before you calculate net profit.

Capital gains tax

Tax on the difference between purchase and sale price, which affects the outcome of any exit strategy. The rules, calculation method and administration practice in Cambodia have been revised and postponed, so relying on outdated summaries is risky. Before reselling, ask a tax adviser for the current position and keep the documents evidencing your purchase price.

Total cost of ownership

The sum of all costs, not just the unit price: contract payments, registration fees, the reserve fund contribution, management fees, insurance, taxes, upkeep and exit costs. This figure, not the price list, defines the real economics of the investment. Build this list before the transaction and ask the developer for written estimates for each line.

Rental and return metrics

Rental income, costs, occupancy and the return formulas. Below is how each metric is calculated and what it hides; specific figures for a project should always be requested separately and confirmed by documents.

Asking rent / Achieved rent

Asking rent is the figure in the listing or the presentation. Achieved rent is what a signed lease records and what actually reaches the account after discounts, free months and included services. Return calculations built on asking rents are almost always inflated: ask for dated leases or comparable transactions, not screenshots of listings.

Gross rent / Net rent

Gross rent is all rental income for the period before any deductions. Net rent is what remains after the management fee, the letting agent's commission, vacancy, repairs, owner-paid utilities and taxes. The word "net" is meaningless without a list of deductions — always ask which costs are already included.

ROI (return on investment)

The ratio of the result achieved to the capital invested over the whole holding period. The main limitation of ROI is that it ignores time: the same result over a short and a long period gives the same ROI, although economically these are different deals. Clarify the period, what income is counted and whether entry and exit costs are included.

IRR (internal rate of return)

The annualised rate at which the present value of all cash flows equals the amount invested; unlike ROI, it accounts for when payments occur. IRR is highly sensitive to assumptions about the future sale price, the holding period and the instalment schedule. Comparing IRR across projects is only valid when the scenario is disclosed and the assumptions match.

Cash-on-cash return

The ratio of cash flow for a period to the money you have actually paid in, not to the full unit price. Under an instalment plan these two amounts differ substantially, so the metric looks very different during construction and after the final payment. Clarify the date at which the invested capital is fixed.

Occupancy / Vacancy

Occupancy is the share of time a unit is let; vacancy is the inverse share, including tenant search, repairs and gaps between leases. Vacancy reduces income directly, yet marketing calculations often omit it. Ask over what period occupancy was measured and for what — your unit, the building or the market as a whole.

Break-even occupancy

The occupancy level at which rental income fully covers the costs of ownership — management, building charges, repairs and taxes. It is a more honest benchmark than a yield forecast because it shows the safety margin: how far demand can fall before the unit starts losing money. It must be calculated from your own cost list, not from a market average.

Property management and management commission

A service by a company or the developer covering tenant search, leases, rent collection and unit upkeep. It is paid as a share of collected rent or a fixed fee, and it does not replace the building management fee — these are two separate payments. Check what the service includes, who pays for repairs and furniture replacement, and how the agreement is terminated.

Rental pool

An arrangement where income from a group of units is combined and distributed to owners in proportion to their share. Your income then depends not on your own apartment but on the performance of the whole pool and on which costs are deducted from it. Check how the share is calculated, your right to use your own unit, the reporting you receive and the exit terms.

Resale and exit

Buying is easier than selling. These terms describe the routes out of an investment, how a unit is valued and the costs that reduce your final result.

Resale / Secondary market

The sale of a unit that has already been handed over (and often titled) to the next buyer. On the secondary market you compete not only with other owners but with the developer, who is still selling remaining stock in the same building with its own promotions and instalments. Before buying, it helps to know who your exit buyer will be and why your unit will suit them better.

Developer sale / Assignment sale

Before handover a unit can only be sold through assignment of the SPA, and the developer sets the rules: consent, a transfer fee, a minimum share of the price paid. After handover and titling you sell the property itself, through the standard transfer procedure. The two routes differ in documents, timing and tax consequences — clarify both before you sign.

Exit strategy and liquidity

An exit strategy is a considered answer to how and to whom you will sell. Liquidity is how quickly a unit can be sold without a material discount to the asking price. It is driven by unit type, district, the share of foreign owners in the building, the remaining foreign quota and how many similar units are on the market in the same project.

Market value and comparables

Market value is the price at which a unit can realistically be sold to an informed buyer, not the price in a listing. It is assessed from comparable transactions: similar size, floor, view, finish, title and transaction date. Comparing against the developer's price in the same building is misleading — the developer sells a different product: a new unit with an instalment plan and a warranty.

Agent commission

The intermediary's fee for the transaction. In a new project the developer usually pays it and the service is free for the buyer; on resale it is more often paid by the seller, which means it comes out of your result. Fix the amount, the moment the commission becomes due and any exclusivity in a written agreement.

Exit costs

Everything that reduces the amount you actually receive: agent commission, taxes and fees on sale, outstanding management fees, the cost of getting the unit back into saleable condition, banking and currency costs, and the developer's transfer fee on an assignment. A return calculated without exit costs always looks better than reality. Measure the net proceeds, not the difference between two prices.

Property and project types

The marketing name of a building and its legal status are not the same thing. Below is what stands behind the common labels and what a foreign buyer should verify in each case.

Condominium / Apartment

A condominium in the Cambodian sense is a building registered as a co-owned building, where a unit can hold strata title. The word "apartment" is used in listings both for such units and for ordinary rental flats in buildings without that status, which a foreigner cannot register as owned property. Judge by the building status and the title, not by the name in the advertisement.

Serviced apartment

Apartments with hotel-style services: cleaning, linen, a reception desk, sometimes breakfast. In Phnom Penh these are often whole buildings owned by a single landlord and let monthly — you can live there, but you cannot buy a unit. If a project sells serviced apartments unit by unit, check the building status, the title and whether joining the management programme is compulsory.

Condo-hotel / Hotel residence

A format where units are sold to private owners but operated as hotel room stock by an operator, with income distributed through a rental pool. Personal use is normally capped at a set number of nights per year. The key questions: who the operator is, how long the agreement runs, which costs are deducted before distribution and what happens if the operator leaves.

Branded residence

A project sold under the name of a hotel or other brand. It matters whether the brand owns the project, operates it under contract, or has merely licensed its name for a fixed term — that determines what you actually get and what happens if the licence ends. A brand affects the entry price and the running charges, but guarantees neither construction quality nor rental demand.

Mixed-use development

A building or block combining residential, office, retail and sometimes hotel uses. For an owner this means different streams of people, shared building services and cost items that may be split or shared. Check how entrances, lifts and parking are separated, who funds the common areas and how your share of the charges is calculated.

Borey

A gated residential development of houses, townhouses or shophouses with its own infrastructure — a widespread format in Cambodia. These are land-based properties: a foreigner cannot own land directly, so purchase is only possible through a leasehold or a structure with Cambodian participation, each requiring separate legal review. The community rules and maintenance charges are set out in a separate document.

Villa / Townhouse / Shophouse

Low-rise formats: a detached house, a house in a terrace with shared walls, and a building with commercial space on the ground floor and living space above. All of them are tied to land, so for a foreigner they are available through leasehold or other structures rather than strata title. Demand and liquidity for these formats are driven mainly by the domestic market.

Commercial unit / Retail / Strata office

Office and retail space sold unit by unit in a registered building, which can also hold strata title. The economics differ from residential: longer leases, higher fit-out and services requirements, a longer search for a tenant, and fit-out costs that are usually split between the parties. Verify the permitted use of the space, the activities allowed and the building rules before the deal.

How NovAsia verifies data

Every material field on this site has a source and a date. We use these labels the same way on project pages, in comparisons and in articles — so that you can see what a number is based on, not just the number. The full methodology is in the Trust Center.

Official document / Written confirmation

An official document is a contract, permit, extract or other instrument with legal force; it is the strongest basis for a value. A written confirmation is a reply from the developer or its representative in correspondence: weaker than a document, but verifiable and datable. Both are recorded with a date, so that it stays visible how old the information is.

Public statement / Secondary source

A public statement is information from the project's official site, a presentation or a developer press release. A secondary source is a publication by media, a portal or an aggregator that is not a party to the transaction. We publish such information with its origin stated and do not treat it as equal to a document: before a deal it must be confirmed in writing.

Source date

The date on which the information was current at the source itself: the date of the letter, publication, price list or document. It matters more than the day you read the page — prices, availability and timelines in Cambodia change, and an old date is a signal to re-check. A field with no source date is not treated as confirmed.

Last verified

The date when we last checked a field against its source. It answers a different question from the source date: not "when was this true" but "when did we check it". Verification dates by project are collected on the project status page; if a value matters to your decision, ask the developer for fresh confirmation.