Can foreigners buy property in Cambodia?
In Cambodia, there is a legal act for foreign nationals to buy property, but under certain restrictions that are required by laws. The numbers of foreigners enter to Cambodia has been raised from year to year. Most of them decide to come to Cambodia to run their own business and others came to Cambodia for a living. There are various purposes for them to live in Cambodia. Among those, maybe they would like to experience Khmer culture or the diversity of Cambodia that attracts them.
Most foreign nationals prefer to live in a rural area or somewhere near an ocean or mountains because it makes them feel fresh and comfortable rather than an urban area. Since the raising number of foreigners to Cambodia, the topic of owning property has posed a doubt to get a proper answer.
Can a foreigner own or buy property in Cambodia? What is the restriction for a foreigner to buy property in Cambodia? These questions are among other significate questions to ask before other nations enter Cambodia to live or doing business. Of course, this article will answer these foremost questions in order to clear doubts of foreigners who intend to come to Cambodia.
Foreigners to own Property in Cambodia
Legally, foreigners can own property in Cambodia with certain restrictions by the government. Before we dig deeper into the specific answer, we should understand a term about “what is a strata title?”
Particularly, Private ownership on Co-owned (strata) is a building that allows foreigners to legally own property in Cambodia as a form of property title. This Co-owned building or strata is defined as a building where several owners settle comprise exclusive space for ownership of each co-owner (private unit) and others are commonly used for co-owners as well (common areas).
According to Cambodian law, foreign nationals can own property, but only own properties on the first floor or higher (not the ground floor at all), which up to seventy percent of one building. However, this law only applies to a strata title.
There is another alternative method in which foreigners can own 49% of private property, with or without a structure at all. Foreigners can partner up with Cambodia legal entity or Cambodian citizen that held 51 percent of that property’s share. In this case, foreign nationals can buy which properties they need for themselves. However, this method poses a high risk for both parties.
The Requirement and Cautious
Buying properties in Cambodia, foreign nationals require to have a current valid passport and visa. It should be noticed that the first crucial thing to do is to make title research in order to know the status of the properties we intended to buy. The title will indicate clearly whose property it is and by doing this, foreigners can avoid any dispute regarding certain things, including the fake title. However, it’s better to have an agent to guide you as a foreigner to do the process.