Thinking of Buying an Off-Plan Condo in Phnom Penh with Big Discounts and Guaranteed Returns? Read This First.
Buying a condo from an overseas agent who isn’t based in Phnom Penh—especially when the offer includes an attractive discount of up to 30% and a prepaid guaranteed return—may sound like the best deal. But before placing a deposit or signing a Sale and Purchase Agreement (SPA), make sure you carefully consider the following points to avoid disappointment when you finally visit the project in Cambodia.
- Understand the Project Location
Do your research on the actual location of the project. Marketing materials can make it look like the condo is riverfront or centrally located, but in reality, it could be across the river or in a less active area. Phnom Penh is a small city where most condos are targeted toward expat rentals rather than local buyers, so location is a critical factor in rental potential and resale value.
- Research the Developer’s Background
Check the developer’s track record. Have they successfully completed other projects? How well do they manage their buildings after handover? The credibility and capability of the developer are essential to the long-term value of your investment.
- Know the Price per Square Meter (Net Area)
After deducting the discount and prepaid guaranteed return, is the effective price per square meter still in line with the market? It’s important to know what you’re really paying. Compare with prices listed on reputable real estate agency websites to get a clearer picture of what’s fair in the area.
- Verify the Agent’s Reputation and Expertise
Look for reviews or feedback about the agent promoting the condo. Are they experienced? Are they providing you with accurate market insights and responsible guidance?
