Authored by the expert who managed and guided the team behind the Cambodia Property Pack
Yes, the analysis of Phnom Penh's property market is included in our pack
Phnom Penh's property market offers some of the most affordable entry points in Southeast Asia for foreign investors.
As of September 2025, condo prices range from $1,500-$3,500 per square meter, while land in central districts commands $3,000-$8,500 per square meter. The market has stabilized after corrections in previous years and shows promising growth potential with major infrastructure developments underway.
If you want to go deeper, you can check our pack of documents related to the real estate market in Cambodia, based on reliable facts and data, not opinions or rumors.
Phnom Penh property prices vary significantly by location, with central districts like BKK1 and Daun Penh commanding premium prices while outer areas like Kambol and Prek Pnov offer affordable options.
The market shows steady recovery with 1.5-2.2% growth in the past year, and experts forecast 5-10% growth in emerging districts over the next year.
| Property Type | Price Range (USD/sqm) | Best Areas |
|---|---|---|
| Entry-level Condos | $1,500-$2,200 | Sen Sok, Chbar Ampov |
| Mid-range Condos | $1,300-$1,900 | Toul Kork, Mean Chey |
| Premium Condos | $1,900-$3,500 | BKK1, Daun Penh, Riverside |
| Apartments (Non-condo) | $1,000-$2,700 | Citywide |
| Villas/Borey | $2,000-$2,500 | Sen Sok, Chbar Ampov |
| Central Land | $3,000-$8,500 | Daun Penh, BKK, Chamkarmon |
| Suburban Land | $70-$2,500 | Kambol, Prek Pnov, Sen Sok |
What are the current average prices for different types of property in Phnom Penh?
As of September 2025, Phnom Penh's property market shows distinct pricing tiers across different property types.
Condos in entry-level areas like Sen Sok and Chbar Ampov typically cost $1,500-$2,200 per square meter. Mid-range condos in central districts average $1,300-$1,900 per square meter, while high-end units in prime locations like BKK1 and riverside areas command $1,900-$3,500 per square meter.
Local apartments (non-condo developments) range from $1,000-$2,700 per square meter citywide, with studios and one-bedroom units typically priced between $60,000-$185,000 depending on location. Villas and borey (gated community homes) average $2,000-$2,500 per square meter for finished properties, though luxury options can be significantly higher.
Land prices vary dramatically by location, with central districts like Daun Penh, Chamkarmon, and BKK commanding $3,000-$8,500 per square meter. Developing outer districts such as Sen Sok, Chbar Ampov, Kambol, and Prek Pnov offer land at $70-$2,500 per square meter, typically falling within the $300-$1,700 range in actively developing neighborhoods.
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How do prices vary between central districts and outer neighborhoods?
| Area/District | Land Price (US$/sqm) | Condo Price (US$/sqm) | Market Position |
|---|---|---|---|
| Daun Penh | $3,000-$8,500 | $2,000-$3,500+ | Most expensive, historical core |
| 7 Makara, Toul Kork | $2,500-$8,500 | $2,000-$3,200 | Trendy, central, near amenities |
| Boeung Keng Kang (BKK) | $2,500-$7,500 | $2,200-$3,500 | Most sought after by expats |
| Chamkarmon (Tonle Bassac) | $2,000-$5,500 | $1,900-$3,500 | Luxury condos, embassies |
| Sen Sok, Chbar Ampov | $300-$2,500 | $1,300-$2,200 | Popular with middle class, fast growing |
| Mean Chey, Chroy Changvar | $200-$3,500 | $1,000-$1,900 | Up-and-coming, infrastructure projects |
| Kambol, Prek Pnov | $70-$2,000 | $800-$1,500 | Most affordable, outer ring, future growth |
What is the average price per square meter for each property type across main areas?
Price per square meter varies significantly based on both property type and location within Phnom Penh.
In the most expensive central areas like Daun Penh and BKK1, premium condos reach $3,500 per square meter, while land commands up to $8,500 per square meter. These areas represent the peak of Phnom Penh's property market, offering the best amenities and infrastructure.
Mid-tier neighborhoods like Toul Kork and Chamkarmon show more moderate pricing, with condos averaging $2,000-$3,200 per square meter and land priced at $2,000-$5,500 per square meter. These areas balance accessibility with quality infrastructure and are popular with both locals and expatriates.
Outer districts like Sen Sok and Chbar Ampov offer the best value, with condos priced at $1,300-$2,200 per square meter and land starting from just $300 per square meter. These areas are experiencing rapid development and show the highest appreciation potential.
The most affordable options are found in Kambol and Prek Pnov, where land can be purchased for as little as $70 per square meter in some areas, though typical prices range from $300-$1,000 per square meter for developable plots.
What is the typical total cost when adding fees, taxes, and transfer costs?
The total cost of property purchase in Phnom Penh has become more favorable in 2025 due to government incentives.
Stamp duty (transfer tax) normally stands at 4% of property value, but Cambodia introduced significant exemptions in 2025. First-time home or condo buyers purchasing from registered developers pay no stamp duty on properties valued up to $210,000. For properties above this threshold, only the amount exceeding $210,000 is subject to the 4% tax.
Legal and registration fees typically range from $500-$1,500, covering document preparation, title verification, and official registration processes. These costs are relatively standardized across the market regardless of property value.
Agent fees, when applicable, are usually covered by the seller, though buyers may occasionally pay 1-2% in certain transactions. Many developers sell directly to buyers, eliminating this cost entirely.
Total closing costs typically range from 1-6% of property value, significantly lower than many regional markets due to the current tax incentives. This makes Phnom Penh particularly attractive compared to neighboring countries where total transaction costs often exceed 8-10%.
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What are the usual mortgage conditions for financing property purchases?
Mortgage conditions in Phnom Penh vary significantly between foreign and local buyers.
Foreign buyers typically face annual interest rates of 7-10%, with down payment requirements ranging from 30-70% of property value. Loan terms are usually limited to 20 years maximum, and many banks require substantial documentation and proof of income. Some developers offer installment payment plans as an alternative to traditional bank financing.
Local Cambodian buyers enjoy more favorable conditions, with interest rates ranging from 4-8% annually. Top-tier banking clients can secure loans with down payments as low as 20%, though 30-40% is more typical. Local buyers can often secure loan terms up to 20 years.
Repayment terms generally range from 10-20 years across all buyer categories. Many developers offer flexible payment schedules allowing buyers to pay gradually until property handover, which can be particularly attractive for off-plan purchases.
Cash purchases remain common among expatriate buyers, partly due to the relatively affordable property prices compared to their home countries and partly due to the complexity of securing foreign buyer financing.
It's something we develop in our Cambodia property pack.
How have property prices changed over the past five years and the past year?
Phnom Penh's property market has experienced significant volatility over the past five years before stabilizing recently.
The market underwent a sharp correction after reaching peak levels in 2019-2021, with prices declining 15-30% from their highs due to oversupply concerns and pandemic-related disruptions. This correction particularly affected luxury condos and speculative developments in outer areas.
However, the market has stabilized and begun showing modest recovery since 2023. Over the past year, central condos have recorded nominal growth of 1.5-2.2%, indicating a return to stability. More notably, land in developing areas like Sen Sok and Chbar Ampov has appreciated 12-15% over the past year, reflecting renewed confidence in suburban development.
Looking at the longer-term perspective, property prices remain 50-100% higher than they were a decade ago, especially in key central districts. This reflects the underlying economic growth and urbanization trends that continue to drive demand.
The current market represents a more balanced environment compared to the speculative peaks of recent years, with price movements more closely aligned with fundamental economic factors.
What do experts forecast for property values over the next one, five, and ten years?
Expert forecasts for Phnom Penh's property market show optimism across all time horizons, with varying growth expectations by location and property type.
Short-term forecasts for the next year predict 5-10% growth in emerging and suburban districts, driven by ongoing infrastructure projects and renewed investor confidence. Central city areas are expected to see more modest gains due to lingering oversupply in the luxury segment.
Five-year projections are more bullish, with analysts expecting 25-40% growth in prime suburban land and up to 20% appreciation for well-located condos. These forecasts are based on major infrastructure developments including new airport connections, ring roads, and continued economic growth.
Ten-year outlooks suggest Phnom Penh property values could converge toward Bangkok and Ho Chi Minh City levels, particularly for prime apartments and serviced condos. This would represent substantial appreciation from current levels, assuming continued political stability and favorable investment climate.
The most optimistic growth is expected in outer districts currently undergoing rapid development, while central areas are projected to deliver steadier but more modest appreciation.
How do Phnom Penh prices compare with similar regional cities?
| City | Average Condo Price (US$/sqm) | Central Land Price (US$/sqm) | Cost of Living vs Phnom Penh |
|---|---|---|---|
| Bangkok, Thailand | $4,000-$6,000 | $6,000-$12,000 | 20%+ higher |
| Ho Chi Minh City, Vietnam | $2,300-$5,000 | $4,000-$10,000 | 25%+ higher |
| Phnom Penh, Cambodia | $1,500-$3,500 | $3,000-$8,500 | Baseline |
| Kuala Lumpur, Malaysia | $2,500-$5,000 | $5,000-$12,000 | 30%+ higher |
What are some real-life examples of recent purchase prices?
Recent sales data from 2025 provides concrete examples of actual transaction prices across different property types in Phnom Penh.
Studio and one-bedroom condos in areas like Sen Sok or Kakab typically sell for $65,000-$95,000, covering units of 35-55 square meters. These represent entry-level options popular with young professionals and small investors.
Two-bedroom mid-range condos near BKK areas command $165,000-$210,000 for units ranging from 75-110 square meters. These properties are popular with expatriate families and upper-middle-class local buyers.
High-end three-bedroom condos in riverside or Tonle Bassac locations sell for $280,000-$500,000+, typically covering 120-180 square meters. These represent the premium segment of Phnom Penh's condo market.
Modern villas in outer borough borey developments typically cost $240,000-$370,000 for houses of 150-250 square meters on small lots. Central shophouses combining residential and commercial use sell for $350,000-$700,000, covering 120-180 square meter lots with 3-5 floors.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Cambodia versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
What are the smartest choices for owner-occupiers in 2025?
Owner-occupiers should focus on areas offering the best combination of lifestyle amenities, infrastructure, and long-term value retention.
BKK1, Tonle Bassac, and Toul Kork represent the smartest choices for self-living, offering excellent amenities, walkability, and strong resale value prospects. These areas provide easy access to international schools, healthcare facilities, restaurants, and business districts.
Families seeking more affordable options should consider Sen Sok, Chbar Ampov, and Mean Chey, where borey homes and mid-range condos in well-managed developments offer good value. These areas are rapidly improving in terms of infrastructure and services while maintaining affordability.
Forward-looking buyers might consider up-and-coming areas like Chbar Ampov south, Prek Pnov (benefiting from new road connections), and northern Toul Kork. These locations offer the potential for both lifestyle improvement and capital appreciation as development progresses.
The key is balancing current livability with future potential, ensuring the chosen location meets both immediate needs and long-term investment objectives.
What are the best rental income options for short-term versus long-term rentals?
Rental income strategies in Phnom Penh should align with target tenant demographics and yield expectations.
Short-term and holiday rentals perform best in central city condos with easy access to riverside areas, nightlife, and business districts. These properties typically achieve yields of 7-8.5% and benefit from Phnom Penh's growing tourism and business travel sectors.
Long-term stable income is best achieved through 2-4 bedroom condos or townhouses in BKK, Toul Kork, and similar established areas. These properties target expatriate families and upper-income Cambodians seeking quality accommodation, providing reliable rental income with lower vacancy risks.
Tourist and investor-focused properties should concentrate on studio and one-bedroom units in projects near major shopping malls, the embassy zone, and areas with good access to the new Techo Airport. These locations benefit from both business travel and tourist demand.
The Phnom Penh rental market shows gross yields of 6-8% typical for condos and apartments citywide, with higher-quality units in prime locations achieving the best performance.
It's something we develop in our Cambodia property pack.
Which properties and areas make the most sense for resale appreciation?
Capital appreciation potential varies significantly by property type and location within Phnom Penh's evolving market.
Land in fast-growing suburbs like Sen Sok, Kambol, Chbar Ampov, and Prek Pnov offers the highest appreciation potential, often delivering 10-15% annual growth off a lower price base. These areas benefit from ongoing infrastructure development and expanding urban boundaries.
Mid-range condos in prime neighborhoods such as Toul Kork and riverside areas provide good balance between appreciation potential and resale liquidity. These properties benefit from consistent demand and limited new supply in prime locations.
Central shophouses and mixed-use properties represent attractive long-term appreciation plays due to rare supply and increasing demand as the economy grows. These properties often provide both rental income and capital growth potential.
Investors should note that central city condos offer safety and liquidity but typically deliver less appreciation than peripheral land over 5-10 year periods. The choice depends on risk tolerance and investment timeline preferences.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Phnom Penh's property market in 2025 presents compelling opportunities for both owner-occupiers and investors seeking exposure to one of Southeast Asia's most affordable capital cities.
With central condos starting from $1,500 per square meter and significant infrastructure developments underway, the market offers attractive entry points compared to regional peers like Bangkok and Ho Chi Minh City.
Sources
- Global Property Guide - Cambodia Price History
- IPS Cambodia - Phnom Penh Condo Market Trends 2025
- BambooRoutes - Phnom Penh Price Forecasts
- BambooRoutes - Cambodia Price Forecasts
- BambooRoutes - Phnom Penh Property
- Dabest Properties - Cambodia Condo Trends
- The Wandering Investor - Phnom Penh Real Estate Guide
- CBRE Cambodia - Real Estate Law 2025 Guide
- Dabest Properties - Cambodia 2025 Tax Incentives
- BambooRoutes - Cambodia Buy Property
-Phnom Penh Property Taxes and Fees Guide
-Can Foreigners Buy Property in Phnom Penh?
-How to Buy a House in Phnom Penh: Complete Guide
-Phnom Penh Real Estate Market Outlook
-Condo Prices in Phnom Penh: 2025 Analysis
-Average Rent in Phnom Penh by District