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Siem Reap offers some of the strongest rental yields in Southeast Asia as of September 2025. The city's property market delivers attractive returns for investors seeking rental income from condos, villas, and shophouses.
As of September 2025, rental yields in Siem Reap range from 7% to 10% for most property types, with condos typically achieving 7-9% gross yields and villas reaching 6-10%. The market benefits from strong tourism recovery, growing expat demand, and ongoing infrastructure development that supports both short-term and long-term rental strategies.
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Siem Reap rental yields range from 7-10% gross for most property types, with condos achieving 7-9% and villas 6-10% as of September 2025.
Short-term rentals can deliver higher returns with 85% occupancy rates, while net yields after costs typically settle at 5-7%.
| Property Type | Gross Rental Yield | Monthly Rental Range (USD) |
|---|---|---|
| Studio/1BR Condo | 7-9% | $300-$650 |
| 2-3BR Condo | 7-9% | $650-$1,250 |
| Basic Villa | 6-8% | $500-$900 |
| Luxury Villa | 8-10% | $900-$2,500 |
| Shophouse | 8-12% | $700-$1,800 |
| Commercial Space | 8-10% | $1,000+ |
| Short-term Rentals | 9-12% | Variable (85% occupancy) |
What are the current average rental yields in Siem Reap by property type?
Siem Reap property market delivers rental yields ranging from 7% to 12% gross depending on property type as of September 2025.
Condos and apartments achieve 7-9% gross yields typically, with newer developments like Rose Apple Square and Angkor Grace reaching 8-10%. These properties benefit from strong demand from both tourists and expats seeking modern amenities and central locations.
Villas generate 6-10% yields with significant variation based on style and location. Basic local-style villas deliver 6-8% yields, while Western-style luxury villas can reach 8-10%. The higher yields often reflect premium rental rates that affluent expats and long-term visitors are willing to pay.
Shophouses perform exceptionally well with 8-12% gross yields due to their dual residential and commercial appeal. These properties attract business tenants and families seeking larger spaces, creating steady rental demand.
Short-term rental properties can achieve higher annualized yields due to peak season occupancy rates reaching 85%. Tourist-focused properties in prime locations often outperform traditional long-term rentals during high season months.
How do rental yields vary between different neighborhoods in Siem Reap?
Central Siem Reap commands premium prices but delivers yields on par with or slightly above city averages due to consistent rental demand.
Tourist zones near Angkor Wat achieve strong yields despite higher purchase prices because international visitors pay premium rents for convenient locations. Properties within walking distance of major temples and tourist attractions maintain high occupancy rates year-round.
Svay Dangkum and emerging outskirt areas experience rapid yield growth due to new infrastructure projects and lower entry costs. These neighborhoods benefit from ring road development and urban expansion, attracting both local families and expat residents seeking value.
Areas with new infrastructure development, particularly those connected to major road projects, show the strongest yield performance. The ongoing urban development creates appreciation potential alongside rental income opportunities.
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How does property size affect rental yields in Siem Reap?
Smaller properties typically deliver higher percentage yields per square meter due to strong demand from couples, tourists, and young professionals.
Studio and 1-2 bedroom units achieve the highest yields because they dominate short-term rental markets and appeal to the largest renter demographic. These compact properties are easier to furnish and maintain while commanding relatively high rents per square meter.
One-bedroom condos and apartments specifically show superior yield performance in central locations where space efficiency matters most. The strong tourist market for compact, well-appointed accommodations drives consistent rental rates throughout the year.
Larger villas and shophouses generate lower percentage yields but higher absolute cash flow figures. These properties appeal to families and long-term expat tenants who value space and are willing to pay higher total rents for comfort and amenities.
Properties between 50-80 square meters often represent the sweet spot for yield optimization, offering enough space for comfortable living while maintaining cost efficiency for both owners and renters.
How do purchase costs impact net rental yields in Siem Reap?
Total purchase costs including taxes, legal fees, and agent commissions typically reduce gross yields by 1.5-3% in Siem Reap.
| Cost Component | Typical Percentage | Impact on Net Yield |
|---|---|---|
| Stamp Duty | 4% | -0.8% to -1.2% |
| Legal Fees | 1-2% | -0.2% to -0.4% |
| Agent Commission | 3% | -0.5% to -0.8% |
| Due Diligence | 0.5% | -0.1% |
| Registration Fees | 0.1% | Minimal |
Government policies favor properties under $210,000 with tax exemptions, which can boost net returns for investors targeting mid-range properties. These incentives make smaller condos and basic villas particularly attractive from a yield perspective.
Net yields after all costs and vacancy allowances typically settle at 5-7% for condos, villas, and shophouses. This represents strong performance compared to many developed markets while maintaining reasonable risk levels.
Property management costs for rental properties add another 8-12% of rental income annually, further impacting net yields. However, professional management often improves occupancy rates and rental prices, partially offsetting these costs.
What mortgage conditions are available in Siem Reap and how do they impact yields?
Foreign buyers face mortgage rates of 7-10% for eligible properties, making leverage less attractive for yield optimization in Siem Reap.
Most international investors purchase properties in cash due to procedural barriers and high financing costs. The complex documentation requirements and limited foreign ownership options make mortgage financing challenging for non-residents.
Developer-backed financing products offer five-year fixed rates around 9%, but require careful due diligence on terms and conditions. These specialized products may include restrictions on rental activities or resale timing that impact investment flexibility.
Cash purchases allow investors to capture full rental yields without interest payments, making the 7-10% gross yields more attractive. Leveraged investments at 8-9% interest rates leave minimal net returns after financing costs.
Local currency financing may be available at lower rates but introduces exchange rate risk for foreign investors. The potential for currency depreciation can erode returns even with favorable local interest rates.
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What are the average rental prices for different property types in Siem Reap?
Rental prices in Siem Reap vary significantly by property type, location, and amenities as of September 2025.
Studio and 1-bedroom condos command $300-$650 monthly in central locations with modern amenities. New developments with swimming pools, gyms, and security systems achieve the higher end of this range.
Two to three-bedroom condos rent for $650-$1,250 monthly depending on building quality and location. Premium units in tourist-friendly areas with Western-style finishes and appliances command top prices.
Basic villas rent for $500-$900 monthly while luxury Western-style villas achieve $900-$2,500 monthly. The wide price range reflects differences in size, amenities, and proximity to international schools or tourist attractions.
Shophouses generate $700-$1,800 monthly rental income with ground floor commercial potential adding value. These versatile properties appeal to businesses and families seeking mixed-use opportunities.
Commercial spaces on main streets start at $1,000 monthly with prime locations commanding significantly higher rents. Restaurant and retail spaces in tourist areas can achieve $2,000+ monthly during peak seasons.
How do vacancy rates differ across property types and affect profitability?
Short-term rental properties achieve 85% occupancy rates during peak tourist seasons in prime Siem Reap locations.
Long-term rental properties experience vacancy rates around 10-15% in core areas with established expat and local demand. Well-maintained properties in desirable neighborhoods maintain lower vacancy rates throughout the year.
Seasonal variation significantly impacts profitability, with tourist-dependent properties experiencing 40-60% occupancy during low season months. This seasonality requires careful cash flow planning and may favor mixed rental strategies.
Condos with modern amenities and professional management maintain the lowest vacancy rates across both short and long-term rental markets. Properties with swimming pools, security, and reliable utilities attract higher-quality tenants willing to pay premium rents.
Villas in expat-favored neighborhoods show steady demand with 5-10% vacancy rates for long-term rentals. Families relocating to Siem Reap for work or lifestyle reasons provide consistent rental demand for these larger properties.
What types of renters dominate the Siem Reap market and what are their preferences?
Tourists prefer 1-2 bedroom condos with modern amenities and central locations for short-term stays in Siem Reap.
- International tourists seeking convenient access to Angkor Wat and city attractions
- Business travelers requiring reliable internet and professional accommodations
- Digital nomads looking for monthly rentals with workspace facilities
- Adventure travelers preferring budget-friendly options near transport hubs
- Luxury tourists demanding high-end villas with private pools and services
Expats gravitate toward Western-style villas and condos with full facilities, proximity to international schools, and reliable utilities. Long-term expat residents prioritize locations with easy access to healthcare, international dining, and expatriate communities.
Local renters increasingly seek new condos for urban living, representing a growing market segment. Young Cambodian professionals and families moving to Siem Reap for work opportunities create steady demand for modern apartments.
Mixed rental strategies work well for properties that can accommodate both tourist and expat markets. Flexible lease terms and furnished options appeal to the broadest renter demographic.
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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 pros and cons of short-term versus long-term rentals in Siem Reap?
Short-term rentals offer higher potential yields but require active management and marketing efforts in Siem Reap.
Short-term rental advantages include higher daily rates, flexibility to use the property personally, and ability to adjust pricing based on seasonal demand. Peak season rates can be 2-3 times higher than long-term monthly equivalents, significantly boosting annual yields.
Short-term rental challenges include seasonal occupancy fluctuations, higher management costs, and need for constant marketing. Property maintenance, cleaning, and guest services require either personal involvement or professional management company fees.
Long-term rentals provide predictable monthly cash flow with minimal management requirements once quality tenants are secured. Stable expat and local renter markets support consistent occupancy with less seasonal variation.
Long-term rental limitations include lower daily rates, difficulty removing problematic tenants, and less pricing flexibility during market changes. However, reduced operating costs and management time often compensate for lower gross yields.
Mixed strategies combining short and long-term rentals can maximize returns for larger properties like villas and shophouses that can accommodate different rental approaches throughout the year.
How have rental prices and yields evolved in Siem Reap recently?
Rental yields have increased significantly since the pandemic recovery, rising from 6-9% in 2024 to 7-10% for the best projects in 2025.
Residential property prices have increased 8-10% year-over-year as of September 2025, while villa segment prices have risen up to 20% since 2023. This price appreciation has been accompanied by proportional rental rate increases, maintaining attractive yield levels.
Tourism recovery has driven rental demand particularly for short-term properties, with occupancy rates returning to pre-pandemic levels. International visitor numbers approaching historical peaks support continued rental rate growth in tourist-focused areas.
Compared to five years ago, both purchase prices and rental rates have increased substantially, but yields remain attractive due to growing demand from multiple renter segments. The market has matured with improved property standards and professional management options.
Infrastructure development including road improvements and new commercial projects has supported both capital appreciation and rental demand across different property types and neighborhoods throughout Siem Reap.
What are the rental yield forecasts for Siem Reap over the next decade?
Short-term forecasts project rental yields remaining strong at 7-10% through 2026 based on continued tourism growth and infrastructure development.
Medium-term projections over five years expect moderate price growth with yields potentially compressing slightly as property values increase faster than rental rates. However, yields should remain attractive compared to regional alternatives.
Long-term ten-year outlook depends heavily on sustained tourism growth, infrastructure completion, and regional economic development. Siem Reap's position as a UNESCO World Heritage destination provides fundamental demand support.
Government tourism targets of 7 million annual visitors by 2030 would support continued rental demand growth across all property types. Major infrastructure projects including airport expansion and highway improvements should maintain investment appeal.
Climate change and regional development could impact long-term sustainability, but Siem Reap's cultural significance and ongoing investment suggest continued appeal for property investors seeking rental income opportunities.
How do Siem Reap rental yields compare with other Southeast Asian cities?
Siem Reap offers superior rental yields compared to most regional capitals and established tourist destinations as of September 2025.
| City | Median Rental Yield | Market Characteristics |
|---|---|---|
| Siem Reap | 7.9-8.5% | Rapid growth, affordable entry |
| Phnom Penh | 6.5-7.5% | Higher prices, established market |
| Ho Chi Minh City | 4-5% | Mature market, high prices |
| Bangkok | 3-4% | Low yields, premium pricing |
| Kuala Lumpur | 4-5% | Stable but lower returns |
| Sihanoukville | 7.9-8.5% | Coastal location, volatile |
Siem Reap's combination of affordable property prices and strong rental demand creates yield advantages over more mature Southeast Asian markets. Entry costs remain significantly lower than Bangkok or Ho Chi Minh City while delivering higher percentage returns.
Regional competitors like Phnom Penh offer similar yields but often require higher initial investments, making Siem Reap attractive for investors seeking lower entry barriers with comparable returns.
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The market benefits from continued tourism growth, infrastructure development, and relatively stable political environment compared to some regional alternatives, supporting sustained yield performance expectations.
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.
Siem Reap offers some of Southeast Asia's most attractive rental yields as of September 2025, with gross returns ranging from 7-12% depending on property type and location.
The combination of affordable entry prices, strong tourism recovery, growing expat demand, and ongoing infrastructure development creates compelling opportunities for rental income investors seeking alternatives to more expensive regional markets.
Sources
- IPS Cambodia Siem Reap Market Trends 2025
- BambooRoutes Siem Reap Property Analysis
- BambooRoutes Siem Reap Real Estate Market
- BambooRoutes Siem Reap Price Forecasts
- AirROI Siem Reap Report
- BambooRoutes Cambodia Property Buying Guide
- Cambodia Investment Review 2025
- The Wandering Investor Siem Reap Guide
- Harbor Property Siem Reap Rentals
- Complete Hospitality Management Rental Comparison