Compass Real Estate > Cambodia Investment Guides > Analysis of Cambodia Land and Housing Property Law

Analysis of Cambodia Land and Housing Property Law

1704
2019-10-14
Summary:Analysis of Cambodian Land and Housing Property Law. Know better about Law, our choice will be more wise.

1. Distinction of property rights
Land property rights and housing property rights can only be chosen one
1. Local people purchase town houses (land included), and only land property rights have no property rights.
Some buyers who think that buying a town house is worthwhile, let alone whether you have the right to own a townhouse legally, even if you own it, you bought a piece of land, the house above is the developer built, so the townhouse's appreciation space depend on the land's location. As for the cost issue, the land to be sold by this segmentation is certainly much higher than the surrounding land, so by buying a town house to appreciate. 
2. Foreigners hold property rights above 2nd floor, only register property rights of buildings, and have no land property rights. 
This is also a question people concern most. After an apartment project is approved by the government, the government will recover the land certificate. So if the land is a freehold property, your property certificate is a freehold property. And even if later the building collapses, it will be converted into shares according to your actual area in property certificate. This is the meaning of the permanent property rights of the apartment. There are many people who think that it is no different to buy 99-year leasehold property, but Cambodians do not approve 99 years, so this is also the reason why they can't re-sell it, so my suggestion is that foreign investors should only consider permanent property rights.
The property certificate is the complete property right, and the rights of the foreigner are completely consistent with the nationals. If the future is rebuilt, it will be settled according to the proportion of the land area on the property certificate.
Second, the distinction between property rights certificates
The two types of property rights recognized by Cambodians are [soft title] and [hard title].
1. [Hard title] refers to the form of property rights held by the government based on the Land Law, which is guaranteed in practice and in law.
2. [Soft title] refers to the issuance by the local government. In actual application, it is evidence for claiming the property right.
Remarks: The hard title is the property right issued directly by the central government, and the other is the property rights issued by the local government at the provincial level and below. The soft title will have many disputed land due to some unscientific measurement in the early period and the chaotic record, or repeat purchase by different buyers. Under normal circumstances, the Supreme People's Court may issue a notice and legally convert it into a hard title if there is no dispute for 6 months. However, as a foreign investor, because it is not familiar with the background of the land, it is also risky to purchase soft title land. More important, hard title is previous choice.
 Third, the classification of hard title
1. Real estate holding certificate (or land use certificate)
2. Real estate ownership certificate (house use certificate)
Both are vouchers registered with the land administration authorities in accordance with the Land Law and printed on officially good hard paper, which can be mortgaged to the bank for loans.
Remarks: Generally, the official certificate paper is 180 grams of paper, so the easiest way to tell if it is a hard title certificate - check the paper first, and then it is best to find a lawyer.
Fourth, the time limit of foreigners' property ownership
1. The [hard title] property rights issued by the Central Government of Cambodia are all permanent property rights.
2. The [soft title] property rights issued by the district government or the district government shall be subject to the actual registration period.
Cambodia issued a bill in April 2010,the bill passed foreigners can legally own apartments above second floor. This bill is the symbol of the start of Cambodia real estate!

Disclaimer: The re-forward articles on Compass website are for the purpose of conveying more information, and it does not mean that the Compass website agrees with its views or confirms the authenticity of its content. Article noted as "Source: Compass original", please note that the source from Compass. The content of the article is for reference only and should not consider as investment advice, and it does not mean that Compass agree with its views.

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