The Typical Payment Terms for New Developments in Cambodia

Important points you need to know in our guide about the typical payment terms for new developments in Cambodia.

The typical payment terms for new developments in Cambodia can vary depending on the developer and the type of property. However, there are some common payment structures that investors can expect to encounter:

  • Down Payment: Developers in Cambodia usually require a down payment of 10% to 30% of the total property value upon signing the purchase agreement. This down payment is usually non-refundable and secures the investor’s interest in the property.
  • Installments: Developers in Cambodia may offer installment payments spread out over the construction period, usually in monthly or quarterly payments. The amount and frequency of the installments can vary depending on the developer and the construction progress.
  • Lump Sum: In some cases, developers may offer a lump sum payment option, where the investor pays the full amount of the property at once. This option can offer investors a discount on the total property value.
  • Financing: Some developers in Cambodia offer financing options, where investors can make a down payment and pay the remaining amount in monthly or quarterly installments over a set period. However, interest rates for financing options can be higher than traditional bank loans.

It’s important to note that payment terms can vary depending on the developer and the type of property. Investors should carefully review the terms of the purchase agreement and seek legal advice before making any payments. Additionally, investors should only work with reputable developers and ensure that the property has all necessary permits and approvals.

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