I want to hear what expats think about rental prices in Phnom Penh. Especially compared to other neighbouring SEA countries.

Do you find them expensive? Especially when it comes to areas like BKK1 and Tonle Bassac.

If we compare now and few years back say 2016 and 2013 has the prices changed much?

OrientInvestor wrote: ↑Sun Apr 19, 2020 1:31 pm I want to hear what expats think about rental prices in Phnom Penh. Especially compared to other neighbouring SEA countries.

Do you find them expensive? Especially when it comes to areas like BKK1 and Tonle Bassac.

If we compare now and few years back say 2016 and 2013 has the prices changed much?

When you are talking about ''rental prices '' you are talking about gross returns that the landlord is getting on the value of his property. Firstly you should ask yourself what return would you expect if you put money in the bank or loaned it out . What return do you expect to get on the money you have invested in your superannuation or a business .
Now go back and ask yourself ,, if I bought that property , at todays value, how much return on my investment would I want , then translate that into
rent per month.

Rents have been rising over the years, especially around BKK1

Although there seems to be a little more supply during the virus.

The guy asked a simple question....
I cannot speak about PP..
In Siem Reap I have a great apartment for $350...with 2 AC..1br..2bath...nice pool and generator for 7 unit building..
I moved from a $300 unit with no generator or pool but better wifi...
There are much cheaper places and incredible places in the $500 range...

Duncan wrote: ↑Sun Apr 19, 2020 2:07 pm

OrientInvestor wrote: ↑Sun Apr 19, 2020 1:31 pm I want to hear what expats think about rental prices in Phnom Penh. Especially compared to other neighbouring SEA countries.

Do you find them expensive? Especially when it comes to areas like BKK1 and Tonle Bassac.

If we compare now and few years back say 2016 and 2013 has the prices changed much?

When you are talking about ''rental prices '' you are talking about gross returns that the landlord is getting on the value of his property. Firstly you should ask yourself what return would you expect if you put money in the bank or loaned it out . What return do you expect to get on the money you have invested in your superannuation or a business .
Now go back and ask yourself ,, if I bought that property , at todays value, how much return on my investment would I want , then translate that into
rent per month.

From the investor point of view I know that as I am getting 6.5% net return on one of my apartments in PP, which I consider superb.

But I’m wondering what’s the expat feeling about rent price as I was a bit shocked when I arrived first that a nice 2 bedroom in BKK1 cost $2000 per month and more just for rent. But then I found out that in Yangon it can be at least double that, $4000 per month... Of course I’m talking about new luxury high rise Western style buildings with amenities.

OrientInvestor wrote: ↑Sun Apr 19, 2020 2:54 pm

Duncan wrote: ↑Sun Apr 19, 2020 2:07 pm

OrientInvestor wrote: ↑Sun Apr 19, 2020 1:31 pm I want to hear what expats think about rental prices in Phnom Penh. Especially compared to other neighbouring SEA countries.

Do you find them expensive? Especially when it comes to areas like BKK1 and Tonle Bassac.

If we compare now and few years back say 2016 and 2013 has the prices changed much?

When you are talking about ''rental prices '' you are talking about gross returns that the landlord is getting on the value of his property. Firstly you should ask yourself what return would you expect if you put money in the bank or loaned it out . What return do you expect to get on the money you have invested in your superannuation or a business .
Now go back and ask yourself ,, if I bought that property , at todays value, how much return on my investment would I want , then translate that into
rent per month.

From the investor point of view I know that as I am getting 6.5% net return on one of my apartments in PP, which I consider superb.

But I’m wondering what’s the expat feeling about rent price as I was a bit shocked when I arrived first that a nice 2 bedroom in BKK1 cost $2000 per month and more just for rent. But then I found out that in Yangon it can be at least double that, $4000 per month... Of course I’m talking about new luxury high rise Western style buildings with amenities.

It’s difficult to make proper comparisons between PP and other capitals in SEA like Manila or BKK. The apartments most people refer to here (150-500USD range) are difficult or impossible to purchase for a foreigner and PP simply doesn’t have enough supply of higher end condos to create a functioning market.
The ones that are available however are cheaper than comparative units in MNL or Bangkok and from my own experience, yields are slightly higher than Manila.
For a better Ayala-built 150sqm unit in Greenbelt, BGC or Rockwell you would pay about 650,000 USD while in PP it would only cost 400,000 or so. But, again, it’s very difficult to compare as buildings are often build by developers no one has ever heard of.

I know those cheap apartments are in shophouses and foreigners can’t buy they legally and now probably can’t buy them at all. I know there is one guy running a fund who was buying some shophouses.

Yields are definitely much better here than in Bangkok or Vietnam where also occupancy rates are very low, now hundred thousands of empty condos I Bangkok and it’s only getting worse as new supply is hitting the market.

WineOxley wrote: ↑Sun Apr 19, 2020 2:51 pm Rents have been rising over the years, especially around BKK1

Although there seems to be a little more supply during the virus.

Definitely not the case. Modern apartment rents have declined heavily from 2013. Back 2013 you had to pay well over $1000 for modern studio / small 1br in a building with pool and gym in BKK1 / Tonle Bassac area. Now you can rent modern studio / 1br with pool and other facilities for $600.
Rents for really basic rooms/apartment, shophouses and villas might have gone up as many that type building have been demolished in that area.

BKK1 and the luxury modern apartments and their facilities would possibly be an option if I was to work in that area of the city, a so called effluent area to live and be seen. I am not into that type of living. Phnom Penh is what it is, being everywhere is accessible being that there are no large distances involved. I live in an apartment block over the river (no Barrang neighbours), Shophouse type on two floors, safe with cameras and also security at the evening time. $120 per month.