When purchasing a property, a common concern for buyers revolves around the intricate nature of managing the associated legal and administrative procedures. The lengthiness and lack of clarity in the process can be especially discouraging, particularly for those who are venturing into property ownership for the first time. At Realestate.com.kh, we've simplified this process by providing a roadmap that outlines the steps following your property purchase in Cambodia.
Content
|
1. Sales & Purchase Agreement (SPA)
The process begins with the negotiation and signing of a Sales and Purchase Agreement (SPA) between the buyer and the seller. The SPA outlines the terms and conditions of the property transfer, including the purchase price, payment schedule, and any other relevant clauses that both parties have agreed upon.
2. Collection of Documents
Both parties need to gather and prepare a set of documents. Buyers should ensure they have their identification documents, proof of funds, and any other documentation required by the seller. Sellers should provide necessary ownership documents, property information, and title deeds.
3. Submit Documents to the Ministry of Land Management, Urban Planning & Construction
After the SPA is signed and the necessary documents are collected, it is time to submit the documents to the Ministry of Land Management, Urban Planning, and Construction. This step is crucial for obtaining the transfer form.
4. Signing Transfer Form
Upon receiving approval from the ministry, both parties sign the property transfer form. In Cambodia, both the buyer and seller need to be physically present for this matter as it requires thumbnail signatures. This form acknowledges that both parties agree to go forward with the property transaction.
5. Title Transfer & Transfer Tax
Once the transfer form is submitted, the buyer and seller proceed to initiate the title transfer procedure at the District land office. It is important to note that the registration to transfer ownership can take up to 20 to 30 days to be completed. Once registered, the buyer needs to fulfil the obligatory transfer tax and registration fee payment at the Ministry of Economy and Finance (MEF) in the General Department of Taxation. This transfer tax is based on the property value and must be settled prior to finalising the title transfer. Once the transfer tax is paid, the final step is to complete registration at the Cadastral Office at the Ministry of Land Management Urban Planning and Construction (MLMUPC). This step might take up to 5 days to complete. Finally, a new certificate of title will be issued to the buyer with updated records.
6. Handover
Upon completion of the title transfer, the seller hands over the physical possession of the property to the buyer. This includes transferring keys, any other relevant property-related items and payment terms once agreed in the SPA agreement.
The process of applying for property ownership in Cambodia follows a generally consistent set of procedures. To ensure a seamless transaction, it's advisable to collaborate with real estate professionals to guide you through every step. If you're currently in the market to purchase property in Cambodia, please don't hesitate to contact us!
Looking for a property in Phnom Penh? We have more than 50,000 listings on our website
Comments