Do you believe the real estate price will rise after the July national election? Today, people are hesitate to buy houses and land. Land sale and buying action is more active compared to house business transaction. The silence of this booming business in Cambodia in this few recent years has made people, analysts and traders expressed different concerns. Some argue that the fall of real estate price in Vietnam is an example of growing and then down. If it is up and then it will be down. The price fall in Vietnam will migrate to Cambodia and if so, the real estate price in Cambodia will fall as well.

The fall in price of real estate in Vietnam is due to economic slowdown in recent years. And Cambodia’s economy is growing, even a decrease of GDP growth in 2007. Higher inflation is making problems and putting another challenge to Cambodia’s economy. Garment and textile industry of Cambodia is confronting with high competition. Many garment factories closed their operation and garment workers went to their rural homeland, as a result of the close of factory and they can not afford with high price in Phnom Penh. If economy is going to fall and nothing improved, what will happen with real estate business transaction?

The down of real estate in Vietnam will encourage investment in Cambodia. This is still a doubt. In recent year, Vietnam trade with Cambodia is remarkably increasing and Vietnam tourists to Cambodia is also high in recent months. If so, how can the fall of real estate price in Vietnam migrate to Cambodia.

Political stability after national election will build trust and attract more investment in Cambodia. Domestic investment is also up at this present time. It is predicted that every thing will come normal and political climate and speculation of economic growth will make high price of real estate. But it is to acknowledged that prediction will not be always true all the time.