by: Sotheary
Phnom Penh: In the last 5 years, bank loan in real estate sector, especially personal loans for home purchase, has continued to increase, despite the crisis in Cambodia due to Covid-19 for 2 years.
Mr. Doeun Sopheap, Head of Personal Sales of J Trust Royal Bank, said on the morning of January 26 that that the financial institutions are still strong and continue to grow. In recent years, we have seen the growth of home loans provided by banks to customers as of now, according to the report of the Credit Bureau of Cambodia shows that home loans up to 5 billion US dollars.
He added that the increase of housing loans in Cambodia is due to the demand of customers who are looking for housing, so the banks provide loans in the housing sector more and more.
“Nowadays all age of people uses bank loans to buy a house, but lately, many young people are interested in getting a loan from the bank to buy a house,” he said.
“To buy a dream home, customers need to have some money first, with some banks requiring 30% of the house price and some banks require only 20 percent of the value of the house, so they have to have some savings first and then be able to get a loan from the bank to complete the purchase of a house,” he added.
According to a report by the National Bank of Cambodia, home equity loans accounted for 13.2 percent of the total consumer loans of more than $ 36.8 billion as of the end of 2021. Home loan grow by 37.7 percent in 2021.
According to annual report by CBRE, most of the construction projects in 2021 were housing projects, covering g more than 50% of the total construction projects, which means the supply of housing in Cambodia by 2021 is still active.
