Generating Positivity for the Real Estate Market

• 9 December 2016
• Local News
• 1787 Views

Many people are feeling the pressure and fearing for a collapse of the real estate industry in the near future.

This fear is not necessary. Being careful and considering before investing or buying real estate is not a bad thing, but even when the market is strong you should still do the same. One thing is sure: we need housing for an ever growing population in the world as well as in Cambodia. This means that whatever happens, we will need more housing every year. I agree that some projects will slow down due to demand at this time, but this does not imply that the industry will collapse or completely stand still.

We now see a trend of many Chinese investing in the real estate industry in Cambodia and if we compare our market with the other markets in ASEAN, we have a lot to offer and fight for. If real estate-related companies stop believing in the market, then potential customers will follow this trend which will create a negative spin. This is something the industry does not need and can impact on the progress of the country.

We must see the industry as a positive challenge and move forward to generate a positive impulse. There is no need to think the market is going to collapse as it will not. All industries have ups and downs as we see happening around the world. Many people get scared when the market is down and sit on their money or wait to invest; this is a mistake.

Business people and even the general public who dare to step up during these times have huge potential to strike great deals but need to make sure they do their homework. Patience is certainly a virtue when dealing in a slowing market. If everyone waited until the market became mega active again, prices will once more shoot up. Then it is not a matter of not wanting to buy because of a slow uncertain market but not being able to buy because the prices are too high.

It is the same with selling; the risk is everybody holding on to property or a plot of land and waiting until the market is super strong again and then selling so the market becomes flooded and enters a cycle of repetitive behavior.

The market is still active and needs transactions in sales as well as purchases. Many thousands of people will start new families and explore the potential of buying their first home. Many people are also starting businesses and looking for office space or land deals to build the business of their dreams.

The industry must educate itself on an ongoing basis and supply the market with what it needs. If the industry is promoted as one united front, a healthy and prosperous industry will again soon emerge. We have to realise that it all starts with ourselves. We make the market what it is.

Negativity breeds faster and lasts longer than positive behaviour. If we want an industry with positive growth for buyers and sellers, it must be seen as one big opportunity. This perspective will result in better outcomes for all and eventually for the whole of Cambodia. By starting to educate ourselves and each other regarding the industry, it will start a wave of positivity. The industry will respond with more deals and generating more trust among buyers, developers and investors.

Together we can move forward. Let’s do it!

• Knowledge and Key Success