Economics Ministry cautions the public on property fraud

• 2 March 2020
• Local News
• 2494 Views

The Ministry of Economy and Finance has warned the public to be more cautious while buying and selling property and issued a basic checklist of necessary legal requirements for all citizens to consider before making any transactions.

In the statement announcing the checklist, the Ministry of Economy and Finance mentioned two main types of property, including land plots and houses.

For land plots, the buyer must know the real name of the property holder written on the title deeds or other land ownership documents. The buyers must also look for the Land Development Permit issued by the responsible authority, as stated in the Prakas of the Ministry of Land Management, Urban Planning, and Construction No. 087 on Land Development (“Prakas”) issued on 11 May 2018.

Meanwhile, the necessary information to check before purchasing a house includes a building permit, a residential development permit, and other relevant documents, as stated in the Prakas.

Mr Sorn Seap, CEO of Key Real Estate and a well-known real estate analyst, said that basic the checklist issued by the Ministry of Economy and Finance is beneficial in reducing risks for the public, in particular buyers.

“This document can be a further reference to citizens while buying or selling. It can also help increase the responsibility of both parties as well,” said Mr Sorn Seap.

“Most people do not have a clear knowledge regarding this matter. Therefore, this document provides a high level of protection against the potential risk of fraud,” he added.

According to the Ministry of Economy and Finance, this checklist has also been drafted in response to the predicted increase in buying and selling transactions, as PM Samdech Hun Sen just announced that stamp duty tax for property worth less than US$70,000 would be exempted for a year. (Read more)

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