With foreign homeownership rules being eased, Laos, one of the least developed countries in Southeast Asia, has the potential to become an investment hotspot and be the “new Cambodia”, according to analysts.
In August, the government formally rolled out revisions to a new law allowing foreign ownership of flats for the first time in the country, giving foreigners a leasehold of up to 50 years.
“Even before the new rules, you already had a bifurcated property market. Some property is intended for foreigners, who have different lifestyle expectations and higher budgets. Other properties are intended for locals, who have their own set of requirements and typically lower budgets,” George Chmiel of Juwai said.
“The new legal structure has yet to be fully fleshed out. The 50-year lease term could be worrying. And the economy has been shaken to its foundations by the fallout from the pandemic. We advise our buyers to exercise caution and good sense while seeking profitable investments,” Chmiel said.
Source: South China Morning Post