Tips for real estate agent / how to sell farm land

[Tagged]

4 hours ago, baansgr said:

Price wise, you must take into consideration...one rai may very well sell for 1mil....however a 9 rai plot dosnt automatically command 9 million...the smaller the plot, the higher the price per talang wah

If have some infrastructure close by, access to road, etc etc. A piece of land have no value if you are surrounded with land plots and no right to access. Our land have no access except tiny tiny paths around. 

 

They sold 3,5 rai for 30 000,- to us. A pice I thought was just a scam to beginn with, but turned out to be a real deal with paper and now getting house number as well connected to our small bungalow. 

[CGW]

On 1/10/2020 at 5:03 PM, phungo said:

She is asking for 1.2 million baht per rai. She has talked to neighbor and says that the going rate is 1 to 1.2 M. 

Thai's have some strange misconceptions about the price of land, 1.2m Baht for land that will make about 30k Baht a year per Rai max, the numbers don't add up, unless it is priced realistically it will remain unsold.

We have 9 Rai, next to a decent road, electric available we paid 30k a Rai for it, we rent the land out for a pittance, there is no money in farming it, value now? probably about the same - maybe a little more, but there are no buyers!

[phungo]

8 hours ago, farmerjo said:

What colour Garuda is on the paper/chanote.

It is red.

[phungo]

3 hours ago, CGW said:

Thai's have some strange misconceptions about the price of land, 1.2m Baht for land that will make about 30k Baht a year per Rai max, the numbers don't add up, unless it is priced realistically it will remain unsold.

We have 9 Rai, next to a decent road, electric available we paid 30k a Rai for it, we rent the land out for a pittance, there is no money in farming it, value now? probably about the same - maybe a little more, but there are no buyers!

It is next to a road. Also a new major road is being built to connect Aran to Cambodia. This new road is the only other border crossing in the area. This new major road is 200 meters away. She is saying that this area will no longer be farms but will be new developments for coffee shops and restaurants. Currently it is all farms though, so who knows how long until developers will be interested.

 

 

 

[kickstart]

3 hours ago, CGW said:

Thai's have some strange misconceptions about the price of land, 1.2m Baht for land that will make about 30k Baht a year per Rai max, the numbers don't add up, unless it is priced realistically it will remain unsold

That is not necessarily true a lot of land is brought as an investment ,in this area a lot of land is owned by someone in Bangkok ,who rents it out ,or just lets it go wild ,kept as an investment some have been absentee owners for a lot of years .

As for the numbers not stacking up that could well be true Land has to be farmed it is almost treated like a commodity   ,I worked on  farm in the uk that and others a good few thousand acres   it was owned by an insurance company pension fund ,some where to park they funds .

Piece of land next to us has been sold 3 times over the past 8 years each time  ,needless to say for more than before .it just grows a bit of rice ,bealey sustainable let alone making any money.

 

 

[CGW]

55 minutes ago, phungo said:

It is next to a road. Also a new major road is being built to connect Aran to Cambodia. This new road is the only other border crossing in the area. This new major road is 200 meters away. She is saying that this area will no longer be farms but will be new developments for coffee shops and restaurants. Currently it is all farms though, so who knows how long until developers will be interested.

Good luck, you may need it, most Thai's with land for sale price it for development not farming, sure eventually if the location is correct it will sell, its just when that will happen.

[CGW]

49 minutes ago, kickstart said:

That is not necessarily true a lot of land is brought as an investment ,in this area a lot of land is owned by someone in Bangkok ,who rents it out ,or just lets it go wild ,kept as an investment some have been absentee owners for a lot of years .

As for the numbers not stacking up that could well be true Land has to be farmed it is almost treated like a commodity   ,I worked on  farm in the uk that and others a good few thousand acres   it was owned by an insurance company pension fund ,some where to park they funds .

Piece of land next to us has been sold 3 times over the past 8 years each time  ,needless to say for more than before .it just grows a bit of rice ,bealey sustainable let alone making any money.

I agree some land is sold for long term investment, but that is a very small amount overall and obviously depends on location, the 3 Rai lot that is directly next door to me was bought by Bangkok people about 7 years ago, they have never been back, its a little overgrown! There are another 6 parcels of land of similar size that haven't sold though! If they were to sell it now they would not make a profit.

Within a 5 mile area of where I live there is a lot of land for sale at silly prices, its been for sale since I moved here 7 years ago, priced for development - not going to happen anytime soon,

Most 'farm" land in this area is owned and worked by families, the families have to do all the work as there would be no profit if they payed somebody to work for them, that is typical for the Isaan area, they all dream off the land being developed and ask developed land prices, not farm land prices.

[farmerjo]

21 hours ago, phungo said:

It is red.

Turn the paper over and see if there is red writing at the top and get the Mrs to decipher.

Then you will know for sure.

[MikeN]

On 1/11/2020 at 9:36 PM, phungo said:

It is next to a road. Also a new major road is being built to connect Aran to Cambodia. This new road is the only other border crossing in the area. This new major road is 200 meters away. She is saying that this area will no longer be farms but will be new developments for coffee shops and restaurants. Currently it is all farms though, so who knows how long until developers will be interested.

 

 

 

If it is on the roadside, or very close, then it might be worth more as it might be attractive for a resort or restaurant, but 200 m off the road might as well be 2kms. Still, there would be no harm in getting a couple of signs made up..."Land for sale, ph 123456", and put them up at the access road.

[OOTAI]

It has been my experience that there are a lot of people who want to buy the land but none with the money needed to actually buy it.

 

Then as for the price, I believe it works like this Person #1 tells person #2 that they just sold there land for xxxx baht

So person #2 then adds 10% or more to their price so they can brag later that they got more than person #1.

 

And then they will never come down as that might mean they were wrong about how much they thought it was worth.

 

In the end it is only worth what someone pays for it, but remember that once a piece of land is sold what the person selling it says they were paid for it is probably very inflated.

 

Once I was with my wife and we inspected some land that was for sale and they wanted 1 million baht for it, I don't remember how much land it was but anyway we offered them 600,000 and they moaned and groaned but when they realised we were walking away they said OK but on 1 condition and that was that we never ever told anyone what we actually paid them for the land. In the end we passed as it was too difficult as it was part of a larger family plot and if you are not part of the family they can squeeze you out or at best make it very difficult re access etc.

[MikeN]

The first time that I came to my wife's hometown about 15 or 16 years ago, maybe even more, there were 2 blocks of land for sale on the edge of town near her sisters' houses.

One was 2 rai, asking 5 million. The other was 1 rai 1 gnaan with an old house on it, asking 3 million. Both are in a good location on a bitumen road with power and water, but both are still for sale all these years later ! Still asking the same prices, but which are really less now with inflation.

[Tagged]

7 minutes ago, MikeN said:

The first time that I came to my wife's hometown about 15 or 16 years ago, maybe even more, there were 2 blocks of land for sale on the edge of town near her sisters' houses.

One was 2 rai, asking 5 million. The other was 1 rai 1 gnaan with an old house on it, asking 3 million. Both are in a good location on a bitumen road with power and water, but both are still for sale all these years later ! Still asking the same prices, but which are really less now with inflation.

The good thing is when you have enough money, you just do not need to sell, and land will never loose its value. Value is in bad times, you can grow food, and in good times you can get a good price for it. 

 

If I was with good healt, could manage my daily life economics, and had a healty relationship with my wife, I would not sell. There will always be a time when you really need money, or in bad times you need food. 

[ireckonso]

Land is loosing value in my area right now and its way overdue, the ridiculous prices being asked and paid the last few years was totally stupid. Too much easy, no questions asked credit is coming back to bite them in the <deleted> hard. Just look on facebook marketplace and some of the other local sales websites, those 3-4 miliion baht per rai plots for sale are a lot cheaper now, but still not cheap enough for me to buy.