Do rental prices ever go down?

[ivor bigun]

20 hours ago, Jeffrey346 said:

Rentals are not what they use to be.  Only new expats are paying crazy high prices.

2 years ago a 2 story house in my village rented for B22,000.. Today that house rents for 10,500/mo.

Many are selling off houses they bout as rental income as they can no longer get the rent to make them pay..

15 years ago the house we rented was 40k ,got it for 30k a month ,eventually we ended up renting it at 22k  8 years later ,(lovely landlady) my wife bought it in the end ,our mortgage now is just over 19k a month . cant be bad .

[thaibeachlovers]

On 4/18/2020 at 8:07 PM, creative1000 said:

At some point that has to impact their real estate behavior?

The only time I've ever known prices to go down in LOS was in Patong after the Tsunami, and I'm pretty sure that was a blip.

At the same time, package tours to Bali remained the same.

 

On 4/18/2020 at 8:07 PM, creative1000 said:

Yes, this is exactly whats blowing my mind. It doesn't make sense.

LOL. Where do you think you are talking about? Not much in LOS makes sense to western minds. That was always the thing that made LOS such a great place IMO. If it was like back 'ome I would never have wanted to live there.

As LOS becomes more like western countries it becomes progressively less a place I'd want to live in again.

[ukrules]

On 4/19/2020 at 4:00 PM, tomazbodner said:

Obviously they are dropping...

This is just the beginning

[BritManToo]

On 4/20/2020 at 8:57 AM, jackdd said:

A year ago i moved to Chiang Mai, so was looking at many houses back then.

One type of house at which i was looking was like this one: https://www.ddproperty.com/en/property/ahd1031-a-house-for-rent-good-atmosphere-with-3-bedrooms-2-toilets-and-fully-furnished-for-rent-7831706

A year ago the lowest asking prices were about 15k unfurnished and 18k furnished.

As we can see this is now offered for 12k, so some people are indeed reducing the asking prices, in this case 20% less than a year ago.

That sort of property would rent to Thais for around 6,000bht/month.

Because that site is aimed at foreigners, the prices are 3x the Thai price.

[jackdd]

15 minutes ago, BritManToo said:

That sort of property would rent to Thais for around 6,000bht/month.

Because that site is aimed at foreigners, the prices are 3x the Thai price.

In your dreams maybe ????

Show us any listing on any website of a new 3 bedroom / 2 bathroom house, similar to the one i posted, in the suburbs of CM for 6k THB per month.

[daveAustin]

On 4/19/2020 at 7:14 AM, baansgr said:

Jomtien prices have collapsed even befor this virus thing...Studios that easily got 10k a month 7 years ago can be had for as little as 5/6 k... there's a fully furnished seaview 48sqm studio with washing machine, nice furniture, good pool and gym...6k a month...prices are the same..37sqm studios that were 1.3 mil are now as little as 700k.

Fair play, 6k for a room with a pool and gym. Sounds like a great deal. Do a few 'lengths' straight out of bed 

[BritManToo]

43 minutes ago, jackdd said:

In your dreams maybe ????

Show us any listing on any website of a new 3 bedroom / 2 bathroom house, similar to the one i posted, in the suburbs of CM for 6k THB per month.

8k

https://www.facebook.com/marketplace/item/1184345548430737/

 

5k5

https://www.facebook.com/marketplace/item/839357379891068/

 

7k ..... this one looks a bit of fun.

https://www.facebook.com/marketplace/item/221266089325369/

 

4k5 .... I could live in this one quite happily.

https://www.facebook.com/marketplace/item/2424444507675294/

Edited April 24, 2020 by BritManToo

[liddelljohn]

On 4/19/2020 at 5:10 PM, madmen said:

So thai people share with you a farang info about their rental agreements 

 

Sure OK ????

No it was when I was dealing in Busines in thailand  dealing with distressed  capitol assets  and Real Estate and Thai banks ,, the attitude was amazing   they would ignore the true market value of property and assets ,, holding out for fantasy valies that might be 7-10 years old  on properties and  assets  that had zero maintenace or servicing for several years   often only worth scrap value or land value  , when they finally  realised the truth usually  by Thai bankruptcy Courts it was too late ,,,  

[bkkcanuck8]

On 4/19/2020 at 3:02 PM, robertson468 said:

There is vacant land in front of our Resort and behind it.  The Owners have been asking for 15 million baht per rai for the last 15 years.  I asked my Wife why they have not reduced the price.  "We are waiting until the price rises and then someone will buy it" was the answer.  Thai logic.

If you don't need the money, and you don't have any loans against it -- then might as well just hold onto the property...  It might be 10 to 20 years, but all land near cities tends to eventually get developed... 

[Dante99]

31 minutes ago, bkkcanuck8 said:

If you don't need the money, and you don't have any loans against it -- then might as well just hold onto the property...  It might be 10 to 20 years, but all land near cities tends to eventually get developed... 

Used to be true in Thailand but now some new property taxes come into play and are causing some big land owners to sell off some.

[worgeordie]

We have some rental houses,and the prices of our properties

have not risen in 15 + years,due to the fact there are always

a lot more properties for rent,than the kind of tenant we are

looking for,so we rent at a reasonable price,which we can as 

houses were bought at a very good prices.

 

The houses have now paid for themselves,we are not greedy

and are happy to have long term tenants,than have them 

sitting empty,trying to get more rent,so just like we cannot

rise the rents,we will not lower them,they are in a good

location,well kept,and we look after our tenants,any problems

are fixed quickly.

 

Buying property to rent is a thing of the past here,the cost

of properties are far too high,the rents too low,to give any

kind of return,to make it worth while,renting out houses

is not just about taking the rent,there are so many other

things to consider.

regards worgeordie 

 

 

[Pattaya46]

On 4/19/2020 at 8:14 AM, baansgr said:

Jomtien prices have collapsed even before this virus thing...

Studios that easily got 10k a month 7 years ago can be had for as little as 5/6 k...

There's a fully furnished seaview 48sqm studio with washing machine, nice furniture, good pool and gym...6k a month...

Prices are the same..37sqm studios that were 1.3 mil are now as little as 700k.

Could you please give a few names of such condos in Jomtien ?

Personally stuck abroad, but know people who may be interested.

[bkkcanuck8]

On 4/24/2020 at 8:35 PM, BritManToo said:

8k

https://www.facebook.com/marketplace/item/1184345548430737/

 

5k5

https://www.facebook.com/marketplace/item/839357379891068/

 

7k ..... this one looks a bit of fun.

https://www.facebook.com/marketplace/item/221266089325369/

 

4k5 .... I could live in this one quite happily.

https://www.facebook.com/marketplace/item/2424444507675294/

Those all look like older stock (and lower standard) houses... the 8K one looks new and a bit higher standard of construction.  (and some of the lesser priced ones don't look like they have AC, and there is a difference between the low end - with/without furnishings).

Edited April 26, 2020 by bkkcanuck8

[ivor bigun]

On 4/25/2020 at 1:49 AM, liddelljohn said:

No it was when I was dealing in Busines in thailand  dealing with distressed  capitol assets  and Real Estate and Thai banks ,, the attitude was amazing   they would ignore the true market value of property and assets ,, holding out for fantasy valies that might be 7-10 years old  on properties and  assets  that had zero maintenace or servicing for several years   often only worth scrap value or land value  , when they finally  realised the truth usually  by Thai bankruptcy Courts it was too late ,,,  

ON the estate where i live ,3 years ago i rang the bank about a house they had for sale ,they wanted 29 million baht ,i reckon tops 13/15 million ,it has had security living in there all this time ,and now is starting to look (worn) shall we say ,they still want 29 million . what a joke .

[banagan]

On the other side of the coin, condo prices have either gone up or stayed they same, while rents have dropped. Do they not teach economics in school here?

 

Anyway, I'm interested in a small condo, investment property. Their asking price is the same it was last year, which was still overpriced considering the drop in rents.

 

I'm aware of the whole face thing, it's dumb, so I'll need to sort of hint at a fair price and inception them, maybe remind them about the current pandemic?

 

If stupid face persists, then I was thinking of offering 50% lump sum and the rest paid off over 36 months, 0% interest. I could eat that.