Bangkok: New condo and house prices continue to fall in third quarter

 

Graphic: Daily News

 

Daily News reported that the price of new condos, town houses and stand alone houses in Bangkok and it's surrounding areas continued to fall in the third quarter. 

 

Indices continued to show falls in prices from highs experienced at the end of 2019. 

 

Compared to the last quarter new condos were now 0.1% cheaper.

 

Houses were 0.2% cheaper. 

 

This information came from Wichai Wiratkaphan, a real estate expert at the Government Housing Bank.

 

The media said that developers were engaging in price cutting promotions to try and offload their stock.

 

Source: Daily News

 

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3 minutes ago, webfact said:

The media said that developers were engaging in price cutting promotions to try and offload their stock.

five year visa for anyone buying a condo one million baht or above. problem solved. 

 

Still a long way down ahead to be on the real value price

Insignificant drop.

 

And lets face it many here hoping for a 50% drop still wouldn't buy. 

 

Real estate is for the big boys not broke farang. 

 

 

Sorry mates, I have to go.

 

Opportunity of a lifetime.

 

0,1% down. Can't miss this opportunity.

I have to hurry before the Ch.... come in the Trillions to buy all those bargain, luxury condos and houses.

 

Over the phone, I just secured a whole building with 378 apartments.

Fall?  Still crazy prices 30% over valued but Thai property developers will make a big song and dance about a tiny reduction ! They can keep their poor quality over priced junk properties 

I see the rental market in Phuket diving

7 minutes ago, AlfHuy said:

Sorry mates, I have to go.

 

Opportunity of a lifetime.

 

0,1% down. Can't miss this opportunity.

I have to hurry before the Ch.... come in the Trillions to buy all those bargain, luxury condos and houses.

 

Over the phone, I just secured a whole building with 378 apartments.

All with tenants on 12 month contracts?

24 minutes ago, webfact said:

Houses were 0.2% cheaper.

these are the houses of people who do not sweep the leaves in front of their property every day.

1 minute ago, ChipButty said:

All with tenants on 12 month contracts?

36 months and a 6months guarantee.

Luxurious condominium.

 

Fully rented and people are queuing to sign up, in case one tenant wants to leave.

No question it is going to get worse. And few in a position of authority are facing the music. Courageous of BAM chairman Bunyong Visatemongkolchai to state the truth. The pain will be felt for many years to come. I anticipate condo prices to drop by nearly half. It could take a few years.

 

A friend of mine recently moved to Pattaya. He looked at condos in Jomtien. He walked into one of the nicest towers, looked at a 36th floor unit with panoramic views, and when he was quoted 26,000 a month, he offered 10,000. They settled on 13,000. He said the agent more or less admitted the building was nearly empty, and they could not rent or sell anything, at this time. 
 
Demand is way down. The Chinese market is nearly gone, Russians and others are very hesitant to commit. And the long term tourists are gone too. So, who does this leave? Wealthy Thais, many of whom see the market collapsing, and would rather wait and see how all of this shakes out, and ex-pats, many of whom are smart enough to be shopping for bargains right now. 

 

Anyone interested in buying a condo right now, would be better off waiting awhile. Timing is on your side. Time is now your ally. The economy is going remain devastated here, for a very long time to come. And the longer this goes on, the more people are going to be affected by it, and the more desperate some will become. For the wealthy it barely matters. They will just sit on vacant units. But, there are many middle income people who have money invested, and there are alot of Chinese and Russians who bought, and cannot even visit Thailand. Some of them will want to unload their properties. Wait. The condo market is severely overbuilt. And demand is low, for all but the top buildings, in the best locations. 

I saw a house listing (6.5m) where the seller would throw in a new Honda Click.

 

If that’s not enough to get someone off the fence then I just don’t know what it will take.

Sure gonna hit hard if your trying to get a loan from the bank on the value of your house to survive the pandemic and its depreciating daily

Who in their right mind would buy, with this government in charge one is never sure what additional hurdles they will come up with in the future ..................LOL

Ten years ago we had to line up at the real estate agent here in order to also buy a property seems in last years something went very wrong..

They're still pushing downtown BKK apartments around Thb 50 million +....

10 hours ago, webfact said:

Bangkok: New condo and house prices continue to fall in third quarter

Wait for next year, now it's buy a condo you get a work permit, 2021 qualify for a work permit/visa get a free condo.

13 hours ago, NCC1701A said:

five year visa for anyone buying a condo one million baht or above. problem solved. 

 

 

That price would compete too much with price for Thai Elite visa, so unlikely to happen. Especially since I heard that the cheapest Thai Elite visa will go up in price next year from 500.000 THB to 600.000 THB.

several problems,the biggest is few buyers hence a buyers mkt.the buyers are not here theyre outside waiting to come in,theres a big pent up demand from hk china and russia other places too.many have paid their deposits and cant close the deals.as soon as it opens up the buyers will come in,the 2nd problem is the amount of building going on,its insane and the prices they want just dont fit the bill,where i live theres 3 new condos going up .the prices are 200-250k sqm[of course you can get that down 20 % plus].nuts theres older condos close by that have more space, better facilities and are better built for70-80k sq m.easy math that one  even the thais are figuring that one out at long last.the new builds have cramped facilities ,boxy rooms, small balconies , poor finishes and high maintenance fees.these companies are looking at massive losses,theyd be better to sit on their land banks but they wont due to the perceived igh taxes on the sitting land,better off to pay that than build a condo u cant sell but that seems to be a kind of forward thinking thats rarely apparent.

This trend is contrary to the Thai way...

Usually, if they can't sell, they jack the price up...

 

The longer I stay here the more mystified I am

 

The quoted price falls are silly. Very few transactions are taking place, so there is little information on actual prices at which buyers would be attracted.

 

Corps loaded up on debt over the last decade, averaging +14% per year when GDP was barely rising overall. Also, construction loans are short term, and since buyers aren't buying, firms face repayment issues.

 

One major BKK condo developer has signs up in all the BTS stations noting a 50% reduction in a current project where sales have been weak. That's 50%, not .1%.

 

Weak hands will set the price.

just like 97 when everything collapsed and the hulks of half built condos littered the capital for years,,but this time it will be worse as we know what course the downturn will take .spain is in a  similar situation with crumbling property prices going thru the floor