A positive story about buying a house in Thailand

[WhatsNext]

2 minutes ago, Pravda said:

 

Sorry, no way a 5.1 million house will rent for 35k, not now, not pre covid. Is this something a sales agent told you?

Like i said up to you what you want to believe. I'm not here to convince you

[Pravda]

9 minutes ago, WhatsNext said:

Like i said up to you what you want to believe. I'm not here to convince you

I'm just stating facts based on price. Currently in Bangkok a 6 million baht property rents for 13,000 baht.

[tomazbodner]

1 hour ago, WhatsNext said:

Thanks I'm not really defending anything it's more just a report about what I've done. It fits me but I fully understand others don't want to. I'm not here to convince them. 

 

5.1 isn't even beginning to get flashy, considering my friend in hua hin with the 2x40m houses ????

 

O yeah the extra 1m was spend on inbuilt, furniture, electronics, extra room, curtains and so on. Inbuilt is surprisingly expensive

Tell me about it. 3 built in closets and a couple of minor things and it was half a million from furniture company Prayuth just visited...

[ChaiyaTH]

27 minutes ago, WhatsNext said:

Like i said up to you what you want to believe. I'm not here to convince you

A 2-3BR with pool goes for as little as 20K and we are not heading to anything close to 50% of previous levels in terms of foreigners and tourism either. So actually you overpaid renting previously and should not count on more than 4% returns yearly. Try finding someone renting long terms without gaps and commissions to real estate agents aside of that. And 1% of that will be maintenance at least.

Maintenance will also be a blast, most times the issues won't show until 2 raining seasons later. But if you did always over pay renting, and kept on doing that, you would kind of be risk free after a short term indeed, assuming it is sellable by then (that requires quite some positive economic moves at this stage, we are not 5-7 years ago). 

Last but not least, you said it was dead money, you don't want all in the stock market, but now you did risk it in real estate casino thailand. I think you'd been better off putting it into gold or bitcoin and renting. But if you don't plan leaving, it can be nice to have your own designed home.

[WhatsNext]

3 minutes ago, ChaiyaTH said:

A 2-3BR with pool goes for as little as 20K and we are not heading to anything close to 50% of previous levels in terms of foreigners and tourism either. So actually you overpaid renting previously and should not count on more than 4% returns yearly. 

I'm not renting out I'm living in it. And nope a comparable new house doesn't go for 20. I've looked at 20 stuff plenty before just out of interest. But let's stop this fruitless discussion about rents or what i paid before without even knowing what, where, and so on. 

 

I'm sure you all pay only 30% of market price, have loaded bank accounts and drive around in new lambo's what do i know right. I am just a poor loser that can reach inside his pocket and pull out 6m without worrying too much. ????

[ChaiyaTH]

4 minutes ago, WhatsNext said:

I'm not renting out I'm living in it. And nope a comparable new house doesn't go for 20. I've looked at 20 stuff plenty before just out of interest. But let's stop this fruitless discussion about rents or what i paid before without even knowing what, where, and so on. 

It is not about comparable to what you did now, but what you used to rent and the market of today as well the economic outlooks. Also a weak reply to then come with that we drive in lambo's and pay only 30%. We pay 100% of what the real value is, if using brains, that is all. 

You shared your review and opinion with us, we share ours, and this are just some economic and financial facts. Gold did 10% average over the past decade alone, and <deleted> is about to hit the fan.

 

The renting out part, I just mention that in case you would want to sell, this price segment would be one of the more difficult ones to sell. Most Thais already bought, and are about to default on mortgages. Those who do buy, do look to rent out most times, so they do take the 4% and maintenance costs seriously.

 

As I said, it's not a bad decision, even a good one, for your situation and wishes, if mid term. Just not a very good timing and decision if you also liked to increase your wealth, which would pay your rent free too.

[WhatsNext]

Of course this isn't easy to sell again, almost nothing is in Thailand. Again i really don't care about rental return, it's what i save from my expenses before while living in a house that fits me.

 

All i care about is the break even point, which in my view is a very short time. If I stay 8 years i can sell for 2m, I'm sure that will happen in less than a week.

[ChaiyaTH]

Just now, WhatsNext said:

Of course this isn't easy to sell again, almost nothing is in Thailand. Again i really don't care about rental return, it's what i save from my expenses before while living in a house that fits me.

 

All i care about is the break even point, which in my view is a very short time.

Yes it is, assuming you would keep spending that amount on rent.

[WhatsNext]

2 minutes ago, ChaiyaTH said:

Yes it is, assuming you would keep spending that amount on rent.

I'm happy we agree on something ????

[ChaiyaTH]

Just now, WhatsNext said:

I'm happy we agree on something ????

Well not only that, also as said it is your designed home and with your furniture, belongings and stuff. That is worth something too.

[ChaiyaTH]

39 minutes ago, Pravda said:

I'm just stating facts based on price. Currently in Bangkok a 6 million baht property rents for 13,000 baht.

17k for me but 5 mins from mrt (300sqm, 4 floors, 5 rooms, rooftop, quiet soi - new renovated).

[Pravda]

Just now, ChaiyaTH said:

17k for me but 5 mins from mrt.

 

5 minutes from ekkamai. 1 year old building.

[WhatsNext]

I rented this before for 40k on a double size plot from this one (full inclusive only electric, water)

 

My new current house is similar but more upmarket inside

 

https://www.spmpropertyhuahin.com/property/aria-hua-hin-soi-88-pool-villa-for-rent/

[newnative]

4 hours ago, WhatsNext said:

By the way , it's not an investment i live in it. Renting cost money too. Of course I'll be happy if somewhere down the line someone offers me double of what I paid but certainly not counting on that. 

 

Also it's not 100% of my life savings either

       I feel the same about every property I have bought to live in, both here and in the US.  I'm not buying it as an investment, I am buying it to live in, to enjoy, and to put a roof over my head.  And, like you, it's not 100% of my life savings, either.  

      I like being an owner, having my own space to do with as I want.  Life is short--I don't want to spend the rest of mine in a landlord's space, sitting on his furniture, looking at his taste in everything, not being able to make changes like tearing out the kitchen.  Tiptoeing around hoping I don't break something.  Just not for me.  Nothing wrong with renting or owning, by the way.  Whatever makes one happy.  For me, that's owning.  If someone is happy renting, that's great, too. 

     I do always hate when someone comes along and posts that I could do much better financially if I rent and invest the money instead of using it to buy my home.  They seem to assume it's an 'either/or' deal.  You either rent and invest or you own and don't invest.   You can do both.           Someone remarked awhile back on some thread that they didn't want to be the richest guy in the cemetery.  Me neither. 

[khunPer]

3 hours ago, WhatsNext said:

I was paying 40 before, that's what I compare it with. The house i have now inclusive all stuff will rent out for about 35 now, more when we don't have covid. No I'm not posting pictures, with all the crazies about (again with everything 6.1,) 

 

But you are free to believe it would be 9k a month ????

40,000 baht a month sounds like correct rent for an about 5 million baht property.

 

Normally rent is calculated from between 8 percent to 12 percent a year. Some Thais count 6 percent - and some don't include land in their calculation, as they already had the land - the going rate is often 10 percent.

 

So 10 percent of 5 million is 500,000 divided with 12, which equals 41,667 per month.

 

Looked the other way round, you can use your rent to calculate what you can spend on a home to break-even. If one can rent something for 9,000 baht a month then to property value would be around  one million baht, perhaps up to 2 million baht if the rent is based on an extremely low percentage, but in that case it will take about 25 years to break-even in a 2 million baht home....????

[inThailand]

It's good to hear a house buying and building story. You don't hear too many good selling stories, for there are a number of reasons why liquating doesn't always have a happy ending. 

[carlyai]

13 hours ago, transam said:

The Limited company ploy, I am sure Patts land office is fully aware of that farang ploy, and perhaps that avenue will come tumbling down at some time...

 

I often wondered how a company that is set up purely to buy a house for a farang, does the profit and loss etc paperwork that a company must do.. Can someone enlighten me..?

Many Pattaya moons ago this buying a house by a company was discussed. Seems that companies pay taxes and there had been talk that if a company did not pay much tax, and was only a way to own a house then the formation of that company was illegal or the company would have to pay a reasonable tax.

Now this was only hearsay and I am not sure if it happened or was true, but, me thinks, making a company for the sole purpose of owning a house/land is/could be against the spirit of the law. 

Things can change rapidly here.

I remember when here in Thailand first on a never ending tourist visa, ever year I had to go to the revenue department and pay tax on what I spent in Thailand. So you'd pull a low figure out of the air, the revenue man would increase it and you paid your cash money.

Nothing to do with having a company to buy a house, but if there is a legal loophole, it can quickly change over here.

 

 

 

 

[EVENKEEL]

When we speak of a 5 mil house, are we including the price of land or just price to build.

[itsari]

11 hours ago, LosLobo said:

So your time is not valuable and doesn't have a cost?

 

Invest in a black hole?

 

What do you mean?

 

Investment in a thai company with nominee shareholders or a share certificate with a major bank in a first world country?

Often money can be lost when investing  . The investment community  discribe where the money is lost as a black hole . 

My time is not worth much now i am retired . Yet most working people have to make time to maintain there home .

[itsari]

8 hours ago, ChaiyaTH said:

A 2-3BR with pool goes for as little as 20K and we are not heading to anything close to 50% of previous levels in terms of foreigners and tourism either. So actually you overpaid renting previously and should not count on more than 4% returns yearly. Try finding someone renting long terms without gaps and commissions to real estate agents aside of that. And 1% of that will be maintenance at least.

Maintenance will also be a blast, most times the issues won't show until 2 raining seasons later. But if you did always over pay renting, and kept on doing that, you would kind of be risk free after a short term indeed, assuming it is sellable by then (that requires quite some positive economic moves at this stage, we are not 5-7 years ago). 

Last but not least, you said it was dead money, you don't want all in the stock market, but now you did risk it in real estate casino thailand. I think you'd been better off putting it into gold or bitcoin and renting. But if you don't plan leaving, it can be nice to have your own designed home.

Recommending bitcoin instead of a house is somewhat reckless in comparison . 

Gold would be far safer .

[WhatsNext]

1 hour ago, EVENKEEL said:

When we speak of a 5 mil house, are we including the price of land or just price to build.

5.1 for the land and the house, +1m in extras a lot of those "extras" are non removable such as the kitchen, air-conditioning and inbuilt furniture.

 

For those still talking about the rent value, the house is 6.1 not 5 as you cannot rent it out without kitchen, inbuilt and so on

 

 

[newnative]

10 hours ago, WhatsNext said:

I was paying 40 before, that's what I compare it with. The house i have now inclusive all stuff will rent out for about 35 now, more when we don't have covid. No I'm not posting pictures, with all the crazies about (again with everything 6.1,) 

 

But you are free to believe it would be 9k a month ????

     I think you're on the money with your estimate of 35,000 baht.  My partner and I live in a nice gated project near Lake Mabprachan in Pattaya.  Did a quick search for rentals in our project and the range was 35,000 to 65,000 for large 3 to 4 bedroom pool homes with 3 to 4 baths.  65,000's a stretch with covid but 35,000 isn't.  No doubt there are, indeed, houses somewhere for 9k a month but I doubt they are large 3 bedroom, 3 bath, come with a big pool, and are in good, well-maintained projects with good security.  

[WhatsNext]

19 minutes ago, newnative said:

     I think you're on the money with your estimate of 35,000 baht. 

Exactly, your area is comparable to mine and check out the house that i posted from hua hin that i lived in before. The guys here with the "i live in a 18 million condo for 13k a month" are hilarious. Indeed you can find 9k houses in pattaya they are the single level town home in the darkside on 60m2 land with broken furniture 14 screaming Thai neighbors and a weekly pool when the floods come in.

[Pravda]

6 minutes ago, WhatsNext said:

Exactly, your area is comparable to mine and check out the house that i posted from hua hin that i lived in before. The guys here with the "i live in a 6 million condo for 13k a month" are hilarious. Indeed you can find 9k houses in pattaya they are the single level town home in the darkside on 60m2 land with broken furniture 14 screaming Thai neighbors and a weekly pool when the floods come in.

 

Your caparison is ridiculous. First of all no Thai will pay 9000 a month for a run down house with a broken furniture. That's Farang price.

 

Secondly everyone knows the market in Thailand is broken. You can ask any price you want it's what you get is that counts. It's comparable to a lazy taxi driver who refused to put a meter. Eventually he will find a couple of fools who will use his service.

 

How about this? You give me a link of any 6 million baht house in Pattaya that rents for 40,000 a month and in a year we will revisit this post to see if it's rented?

 

[WhatsNext]

4 minutes ago, Pravda said:

How about this? You give me a link of any 6 million baht house in Pattaya that rents for 40,000 a month and in a year we will revisit this post to see if it's rented?

Do your own work, i am not going into long discussions with someone that obviously is out to troll, Enjoy. 

[Pravda]

7 minutes ago, WhatsNext said:

Do your own work, i am not going into long discussions with someone that obviously is out to troll, Enjoy. 

 

So nothing, as expected.

[WhatsNext]

3 minutes ago, Pravda said:

 

So nothing, as expected.

If you don't do the work you don't get results, enjoy your search troll !

[transam]

I think your thread header should have been,

"My way of buying and building a house in Thailand", because positive it is not.

 

Thanks to many posters here for answering my thoughts/questions after I was told I was trolling..????

 

[WhatsNext]

13 minutes ago, transam said:

I think your thread header should have been,

"My way of buying and building a house in Thailand", because positive it is not.

If you are not trolling, then do tell what was negative about it.

 

Thaivisa is amazing, everything is negative at least with a certain crowd, it's entertaining but a little sad  too. I hope you can see some positive in life as well, trasam. 

 

Not just for Transam : This is turning into a mud fight, i won't be slinging anything back, but before you react ask yourself : Am i contributing something to the information here, or am i just taking away. If the latter is the case, drink some more Chang, find your oldest wife beater and start to walk up and down Soi Bukhao. 

[Ralf001]

11 hours ago, WhatsNext said:

I'm not renting out I'm living in it. And nope a comparable new house doesn't go for 20. I've looked at 20 stuff plenty before just out of interest. But let's stop this fruitless discussion about rents or what i paid before without even knowing what, where, and so on. 

 

I'm sure you all pay only 30% of market price, have loaded bank accounts and drive around in new lambo's what do i know right. I am just a poor loser that can reach inside his pocket and pull out 6m without worrying too much. ????

The house iam in.

5 yr old 4 bed 5 bath, double lockup garage, large swimming pool with BBQ area.

 

currently on the market for 9.5m.... Iam renting it for 25k.... did offer the landlord 8m but they are staying solid at 9.5.

 

If you were to rent yours, you wont get 35k