Price To Buy 1 Rai?

[stickyb]

What would be a reasonable price to pay for a piece of land to build a house on?

The piece the family is trying to get me interested in is just under 1 Rai, about 35Kms outside Korat, almost in the middle of nowhere, no water but electric nearby.

[sibeymai]

20,000Bt ?

[observer21]

What would be a reasonable price to pay for a piece of land to build a house on?

The piece the family is trying to get me interested in is just under 1 Rai, about 35Kms outside Korat, almost in the middle of nowhere, no water but electric nearby.

I think the monkey that replied last was having a laugh.

Think of it this way: if a ferang is buying the price could easily double. However, If you owned this land and wanted to sell it back to a Thai in the future, then its true value could easily half.  In othere words if you paid 100k for it today you would be lucky to get 25k back for it tommorow.  

Think about it, what value does a plot of land in the middle of nowhere have to a thai.  Many of the poorest thai familys have plenty of land that they would love to sell - not buy though.

Also, importantly, what land title does it have.  It it only has a kor sor nung then you cant even build on it.

I have met quite a few ferangs lately wwho are being pushed into buying land in the sticks by 'families'

Edited June 14, 2007 by observer21

[Cuban]

Build a house - Does it have road access?

Price depends on access - however if you are considering a house consider how you are getting to the property, if you are crossing someone else'e land what rights do you have? None?

Also consider how isolated the house will be when built, if outside a village setting you will need to spend more on security. A known farang house will be of interest to theives.

[Nomad97]

Stickyb, from the scant information you have given it is not possible to say what your proposed piece of land is worth. That said, the following information maybe useful for you.

Last year my wife bought some land within her village and back-to-back to her parent's and two aunties/uncles houses, with electric, water and road access, at 70,000 baht for 269 talang wah, (about 100,000 baht/rai). Cost to raise the land 1 meter with landfill was a further 36,000 baht (240 trucks at 150 baht/truck), plus 4,000 baht for leveling. Our intention is to build a 'holiday home' sometime in the future.

Another 200 talang wah (1/2 rai) plot within the village is up for sale at the moment, already with landfill and leveled, at 70,000 baht. Rice paddy land away from the village but accessible by track is available at 20,000 baht per rai (as the 'monkey' said) although many are now asking 30,000 baht/rai when they know there is a 'farang connection'. If the paddy land is located on a major road close to a village this could rise to 100,000 baht per rai. Similar to you, the land in this example is in a village some 35 kilometers outside of Surin.

I hope this information helps you determine whether or not the price you are being asked is fair or otherwise. As to the land being suitable to build a house on is another question altogether. As Cuban said, a known farang house will be of interest to thieves / burglars, especially if it is built in an isolated location and is frequently unoccupied. A lot will depend on your future intentions but I feel happier having some land within the village and adjacent to close family members.

[Lite Beer]

I paid 200,000 Baht for 3/4 Rai. As said a bit over the top because of the farang connection.

As it is in a village with electric , good access and a nice outlook I considered it worth the price.

[Gary A]

A piece of land is worth whatever someone is willing to pay for it. There are no hard fast rules. We bought 10 rai a couple years ago for 180,000 baht. We just bought 9 1/2 more for a total of 190,000. Neither plot has electricity and both are on dirt roads. There was a building lot in our village about 50 meters from our house. It is more than a half rai. My wife paid 80,000 baht for it. It has village water, is on a concrete road and has electricity. Since the small plot has an access road that belongs to the property, it would be a great place to build a house. The house would be about 30 meters off the concrete road so it would be quiet and have a little privacy.

[Cuban]

Cost to raise the land 1 meter with landfill was a further 36,000 baht (240 trucks at 150 baht/truck), plus 4,000 baht for leveling.

Before going ahead with filling the land consider how you will locate the house on the plot and if there will be issues with drainage during heavy rains.

Also find out what size truck will be used, measure the size - cubic metres - and see if the truck is delivered level or heaped spoon style. Prices I have seen recently range between 60-90 Baht per cubic metres delivered, depending on location.

The 60 baht (per cuic metre) I paid included a big tracked bulldozer to level and compress the earth.

It would be wise to employ a (trusted) family member to count the number of trucks delivered, either mark the tally in a book or give numbered tokens to the drivers - then pay as per the total.

You will need one rainy season to compress and settle the filled land, so to build next year fill soon.

[stickyb]

Thanks for the info so far.

Yes, it has raod access, dirt roads only. it has full chanote, i have seen it.

it is owned by part of the family, they want to sell, i am being asked if i want to help buy it to keep it in the family. they are asking 30,000 for just under 1 rai, so it sounds as if it could be inflated a bit!

[opothai]

i paid 180,000bht for 1 rai about 3 or 4 years ago, 12km from the centre of korat.

since that time i have tried to buy more but no one wnts to sell any land in the village.

from what i have gathered the majority of the open land is owned by two chinese famlies and they simply accumulate land and will not sell.

as said bafore land is only worth what people are willing to pay for it.

[observer21]

Thanks for the info so far.

Yes, it has raod access, dirt roads only. it has full chanote, i have seen it.

it is owned by part of the family, they want to sell, i am being asked if i want to help buy it to keep it in the family. they are asking 30,000 for just under 1 rai, so it sounds as if it could be inflated a bit!

30,000 for 1 rai is not inflated according to all the previous posts.  But everone has ingnored the land title question - most important.  Seems that most people not even aware or interested

[Issangeorge]

My experience is that 30,000 baht for 1 rai with road excess and chanote, is a fair price, not a steal, but not a rip off either. Issangeorge

[jay-uk]

my wife and I have land in ubon ratchathani city 5 mins from big c city centre. five + years ago we paid 1.5 m baht for 3 rai road side with electric and drains. A lot we thought even at the time then a couple of years ago we purchased ajoining land at the rear (another 3 rai) for 600K baht. The 6 rai total average price for us was 350,000 baht per rai on the two purchases. Weve since built a house, garage/sala, wall and landscaped gardens. However, the house size is relatively small and we decided to build a small 4 bed bungalow instead of spending heavy on a two storey house and saved some money that way. We have found that land is very much an investment and indications are that we could make a small profit if we sell based on where we are. The moral of the story I think is location is key....and houses rarely appreciate in Isaan like they would in the western world. We do have friends and family who have purchased further out in the sticks and have not lost or made money on land but on the flip side purchased more land for less money and can farm it. Its all about what you want really and where you want to be. I'd never be a farmer and like convenience of getting to a shop or hospital quickly if need be. Other people like less hassle buying land in the village as they can risk less capital and live a less complicated life.

Edited June 16, 2007 by jay-uk

[Cuban]

But everone has ingnored the land title question - most important.

There are many important factors, land title is one of them. Why does no one else want to buy it is another?

Risk to flooding, soil quaility for planting, etc.

Buy land, there not making any more of it - except in Dubai !

[thedi]

When 30'000 is the first offer you may negotiate and come to a fair price. 30K/rai is not far off for land with a dirt road access. You may also consider, that the land will stay in the family, which is important to Thais (your wife).

But I would strongly suggest to not get fixed on the idea of using this land to build a house. For a house you should have neighbors, i.e. it should be in a village. Water, electricity, shops nearby, is the road good in rain season? etc should be considered. But most important are neighbors. Is it near a wilderness with snakes and other people dumping their garbage, is there a pig farm nearby (or plans to build one) ... There are many points to consider.

The land will be just a view thousend baht, and if it is a bad investment, your loss would be small. Anyway, 30K/rai is not bad.

But if you build a house for some 100 to 300K baht and then find out, that you do not like to live alone in the nowhere (or rather your wife may find out), then your loss is regrettable.

All I want to say: choose the land to build a house not because you get a good offer, but on your needs.

Regards

Thedi

[LoveDaBlues]

What would be a reasonable price to pay for a piece of land to build a house on?

The piece the family is trying to get me interested in is just under 1 Rai, about 35Kms outside Korat, almost in the middle of nowhere, no water but electric nearby.

I'd have a contract drawn up that gives you the right to drill a well on the property FIRST. If the well produces then you have the right to buy the property for 30K baht within X number of days.

A piece of property to build a house on is worthless without a water source.

Could you get the property for 20K instead of 30K? Maybe, but why bother with hard feelings over 10K baht, it's such a pittance especially in the long run. In this instance the property cost will be a fraction of the building cost, not always the case.

Do you really want to live in the middle of nowhere?