Popular Post webfact Posted May 10, 2022 Popular Post Share Posted May 10, 2022 file photo ANALYSIS | by Michael Bridge It remains one of the world's fastest-growing economies and owning property in Thailand has been a fashionable way to profit from the nation's rise. The country still remains one of Asia's more promising markets as it opens to foreign investment, especially with the expansion of the Eastern Corridor. So, what is predicted to happen to house prices in 2022? Thailand Property Market Index, the Price Index of Bangkok residential property has been decreasing since Q4 2020. It decreased from 197 points to 190 points in Q1 2021, to 183 points in the following quarter, and to 178 points in Q3 2021. Overall, the Price Index decreased by 11% compared to the same period in 2020. Keep up to date with all things Thailand - Join our daily ASEAN NOW Thailand Newsletter - Click to subscribe The index however did report that the locations with the highest price growth are mostly located around city fringes, and the outskirts of Bangkok. Meanwhile CBRE the international real estate agents stated in their 2022 Thailand Real Estate Market Outlook that low-rise properties will be popular. They state that with no new projects launched in the Bangkok downtown condominium market in almost three quarters, for the first time in history, strong demand for low-rise housing continues. This is as buyers’ preferences shift to low density, larger and more adaptable spaces. This year, developers will cautiously consider new projects which have to cater for domestic real demand. Is buying a condominium in Bangkok a good investment? Under the right circumstances, buying a condo in Thailand can be a rewarding purchase and normally has been a good investment. If you are a foreigner interested in buying a condo in Thailand, there are a few issues you need to be aware of. Remember foreigners may only own 49% of a single condo development, although it is hoped to assist sales that this rule maybe amended. Who to believe? Some experts say that with fewer mortgages being agreed and the ongoing cost-of-living crisis that has been worsened by the Russia-Ukraine war, prices may stay stagnant. However, the bottom line is the fact that in times of crisis people have turned to gold to hedge their bets. But gold prices fell to a near three-month low on Monday, the gold bar has lost some of its sparkle. So maybe if the developers wish to move units quickly, they may start to reduce or offer some crazy deals for cash buyers. If you are keen golfer, owning a villa on a course designed by Jack Nicklaus might tick all the boxes, especially if you do not need a mortgage. At the end of the day if you are buying for yourself as a home to live in and not for investment, then now could be an excellent time to pick up a real bargain in a fantastic location. As they say, location, location, location…...and of course cash is always king! -- © Copyright ASEAN NOW 2022-05-11 - Cigna offers a range of visa-compliant plans that meet the minimum requirement of medical treatment, including COVID-19, up to THB 3m. For more information on all expat health insurance plans click here. - Follow ASEAN NOW on LINE for breaking COVID-19 updates Get your business in front of millions of customers who read ASEAN NOW with an interest in Thailand every month - email [email protected] for more information 1 14 Link to comment Share on other sites More sharing options...
Popular Post flyingtlger Posted May 10, 2022 Popular Post Share Posted May 10, 2022 (edited) I've been watching the Thai real-estate market for 30+ years. I there are much better ROI's than the Thai real estate. Edited May 11, 2022 by metisdead Trolling image removed. 10 9 2 Link to comment Share on other sites More sharing options...
starky Posted May 10, 2022 Share Posted May 10, 2022 Analysis? Pigs Harris. Link to comment Share on other sites More sharing options...
Popular Post timendres Posted May 10, 2022 Popular Post Share Posted May 10, 2022 I can actually own gold... 21 1 9 3 Link to comment Share on other sites More sharing options...
Popular Post garyk Posted May 10, 2022 Popular Post Share Posted May 10, 2022 Hard for my ex GF to keep from being hunch back from the gold amulets. Give her a little push going down hill and she could never stop... 4 Link to comment Share on other sites More sharing options...
Popular Post Onerak Posted May 10, 2022 Popular Post Share Posted May 10, 2022 2 hours ago, webfact said: As they say, location, location, location…...and of course cash is always king! Never believe in the saying that "cash is always the king". In the US you can leverage appreciated value of one house to purchase another and some of my friends own a large number of houses for rental incomes, all delivering cash flows. They are also millions in debt on their mortgages and their mortgages are paid from rental incomes. I have my self purchased two houses on credit one is fully paid up and the other is generating AirBnb incomes in Las Vegas that leave me a few hundred dollars after maintenance company fees and mortgages. For the last two decades with super low interest rates, it was always better to buy using credit. Yes, interest rate are rising now but still in the low range. I earn more than thousand dollars in credit card cash back every year and even buy candy using credit cards. ANd credit cards provide additional security against fraud. i Hardly use any cash except when I am in Thailand and vendors won't take CC. Never met a vendor in the USA and Europe who does not take CC. For me credit is the king. 5 5 Link to comment Share on other sites More sharing options...
Popular Post alex8912 Posted May 10, 2022 Popular Post Share Posted May 10, 2022 Gold and Real Estate have ZERO to do with each other in Thailand or elsewhere. Click click nothing! 16 2 Link to comment Share on other sites More sharing options...
Popular Post garyk Posted May 10, 2022 Popular Post Share Posted May 10, 2022 46 minutes ago, alex8912 said: Gold and Real Estate have ZERO to do with each other in Thailand or elsewhere. Click click nothing! This is Thai Visa, anything is possible... ???? 1 8 Link to comment Share on other sites More sharing options...
Popular Post madmitch Posted May 10, 2022 Popular Post Share Posted May 10, 2022 Would it be presumptuous to assume the author is in the real estate business? 7 2 17 Link to comment Share on other sites More sharing options...
blazes Posted May 10, 2022 Share Posted May 10, 2022 A property costing $500,000 (anywhere in the world) will cost you 272 ounces of gold as of 4 pm Pacific ST on Tuesday May 10. The gold bugs tell us that when Armageddon finally arrives (assuming we're not already here), we will need loads of gold just to go out and buy a loaf of bread (or bag of rice). Personally I have not met one person who owns even one ounce of gold (except maybe "accidentally" in a watch or necklace). 2 Link to comment Share on other sites More sharing options...
Popular Post mikebell Posted May 10, 2022 Popular Post Share Posted May 10, 2022 1 hour ago, timendres said: I can actually own gold... I owned 49% of a house at one time before an ex-wife & Thai courts took it. 3 1 4 Link to comment Share on other sites More sharing options...
Popular Post RichardColeman Posted May 10, 2022 Popular Post Share Posted May 10, 2022 (edited) Pretty sure if I won a competition and the prize was a million quid house along the Thames in the UK I'd tke the house rather than a million quid in gold ! That said , if they offered the same in Thailand - house on the river in BKK or the gold - I'd take the gold ! Edited May 11, 2022 by RichardColeman 6 2 4 Link to comment Share on other sites More sharing options...
Popular Post ezzra Posted May 11, 2022 Popular Post Share Posted May 11, 2022 4 hours ago, webfact said: They state that with no new projects launched in the Bangkok downtown condominium market in almost three quarters, for the first time in history, strong demand for low-rise housing continues. Let come to Sukhumvit 59 and see 3 giant condominiums are going up, giant like 45 floors and higher, and this is only in one Soi... 3 Link to comment Share on other sites More sharing options...
Popular Post KhunLA Posted May 11, 2022 Popular Post Share Posted May 11, 2022 News-blip must be written by Thai Condo Assoc. Condos as an investment vs renting, IF, living there for 10 yrs. As a buy & sell or rent investment, not so much. Surely better opportunities in western home country. Inability to own land is a huge downside to Thailand, since relying on a trusting partner. Rare to impossible to find for some. With divorce rates at about 50% worldwide, wives/spouses are not the best partnerships. 4 Link to comment Share on other sites More sharing options...
Popular Post rwill Posted May 11, 2022 Popular Post Share Posted May 11, 2022 (edited) Lots of repossessed homes in the mooban I live in. Some have been vacant for 8 years or more. Also gold has not dropped that much. Edited May 11, 2022 by rwill 3 Link to comment Share on other sites More sharing options...
Aussieroaming Posted May 11, 2022 Share Posted May 11, 2022 It would be hard to see Bangkok condo real estate being an attractive investment without foreigners being here in droves to soak up the resale units being. I doubt that my apartment has appreciated in value, given the volume of new builds that sprang up around us within the last 4 years. In hindsight I wish I had hunted down a good townhouse needing redevelopment or remodelling in Dusit or somewhere similarly cherished by the local middle class because some of those structures are well placed in quiet soi's and offer great overall square footage of living space. 1 Link to comment Share on other sites More sharing options...
Popular Post 10baht Posted May 11, 2022 Popular Post Share Posted May 11, 2022 4 hours ago, webfact said: As they say, location, location, location…...and of course cash is always king! Right now the location is in the US stock market if you have the balls to buy the dip. 5 1 Link to comment Share on other sites More sharing options...
jacko45k Posted May 11, 2022 Share Posted May 11, 2022 1 minute ago, rwill said: Lots of repossessed homes in the mooban I live in. Some have been vacant for 8 years or more. Plenty round me that have been on the market for many years, not repossessed, but remaining unsold. Hard to be optimistic about owning Thai property with such obvious lack of buoyancy. Perhaps condos in the Capital not in flood areas is the best bet. Link to comment Share on other sites More sharing options...
Popular Post CharlieH Posted May 11, 2022 Popular Post Share Posted May 11, 2022 Never understood the many properties built that are never even offered for sale but just stand there empty for years ! Money laundering was one thought. There is one moo bahn, has may be 30 or more homes built, and not one is occupied nor offered for sale. Blocks of town houses built, then nothing, just left there. Very odd ! 10 Link to comment Share on other sites More sharing options...
ThailandRyan Posted May 11, 2022 Share Posted May 11, 2022 1 hour ago, blazes said: A property costing $500,000 (anywhere in the world) will cost you 272 ounces of gold as of 4 pm Pacific ST on Tuesday May 10. The gold bugs tell us that when Armageddon finally arrives (assuming we're not already here), we will need loads of gold just to go out and buy a loaf of bread (or bag of rice). Personally I have not met one person who owns even one ounce of gold (except maybe "accidentally" in a watch or necklace). Then you don't know many people who live in Thailand or for that matter invest on precious metals. However to stay on topic as dar as housing g prices here in Thailand, houses and condos are overpriced. There needs to be a real-estate board and an actual appraisal board that is certified in reality not the stratosphere. 1 Link to comment Share on other sites More sharing options...
Ralf001 Posted May 11, 2022 Share Posted May 11, 2022 Be nice if I was able to buy real estate in my actual name. 2 Link to comment Share on other sites More sharing options...
Popular Post LarrySR Posted May 11, 2022 Popular Post Share Posted May 11, 2022 1 hour ago, madmitch said: Would it be presumptuous to assume the author is in the real estate business? From the article...."CBRE the international real estate agents stated in their 2022 Thailand Real Estate Market Outlook that low-rise properties will be popular." Why would they lie? 5 Link to comment Share on other sites More sharing options...
Popular Post Walker88 Posted May 11, 2022 Popular Post Share Posted May 11, 2022 "One of the fastest growing economies" I was curious so took a look at both GDP numbers and debt levels going back to 2010. Conclusion: there was little to no organic growth in Thailand for a decade. What growth there was---and it wasn't that much---was debt fueled. The rise in corporate bond issuance was about +11% per year. Household debt is at an all time high. Thailand theoretically has lots of FX reserves, but these are not in a box somewhere. They are already committed to something. The govt recently announced another huge sovereign debt offering, so flush with cash they are not. The banking sector is a black hole, owing to shinanigans allowed during Covid. First, there were several periods of debt moratorium, which masks NPLs. Second, accounting rules allowed for imputed interest, meaning that a bank could run interest payments received through the income statement, even if the borrower wasn't repaying. Third, recent rule changes now allow banks to buy asset management companies that engage in debt workouts. Of course, the rules regarding consolidation on the parent's balance sheet are hazy, so it seems this was done to allow banks to shift NPLs to a self-owned debt workout company, then be allowed to not consolidate. In other words, the NPLs become hidden. None of this bodes well for RE prices, so.....even a falling gold price looks better than what is an increasingly opaque RE and banking sector. 5 3 Link to comment Share on other sites More sharing options...
LarrySR Posted May 11, 2022 Share Posted May 11, 2022 20 minutes ago, rwill said: Lots of repossessed homes in the mooban I live in. Some have been vacant for 8 years or more. Also gold has not dropped that much. Must be 20,000 open units in the Pattaya Jomtien area, no? Do the developers investing billions know something we don't know? I did notice lots of road improvement just south of Jomtien ...Highway 7 exit, major Sukhumvit expansion and didn't I hear something about a skytrain or rail line is headed this way? I do know Icon Siam Mall is planned near Ocean Marina and heard rumors a long time ago the Disney has eyes on land there. Link to comment Share on other sites More sharing options...
maddermax Posted May 11, 2022 Share Posted May 11, 2022 There are many beautiful and well-located condos around the country so there are plenty to choose from. These may also appear to very reasonably priced but there are many other costs which need to be considered. Coupled with this is the plethora of paperwork and formalities of the bureauratic Thai system. To own a property, whether foreign or Thai company owned, you must possess the Chanot and Tabian Baan, ie, the land registry plan and the blue book. Usually, these will be transferred when you pay the final payment for the property. However, some developers, being in financial difficulties, have not transferred them to the owners for more than four years. Owners of units at Amari Residences (The Legend Residence) have been waiting for their chanots to be transferred from Nova Legend Group who appear to be in financial difficulties, having used the chanots as security for a loan from Siam Commercial Bank. An action group has been formed to progress claims. 1 1 Link to comment Share on other sites More sharing options...
Popular Post khunjeff Posted May 11, 2022 Popular Post Share Posted May 11, 2022 5 hours ago, webfact said: It remains one of the world's fastest-growing economies and owning property in Thailand has been a fashionable way to profit from the nation's rise. Oh, really... ???? 5 hours ago, webfact said: The country still remains one of Asia's more promising markets as it opens to foreign investment, especially with the expansion of the Eastern Corridor. Oh, really... ???? This keen analysis is up (or down) to the usual standards of the inestimable Mr. Bridge ???? 4 2 Link to comment Share on other sites More sharing options...
Sparktrader Posted May 11, 2022 Share Posted May 11, 2022 Shares yield no costs Houses have costs Gold no yield 1 Link to comment Share on other sites More sharing options...
Popular Post warrima Posted May 11, 2022 Popular Post Share Posted May 11, 2022 11 minutes ago, khunjeff said: This keen analysis is up (or down) to the usual standards of the inestimable Mr. Bridge ???? He must be either very cheap or writes for free. 1 3 Link to comment Share on other sites More sharing options...
peter zwart Posted May 11, 2022 Share Posted May 11, 2022 2 hours ago, blazes said: A property costing $500,000 (anywhere in the world) will cost you 272 ounces of gold as of 4 pm Pacific ST on Tuesday May 10. The gold bugs tell us that when Armageddon finally arrives (assuming we're not already here), we will need loads of gold just to go out and buy a loaf of bread (or bag of rice). Personally I have not met one person who owns even one ounce of gold (except maybe "accidentally" in a watch or necklace). The gold bugs tell us that when Armageddon finally arrives (assuming we're not already here), we will need loads of gold just to go out and buy a loaf of bread (or bag of rice) = CBDC Link to comment Share on other sites More sharing options...
hotchilli Posted May 11, 2022 Share Posted May 11, 2022 5 hours ago, webfact said: It remains one of the world's fastest-growing economies and owning property in Thailand has been a fashionable way to profit from the nation's rise. Sorry I find both statements hard to believe. Link to comment Share on other sites More sharing options...
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now