webfact Posted June 16, 2022 Share Posted June 16, 2022 by Krajangwit Johjit BANGKOK (NNT) - Rising inflation and interest rate hikes are expected to dampen demand for real estate and mortgages this year. The Real Estate Information Center (REIC) predicts that the Bank of Thailand’s Monetary Policy Committee will raise its policy rate twice in the second half of this year. The headline inflation rate is expected to reach 6% and overall property market growth in 2022 will be around 3%. With the projected interest rate hikes, people looking to buy a home or seek a mortgage are likely to postpone their plans until the situation improves. Home transfers in the first quarter of 2022 have contracted by 30% year-on-year due to the impact of the pandemic. Second-hand home demand, on the other hand, has increased at a record 9.3% year on year due to lower prices and government incentive schemes. According to Kitti Pattanapongpiboon, chairman of the Housing Finance Association, second-hand homes will become even more popular due to their static price with excess supply and the situation in the non-performing asset (NPA) market. The Housing Finance Association will also host the "2022 Home-Loan NPA Grand Sale" exhibition to help mortgage clients and attract home buyers and property investors. The expo will take place on July 1-3, 2022. -- © Copyright NNT 2022-06-16 - 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. Easiest way to own or rent a car in Thailand - click here to find out more! Link to comment Share on other sites More sharing options...
Popular Post worgeordie Posted June 16, 2022 Popular Post Share Posted June 16, 2022 They forgot to mention debt ,of the potential buyers .... regards worgeordie 3 Link to comment Share on other sites More sharing options...
Popular Post ThailandRyan Posted June 16, 2022 Popular Post Share Posted June 16, 2022 Demand for housing, who the hell are they kidding. I just looked at a house that was priced at 29 million Thb, which was reduced to 21 million Thb and still over priced.....dreams die hard for some...... 4 Link to comment Share on other sites More sharing options...
Popular Post Excel Posted June 16, 2022 Popular Post Share Posted June 16, 2022 2 minutes ago, ThailandRyan said: Demand for housing, who the hell are they kidding. I just looked at a house that was priced at 29 million Thb, which was reduced to 21 million Thb and still over priced.....dreams die hard for some...... Exactly, property market is stagnant and has been for a long time. Of course there are some property will sell either due to the fact it was competitively priced in the 1st place or a buyer wanted that particular property at any price. 4 Link to comment Share on other sites More sharing options...
Pedrogaz Posted June 16, 2022 Share Posted June 16, 2022 1 hour ago, ThailandRyan said: Demand for housing, who the hell are they kidding. I just looked at a house that was priced at 29 million Thb, which was reduced to 21 million Thb and still over priced.....dreams die hard for some...... 10 years or so ago, I paid around 2 million for a piece of land and paid a local contractor about 5 million to build my wife's house (about 400 sqM). I certainly would never get 7 million for it if I tried to sell it. It has a few drawbacks but we like where it is and the garden which is beautiful. 2 Link to comment Share on other sites More sharing options...
IAMHERE Posted June 16, 2022 Share Posted June 16, 2022 I hope reduced demand means reduced prices. 2 Link to comment Share on other sites More sharing options...
ezzra Posted June 16, 2022 Share Posted June 16, 2022 I think the condo market will attract some interest and a bit of up movements as soon as tourism will go back to normal from people who with to buy a holiday place, not sure about the housing market though as this is a different market... 2 Link to comment Share on other sites More sharing options...
Popular Post bkk6060 Posted June 16, 2022 Popular Post Share Posted June 16, 2022 (edited) I would never buy here, but I disagree when the Chinese are released. Anyone keeping up on what is happening in Singapore? Prices, demand, rents are way up all due to Chinese. Thailand is the next best option for them. It is still very inexpensive here for condominiums compared to other countries, I see by the end of this year that market doing much better. Edited June 16, 2022 by bkk6060 3 Link to comment Share on other sites More sharing options...
soi3eddie Posted June 16, 2022 Share Posted June 16, 2022 (edited) Friend in Bangkok sent me a message this morning saying that Ananda Dev - Ideo branded condos are offering 30% discount on 3 of their projects and no transfer fees (did not state which projects). There must be a lot of developers starting to run into financial difficulty. Edited June 16, 2022 by soi3eddie 1 Link to comment Share on other sites More sharing options...
Tony125 Posted June 16, 2022 Share Posted June 16, 2022 (edited) I think demand for properties will go up as soon as getting into Thailand becomes easy. Chinese will be back to buy as well as a number of my friends from US who will retire, sell their homes and move away from cold winters, shootings , lack of baby formula and other comodities , political/racial unrest ect in the US. Edited June 16, 2022 by Tony125 2 1 Link to comment Share on other sites More sharing options...
Isaan sailor Posted June 16, 2022 Share Posted June 16, 2022 Interest rate hikes—the fly in the ointment. Although the 1% pay cash for properties. Link to comment Share on other sites More sharing options...
Aussieroaming Posted June 16, 2022 Share Posted June 16, 2022 The real estate market might be dead but that doesn't stop some sellers from advertising their properties month in and month out at prices that obviously exceed the current market values. No one wants to lose equity but its difficult to make a big profit in Thai real estate at present. Thailand needs to market itself better to future foreign investors and retirees and make purchasing a property and living here more enticing in order to reinvigorate the market with fresh money. Link to comment Share on other sites More sharing options...
Popular Post spidermike007 Posted June 16, 2022 Popular Post Share Posted June 16, 2022 Real estate demand has fallen already. The decimation crew needs something to blame it on. Of course the highly selective economic shutdowns and the subsequently decimated economy had nothing to do with it. Deflection is what these guys do best. Never, ever take responsibility. 3 Link to comment Share on other sites More sharing options...
Popular Post Tony125 Posted June 16, 2022 Popular Post Share Posted June 16, 2022 According to below article we won't be seeing the Chinese coming back to buy/visit anytime soon. US envoy sees China lockdowns extending into 2023 https://www.msn.com/en-us/news/world/us-envoy-sees-china-lockdowns-extending-into-2023/ar-AAYxBGA?li=BBnbcA1 2 1 Link to comment Share on other sites More sharing options...
mikebell Posted June 17, 2022 Share Posted June 17, 2022 15 hours ago, ezzra said: not sure about the housing market though as this is a different market... It is one without farangs. Until Thailand updates its mediaeval house owning laws the housing market will continue to languish. Retiree expats should be cherished; they have family & friends who would love to visit yet there's so many hoops Malaysia reaps the benefits. 2 Link to comment Share on other sites More sharing options...
newnative Posted June 17, 2022 Share Posted June 17, 2022 Quality properties priced correctly in excellent locations are still selling. 1 Link to comment Share on other sites More sharing options...
ThailandRyan Posted June 17, 2022 Share Posted June 17, 2022 (edited) 56 minutes ago, newnative said: Quality properties priced correctly in excellent locations are still selling. Exactly, properly priced. I did some viewing of Villas for sale, and only 1 was priced correctly but it was not one to our liking. I liked one and it was almost 8 million over what it should have been priced at, and the seller from what the agent said, would not budge at all. People think they are sitting on gold and trying to sell what they have for double the price. People who want to sell, truly want to sell, are motivated with the correct price, and will still come out ahead. Buying land and building is always the option, sure I can not buy the land, but I can buy it in my Thai Daughters name. Building is a pain in the rear........... Edited June 17, 2022 by ThailandRyan 1 Link to comment Share on other sites More sharing options...
Isaan sailor Posted June 17, 2022 Share Posted June 17, 2022 We built one house—Isaan, and rent another—sea coast. Link to comment Share on other sites More sharing options...
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