‘Generation Rent’ surges in Thailand as homes become increasingly unaffordable

[webfact]

The story about a large Chinese family in Henan paying US$140 (about 5,000 baht) a day to stay in a hotel suite for over 200 days rather than buy a house has gone viral on social media.

 

The family of eight gave up their apartment and took a hotel room as their home because it was much more affordable and worry-free.

 

That news was discussed widely on social media, not least because the state of the world economy is resulting in a large number of people in various parts of the world finding it almost impossible to own their houses.

 

This so-called “Generation Rent” – young adults who opt to rent rather than own homes due to factors such as high property prices, economic challenges, or a preference for flexibility – has been growing in number and expanding from the United Kingdom, Germany and the Netherlands to various parts of the world including Asia.

 

In many Asian and Southeast Asian countries, cultural and economic factors influence housing trends. While homeownership is still a significant goal in these regions, renting is becoming more common, especially among younger generations facing not just high property prices but also the near impossibility of obtaining a mortgage.

 

Japan, Singapore and South Korea are three countries in Asia where generation rent numbers are notable. Thailand will likely follow suit thanks to the current situation and changing lifestyle of the young generation.

 

There’s a saying in Thai, “a small bird builds a small nest” which means that one should buy the right-size house to fit one’s budget.

 

Full story: Thai PBS 2024-01-29

 

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[zhounan]

Sometimes when I am in the car at night, I stare at the countless windows without lights in skyscrapers.

Bangkok has so many uninhabited rooms but skyscrapers keep springing up everywhere destroying Bangkok's distinctive features.

 

Thailand should stop developing only one city and start to develop major cities in every provinces to encourage a gradual displacement of people from the capital city.

[billd766]

38 minutes ago, zhounan said:

Sometimes when I am in the car at night, I stare at the countless windows without lights in skyscrapers.

Bangkok has so many uninhabited rooms but skyscrapers keep springing up everywhere destroying Bangkok's distinctive features.

 

Thailand should stop developing only one city and start to develop major cities in every provinces to encourage a gradual displacement of people from the capital city.

Good idea but people seem to prefer to live reasonably close to work and within commuting distance. The further you move from the bigger cities, the harder it is to find a job to commute to, assuming that you are still close to your commuter network.

 

It has been said many times that Bangkok is slowly subsiding and in a couple of decades or so may be uninhabitable.

 

Where will people live, work and commute to, then?

[zhounan]

28 minutes ago, billd766 said:

Good idea but people seem to prefer to live reasonably close to work and within commuting distance. The further you move from the bigger cities, the harder it is to find a job to commute to, assuming that you are still close to your commuter network.

 

It has been said many times that Bangkok is slowly subsiding and in a couple of decades or so may be uninhabitable.

 

Where will people live, work and commute to, then?

A big development plan should of course involve job creation too. Try to imagine if the 10 families that dominate Thailand are forced to invest outside Bangkok, giving the same salaries as here.

 

I am not sure if people would prefer to live in a metropolis with millions of people or in a smaller city if the opportunities are the same.

 

Many Asian countries adopted this one-metropolis development plan, this could be good in the first years to build a certain economy, but then you should develop other neighbouring cities.

[Pouatchee]

i am nearly 60 and up till last year i had rented all my life. now my wife and i own our own home and the build was paid cash. this is an amazing feeling to be owner and not renter. i still walk around my house in near disbelief that i finally have my own home. 60 is late, but better late than never. i wish i had gotten a house while i was younger and i hope the new generations dont have to wait as long as i did

[BritManToo]

1 hour ago, Pouatchee said:

i am nearly 60 and up till last year i had rented all my life. now my wife and i own our own home and the build was paid cash. this is an amazing feeling to be owner and not renter. i still walk around my house in near disbelief that i finally have my own home. 60 is late, but better late than never. i wish i had gotten a house while i was younger and i hope the new generations dont have to wait as long as i did

You still aren't an owner!

[lopburi3]

2 hours ago, billd766 said:

It has been said many times that Bangkok is slowly subsiding and in a couple of decades or so may be uninhabitable.

Of course they have been saying that for the last 50 years that I have been living/visiting Bangkok so would not be putting any bets on it just yet.  Of course if we succeed in melting all the worlds ice, as we seem determined to do, there may be a lot of uninhabitable cities at some point.

[Pouatchee]

21 minutes ago, BritManToo said:

You still aren't an owner!

 

why did you have to ruin it?

i hate you i hate you i hate you... 555

[Trippy]

If they make it illegal for a foreigner to buy a condo only for investment to rent out, it would keep rents more stable. 

[HappyExpat57]

I'm a fan of Jomtien, having lived there on and off (mostly on) for the last ten years. I took a job in Chanthaburi 18 months ago, and have been keeping an eye on Jomtien rents as I plan on moving back when I'm done here. I have been floored with the way rent ads have skyrocketed, nearly doubling since I left. I wonder if that's just wishful thinking on the part of the owners or if that really is what the market will bear now.

 

 

 

Edited January 29 by HappyExpat57

[billd766]

1 hour ago, Pouatchee said:

 

why did you have to ruin it?

i hate you i hate you i hate you... 555

It doesn't really matter, as you can't take it with you when you die.

 

I live in my wife's house that I paid for, on her land. half of which I paid for. When I die (I am 21 years older) she gets it all plus a % of my 2 pensions. We will have been married 24 years this year and she deserves it all.

 

When she dies it goes to our son to do with as he wishes, but at the very least he will own his own home.

[brianthainess]

1 hour ago, Pouatchee said:

 

why did you have to ruin it?

i hate you i hate you i hate you... 555

Don't worry there are ways to stay for the rest of your life.

[StayinThailand2much]

12 hours ago, zhounan said:

Many Asian countries adopted this one-metropolis development plan, this could be good in the first years to build a certain economy, but then you should develop other neighbouring cities.

 

Yes, and to stay in SE Asia, none of the countries developed other cities for economic or cultural reasons, but instead only a few did so due to random other reasons, such as...

 

- (mostly) because of the danger of severe flooding (Indonesia)

 

- because of megalomania of ruling generals (Myanmar), and

 

- because of separate political development over decades (Vietnam).

 

 

Edited January 29 by StayinThailand2much

[hotchilli]

17 hours ago, zhounan said:

Sometimes when I am in the car at night, I stare at the countless windows without lights in skyscrapers.

Bangkok has so many uninhabited rooms but skyscrapers keep springing up everywhere destroying Bangkok's distinctive features.

 

Thailand should stop developing only one city and start to develop major cities in every provinces to encourage a gradual displacement of people from the capital city.

Maybe you should get out of Bangkok a bit more often, many provinces in Thailand are very well developed.

[mikebell]

16 hours ago, Pouatchee said:

i am nearly 60 and up till last year i had rented all my life. now my wife and i own our own home and the build was paid cash. this is an amazing feeling to be owner and not renter. i still walk around my house in near disbelief that i finally have my own home. 60 is late, but better late than never. i wish i had gotten a house while i was younger and i hope the new generations dont have to wait as long as i did

I did the same nearly 20 years ago.  Now I am back being an older member of Gen Rent as a farang here cannot own his own house/land & a Thai court stripped me of 75% + costing me a similar amount in legal fees.

[Celsius]

7 minutes ago, mikebell said:

 Thai court stripped me of 75% + costing me a similar amount in legal fees.

 

why?

[sirineou]

15 hours ago, BritManToo said:

You still aren't an owner!

Not true!!

Every time there is a thread such as this, there is always a guy who posts the above.

The person you responded said"now my wife and I own our own home  "

You can certainly own your home, with your wife  in Thailand.  

Thailand is a community property country. A house attained while married is jointly owned by both partners , in the event of the death of the wife , and where the wife did not have a will that awarded her half to someone else , the husband becomes full owner of the property.  He then has the option to either sell the property with in a Year I believe(might be more)  , or make alternate arrangement of which there are  a few options that would allowed you to stay in your home.

 

 

 

[stargrazer9889]

You can own your own condo in Thailand, and even if the condo fees rise, it will not be like the increases in rent.

  If you are lucky to have a Thai wife, then owning a house in her name is possible as well.

   Renting is for people who cannot save, and live constantly beyond their means.

   I see many of them in Canada as well

 as other parts of the world.

[lopburi3]

22 minutes ago, stargrazer9889 said:

You can own your own condo in Thailand, and even if the condo fees rise, it will not be like the increases in rent.

  If you are lucky to have a Thai wife, then owning a house in her name is possible as well.

   Renting is for people who cannot save, and live constantly beyond their means.

   I see many of them in Canada as well

 as other parts of the world.

You can only own some condos in Thailand.  And Thailand rents seems to be a real bargain so those renting here are likely better off than those in most other countries - rents most places seem to have been almost stagnate for decades (but admit have not followed closely).  Having a Thai wife does not make you an owner of her property - she buys property in her name with her money (as you sign your acknowledge of that).  If you inherit home you have one year to sell.  You could own a building - but not the land - and almost all homes are sold with land.

[Paris333]

Understand the simple things when we talk about real estate = China. China buys America's debt with U.S. Treasuries, which it has bought at a discount of 70% plus. Then he goes to the European Union-Asia and deposits the US bonds in Central Bank of individual country and asks them for payment in cash. Noone dares to dispute not to accept American Treasuries.......Uncle Sam will be angry.......

With the trillions of cash in his possession, the Chinese "investor" buys everything from restaurants, hotels, real estate, etc. Understand the simple things that is nothing for Chinese or Scandinavian or Qataris average citizens to come to a country with €2.000.000 -€3.000.000 and buy chain stores or real estate as deposit of their money.

If companies come, they usually do it to justify revenues from smuggling illegal "substances"......

For instance I am criminal and I want to justify illegal black money .How can I do it?

I set up an offshore company in Comores islands  in which it appears to the tax authorities that I bought or rent certain items and properties.

My profit  for example is €100 and I want to be appeared that I bought them €90. So.....I appear as the buyer of the property that I bought it for €90 from my offshore company and tax authorities tax me on ...... my profit of €10......Comores islands -Bahamas island - Figgy island -Virgin island and Switzerland -Lichtenstein -Monaco.....(European microstates......)

Edited January 30 by Paris333

[kickstart]

13 hours ago, hotchilli said:

Maybe you should get out of Bangkok a bit more often, many provinces in Thailand are very well developed.

Are they, you have a drive around and see all the rows empty lock ups, near me on a very main road must be 80% empty, some have been built 10 years now, a few get rented out for a business, but within a year or so, they give up, some near me are asking 2 million baht plus for a selling price.

No such thing as a free lunch, most are built on borrowed money someone has to pay it back.

And they are still building more, not as many as before, it is not all roses around the porches in the province's. 

[hotchilli]

9 hours ago, kickstart said:

Are they, you have a drive around and see all the rows empty lock ups, near me on a very main road must be 80% empty, some have been built 10 years now, a few get rented out for a business, but within a year or so, they give up, some near me are asking 2 million baht plus for a selling price.

No such thing as a free lunch, most are built on borrowed money someone has to pay it back.

And they are still building more, not as many as before, it is not all roses around the porches in the province's. 

As you say that's near you...