Who Is Buying All These Houses?

[LivinginKata]

It seems to me the resale market is just really really slow.. New build for far more sells, off plan sells, but for some reason the resale is slow.

Easy answer ... far too many new builds (condo/apartment type) on offer at 'cost' price in the 4 - 8 million baht range. The bigger villas (20+ million baht) re-sales have usually been good, but even they seem to have stalled too.

[LivinLOS]

Easy answer ... far too many new builds (condo/apartment type) on offer at 'cost' price in the 4 - 8 million baht range.

Not trying to nit pick..

But how does that jibe with your comments that the rental market doesnt work if you buy off plan because the developer has already pout a 40% type remium into your buy to let investment.

I mean either they are close to cost or thier highly inflated.. Cant be both ??

[LivinginKata]

Easy answer ... far too many new builds (condo/apartment type) on offer at 'cost' price in the 4 - 8 million baht range.

Not trying to nit pick..

But how does that jibe with your comments that the rental market doesnt work if you buy off plan because the developer has already pout a 40% type remium into your buy to let investment.

I mean either they are close to cost or thier highly inflated.. Cant be both ??

LOS, I am not understanding your question....

If you buy off-plan then you buy at the lowest possible price (as you really subsidise the builder's costs as they build).

I then said that the speculators try to sell at 40% or more once the building is complete, some 6 -12 months later.

Not sure what the 'rental market' has to do with selling market ?? other than some speculators try to make a bit of rental income while they wait for a buyer.

[LivinLOS]

Back from a forced vacation..

I mean if one argument is off plan is near to cost... Then in a previous post you say that buying to let your high purchase costs negate the rental return and its not cost effective unless you do it yourself.. Surely if the off plan is near to cost then that kinda negates the second one ??

In my mind the whole price here is over valued for the location and comparable developing nation places. This was supported during boom time expansion and while there were floods of easy money and real estate gamblers from overseas.. But now we are seeing the pain in real estate globally and thats going to feed back to Phuket where property is often a luxury purchase or speculative holiday home investment.

[LivinginKata]

I mean if one argument is off plan is near to cost... Then in a previous post you say that buying to let your high purchase costs negate the rental return and its not cost effective unless you do it yourself.. Surely if the off plan is near to cost then that kinda negates the second one ??

No idea what you are trying to express. I give up. Bye bye.

[bodunchar]

Interesting thread.

As the last reply was 2008 and 2010 is almost upon us, anyone have any new comment on the cost of housing, the housing market etc in Phuket?

Nothing much seems to have changed to me.

Thanks!

[LivinLOS]

Interesting thread.

As the last reply was 2008 and 2010 is almost upon us, anyone have any new comment on the cost of housing, the housing market etc in Phuket?

Nothing much seems to have changed to me.

Thanks!

I think theres lots more choice, I mean I could name 3 or 4 pool homes around at 30 - 50k and those would never have been on the market months (even at christmas)..

I would say prices have fallen but so little actually changes hands its really hard to get a feel for it.

I also think theres a flood of new build apartment / condo / shophouse stuff in patong etc which is far beyond the growth of actual residents.. The over supply seems in almost all categories.

[gvallee2]

theres only 3 reason

Horrible presentation and build (went to see many developements, everything is half-assed and when theres furniture it almost makes you barf)

-

Hard to get loans even through girlfriends unless they're top 0.001% of the hiso community (not everyone is 100years old with all their life savings, im certain if we could get loans through gf's with decent jobs easly on already built houses a lot of younger guys would buy old houses, like i would buy my neighbor's house for 4mil today if i could get a loan (its easly worth 7mil because the people in the estate resell for 4mil the same house with no modification and his is awesome with more than 3mil invested and he paid about 2.5)). yet so easy to get a loan for those crappy new developement or condos.

-

Location, who really wants to live in thalang, boatlagoon? nice places but far from most big cities and full of traffic.

As far as rentals go, i looked around alot recently and its getting worse. Lower prices but everything is dirty. dirty houses, dirty furniture or no furniture, dirty neighborhood. Really hard to find a good deal from 15k to 45k a month. You either overpay or it doesn't exists

[logbags]

theres only 3 reason

Horrible presentation and build (went to see many developements, everything is half-assed and when theres furniture it almost makes you barf)

-

Hard to get loans even through girlfriends unless they're top 0.001% of the hiso community (not everyone is 100years old with all their life savings, im certain if we could get loans through gf's with decent jobs easly on already built houses a lot of younger guys would buy old houses, like i would buy my neighbor's house for 4mil today if i could get a loan (its easly worth 7mil because the people in the estate resell for 4mil the same house with no modification and his is awesome with more than 3mil invested and he paid about 2.5)). yet so easy to get a loan for those crappy new developement or condos.

-

Location, who really wants to live in thalang, boatlagoon? nice places but far from most big cities and full of traffic.

As far as rentals go, i looked around alot recently and its getting worse. Lower prices but everything is dirty. dirty houses, dirty furniture or no furniture, dirty neighborhood. Really hard to find a good deal from 15k to 45k a month. You either overpay or it doesn't exists

I've got a very nice, neat two bedroom house in Bang Tao. 2 Air-cons, furniture, kitchen, 2 small bathrooms and cable T.V. I pay 13,000 baht a month with free water and power cost of about 2,000 baht a month. I am close to both surin and bang tao beaches. There is another house next door for the same price and it's been empty all year. It's not a mansion or high quality place but clean and neat enough for me. I have a large gate and my landlord always comes and checks when I'm not around. He collects my rubbish and locks my gate if I'm not home. He is like a 24 hour security guard. I have a large circle of local Thais who come around daily and some stay over but he is never bothered by this.

I was offered a 4 bedroom house near Laguna which was ridiculous as it was so huge, 15,000 a month. I don't believe you need to pay too much to get a nice place. A mate has one in the Laguna area and his is only 20,000 a month and he has a pool. I'm not renting long term either, just month by month.

[gvallee2]

theres only 3 reason

Horrible presentation and build (went to see many developements, everything is half-assed and when theres furniture it almost makes you barf)

-

Hard to get loans even through girlfriends unless they're top 0.001% of the hiso community (not everyone is 100years old with all their life savings, im certain if we could get loans through gf's with decent jobs easly on already built houses a lot of younger guys would buy old houses, like i would buy my neighbor's house for 4mil today if i could get a loan (its easly worth 7mil because the people in the estate resell for 4mil the same house with no modification and his is awesome with more than 3mil invested and he paid about 2.5)). yet so easy to get a loan for those crappy new developement or condos.

-

Location, who really wants to live in thalang, boatlagoon? nice places but far from most big cities and full of traffic.

As far as rentals go, i looked around alot recently and its getting worse. Lower prices but everything is dirty. dirty houses, dirty furniture or no furniture, dirty neighborhood. Really hard to find a good deal from 15k to 45k a month. You either overpay or it doesn't exists

I've got a very nice, neat two bedroom house in Bang Tao. 2 Air-cons, furniture, kitchen, 2 small bathrooms and cable T.V. I pay 13,000 baht a month with free water and power cost of about 2,000 baht a month. I am close to both surin and bang tao beaches. There is another house next door for the same price and it's been empty all year. It's not a mansion or high quality place but clean and neat enough for me. I have a large gate and my landlord always comes and checks when I'm not around. He collects my rubbish and locks my gate if I'm not home. He is like a 24 hour security guard. I have a large circle of local Thais who come around daily and some stay over but he is never bothered by this.

I was offered a 4 bedroom house near Laguna which was ridiculous as it was so huge, 15,000 a month. I don't believe you need to pay too much to get a nice place. A mate has one in the Laguna area and his is only 20,000 a month and he has a pool. I'm not renting long term either, just month by month.

.

location: far from every good restaurant and gym and tesco type furniture just kills me at the very bottom of my soul.

for 13 000 a month i doubt you even get a 32+ inch LCD tv. if so you're the exception

[LivinLOS]

As far as rentals go, i looked around alot recently and its getting worse. Lower prices but everything is dirty. dirty houses, dirty furniture or no furniture, dirty neighborhood. Really hard to find a good deal from 15k to 45k a month. You either overpay or it doesn't exists

Really ??

I know a lovely place.. 2 bed, uber private, pool, views, etc.. Was asking 65k a month without anyone taking it for more than a year (think it may have been 80 3+ years ago when I first saw it) now asking 30k.

[WOOHOO]

location: far from every good restaurant and gym and tesco type furniture just kills me at the very bottom of my soul.

for 13 000 a month i doubt you even get a 32+ inch LCD tv. if so you're the exception

Don't get you 'gvallee2'. Bang Tao must be a cracking place to live. There's good restaurants everywhere on the island and especially in that area. No offense mate but if a 32 inch tv is the be all and end all (or whatever that saying is) then the bottom of your soul, as you put it, must be pretty easy to find.

To me 'logbags' that sounds like a great deal and a nice set up with the landlord. Fair play to you.

[FaxFlora]

Really ??

I know a lovely place.. 2 bed, uber private, pool, views, etc.. Was asking 65k a month without anyone taking it for more than a year (think it may have been 80 3+ years ago when I first saw it) now asking 30k.

Yeah it is possible to find a decent deal if you look hard enough. A month and a half ago I found a 4 bedroom house in Chalong with 4 bathrooms, big livingroom, 2 terasses/balconies, private pool (cleaning included) and big BBQ area around the pool. 35k shotterm and 32k a month for a 1 year lease.

[LivinLOS]

Yeah it is possible to find a decent deal if you look hard enough. A month and a half ago I found a 4 bedroom house in Chalong with 4 bathrooms, big livingroom, 2 terasses/balconies, private pool (cleaning included) and big BBQ area around the pool. 35k shotterm and 32k a month for a 1 year lease.

Seems to me like deals like this were not on the market 2 - 3 years ago.. I was looking hard for one then and everything of the 'nice' standard some private garden and own pool was in the 50 range.

[chickencurry]

Primarily wealthy expats and wealthy citizens from Singapore, Hong Kong, Europe, China and US. And let's not forget Russia as a new player.

Agree with you there. We've just had a European couple look at our home (to add to two of their other homes apparently). How the other half lives . Got another couple looking next week we think, so there is a market - not an easy market for sure but it's there.

[chickencurry]

Does anyone know of anyone that has sold a previously owned house?

Yes, I know of two couples who have sold this year (resales). I don't think either were quick sales.

We are selling our house (resale obviously). I'll let you all know how we get on. Not expecting a fast sale but you never know. Be good to hear of other peoples experiences.

[HDRIDER]

Hi

I bought a house not long ago in Nai Harn, 10 houses in my rd it was for sale at close to 10mill got it for close to half the price, another in the rd is for sale for 10.mill dont think they are happy if they find out how much i paid, and i know how much the house was sold for when it was new 3 years ago, a lot more than i paid for it. So i think you can still do a good deal. But you have to look around

[khunjake]

Several new housing developments in Thalang district are selling like crazy. Best to take a drive, walk in and have a chat with the office crew to see for yourself. Not really geared for the average farang who wants constant action and nightlife but the single family, 3- million baht range is moving. Moo baan loans for Thais are getting filled again if qualifications are met. Market for rentals remains dead with plenty of supply available and prices still deflating. Currency fluctuations and global economy still playing a big role with this. Condo/Apartment market in Patong seems to be moving at the lower-end range still (1-2 million THB).

[hroz]

120 talang wah sold just down from me in patong for 12M ....thai to thai

[steelepulse]

Several new housing developments in Thalang district are selling like crazy. Best to take a drive, walk in and have a chat with the office crew to see for yourself. Not really geared for the average farang who wants constant action and nightlife but the single family, 3- million baht range is moving. Moo baan loans for Thais are getting filled again if qualifications are met. Market for rentals remains dead with plenty of supply available and prices still deflating. Currency fluctuations and global economy still playing a big role with this. Condo/Apartment market in Patong seems to be moving at the lower-end range still (1-2 million THB).

I know of a few of these developments in Thalang. If you buy right, you can rent out the house and it will cover the bank payment. Rental Market still seems ok if you keep the rent under 20K for a new house.