Pattaya Property Prices

[R123]

Browsing through a few of the free glossy property magazines available in Pattaya I notice some "studio's"(bed-sitters) for sale at 3-4 million, and other condo's and apartments- which are very average -with rediculous prices at 5, 10 million up.

Surely with the glut of places here for sale and rent and the economy problems, etc there is a massive scam being attempted?

Who in their right mind would pay such nonsence amounts?

Am I right or not?

[begsaresponse]

Browsing through a few of the free glossy property magazines available in Pattaya I notice some "studio's"(bed-sitters) for sale at 3-4 million, and other condo's and apartments- which are very average -with rediculous prices at 5, 10 million up.

Surely with the glut of places here for sale and rent and the economy problems, etc there is a massive scam being attempted?

Who in their right mind would pay such nonsence amounts?

Am I right or not?

Spot on. There continues to be the view if we build it they will come. They haven't linked in the fact that major airlines are with drawing services to Thailand because of the lack of people coming here. Also I read somewhere that Raimon Land a big property agent in Thailand had announce the values of property.. some were doubled!!

Higher inflation here we come!!!!!!!!!!!!!

[DonTron]

The current real estate prices in Pattaya is not a scam.

In fact I have been doing really well buying condos here in the 10-20 mill baht range and then renting them out to rich Asians and Europeans. (I got condos renting out easily at +100.000 a month)

Pattaya is changing a lot. Ocean 1 Tower in Jomtien have condos in the 10-40 mill baht range and The Cove here in Nakula have condos in the 30-70 million baht range. So the rich have discovered Pattaya and they got the money to both buy and rent top luxury here.

Mostly my costumers are rich Japanese, Russian, Scandinavian and Brittish. But China has also started to move in the luxury scene (after all they have 1.3 billion people so they ought to have a few rich people there too )

[sotsira]

Browsing through a few of the free glossy property magazines available in Pattaya I notice some "studio's"(bed-sitters) for sale at 3-4 million, and other condo's and apartments- which are very average -with rediculous prices at 5, 10 million up.

Surely with the glut of places here for sale and rent and the economy problems, etc there is a massive scam being attempted?

Who in their right mind would pay such nonsence amounts?

Am I right or not?

I understand that it's the wealthy Russians that are coming here and buying properties at the moment for an investment!

They seem to consider the prices are cheap, when they compare with Moscow's prices.

Hence this could be why prices here are inflated as the Russians are new to the area and don't seem to be put off.

[whatsoever]

Browsing through a few of the free glossy property magazines available in Pattaya I notice some "studio's"(bed-sitters) for sale at 3-4 million, and other condo's and apartments- which are very average -with rediculous prices at 5, 10 million up.

Surely with the glut of places here for sale and rent and the economy problems, etc there is a massive scam being attempted?

Who in their right mind would pay such nonsence amounts?

Am I right or not?

Big big scam! Only the naive punter would pay $100,000 (US) for an unfurnished bedsit with inadequate parking and Thai management. The market isnt real. Look out for the semi polished ferang sales bull sh*ters spouting their wonderfull tales.

[Gary A]

The new construction has vastly increased the value of the existing units. Why is that? The new construction appears to start at about 90,000 baht per square meter. There are still many second hand units that can be bought for less than 40,000 baht per square meter. People pay that ridiculous 90,000 plus per square meter for units that may or may not EVER be completed. It appears to me that the second hand units in a nice complex are still a bargain when compared with risky off plan units.

[poshthai]

The fact is that real estate agents are struggling sao they bump up the price to keep afloat.Not too disimilar to some bars and restaraunts,they hike the prices up because they have no customer,as the busy places have the same price strategy.

[Kerryd]

I mentioned in another thread (similar topic, different title), that I had spoken to some Euro types that thought Pattaya's prices were a steal compared to back in places like Belgium.

Buy a property for 2-3 million baht, sell it to some fellow countryman for 150-200%.

Buy 2 more properties for 2-3 mil, resell them to other fellow countrymen for 150-200% markups, etc, etc.

I've seen the effect even on traditional "Thai" properties (shop houses), where a unit that sold for 1.2 mil in '05, was being offered for 1.8 mil 2 years later (a modest 50% increase, or 25% per year).

New units of similar size and location, are being offered at 5 mil (I've noticed that a lot of them are still sitting empty 12+ months after completion). Hasn't seemed to slow down the building boom at all though (I'm just talking about the shop house/apartment buildings. It seems every where I go, I see another new building going up.)

//edited to spell Belgium properly, lest the TV Spelling Police start taking their virtual tasers to my sensitive areas !

Edited July 9, 2008 by Kerryd

[HowardJohnson]

Sorry Poshthai, Agents cannot bump up prices at a whim. Prices, more often than not, are set by the owner.

Also, please bear in mind that Pattaya is a real international market. It does not seem to matter what is happening in the rest of the world, there will always be buyers in this town. Yes, it is quieter right now than i can remember it being over the last 2 years but there are still people coming into the office and we are still selling units.

[NotNew2You]

You gotta love people who compare condo prices in a small beach resort town like Pattaya (that has heavily polluted air, small dirty beaches and polluted water, and not much of a view) with world class cities like Brussels and Moscow and then proclaim that since Pattaya is so much cheaper, it must be a bargain. Like comparing a Maybach to a Chevy...I mean, compare like with like for Christ's sake.

As for the high prices sometimes asked, they're listed just for the "one born every minute" crowd or the BG's who get their sponsors to buy it for their little love nest (at inflated prices and receiving a nice back-hander from the developer). In a year or so, when the farang leaves LOS with his tails between his legs, she sells it back to the developer for cheap and they repeat the same scam all over again

There are many condos and houses that have been for sale for years. There is one that has been advertised in the local papers with a large display ad for a couple years and is still available.

Edited July 9, 2008 by NotNew2You

[whatsoever]

According to those in the buisiness of pushing properties - a 48sq mtr empty shell in one of the new View Talays is a bargain at only $100k. Such a bargain that if you walk in to buildings 5 or 6 you can still buy 99% of the units. 90% from the developer and the other 9% as re-sales.

Hurry, hurry whilst stocks last (Before the Russians, Chinese and Koreans beat you to it)

[whatsoever]

According to those in the buisiness of pushing properties - a 48sq mtr empty shell in one of the new View Talays is a bargain at only $100k. Such a bargain that if you walk in to buildings 5 or 6 you can still buy 99% of the units. 90% from the developer and the other 9% as re-sales.

Hurry, hurry whilst stocks last (Before the Russians, Chinese and Koreans beat you to it)

Oh, and remember 51% are being saved for Thai nationals only

[sotsira]

According to those in the buisiness of pushing properties - a 48sq mtr empty shell in one of the new View Talays is a bargain at only $100k. Such a bargain that if you walk in to buildings 5 or 6 you can still buy 99% of the units. 90% from the developer and the other 9% as re-sales.

Hurry, hurry whilst stocks last (Before the Russians, Chinese and Koreans beat you to it)

Oh, and remember 51% are being saved for Thai nationals only

Viewtalay 5C was completed in August 2006 by October 2006 the foriegn ownership rule of 49% was already sold out.

Viewtalay 5D was completed in March 2008 and as of now 40% has sold, Viewtalay 7, which is still under construction has over 60% on a purchase contract.

i think your figures are somewhat exagerated, i know one guy who has sold on around 10 units in 5c mostly to Russians and scandinavians. Where would you rather reside Moscow or Pattaya at the fraction of the price, it's a no brainer!

[poshthai]

Sorry Poshthai, Agents cannot bump up prices at a whim. Prices, more often than not, are set by the owner.

Also, please bear in mind that Pattaya is a real international market. It does not seem to matter what is happening in the rest of the world, there will always be buyers in this town. Yes, it is quieter right now than i can remember it being over the last 2 years but there are still people coming into the office and we are still selling units.

Totaly agree with you Howard,thats called inflation.i have seen for years,the same property that real estates are trying to sell at high prices.I agree that new developments always sell faster because they are new.What about all the condos/houses that have been on the market for ages,i feel thats was because they were trying to be sold at inflated prices due to the market trend,and the greed of many thais who want to sit on the property untill they get a good price.

[basjke]

Sorry Poshthai, Agents cannot bump up prices at a whim. Prices, more often than not, are set by the owner.

Also, please bear in mind that Pattaya is a real international market. It does not seem to matter what is happening in the rest of the world, there will always be buyers in this town. Yes, it is quieter right now than i can remember it being over the last 2 years but there are still people coming into the office and we are still selling units.

But who advises the owner about how much their property is worth?Ofcourse when the realestate agent tells them the real value they will take it to another agent.

[poshthai]

Totaly agree basjke.

I agree that land has gone up in price but you are right,estate agents try to get their share or more than their share.I have had friends who have put their house up for sale and the estate agent has asked them what price should they put it on sale for.Very unprofessional i think.

[whitethai]

The current real estate prices in Pattaya is not a scam.

In fact I have been doing really well buying condos here in the 10-20 mill baht range and then renting them out to rich Asians and Europeans. (I got condos renting out easily at +100.000 a month)

Pattaya is changing a lot. Ocean 1 Tower in Jomtien have condos in the 10-40 mill baht range and The Cove here in Nakula have condos in the 30-70 million baht range. So the rich have discovered Pattaya and they got the money to both buy and rent top luxury here.

Mostly my costumers are rich Japanese, Russian, Scandinavian and Brittish. But China has also started to move in the luxury scene (after all they have 1.3 billion people so they ought to have a few rich people there too )

I would be very grateful if you can tell me if you have mortgages to buy the condos and whicn mortgages d you take out?

I have been reading a book that this man tells you how to make money with property by its value going up and taking out the profit every few years and equity and remortgaging and ou only really need five good properties (flats he says) to retire wealthy.

Also how do you get your clients?

[expatgaz]

New buildings are way overpriced.I strongly believe that the best value for money condo is View Talay 2 in Jomtien.It is a very nice building in a great location with fantastic pool.Units are abt 40,000 ish m2.This represents excellent value.

EPG.

[eljeque]

Sorry Poshthai, Agents cannot bump up prices at a whim. Prices, more often than not, are set by the owner.

Also, please bear in mind that Pattaya is a real international market. It does not seem to matter what is happening in the rest of the world, there will always be buyers in this town. Yes, it is quieter right now than i can remember it being over the last 2 years but there are still people coming into the office and we are still selling units.

I have had lots of agents over the past 18 years change the prices of my units upward.

[Kerryd]

I would be very grateful if you can tell me if you have mortgages to buy the condos and whicn mortgages d you take out?

I have been reading a book that this man tells you how to make money with property by its value going up and taking out the profit every few years and equity and remortgaging and ou only really need five good properties (flats he says) to retire wealthy.

Also how do you get your clients?

Did the book mention that you (generally) have to have money to make money ? People aren't just going to give you properties and I doubt even banks in the UK would give you financing if you've got got little to nothing of your own money.

Even harder to do in Thailand, especially as a farang.

And if I recall correctly, Real Estate Agent is a "Thai Only" occupation, which means you wouldn't technically be allowed to buy/sell properties on your own. You'd have to set up a registered company in Thailand, and (I'm sure someone here knows the details) hire certified Thai staff to do the actual buying/selling.

All that costs money by the way.

And you have to be prepared to take a major butt-kicking if the market takes a down-turn and suddenly you have very little equity and very large mortgages (and large payments to make).

[poshthai]

HANDS UP if one works in the real estate market and Hands up who dont.

[Turnkey]

We will not get any sensible replies here from people who are estate agents as they have vested interests to protect. Just have to opens one's eyes in Pattaya to see the glut of properties, many empty, to see what is really going on!

[expatgaz]

Iam not involved in any estate Agents in any way.

[gharknes]

The fact is that real estate agents are struggling sao they bump up the price to keep afloat.Not too disimilar to some bars and restaraunts,they hike the prices up because they have no customer,as the busy places have the same price strategy.

The problem is simple, westerners comparing prices from their home counties, Thailand is not their home country, everything should be a quarter of the price including property, if it isn't then you are being ripped off big time, and it is falangs that are doing the ripping off, but I don't blame them, if some idiot wants to pay inflated prices for stuff in thailand - well more the fool them.

If you compare Thailand with places like Turkey and the US, you will find cheaper compareable property - there has to be something up with that

[LennyW]

I mentioned in another thread (similar topic, different title), that I had spoken to some Euro types that thought Pattaya's prices were a steal compared to back in places like Belgium.

Buy a property for 2-3 million baht, sell it to some fellow countryman for 150-200%.

Buy 2 more properties for 2-3 mil, resell them to other fellow countrymen for 150-200% markups, etc, etc.

I've seen the effect even on traditional "Thai" properties (shop houses), where a unit that sold for 1.2 mil in '05, was being offered for 1.8 mil 2 years later (a modest 50% increase, or 25% per year).

New units of similar size and location, are being offered at 5 mil (I've noticed that a lot of them are still sitting empty 12+ months after completion). Hasn't seemed to slow down the building boom at all though (I'm just talking about the shop house/apartment buildings. It seems every where I go, I see another new building going up.)

//edited to spell Belgium properly, lest the TV Spelling Police start taking their virtual tasers to my sensitive areas !

The reason for this is it is easy for a Thai owner to get a bank loan against a shop house, they dont really seem to care if they are utilised or not as long as they can borrow money against them!

[Naam]

The problem is simple, westerners comparing prices from their home counties, Thailand is not their home country, everything should be a quarter of the price including property

comparing property prices of Pattaya with my home country Germany thai prices are even less than a quarter. i am not talking about overpriced condos in a few buildings which are in fashion but about rather big, luxurious, detached and custom built homes.

addendum: building cost Germany detached home 3-4,000 €UR/m² (~150 - 200,000 Baht). that's bloody expensive even when the much higher quality of construction is taken into consideration.

Edited July 11, 2008 by Naam

[Humphrey Bear]

The problem is simple, westerners comparing prices from their home counties, Thailand is not their home country, everything should be a quarter of the price including property

comparing property prices of Pattaya with my home country Germany thai prices are even less than a quarter. i am not talking about overpriced condos in a few buildings which are in fashion but about rather big, luxurious, detached and custom built homes.

addendum: building cost Germany detached home 3-4,000 €UR/m² (~150 - 200,000 Baht). that's bloody expensive even when the much higher quality of construction is taken into consideration.

I have been thinking about selling my UK property and buying Thai houses / apartments. I would get 5-for-1 at equivalent size and condition - whether three/four bedroom houses or smaller apartments - the ratio stands.

But then I look at the hassle of dealing with maintenance in Thailand, leaving things for my wife to sort out while I work abroad, and I reckon the returns I get in UK, with a proper agent looking after the properties, gives me just as good an income and I can move my money around much more swiftly and easily. If I needed to realise on my assets in Thailand for something outside Thailand, I would be in problem-land.

So I keep my assets in UK annd consider moving back there, or selling what we own in Pattaya and moving to Hua Hin or Cha-Am. Because I have friends there and we can buy more for less.

[PattayaParent]

We will not get any sensible replies here from people who are estate agents as they have vested interests to protect. Just have to opens one's eyes in Pattaya to see the glut of properties, many empty, to see what is really going on!

Just because a property is empty doesn't mean that it hasn't been sold.

My building is completely sold to the full Thai and Farang percentages but has I would guess only 30% occupancy. On my floor of 19 units there are only 4 permanently occupied (a total of 2 tenants), others that the owners visit at weekends and others where the owner comes for holiday from overseas.

[Thaifan2]

The problem is simple, westerners comparing prices from their home counties, Thailand is not their home country, everything should be a quarter of the price including property

comparing property prices of Pattaya with my home country Germany thai prices are even less than a quarter. i am not talking about overpriced condos in a few buildings which are in fashion but about rather big, luxurious, detached and custom built homes.

addendum: building cost Germany detached home 3-4,000 €UR/m² (~150 - 200,000 Baht). that's bloody expensive even when the much higher quality of construction is taken into consideration.

Prices of property in Germany are just about the cheapest in Northern Europe .Maybe because people as a whole prefer to rent in Germany and have security of tenure .

[LennyW]

New buildings are way overpriced.I strongly believe that the best value for money condo is View Talay 2 in Jomtien.It is a very nice building in a great location with fantastic pool.Units are abt 40,000 ish m2.This represents excellent value.

EPG.

You think 40,000 / SqM is good value for a concrete box within a concrete box, get real, the attached only costs 25,000 / SqM!!!!!!!

Sorry but i just hate condos!!