Cbd Condo Prices Indestructable?

[dave9988]

Everyone said prices would go down but they are staying steady through this entire crisis.

[hhgz]

The prices have shown remarkable resilience up to now. Who knows what the future may hold.

[UncleFrank]

Prices remain high. What about sales?

I will wait till prices fall 30% and the baht drops to 45 / dollar.

[sorensen]

Rental prices are already down and sales volume is way down if not close to zero, so expect prices to start dropping.

Keep in mind that advertised sales prices, like in Bangkok Post, does not represent real sales prices. 10-20% discount are not uncommen.

One interesting different between the 1997 crises and now, especially in terms of real-estate, could be the Internet. It has become much easier and faster to share infomation and gather more data. Lets keep sharing.

Robert

[waza]

Hmmm its early days yet

[ray08]

No price drops , but major real estate companies were reporting hardly any sales,

IMO asking prices here are similar to a vendors bid at auction,when property cant sell the vendor puts in a bid , and that is the the price shown as passed in ,but not real selling prices

Forget looking at asking prices ,but look at real transactions , very few and far between ,

Maybe Thai banks were not exposed directly to crisis ,but by default Thailand is still caught in the middle .just look at export and tourist figures ,

[sendbaht]

The condo I live in the owner has for sale. So far he has drop the price by 15% in the last 3 months. Now, maybe it was over priced in the first place. Not many lookers so far either.

[LennyW]

Prices remain high. What about sales?

I will wait till prices fall 30% and the baht drops to 45 / dollar.

You will be in for a long wait then - on both counts!!!

[midas]

Prices remain high. What about sales?

I will wait till prices fall 30% and the baht drops to 45 / dollar.

You will be in for a long wait then - on both counts!!!

Can you explain what makes you think a 30% fall is not possible ?

[LennyW]

Prices remain high. What about sales?

I will wait till prices fall 30% and the baht drops to 45 / dollar.

You will be in for a long wait then - on both counts!!!

Can you explain what makes you think a 30% fall is not possible ?

Common sense, but i guess if it was that common then everybody would have it!!

But Midas, I am sure you will find something to cut & paste that says different though!

[bkkjames]

Prices remain high. What about sales?

I will wait till prices fall 30% and the baht drops to 45 / dollar.

You will be in for a long wait then - on both counts!!!

Can you explain what makes you think a 30% fall is not possible ?

In real world terms lets say the baht goes to 45 (haha), but let's say it does. According to the post above the poster says he is waiting for a 30% decrease and the baht to drop as well to 45.

What comes first, devaluation of the currency? if it does a condo worth 1,000,000 is now how much 1,200,000? Ok, then you knock 30% off that and you are at how much 840,000?

I think one would be better off getting 15% off the price now and not sit and hope the currency goes to 45 anytime soon. But hey, I am no finance guru

[cclub75]

Everyone said prices would go down but they are staying steady through this entire crisis.

It took 10 years for houses prices in France to double (97-2007).

It took 15 years for houses prices in UK to double (91-2005).

So... relax, set back and enjoy the show.

The crisis is mere 2 years old... Don't be so impatient.

And of course, if you think that Thailand is "different"... just read this.

No insulation blabla, no decoupling myth... full blown freaking global crisis.

Condos, houses will follow in Thailand, whether people and CB Richard-Ellis want it or not.

Edited January 26, 2009 by cclub75

[bkkjames]

Everyone said prices would go down but they are staying steady through this entire crisis.

It took 10 years for houses prices in France to double (97-2007).

It took 15 years for houses prices in UK to double (91-2005).

So... relax, set back and enjoy the show.

The crisis is mere 2 years old... Don't be so impatient.

And of course, if you think that Thailand is "different"... just read this.

No insulation blabla, no decoupling myth... full blown freaking global crisis.

Condos, houses will follow in Thailand, whether people and CB Richard-Ellis want it or not.

Nice stats about housing prices in France and UK, but what about condominium prices, did 2nd hand condos double in price in that time?

[Gary A]

I think I'm safe in saying that many of the new condo complexes will never be finished or at the very best finished VERY late. Prices of 90,000 baht per square meter are common. There is still a demand for places to live and there are still some condos available in fully sold and occupied healthy complexes. By healthy, I mean that the maintenance funds are in a surplus condition. Most of those units were built for less than 20,000 baht per square meter and are selling for more than double that price. They are a much better bargain at even 50,000 baht per square meter than unfinished units at 90,000. That's why the prices are not coming down.

[UncleFrank]

Prices remain high. What about sales?

I will wait till prices fall 30% and the baht drops to 45 / dollar.

You will be in for a long wait then - on both counts!!!

52 Baht to a dollar and penthouses selling for 50,00/meter.

That was the scenario 10 years ago.

Might happen again I say.

[bkkjames]

Prices remain high. What about sales?

I will wait till prices fall 30% and the baht drops to 45 / dollar.

You will be in for a long wait then - on both counts!!!

52 Baht to a dollar and penthouses selling for 50,00/meter.

That was the scenario 10 years ago.

Might happen again I say.

[samuibeachcomber]

Prices remain high. What about sales?

I will wait till prices fall 30% and the baht drops to 45 / dollar.

You will be in for a long wait then - on both counts!!!

Can you explain what makes you think a 30% fall is not possible ?

In real world terms lets say the baht goes to 45 (haha), but let's say it does. According to the post above the poster says he is waiting for a 30% decrease and the baht to drop as well to 45.

What comes first, devaluation of the currency? if it does a condo worth 1,000,000 is now how much 1,200,000? Ok, then you knock 30% off that and you are at how much 840,000?

I think one would be better off getting 15% off the price now and not sit and hope the currency goes to 45 anytime soon. But hey, I am no finance guru

yes agree,but if you really want a bargain keep your ear to the ground for a distressed farang seller,and there will be a few,thats when a bargain is to be had,may not be nice but its economics.

[Gary A]

Would you buy a condo in Ocean One Tower for a 75 percent discount? I wouldn't.

[midas]

Common sense, but i guess if it was that common then everybody would have it!!

But Midas, I am sure you will find something to cut & paste that says different though!

Common sense - is that all No statistics - no hard evidence

- gut feelings and all that crap which is the same on the stock markets

which give us these totally bizarre rallies with nothing to support them.

Your " common sense " Lenny isnt supported by anything

[LennyW]

Common sense, but i guess if it was that common then everybody would have it!!

But Midas, I am sure you will find something to cut & paste that says different though!

Common sense - is that all No statistics - no hard evidence

- gut feelings and all that crap which is the same on the stock markets

which give us these totally bizarre rallies with nothing to support them.

Your " common sense " Lenny isnt supported by anything

Since when does common sense need to be supported?

Just so you know what it is...

noun- sound practical judgment that is independent of specialized knowledge, training, or the like; normal native intelligence.

Like i said earlier, not everybody has it, and you have just proved me right, thankyou!

Edited January 26, 2009 by LennyW

[pkrv]

Would you buy a condo in Ocean One Tower for a 75 percent discount? I wouldn't.

Gary A - Thats not exactly in the CBD is it? In fact it is sort of Pattaya isn't it? I am only aware of two developements one almost finished 'The Address' and the other a new starter/launch 185.

I am not on the ground however - There are probably few sales because everything is bought with the inevitable births, marriages, deaths and dissolutions (financial) fuelling the remaining market. I.e. full up.

Edited January 26, 2009 by pkrv

[mommysboy]

Everyone said prices would go down but they are staying steady through this entire crisis.

Famous last words .

Have you ever heard of the phrase 'calm b4 the storm'.

Sorry, but what a mug!!!

[midas]

Since when does common sense need to be supported?

Just so you know what it is...

noun- sound practical judgment that is independent of specialized knowledge, training, or the like; normal native intelligence.

Like i said earlier, not everybody has it, and you have just proved me right, thankyou!

That is really interesting Lenny so you are you saying that markets

only need to respond to feelings of " common sense " ?

So the next round of job cuts should include all those economists,

analysts, chartists because they are no longer needed.

No more MBA degree holders - the adverts will just say

- " all you need is common sense "

[LennyW]

Since when does common sense need to be supported?

Just so you know what it is...

noun- sound practical judgment that is independent of specialized knowledge, training, or the like; normal native intelligence.

Like i said earlier, not everybody has it, and you have just proved me right, thankyou!

That is really interesting Lenny so you are you saying that markets

only need to respond to feelings of " common sense " ?

No No, i am saying you should use common sense to make an informed judgement! Feeling or Gut feelings have a different definition.

So the next round of job cuts should include all those economists,

analysts, chartists because they are no longer needed.

No more MBA degree holders - the adverts will just say

- " all you need is common sense "

Yes indeed that would be a good start!

[shochu]

in rreply to the op's topic,

I THINK NOT!

[UncleFrank]

I read this in a California real estate article this morning.

"...home prices in Monterey County took a dramatic plunge last month, with the median sale price down 48.89 percent from the previous year."

We are in the early stages of a correction in Thailand.

Look for huge price reductions in the near future I predict.

[Gary A]

I read this in a California real estate article this morning.

"...home prices in Monterey County took a dramatic plunge last month, with the median sale price down 48.89 percent from the previous year."

We are in the early stages of a correction in Thailand.

Look for huge price reductions in the near future I predict.

Unlike the US and UK, Thailand property, other than high end condos are not crazily inflated. California shoe box tract houses were selling for a half million dollars. That same house in Thailand is probably ten percent of that ridiculous price. The correction in Thailand is in no way the same correction that was due in the US and UK. I wouldn't advise anyone to hold their breath waiting for all except speculated price Thai property prices to crash.

[johnnyk]

What exactly is the correlation between house prices in Monterey Co., USA and Thailand?

[363885]

Prices are indeed dropping significantly in CBD. For example, The Met began sales at 110K baht per sq. meter a few years ago. It peaked mid last year, before the global economic crisis hit, at about 160K - 170K per sq. meter. Now, you can see ads for resale dropped to about 110K to 125K. I suspect it will further decline, as some buyers won't have the funds to close when the building is complete.

[UncleFrank]

What exactly is the correlation between house prices in Monterey Co., USA and Thailand?

America is going down in flames and taking the rest of the world with it.

Some here are saying it won't effect Thailand.

I'm saying look for a real estate crash here soon.