Current Price Per Rai ?

[ginglee]

Hi, Im looking at purchasing abut 10 rai(to start me off) somewhere in Sa kaeo, maybe near Aran. Good quality land prefered to get a good crop of rice. Before I start looking anyone know the current rate I should be paying per rai ??

Also any advice on what I should be looking out for would greatly be appriciated.

Thank you

[ginglee]

anyone please??

[afarang]

Try also posting in the Eastern Thailand forum. You might get more responses. Good Luck

[ThaiPauly]

Bump.

Maybe someone can give you an indication of prices in the area they farm in, then perhaps check the price of land for sale in the areas they farm in and compare it to the prices of land in your area

I hope someone can help you

[OOTAI]

I think if you do a search of this forum then there are plenty of posts that detail what you should be looking for such as title type, access, water, power depends on what you want it for, are you always only going to grow rice? Around here (Buriram) the current is B50,000 per rai for paddy. Someone just bought 40 rai on Highway24 just down the road for B2million and it had to be cleared of old regrown eucalytus trees and stumps but I believe it will make good Cassava growing land.

Just remember the seller will want as much as possible so haggle. I have never ever bought anything without being willing to walk away from it if needed. I usually get the missus to offer 50% to 60% of what they are asking as a starting point but I always have a pre-determined point where I won't go any higher.

[jamescollister]

This land price thing comes up all the time, may as well ask how much for land in London or New York. There is no set price everything is variable.Last year a 100 Rai was bought on the Det Udom road. 1,000,000 Baht a Rai [Crazy] next thing a large construction crew roll up and start building the biggest rice plant in the district. Now rice land which was worth nothing is getting high prices near the new factory. 2 hotels have opened and a gas station. It's all speculative, but is not all property buying. Jim

[SantiSuk]

This land price thing comes up all the time, may as well ask how much for land in London or New York. There is no set price everything is variable.Last year a 100 Rai was bought on the Det Udom road. 1,000,000 Baht a Rai [Crazy] next thing a large construction crew roll up and start building the biggest rice plant in the district. Now rice land which was worth nothing is getting high prices near the new factory. 2 hotels have opened and a gas station. It's all speculative, but is not all property buying. Jim

Agreed. We've paid only 20,000 baht a rai for fringe jungle land with river irrigation in remoter Ubon province (bargain as it only cost 35,000 baht for a week of bulldozer clearance and an army of coolies and now it grows 20 rai of cassava. On the other hand we have had to pay as much as 300,000 baht a rai in southern SiSaket province for fertile main road-side agricultural land with water/elec/phones (that houses/businesses could be built on). All of it was Sor Por Kor, so nothing bought that I could not afford to lose.

Location location location. Don't buy until you have had lots of different parcels offered and you've tested your negotiation skills and your wife's patience - ie wait a year or two if you don't want to be ripped off. If you factor in the land cost I can't believe anyone makes decent money farming, other than in remote areas (where falang don't like living) where land can be 20-30k per rai. Unfortunately the average Thai farmer doesn't factor in the land cost so they still think they are making money, which depresses local produce pricing.

Main roads and town fringes - forget it except for building your own house. [Although I have always thought that there must be some Dutch ex- market gardener out there somewhere who is creaming it on high value high intensity crops].

[gerry67]

50,000Bht a Raifor good rice growing land in Sakow around Aran. Missus has the same idea although im not so keen. She wants to buy 50 Rai as a nest egg for the retirement.

Does anyone have an idea of the potential returns from rice farming over a year?

Keep me posted on your endeavours please Ginglee. You never know we might be neighbours.:jap:

Gerry.

[jamescollister]

50,000Bht a Raifor good rice growing land in Sakow around Aran. Missus has the same idea although im not so keen. She wants to buy 50 Rai as a nest egg for the retirement.

Does anyone have an idea of the potential returns from rice farming over a year?

Keep me posted on your endeavours please Ginglee. You never know we might be neighbours.:jap:

Gerry.

Not too many rich Thai small holding farmers, it's subistance farming at best. Saying that you will always have food on the table, rice, fish, frogs aqnd those rat like things. Jim

[Gary A]

My wife refuses to buy anything other than land with a chanote. We have one ten rai plot that we paid 18,000 baht per rai. She just bought 2 rai for 170,000 baht per rai. The two rai is on a good road and has village water and electricity. The ten rai has no electricity and is on a narrow dirt road. Across the road from her 170,000 baht land is one rai the owner is asking 500,000 baht. I think it comes down to whatever a buyer is willing to pay. Prices vary wildly.

[MrLaoKao]

I've had offers for about 80.000 B/rai about 40 km south of Udon Thani. One 15 rai lot was for 65.000 B/rai.

Considering that here in Sweden forest land is about 40.000 B/rai it feels pretty expensive. On the other hand the land i Thailand is probably more productive so it might actually be cheaper.

[MrLaoKao]

I've had offers for about 80.000 B/rai about 40 km south of Udon Thani. One 15 rai lot was for 65.000 B/rai.

Considering that here in Sweden forest land is about 40.000 B/rai it feels pretty expensive. On the other hand the land i Thailand is probably more productive so it might actually be cheaper.

[glomp]

For renting out paddie land the number 4500 bath per rai per year has been thrown around alot.

Hence it will take years just to get the initial capital back and a huge number of rais to live on the proceeds.

MrLaoKao: surely that is up north? In the sounth there is a price bubble?

Edited February 13, 2011 by glomp

[MRnell]

Right now around the Buriram area land sales are going for 50 000 baht per rai , this inflation is due to the price of Rubber going through the roof , i

[jamescollister]

Right now around the Buriram area land sales are going for 50 000 baht per rai , this inflation is due to the price of Rubber going through the roof , i

You can say that again, loacl price for RSS is now $6 US per kilo.Pitty it is the dormant period for my area, but next season is looking to be very good. Make hay while the sun shines. Jim

[Mobaan]

For renting out paddie land the number 4500 bath per rai per year has been thrown around alot.

Hence it will take years just to get the initial capital back and a huge number of rais to live on the proceeds.

MrLaoKao: surely that is up north? In the sounth there is a price bubble?

That must be a different planet . Around Udon Thani rice land sells for around 50 000. You can rent it out for 300-500 Baht per Rai. Same goes for cassava land .Its being offered AND sold for 50-70 000 per rai ,rental income is a bout 300-400 bath per year per Rai.Sugarcane land similar ,depending a bit on location in regard to the nearest mill ,rental up to 1400 bath possible.

But still , with the current land prices one has to have an extrem long term outlook -like in generation-(maybe we can learn something from our Chineese neighbors)to make this investment pay.

As most of us know by now ,annual return per Rai ,if you farm it yourself MAY be around 5-7 K on average .If that income could come from land purchased at 20K its ok , but when you pay 50-60 k it does not make very much financial sense anymore . Than the hobby/gentlemens farming idea will have to come into play.

[maprao]

In Sakeo Aran area I was lucky because I bought my wife's farm land for 5000 Baht a Rai albeit 10 years ago. This year I tried to buy a "plot" of 10 Rai next to the land. The owner knew that was the reason why I wanted it. He would not budge from 60,000 Baht a Rai. This is Paddy land with an irrigation canal next to it. We did not buy it.

The best thing is to wait for someone who "needs" to sell land for finacial reasons. If it is known that you are after land they will approach you.

One poster said that he would not buy land without a Chanote....good advice but in sakeo you will be hard pressed to find any "paddy" land with a chanote title.

Price is in the eye of the beholder. I purchased 2 Rai on the main highway for 300,000Baht to help someone who had cancer (wanted money for Chantaburi Hospital).We do not farm it. Just fenced it off and filled some of it. It is right next to a village on a main road and I figure by the time I retire it will be in the middle of the village.

Summary: 20km from Aran someone asked for 60,000 Baht per Rai with irrigation but dirt road access I thought that was too expensive (for a rice farm). However I paid 150,000 per rai on the main road to Aran right next to a village (more in the illegal building land as opposed to farming land).

There seems to be no set rule. Other than the the days of "cheap" land are gone. There are a lot of foregners in the area or at least alot of families with foreign husbands married into the family.

Edited February 16, 2011 by maprao

[Gary A]

For renting out paddie land the number 4500 bath per rai per year has been thrown around alot.

Hence it will take years just to get the initial capital back and a huge number of rais to live on the proceeds.

MrLaoKao: surely that is up north? In the sounth there is a price bubble?

That must be a different planet . Around Udon Thani rice land sells for around 50 000. You can rent it out for 300-500 Baht per Rai. Same goes for cassava land .Its being offered AND sold for 50-70 000 per rai ,rental income is a bout 300-400 bath per year per Rai.Sugarcane land similar ,depending a bit on location in regard to the nearest mill ,rental up to 1400 bath possible.

But still , with the current land prices one has to have an extrem long term outlook -like in generation-(maybe we can learn something from our Chineese neighbors)to make this investment pay.

As most of us know by now ,annual return per Rai ,if you farm it yourself MAY be around 5-7 K on average .If that income could come from land purchased at 20K its ok , but when you pay 50-60 k it does not make very much financial sense anymore . Than the hobby/gentlemens farming idea will have to come into play.

Farm land in the Nong Hin area of Loei province also rents for around 500 baht per rai per year. It can be more of less depending on the availability of water.

With the economy uncertain and all the government problems, it is surprising to me that within the last several years, the price of land in this area has doubled or more.

Edited February 16, 2011 by Gary A

[slapout]

"She who knows all" informed me just this week that the offer of 2500 baht/rai/year for rental in the Fang area. This is more than double any prior offers. Labor is hard to find when they are needed, but three crops/year is very doable and water is available. She did not rent any land out for this amount and when I asked who had, it was someone who knew someone, etc. I wrote it up to misunderstanding, or someone wanting to start a village rumor to stir some people up who have rented at lower numbers.

[glomp]

Looks like i have been told stories too

It might have been a misunderstanding the income from renting vs growing rice though.

It kind of makes sense, pay 500 for the land and grow 5000 bath worth of rice.

[davidnz2003]

Ive been offered 6.7 rai for about 9,00000.00 (9san) down south past phuket sutibale for planting rubber trees

[Smithson]

Would like to know a bit about other members experience with negotiating. We've only bought one piece of land, the owner came down very little and claimed the neighbor had made a higher offer than ours and would sell to us if we came up with the money first. We took the bait, speaking to the neighbor later, seems she wasn't bluffing.

Since then we have looked at many blocks and generally found negotiating difficult, unless the owner is desperate to sell. In some cases they will put up the price the longer the land stays on the market.

There is a block we are interested in now, the price is good for the area and we would pay what they are asking. Back home I would make an offer and say we could settle immediately, but over here moving quickly may be seen as being too eager. Any suggestions?

[Canada]

My experience is to that I have run everything by the Thai family, have decided what I am willing to pay, and let them do the negotiations. 3 pieces now, and all is well. The only one that was expensive was in Chiang Mai, I did it, I liked the property too much and pretty much bought it on the spot. Stupid, impulsive, and costly...compared to land prices in the area...still happy with it though. All the land that has come through them, was already priced well and was not much room for negotiation. I haven't owned it long and by my research, could sell it easily for what I paid for it.

[kwonitoy]

In March I bought a 32 Rai plot for 1 million baht. Land has a proper chanod.

They started out asking 2 million because they had a previous offer from a falang and his TW but the deal fell through, I told them that meant nothing to me. It went back and forth through the wife and the price came down to 1.5 million. I told them no and we let the matter sit. Next week they come back with 1.3 million, I again said no. No reason given just a plain no. The phone calls continued betweeen the wife and the seller. They were looking for a quick sale as they needed the money to pay for a court judgement. They know that the wife and I buy land in our area and there are few others, falang or thai with the cash. One Sunday they come with an asking price of 1.2 million, I again said no, the wife said what would I pay. I told her 1 million cash for a chanod. She passed that on to them and the phone calls contiuned all afternoon. They came back with 1,050,000, I said no. Ten minutes later they phoned and accepted the offer, all the while talking about the 2 mil they could have got last year. Whatever.

Now here's the thing I will never understand, all of the people we buy land from want a big wad of cash. I don't like haveing more than 10,000 in my pocket at any time, there are too many eyes out there looking for a score. These people also wanted the 1 million in cash. I said to them you bring the chanod we'll go to the bank, I'll give you the cash IN THE BANK and from there you are on your own. They agreed and when I handed over the cash I told the seller, please take this DIRECTLY to your bank and deposit it. Much to my surprise she did just that.

Everyone in the wife's family all wanted to know how big, and what did a million baht look like and they all agreed Pa must be very rich guy.

Now the guy across the road from where I just bought is offering me 20 rai at 50,000 baht per rai, I said no