Please Help Me Decide Between Buying Or Renting

[jjjthai]

I've been renting for about 6 months and want to either rent a cheaper condo/townhouse or buy a condo/townhouse. Here's my problem. I'm a female with 2 small kids that attend school in Thong Lor and it's just the 3 of us so security and safety is a big concern for me. I also don't want to be stuck in traffic so I prefer to stay in the Asoke to Thong Lor area but buying a condo in this area with what I want is about 11-13 million which is way too expensive IMO. I understand there are cheaper condos but I have yet to find one that I like (my brother says I'm hi-so 555). I have found some townhouses (all online, I have yet to view any of them yet) which seem decently priced (30k month or about 6-9MB), but my main concern is safety. How safe are these townhouses in the city? And should I buy or rent? If I rent I have the option to leave at anytime but then I'm just tossing money away. Owning a condo or townhouse makes it hard if I have to switch schools for the kids. It'll basically tie me down to this area. Please let me know your thoughts or if any of you have any recommendations as to which area/condos/townhomes..Thanks!

[donx]

Are you a Thai citizen? If not, what is your visa status? We need to know this information in order to give you better advice.

[jjjthai]

I'm a Thai citizen and US citizen.Thanks! Sorry, forgot to mention it since there isn't a difference in the US when we buy a home.

[Gary A]

If your two children are the same sex, a two bedroom would do. If you have a boy and a girl, a three bedroom would be a better option. In either case, a condo would be quite expensive. If I were in your position, I wouldn't be in any hurry to buy anything. Of course eventually you will want to buy something. Give it a lot of thought and think seriously about relocating. You may find that schools outside of Bangkok are better and housing would be MUCH cheaper. Since your children are still young, their education should be the most important thing at this point in your life.

[trajan]

If I were you (and Im assuming you are in Bangkok permanently), I would buy a good condo (in an older, but well maintained condo building) in the area you need for your kids (and work). You can check out an existing building (vs. buying off-plan).

That way, you should be getting better security (vs a stand alone place) plus most likely better value in terms of sq meter space. Later, if you need to re-locate, you could sell (but be prepared for a longer listing than you might otherwise expect).

[jjjthai]

Gary, thanks for your reply. I have two boys but we are currently in a two bedroom and I find that it is too small! Of course, we had a house in the states that was 2300 sq ft. and now we are down to 88 sqm. I do agree that it is much cheaper to live outside of Bangkok. I work in Bang Khae (which is also where my parents live) and houses around that area is cheap. However, my kids speak no thai at all and would have a hard time entering international schools that aren't 100% english. I have looked at schools in Bang Na (Concordian, Bangkok Pattana, and Berkeley), Pak Kret (ISB), on Kallapraphruk near where I work (BCBS), etc.. and weren't impressed with the schools.

Thanks trajan..is it really that hard to sell a condo once you own it?

[trogers]

Thanks trajan..is it really that hard to sell a condo once you own it?

It is harder to sell off a 2nd hand property, both condos and houses. But it is easier to rent out a condo if it is located near to a mass transport station.

You will have to consider various factors to arrive at your own decision:

1. Time frame in your occupation of the property before you will consider selling it off or renting it out

2. Location of the property with respect to ease of school transport for your children now and down the years (should they have a change of schools) and for you to work and back.

3. Location of the property with respect to renting it out should you decide to relocate your home. A property that can be rented out easily can also be sold off easily.

4. Your budget and need for mortgage.

Living in a city means adapting to city life, and will contrast with suburbia living of USA.

Edited February 28, 2012 by trogers

[PattayaPhom]

As you have family ties in Bang Khae, have you looked at the schools there?....many Thai schools have a subsidised English Programme so the language wont be an issue. The standard of teaching can be good and is a fraction of the cost for international schooling...be quick if this is an option as programmes are filling up due to end of term this week...As ThongLor has the BTS link, what about looking a little further on the line.

[Card]

I've lived in BKK for 7 years and have always rented - even though I am currently buying my 5th property outside BKK (holiday homes!). I wouldn't buy where I live in BKK for various reasons, although I am single:

1. I like to be flexible and prefer to be able to move to get more variety and in case problems arise (neighbours, local noise, building works etc)

2. I like to live in a big condo (I currently pay 30000 baht for a Silom condo of 130 sqm) and can get good deals on renting because of the current shortage of renters - and I don't want to spend 9 million or so baht on a condo.

3. There is always the problem with selling a place and if you want to move quickly then it may take several years to sell your own place unless you drop the price. I don't want to be in that inflexible situation.

4. If you rent but have the cost of a condo in cash then you can invest that sum instead. At least it will offset some of the cost of the rent.

5. Remember that you also have additional costs when u own (condo management can cost the equiv of 1 month's rent), repairs, insurance, etc. Houses in BKK DO have security issues and I like condos better anyway.

I will always rent where I live in BKK because of the advantages.

[aussiebebe]

Gary, thanks for your reply. I have two boys but we are currently in a two bedroom and I find that it is too small! Of course, we had a house in the states that was 2300 sq ft. and now we are down to 88 sqm. I do agree that it is much cheaper to live outside of Bangkok. I work in Bang Khae (which is also where my parents live) and houses around that area is cheap. However, my kids speak no thai at all and would have a hard time entering international schools that aren't 100% english. I have looked at schools in Bang Na (Concordian, Bangkok Pattana, and Berkeley), Pak Kret (ISB), on Kallapraphruk near where I work (BCBS), etc.. and weren't impressed with the schools.

Thanks trajan..is it really that hard to sell a condo once you own it?

Hi, I'm surprised you weren't impressed with Patana - it's top-tier. Yes, it's hard to sell a condo, everyone's out for a bargain and there are always newer, better-located developments. Then there's four different taxes when you do sell and maybe an agent fee of 3%+. When I was trying to sell mine I found that agents were unreliable and lost interest after a while, I found a buyer for my condo through listing it myself.