House's For Sale/rent

[starkey_rich]

Today about 35 properties were advertised in the Gazette most of them for sale.

That's seems a lot in one day to me.Just wondering if this is a sign that people have had enough of Phuket or normal for this time of year.

[NamKangMan]

That's just the PG. Check out some of the larger real estate websites, there are hundreds, if not thousands of properties on the market here, and they keep building more.

If the Phuket property "bubble" hasn't already burst, it soon will.

If you were looking at "buying" a property on Phuket - surely, you would have to ask yourself, "Why are so many people selling?"

Edited May 22, 2013 by NamKangMan

[McFarang]

That's just the PG. Check out some of the larger real estate websites, there are hundreds, if not thousands of properties on the market here, and they keep building more.

If the Phuket property "bubble" hasn't already burst, it soon will.

If you were looking at "buying" a property on Phuket - surely, you would have to ask yourself, "Why are so many people selling?"

Been here 8 years and now time to piss off its horrible the way that HKT has turned out luckily I can go slight negative equity but go now thats for sure!

[NamKangMan]

That's just the PG. Check out some of the larger real estate websites, there are hundreds, if not thousands of properties on the market here, and they keep building more.

If the Phuket property "bubble" hasn't already burst, it soon will.

If you were looking at "buying" a property on Phuket - surely, you would have to ask yourself, "Why are so many people selling?"

Been here 8 years and now time to piss off its horrible the way that HKT has turned out luckily I can go slight negative equity but go now thats for sure!

You might find that the "slight negative equity" will be larger than you think. In any case, selling the property nowdays will be difficult, unless it's at a firesale price.

It appears a lot more properties are going up for sale, every week, than are being sold.

This oversupply is driving the market down.

Where are you moving to?

[iluvbeaches]

Seems in Thailand, and Phuket especially, most Thai people have their real estate listed for sale with no real need to sell. Most foreigners seem to only list it when it is urgent to sell or when the must sell at any cost.

If I put my house for sale but live in it for another 5 years is it really for sale or is it simply a lotto ticket in case some idiot comes and pays the crazy prices listed?

I think the bubble part comes in to play when you have most people in the "must sell now" phase.

[britpop]

i was sitting in a doctors office and started to read a article on property for sale and all the figures relating to phukets property market, it must be on the internet but the amount of properties for sale is huge, i think i might of read it wrong, but at any one time 50%-80% of property is up for sale, that might be a new build figure, i can't see it being a phuket wide figure.if it is somewhere near that figure, then for sure phuket is over subscribing on building, but good luck to the developers with deep pockets to keep going.

[iluvbeaches]

i was sitting in a doctors office and started to read a article on property for sale and all the figures relating to phukets property market, it must be on the internet but the amount of properties for sale is huge, i think i might of read it wrong, but at any one time 50%-80% of property is up for sale, that might be a new build figure, i can't see it being a phuket wide figure.if it is somewhere near that figure, then for sure phuket is over subscribing on building, but good luck to the developers with deep pockets to keep going.

That's probably true but then again ALL property is for sale at the right price, even in our home countries. If someone came and offered 30% over what I thought my apartment is worth here I would sell. The difference is Thais seem to want to advertise that. Dunno which is more honest.

Anyways I've never seen a reasonable property listed in Phuket. I don't know anyone who would spend that kind of money on a place there. Maybe a house in a tourist town you can rent out as a business but the condos there are more expensive than condos on Miami, Spain or Croatia. Kind of ridiculous.

[IrishIvan]

Everything and everyone is for sale for the right price. We sell our time for wages, and of course if someone came up and offered 10,000 baht for a 15 year old honda dream then most people would sell their beloved transport. Money talks

Edited May 23, 2013 by IrishIvan

[steelepulse]

The gazette usually lists all "premium ads" in certain categories in bulk. IIRC, usually on Thursdays it's all the various boats for sale, another day it's all the houses, and still another it's job listings. I haven't seen anything unusual lately in any of this.

Edited May 23, 2013 by steelepulse

[NamKangMan]

i was sitting in a doctors office and started to read a article on property for sale and all the figures relating to phukets property market, it must be on the internet but the amount of properties for sale is huge, i think i might of read it wrong, but at any one time 50%-80% of property is up for sale, that might be a new build figure, i can't see it being a phuket wide figure.if it is somewhere near that figure, then for sure phuket is over subscribing on building, but good luck to the developers with deep pockets to keep going.

The developers had it right in the 80's and 90's when the Phuket property market took off. Keep building them, they will sell, and most did.

The developers these days appear to have the same confidence in the market, BUT, after the global financial crisis, many westerners lost investment/retirement money, also, their currency weakened considerably and the baht has strengthened.

Thai's will always have the attitude that "all farang have big money" - they are slowly finding out that is changing.

Also, Phuket is not as "attractive" as it once was - traffic, concrete jungle, pollution (noise, air and ocean) crime, scams, drugs, failing infastructure, no public transport etc etc, and despite all of this, in general, it is the most expensive place to live in Thailand with the highest cost of living. So, westerners are not embracing Phuket as they have in the past. This is probably why there are many older properties on the market - many want out of here now.

The developers are probably thinking the Chinese, Indians and Russians will be the market that the farang were in the 80's and 90's - well, that's simply not happening. You don't even see them in a bar buying a beer, let alone a property.

I think a lot of the new buildings will largely remain uninhabited and simply become derelict over time.

Edited May 23, 2013 by NamKangMan

[GiantFan]

A friend posted her property for sale in another local newspaper. One time fee until it sells. Hers has been up for around 4 months now, with no bites. Every week I check the paper and most seem to be carryovers from prior weeks/months. Could be that the prices are too high to move, but they don't seem to be moving. Could also be that they want 2 - 3 pages of Property for Sale each and every week.

[NamKangMan]

Seems in Thailand, and Phuket especially, most Thai people have their real estate listed for sale with no real need to sell. Most foreigners seem to only list it when it is urgent to sell or when the must sell at any cost.

If I put my house for sale but live in it for another 5 years is it really for sale or is it simply a lotto ticket in case some idiot comes and pays the crazy prices listed?

I think the bubble part comes in to play when you have most people in the "must sell now" phase.

The chances of winning the "Phuket Property Lotto" have changed a lot over recent times. :)

Good Luck with your "gamble." :)

[NamKangMan]

A friend posted her property for sale in another local newspaper. One time fee until it sells. Hers has been up for around 4 months now, with no bites. Every week I check the paper and most seem to be carryovers from prior weeks/months. Could be that the prices are too high to move, but they don't seem to be moving. Could also be that they want 2 - 3 pages of Property for Sale each and every week.

Another losing "lotto" ticket.

Her property will still be on the market in another 4 months. Even if she drastically reduces the price, it probably will still not sell.

The westerners with big money don't have the big money anymore, and Phuket has lost it shine to many.

Every week her property doesn't sell, more and more go on the market, creating even more competition for the few real buyers out there.

[iluvbeaches]

Seems in Thailand, and Phuket especially, most Thai people have their real estate listed for sale with no real need to sell. Most foreigners seem to only list it when it is urgent to sell or when the must sell at any cost.

If I put my house for sale but live in it for another 5 years is it really for sale or is it simply a lotto ticket in case some idiot comes and pays the crazy prices listed?

I think the bubble part comes in to play when you have most people in the "must sell now" phase.

The chances of winning the "Phuket Property Lotto" have changed a lot over recent times. :)

Good Luck with your "gamble." :)

I was speaking hypothetically. I don't have a house in thailand and would never buy one through company or whatever.

That said my friend who has in phuket a company renting out the companies houses on short term basis makes a return of about 15% a year after costs and in Thai baht which is quite good. No work permit costs or issues as he is only a director, some Thai staff from another business handles check in and cleaning. Pays tax and has no worries. Even if he doesn't sell it for 10 years he is earning a lot more than I do on my investment portfolio year on year.

If I was living there and had his accounting and law contacts to make it happened I would consider it.

[NamKangMan]

Seems in Thailand, and Phuket especially, most Thai people have their real estate listed for sale with no real need to sell. Most foreigners seem to only list it when it is urgent to sell or when the must sell at any cost.

If I put my house for sale but live in it for another 5 years is it really for sale or is it simply a lotto ticket in case some idiot comes and pays the crazy prices listed?

I think the bubble part comes in to play when you have most people in the "must sell now" phase.

The chances of winning the "Phuket Property Lotto" have changed a lot over recent times.

Good Luck with your "gamble."

I was speaking hypothetically. I don't have a house in thailand and would never buy one through company or whatever.

That said my friend who has in phuket a company renting out the companies houses on short term basis makes a return of about 15% a year after costs and in Thai baht which is quite good. No work permit costs or issues as he is only a director, some Thai staff from another business handles check in and cleaning. Pays tax and has no worries. Even if he doesn't sell it for 10 years he is earning a lot more than I do on my investment portfolio year on year.

If I was living there and had his accounting and law contacts to make it happened I would consider it.

Tell me if that 15% return is going to cover the outlay, initially, for buying the property, that he can never sell in he future - then get back to me.

He'll be lucky if he breaks even. Not to mention the declining western tourist market and the rise of the package holiday emerging ecomomy tourist market. :)

Oh, and while you're at it, tell me about how all these vacent proprties are driving rents down (great for me - I would never buy a property here) and I would also like to hear about the ridiculous property management costs.

Bottom line - if I WAS to believe you that he was getting 15% - he shortly will not be.

[Eesat]

Why should Thailand and Phuket be different from Spain?Market reached saturation point,global downturn which will affect long-haul tourists way before short-haul ones.Throw in falling standards,prices rising way above inflation,beer more expensive than most of Europe!Asia and particularly Thailand is no longer the cheap paradise it used to be!
The party's over,wait till Burma gets its act together!

[stevenl]

Why should Thailand and Phuket be different from Spain?Market reached saturation point,global downturn which will affect long-haul tourists way before short-haul ones.Throw in falling standards,prices rising way above inflation,beer more expensive than most of Europe!Asia and particularly Thailand is no longer the cheap paradise it used to be!

The party's over,wait till Burma gets its act together!

Because a lot of houses here are not financed.

[stevehaigh]

i guess a lot of people are fishing for a good price. i'm one of them. i like it here and have a really nice house but its for sale. not going cheap through.

[iluvbeaches]

Seems in Thailand, and Phuket especially, most Thai people have their real estate listed for sale with no real need to sell. Most foreigners seem to only list it when it is urgent to sell or when the must sell at any cost.

If I put my house for sale but live in it for another 5 years is it really for sale or is it simply a lotto ticket in case some idiot comes and pays the crazy prices listed?

I think the bubble part comes in to play when you have most people in the "must sell now" phase.

The chances of winning the "Phuket Property Lotto" have changed a lot over recent times.

Good Luck with your "gamble."

I was speaking hypothetically. I don't have a house in thailand and would never buy one through company or whatever.

That said my friend who has in phuket a company renting out the companies houses on short term basis makes a return of about 15% a year after costs and in Thai baht which is quite good. No work permit costs or issues as he is only a director, some Thai staff from another business handles check in and cleaning. Pays tax and has no worries. Even if he doesn't sell it for 10 years he is earning a lot more than I do on my investment portfolio year on year.

If I was living there and had his accounting and law contacts to make it happened I would consider it.

Tell me if that 15% return is going to cover the outlay, initially, for buying the property, that he can never sell in he future - then get back to me.

He'll be lucky if he breaks even. Not to mention the declining western tourist market and the rise of the package holiday emerging ecomomy tourist market. :)

Oh, and while you're at it, tell me about how all these vacent proprties are driving rents down (great for me - I would never buy a property here) and I would also like to hear about the ridiculous property management costs.

Bottom line - if I WAS to believe you that he was getting 15% - he shortly will not be.

I don't care if you believe me. I was stating an investment situation that he has worked out from 2000 until now earning that and I thought it relevant to the discussion. If you want to pat yourself on the back for your investment wisdom on an anonymous forum be my guest.

[patongphil]

My "estate" has 42 houses - 12 are either up for sale or rent. We usually get a lot go up for rent through the low season but never seen it like this before and we bought off the plan quite a few years ago.

[NamKangMan]

@ iluvbeaches

I believe you - I just don't believe him.

"15% return" - is he trying to sell you the property???? :) :)

[NamKangMan]

My "estate" has 42 houses - 12 are either up for sale or rent. We usually get a lot go up for rent through the low season but never seen it like this before and we bought off the plan quite a few years ago.

I check a few websites occasionally for apartment rentals - thinking there maybe an apartment available that is better than the one I am currently in. I checked it yesterday.

This website had over 1200 apartment/condo's for rent on the island. The total of properties for rent on their website was over 4700 - that's just one website, out of how many websites?

I have never seen that many properties up for rent on this particular website before.

Edited May 26, 2013 by NamKangMan

[steelepulse]

All the websites pretty much list the same things, and when one is rented or sold, website is usually not updated. 4700 does seem like a lot of vacant rentals, but I'm sure there's a lot of out of date listings, rented units and various other problem listings inflating the number quite a bit.

[KarenBravo]

.........and then there are all the bank forfeiture properties that are not advertised.

[NamKangMan]

.........and then there are all the bank forfeiture properties that are not advertised.

I heard a lot of these go cheap to the relatives of higher up bank staff. Guess what they do with the place - put it on the rental market.

Edited May 26, 2013 by NamKangMan

[NamKangMan]

All the websites pretty much list the same things, and when one is rented or sold, website is usually not updated. 4700 does seem like a lot of vacant rentals, but I'm sure there's a lot of out of date listings, rented units and various other problem listings inflating the number quite a bit.

That's a fair point, and I agree there would be a percentage of properties on the website that have been sold, or are now rented, and not removed from the website.

However, I would suggest that percentage would be small, and that still leaves thousands of properties vacant and/or on the market for sale.

[iluvbeaches]

@ iluvbeaches

I believe you - I just don't believe him.

"15% return" - is he trying to sell you the property???? :) :)

Nope he is not selling I asked because I was curious how he financed his lifestyle, Mercedes big parties, stuff like that for over 10 years. If it was a year or two I would also have guessed it wasn't gonna last. Three luxurious pool houses he fixed up and rents out to big groups mainly from France and Russia. Cheap for them I guess with lots of beds but he takes in like 150k a month in high season 75 in low. Good quality houses in Patong are not easy to find like guesthouses and condos.

Anyways, not really important I just wanted to mention that some people do make money but its not easy without connections and the right property. Not for me, couldn't live in that crap hole Patong but if you did there are worse ways to make money.