Is the real estate market slow all over LOS?

[cheeryble]

Jaideeguy the problem is no-one can really answer your question.

You have no sale so far.

If you have the right exposure this is always essentially due to not the right price (the price of course must factor in all those essential details like location etc etc)....but the "right price" can be a difficult thing to judge, and given the political situation it becomes even more difficult.....but remember the stock market's UP.

I still see farang wanting to move into CM and paying a lot for new built condos.....the market has certainly not died....and secondly farang are far from the whole market, Thais are the market.

As someone said Real Estate sales do indeed sometimes take time for the right person to come along.

I'd say check your exposure is indeed optimised and present the place impeccably and then give it time.

Base your price on recent property SALES not asking prices.

Edited September 27, 2014 by cheeryble

[rgs2001uk]

I wonder who in their right mind would purchase property in this current political climate........I bought and built when the $ was strong, labor and materials were cheap and politics were [seemingly] stable. but things change so fast here in the 'Land Of Surprises'.

The few that are gambling that it will pass may be in for a surprise............

I wonder who in their right mind would purchase property in this current political climate

I am the only farang in the Thai enclave I live in in Bkk, Thais are buying and selling property everyday.

Its can be summed up in three words, location, location, location.

For all those saying Thais dont like or buy second hand, BS.

For many Thais its cheaper to buy a second hand property in a location they want, then knock it to the ground and build a house of their own design, built to their own spec etc etc.

In Bkk second hand properties can be had for 3,4 or 5 million baht, buy the land and build a new house for for about 5 million, total cost 10 million, a saving of at leat 2 and propbably 5 million on a new house on the east side of the city, and the daily commute that entails.

BTW Op, what exactly are you trying to sell, your own dream house that may well be a nightmare to me, a cookie cutter house on a moo baan?

No one has ever explianed to me why land one one side of a (moo baan) wall is worth 3 times more than land on the other side.

For many its cheaper to buy the land and build their own house, land will cost about 15-20k per tw, in a moo baan same land 30-50k per tw.

The other thing not mentioned, financing, its easier for people with no money to buy a new house and pay on the drip than it is to pay cash for a second hand house.

[meand]

If he is in a hurry to sell he is distressed. People pick up on this stuff too, they aren't stupid. Guys who buy and sell properties everyday I'm sure learn to pick up on signs. The best advice is selling property is like dating, you've got to be cool. Since the op said he is not in a calm cool spot with his finances it is worst case. Do everything you can to allow more time for a sell.

[jaideeguy]

"BTW Op, what exactly are you trying to sell, your own dream house that may well be a nightmare to me, a cookie cutter house on a moo baan?"

Quite the opposite of a moo baan cookie cutter house that seems to appeal to the [less than] 1% of the buyers. Location is not that far from the city and ambience is quite peaceful with rice fields and jungle down a gravel road in decent repair, but it's the last house on the road so that eliminates most Thai shoppers. House design is a bit eclectic, but comfortable for me.

The problem is that my plan A when I discovered MY ideal location was not to build for investment, but for my comfort and now that I have to sell for medical reasons, I'm finding that there are not too many 'fringe people' like me with enough cash to buy, even at my discounted price.

[cheeryble]

Forgot to say Jaideeguy

I know you need some money, but do you need it ALL now?

Owner financing might attract some buyers.

Secondly, can we have a look at the "eclectic" design so we can be honest with you whether that's stopping a sale?

Sent from my iPad using ThaiVisa app

[Rimmer]

One post discussing moderation has been removed

[chiang mai]

I wonder who in their right mind would purchase property in this current political climate........I bought and built when the $ was strong, labor and materials were cheap and politics were [seemingly] stable. but things change so fast here in the 'Land Of Surprises'.

The few that are gambling that it will pass may be in for a surprise............

This comment seems you already have a view and your post is but a troll. Read #13, anything but a gamble. The only properties stuck are the overpriced rubbish in the boonies. Sensibly priced in a good location barely has time to be listed. Lets put to bed another myth, Thais have no problem buying second hand properties, this is rampant throughout the Expat community as their tilak wants a new house built in the village not a second hand condo in his name.

"Lets put to bed another myth, Thais have no problem buying second hand properties, this is rampant throughout the Expat community as their tilak wants a new house built in the village not a second hand condo in his name".

You need to review and clarify what you wrote, it makes zero sense.

[watcharacters]

The problem when it comes to selling property there is there isnt much of a system to do it other than list it on the net yourself, most of the agents there arnt worth a cracker, a good percentage of Thais hold on to the the house/s land etc for "family"

Friend of mine has put her very nice house up for sale in BKK but at 6m not much interest (she brought it 3 or 4 years ago for the same price brand new), when i asked her what she would do if there were no reasonable offers she said "i will keep it for my son", her son is 3 years old.

The word here and has been for ever that it takes close to forever to move property, so unless you dam sure your gonna die there dont buy just rent.

You have no idea, my Wife sells stuff like that all day everyday salary circa 250k a month.

"some" properties will never sell due to bad investment/location etc etc unrealistic prices , poor condition, dirty ,unkempt.

I can only vouch for Bangkok though

.

Good for you that your wife does well, kannot. I believe she's an exception in the Thailand real estate market.

What AlexRRR says is what I've generally observed here in thailand. The method of finding a house for sale is mostly driving around areas and looking for a sign or asking a security guard or friends about the availability of places in a particular moo ban. Not a very modern or efficient way to make what's usually the largest purchase a person makes.

There just isn't a way used to get the information out to the public.

I'd think an enterprising Thai person would get on the ball and come up with a selling model based more on the Western styles. I've been told this can't work as it would require disclosing the actual price of the property which would impact the tax charged on it. Instead it's left to a fairly haphazard system.

http://www.smartasset.com/blog/housing/10-best-real-estate-agencies/

[starship]

There are a huge amount of properties for sale around the country but this doesn't mean you can't sell yours.

I had a condo before, not a house, and it took about a year to sell. Obviously compared to a condo your potential market will be smaller (at least with foreigners) as many want the property in their own name. As other members mention, properties can sell fast sometimes but everything has got to be in their favour: location, price etc.

From what you state, your property does not seem to be in this category, being 'ecletic' and at the end of a road in out in the country. Therefore, it will most likely take a long time to sell, if at all. Thai's often prefer to build their own houses and most hold their own land, so likely they could build a house to their design and wishes at a similar or cheaper price than yours. That's probably one of the reasons you've not been able to shift it.

You say one of your agents brings a lot of people around to view the house. From experience, I don't necessarily think this is a bad thing although I can understand some people don't like the intrusive aspect - but remember you're trying to sell your house. When I looked at property before, I checked out loads of places, and funnily enough, those that had quite bad photo's seemed much better in the flesh and often had more potential - indeed this is possibly a way to maybe get a good deal as these properties can often be overlooked for this reason. People need to see places in the flesh, and there's a lot of places for people to look at. If you filter out people too much, you don't know if you might have lost a potential buyer. Viewing is just part of the process of selling, you need to embrace that.

I wouldn't totally write off agents as your ultimate goal is to sell your property. It generally doesn't cost anything to use them and they might indeed find you a buyer. I actually sold though a Thai friend who sold my condo to some Thai buyers after I'd tried for about 9 months to sell it privately. Again this reinforces the view that Thai buyers are willing to buy secondhand property - just the right property at the right price. I was happy to pay him commission as he found me a buyer. If you get any interest I would say sell it, as you may not have that option later.

You mention you need to try and sell quickly for medical reasons. You need to price accordingly. You're never going to sell your eclectic place at your perceived market rate when there are so many other options available to buyers. Thai's generally prefer newbuilds, wether they build their own or buy in a moo bahn. If you really need to sell soon, you most likely will have to try and sell at a loss.

Some things you can do which may aid a sale is present your property well. It's a bit of a cliche but I think it helps. When I was selling my place I repainted in bright white throughout. This makes the room seem newer, bigger and lighter. Many new condos are decorated in this way so it makes a connection in the buyers mind. Fix any broken things - buyers will spot this and it will put them off, especially major things. Rearrange your furniture to best represent your house and space and de-clutter.

So many properties I used to see were so badly presented and full of crap - a lot of owners just don't care. Make sure there's no musty interior smells: food, dogs - Thai's especially don't like smells. I also echo another poster and say don't mention anything negative as Thai's are very superstitious and this will immediately put them off the place.

The same goes for the exterior. Make sure the garden is freshly mowed and tidy and gives a good first impression to the property. Think about when you bought your first property, it's kind of a dream, and buyers want to have that feeling, so present your property accordingly.

Hope things work out.

[ldnguy]

Yes, as a person who won few properties, I can concur that there is a glut of second hand

properties in the greater Bkk area, mainly owning to the fact that they still build new one

like there is no tomorrow, and that Thai people like to buy new units rather than old one,

on top which, the recent visa woes doesn't help and make foreigners feels jittery...

Yeah, it's hard to tell and we'll never get any accurate figures, but there does seem to be a lot of us 'rats leaving this sinking ship' mainly, i think because we're getting older and realizing the health care is better in the homeland and then there are some of us who's rose colored glasses are fading and miss home comforts.

Not sure where you're from, but I have been blown away by the quality of healthcare here compared to the UK. Not out in the sticks but in Bangkok.

Most private Thai hospitals will beat most UK hospitals hands down, when it come to the availability and cost of tests. Almost any UK hospital will beat the best Thai hospital when it comes to diagnosis. I suggest you haven't been here long enough or had enough experience of hospitals to cut through the veneer and understand the difference.

In the UK my NHS doctor refuses to let me have various blood test as a healthcheck. He always said if I don't have symptoms I can't have it done. And getting what I want privately in UK is either too expensive or impossible to fine. In Bangkok I can get whatever tests I want and the price is very reasonable. I can then correct any issues before they turn into symptoms and diseases. I just couldn't do that in the UK. Also, friends I know in UK who have been diagnosed with various diseases have had woeful treatment or none a all. Usually just some drugs to mask the symptoms. Here's it's quite easy to din doctors that will work with you to achieve what you want to achieve. It works for me and for others. If you don't agree, then stick to UK healthcare. Thailand suits me, UK suits you. So we're both happy.

[chiang mai]

Yeah, it's hard to tell and we'll never get any accurate figures, but there does seem to be a lot of us 'rats leaving this sinking ship' mainly, i think because we're getting older and realizing the health care is better in the homeland and then there are some of us who's rose colored glasses are fading and miss home comforts.

Not sure where you're from, but I have been blown away by the quality of healthcare here compared to the UK. Not out in the sticks but in Bangkok.

Most private Thai hospitals will beat most UK hospitals hands down, when it come to the availability and cost of tests. Almost any UK hospital will beat the best Thai hospital when it comes to diagnosis. I suggest you haven't been here long enough or had enough experience of hospitals to cut through the veneer and understand the difference.

In the UK my NHS doctor refuses to let me have various blood test as a healthcheck. He always said if I don't have symptoms I can't have it done. And getting what I want privately in UK is either too expensive or impossible to fine. In Bangkok I can get whatever tests I want and the price is very reasonable. I can then correct any issues before they turn into symptoms and diseases. I just couldn't do that in the UK. Also, friends I know in UK who have been diagnosed with various diseases have had woeful treatment or none a all. Usually just some drugs to mask the symptoms. Here's it's quite easy to din doctors that will work with you to achieve what you want to achieve. It works for me and for others. If you don't agree, then stick to UK healthcare. Thailand suits me, UK suits you. So we're both happy.

I've lived in Thailand full time for the past ten years so I don't have any recent exposure to the UK NHS. But I have had plenty of exposure to the Thai medical system and trust me when I say, getting blood tests is only 0.5% of the picture, finding a doctor who can adequately read those test results and treat the underlying problem is the far greater challenge. OK if you're reasonably young and you've got everyday medical problems that any doctor in the world would be able to treat, far more difficult when you contract something slightly exotic or unusual, the UK medical system excels in that respect, Thailand falls woefully short, trust me, I've been there.

[trogers]

Yeah, it's hard to tell and we'll never get any accurate figures, but there does seem to be a lot of us 'rats leaving this sinking ship' mainly, i think because we're getting older and realizing the health care is better in the homeland and then there are some of us who's rose colored glasses are fading and miss home comforts.

Not sure where you're from, but I have been blown away by the quality of healthcare here compared to the UK. Not out in the sticks but in Bangkok.

Most private Thai hospitals will beat most UK hospitals hands down, when it come to the availability and cost of tests. Almost any UK hospital will beat the best Thai hospital when it comes to diagnosis. I suggest you haven't been here long enough or had enough experience of hospitals to cut through the veneer and understand the difference.

In the UK my NHS doctor refuses to let me have various blood test as a healthcheck. He always said if I don't have symptoms I can't have it done. And getting what I want privately in UK is either too expensive or impossible to fine. In Bangkok I can get whatever tests I want and the price is very reasonable. I can then correct any issues before they turn into symptoms and diseases. I just couldn't do that in the UK. Also, friends I know in UK who have been diagnosed with various diseases have had woeful treatment or none a all. Usually just some drugs to mask the symptoms. Here's it's quite easy to din doctors that will work with you to achieve what you want to achieve. It works for me and for others. If you don't agree, then stick to UK healthcare. Thailand suits me, UK suits you. So we're both happy.

I've lived in Thailand full time for the past ten years so I don't have any recent exposure to the UK NHS. But I have had plenty of exposure to the Thai medical system and trust me when I say, getting blood tests is only 0.5% of the picture, finding a doctor who can adequately read those test results and treat the underlying problem is the far greater challenge. OK if you're reasonably young and you've got everyday medical problems that any doctor in the world would be able to treat, far more difficult when you contract something slightly exotic or unusual, the UK medical system excels in that respect, Thailand falls woefully short, trust me, I've been there.

What's exotic or unusual? Most medical knowledge comes from experience, be they diagnosis or treatments. Not many locals here have been to Africa, unlike the Brits.

[ldnguy]

You just have to look at the health of the UK population to know that the NHS is not fit for purpose. Every decade that goes by, they health of the nation gets worse. Most doctors in the UK just fob patients off with pills of some sort. I know many people in the UK who are fairly seriously ill, but no doctor has managed to sort them out. All they do is cover up symptoms, with no though at all given to sorting out the underlying problem. Also, diet advice, which is important for most illnesses, so almost non-existent in the UK. If UK doctors were so great, the UK wouldn't be spending more and more on healthcare. The health of the nation is deteriorating quickly.

I'll stick with Thai healthcare. It works for me, and so that's what I'll choose.

As for exotic diseases, if UK doctors are better at diagnosing them I don't know what that proves. 99%+ of people never have an exotic disease so it's irrelevant to them. Why should I care if a UK doctor can diagnose an exotic disease if I don't have one and probably never will?

[cheeryble]

You just have to look at the health of the UK population to know that the NHS is not fit for purpose. Every decade that goes by, they health of the nation gets worse. Most doctors in the UK just fob patients off with pills of some sort. I know many people in the UK who are fairly seriously ill, but no doctor has managed to sort them out. All they do is cover up symptoms, with no though at all given to sorting out the underlying problem. Also, diet advice, which is important for most illnesses, so almost non-existent in the UK. If UK doctors were so great, the UK wouldn't be spending more and more on healthcare. The health of the nation is deteriorating quickly.

I'll stick with Thai healthcare. It works for me, and so that's what I'll choose.

As for exotic diseases, if UK doctors are better at diagnosing them I don't know what that proves. 99%+ of people never have an exotic disease so it's irrelevant to them. Why should I care if a UK doctor can diagnose an exotic disease if I don't have one and probably never will?

Are there figures showing declining health in the UK?

Are they from the Telegraph or Mail who wish to finish the NHS and go the American route?

Anyway my family completely disagrees with you, and my sister worked in the NHS for decades and saw all sides.

Far from being masked with pills my niece who has had very nasty depression and anxiety is off all medication (and so am I after multi year addiction to benzos pushed by my doctor)

My bro-in-law has received exemplary and successful treatment for prostate cancer over many years and cannot praise enough.

My father had successful and prompt treatment necessitating colostomy and reversal.....excellent and successful.

I had a hernia op with three others in one afternoon same doc mass production a model of efficiency.

Inventiveness demonstrated by recruitment and training of thousands of CBT therapists.

Low cost means people don't waste their lives working to pay for it.

Sorry to hijack your thread Jaideeguy lets get back to you and have this conversation elsewhere......just can't let a put down like that on a wonderful institution go uncommented.

Edited September 29, 2014 by cheeryble

[Robert24]

there's a lot of supply of new houses and 2nd hand homes on the market all across Thailand incl CM. Demand is still high but unless you have an excellent location it takes a long time for a sale to proceed. Condos tend to be more popular now, I also see plenty of condos being built in CM, so probably easier to sell.

My recommendation would be to not drop the price to desperation levels, give it time, keep the price at a reasonable level. The market for houses in Thailand is slow. I assume you've done everything so your house looks like new if an interested person has a look. My view is that in the long term, land prices in CM will further appreciate and even if you cannot sell now, maybe at some point in the future you can sell at a good level with a nice profit.

[AnotherOneAmerican]

there's a lot of supply of new houses and 2nd hand homes on the market all across Thailand incl CM. Demand is still high but unless you have an excellent location it takes a long time for a sale to proceed. Condos tend to be more popular now, I also see plenty of condos being built in CM, so probably easier to sell.

My recommendation would be to not drop the price to desperation levels, give it time, keep the price at a reasonable level. The market for houses in Thailand is slow. I assume you've done everything so your house looks like new if an interested person has a look. My view is that in the long term, land prices in CM will further appreciate and even if you cannot sell now, maybe at some point in the future you can sell at a good level with a nice profit.

Not very good advice if the guy has to move countries.

Have you seen what happens to houses once empty?

The creatures move in within weeks, termites eat the wood, then a bit of a flood, and it's a total loss.

[Robert24]

@AnotherOneAmerican: ok fair point on leaving the house empty, but you could rent it out, have a family member stay in it and take care of it. There are some options to address the issue of leaving the house empty.

Now in terms of advise: I guess you have 2 options.

1) You lower the price to ridiculously low level and sell at a loss because you are desperate for the money

2) you keep the property as an investment in Thailand anf only sell it if you get a decent price and good profit.

I have property in 2 other countries and keep them for now and I have no plans to move to those countries. So especially if a property market is not as liquid as in Singapore/Hkg/UK, I would keep the house until you can sell it at a decent price.

but pls feel free to share your advise for the Op's situation. Maybe there's a better option I have missed.

[rgs2001uk]

^^^^, not mentioned here, what did he pay for this house in $ price, and would he take the same price in $ as he paid?

Sorry to say, his house may take years to sell, can he wait that long?

He needs the money now, not in 5 years time.

have a family member stay in it and take care of it.

The horror stories I could tell you, why bother, we have all heard them.

Not mentioned, where does his mrs stand on this issue, does she actually want the house sold.

Over on another forum some guy cant sell his house that he would have made a stack of $$$$ on, coz his wife refuses to drop the price in baht terms.

Eg, house bought for $50k or two million baht, house now worth 8 million baht, wife wont sell for 6 million baht or $200k.

Work it out, unbelievable, Thai logic, I am losing 2 million baht.

[ldnguy]

^^^^, not mentioned here, what did he pay for this house in $ price, and would he take the same price in $ as he paid?

Sorry to say, his house may take years to sell, can he wait that long?

He needs the money now, not in 5 years time.

have a family member stay in it and take care of it.

The horror stories I could tell you, why bother, we have all heard them.

Not mentioned, where does his mrs stand on this issue, does she actually want the house sold.

Over on another forum some guy cant sell his house that he would have made a stack of $$$$ on, coz his wife refuses to drop the price in baht terms.

Eg, house bought for $50k or two million baht, house now worth 8 million baht, wife wont sell for 6 million baht or $200k.

Work it out, unbelievable, Thai logic, I am losing 2 million baht.

This depends on what it's really worth. If there is a realistic prospect of selling for 8m, then why would anyone sell for 6m. If I bought a house in UK for £100K years ago and it was now worth £800K, I wouldn't sell it for £600K. That would just be plain stupid. But I can't tell from your comment what the house is really worth. The Thai logic is correct if the house is really worth 8m.

[rgs2001uk]

^^^^, not mentioned here, what did he pay for this house in $ price, and would he take the same price in $ as he paid?

Sorry to say, his house may take years to sell, can he wait that long?

He needs the money now, not in 5 years time.

have a family member stay in it and take care of it.

The horror stories I could tell you, why bother, we have all heard them.

Not mentioned, where does his mrs stand on this issue, does she actually want the house sold.

Over on another forum some guy cant sell his house that he would have made a stack of $$$$ on, coz his wife refuses to drop the price in baht terms.

Eg, house bought for $50k or two million baht, house now worth 8 million baht, wife wont sell for 6 million baht or $200k.

Work it out, unbelievable, Thai logic, I am losing 2 million baht.

This depends on what it's really worth. If there is a realistic prospect of selling for 8m, then why would anyone sell for 6m. If I bought a house in UK for £100K years ago and it was now worth £800K, I wouldn't sell it for £600K. That would just be plain stupid. But I can't tell from your comment what the house is really worth. The Thai logic is correct if the house is really worth 8m.

If the house was really worth 8 million, why hasnt it been sold?

Answer, its not worth 8 million.

Welcome to Thailand, your house is worth, extract digit, lick it, and hold it up to the wind.

I have had Thais come to my door offering me houses for half what they are (supposedly)worth, they didnt pay for them, the farang did, but it was the girls name on the chanot, ergo what ever she sold for was pure profit for her.

Yes I remember the UK well, the exact same scenario 20+ years ago, house bought for thirty grand became worth 60 grand in the space of a year, 6 months later when the interest rates went to 16%, the same 60 grand houses were on offer for 50 grand or less.

My properties are all in the UK, thats the way it will stay, I certainly wouldnt ever consider selling in the UK to buy here, and I certainly wouldnt be putting my pension plan or retirement pot into Thai housing.

The Americans found out the exact same scenario a few years ago, couldnt understand why their houses were worth less than the purchase price, its the law of supply and demand.

YMMV.

[ldnguy]

^^^^, not mentioned here, what did he pay for this house in $ price, and would he take the same price in $ as he paid?

Sorry to say, his house may take years to sell, can he wait that long?

He needs the money now, not in 5 years time.

have a family member stay in it and take care of it.

The horror stories I could tell you, why bother, we have all heard them.

Not mentioned, where does his mrs stand on this issue, does she actually want the house sold.

Over on another forum some guy cant sell his house that he would have made a stack of $$$$ on, coz his wife refuses to drop the price in baht terms.

Eg, house bought for $50k or two million baht, house now worth 8 million baht, wife wont sell for 6 million baht or $200k.

Work it out, unbelievable, Thai logic, I am losing 2 million baht.

This depends on what it's really worth. If there is a realistic prospect of selling for 8m, then why would anyone sell for 6m. If I bought a house in UK for £100K years ago and it was now worth £800K, I wouldn't sell it for £600K. That would just be plain stupid. But I can't tell from your comment what the house is really worth. The Thai logic is correct if the house is really worth 8m.

If the house was really worth 8 million, why hasnt it been sold?

Answer, its not worth 8 million.

Welcome to Thailand, your house is worth, extract digit, lick it, and hold it up to the wind.

I have had Thais come to my door offering me houses for half what they are (supposedly)worth, they didnt pay for them, the farang did, but it was the girls name on the chanot, ergo what ever she sold for was pure profit for her.

Yes I remember the UK well, the exact same scenario 20+ years ago, house bought for thirty grand became worth 60 grand in the space of a year, 6 months later when the interest rates went to 16%, the same 60 grand houses were on offer for 50 grand or less.

My properties are all in the UK, thats the way it will stay, I certainly wouldnt ever consider selling in the UK to buy here, and I certainly wouldnt be putting my pension plan or retirement pot into Thai housing.

The Americans found out the exact same scenario a few years ago, couldnt understand why their houses were worth less than the purchase price, its the law of supply and demand.

YMMV.

Agree with all of this. I'll probably buy a house here to live in but will keep my property investments in the UK. I can't see anything that will drive up prices substantially in Thailand. There is an immense amount of land that can be developed, even in Bangkok. And high interest rates don't help either. It's not a bad thing, as it means property stays more affordable.

[steveromagnino]

The problem when it comes to selling property there is there isnt much of a system to do it other than list it on the net yourself, most of the agents there arnt worth a cracker, a good percentage of Thais hold on to the the house/s land etc for "family"

You have no idea, my Wife sells stuff like that all day everyday salary circa 250k a month.

What AlexRRR says is what I've generally observed here in thailand. The method of finding a house for sale is mostly driving around areas and looking for a sign or asking a security guard or friends about the availability of places in a particular moo ban. Not a very modern or efficient way to make what's usually the largest purchase a person makes.

There just isn't a way used to get the information out to the public.

I'd think an enterprising Thai person would get on the ball and come up with a selling model based more on the Western styles.

I don't know how Chiang Mai works, but to hear that apparently "driving around and speaking to people in a neighbourhood" is not a modern or efficient way to purchase is a little surprising.

In fact there are numerous websites selling property; prakard.com ddproperty.com etc most of which enable owners to sell their own property quite easily (I've done it myself a few times and have also purchased). there are websites like hipflat etc that have prices of various units in condos (mostly) with loads and loads of information available. There are numerous sites like prakard which (in Thai) debate the strengths and weaknesses of buildings also.

However, if you want to go direct and get the cheapest possible price, then you need to find properties that may or may not be online - exactly like buying a car, house, luxury watch or anything else in the west - you find people you know (or people in the field) and ask them is there any special deal happening you can be a part of rather than going to the authorized dealer. Very modern behaviour, and perhaps not quite web 3.0, but otherwise you are dealing with agents - convenience obviously commands a price. Super deals on line are shared with a lot of people, so they tend to sell quickly. Note this is still how we would look at property in the USA (going through this at the moment) or various other countries - learn the neighborhood, look for for sale signs, ring up, etc. Or buying a car. Or a watch. If you want really cheap, you wade through craigslist (for buying 'services' 2nd hand mag wheels or whatnot) and the compensation of your time is a generally cheaper price. For home buyers, knowing the neighborhood is a key aspect - checking out the access, the method to get there, talking to security guards about what type of person lives there and so forth....all invaluable and the first thing I usually recommend to friends to do if they want to buy somewhere - ask the people who live there what they think. Most people are pretty helpful - security guards and maids especially so since there is no real benefit for them to make stuff up.

In Thailand, now there are loads of agents, and commissions are lower than the west (developers pay as low as 1% commissions but market rate in BKK is around 3% ad hoc and as high as 8% in places like Pattaya), its not like that avenue is not available. It so happens that agents for the most part suck, but that's true the world over. A good one is a good relationship to have....but trying to sell a dog property is always tough yards.

Most Thai people have a very logical buying framework - they want something they can afford (so the market skews towards new preferably from listed developers since this gives the best access to finance); they want a location they like (so they tend to drive around it or know the area); they want the best possible price (hence why winners stay winners and losers stay losers in terms of developments); they may want to know their investment isn't going to decrease in price (hence preference for well run juristic person with safety of a known developer who has a reputation for doing ok specifications; for newer buyers a brand name developer always beats a no name developer, and a development usually beats a one off standalone house). New vs. 2nd hand often has a warranty element, and no one likes paying for crappy furnishings they don't want; however for the condo rental market 2nd hand often is preferred over new as the furnishings come at a discount - ideal for renting out if the seller has a brain and furnished the unit in a suitable manner. Note many sellers do not.

There are countless properties sold proving the fallacy of 'Thais won't buy second hand' - perhaps better to understand what second hand may mean - lack of finance; lack of guarantee of quality; questionable resale - if you get around these barriers then 2nd hand is easy to sell - which is what we see with the brand name listed developers in Bangkok and massively increasing prices for certain buildings.

As for the idea that somehow developers should stop building because there is a perceived oversupply from someone judging if a building is occupied by lights (goodness knows how that works); this would be like saying since there are plenty of restaurants serving fastfood and half those places are empty much of the time, no one should open any more outlets. Sounds extremely bad if you are Carls Junior trying to win market share, and rather stupid if you are McDs without an outlet in a key neighbourhood, just because some 'higher power' has concluded there is theoretically enough hamburgers for everyone already.

There is oversupply in places, and sectors in the market - however that doesn't mean that if I can somehow convert my empty plot of land on Langsuan, freehold, to a high end condo, that I am contributing to that - the demand for freehold in that area at the high end of the market massively, massively outstrips the supply (currently restricted to probably <10 buildings in the vicinity). Great locations will likely not skyrocket up in price, but they are sought after and there is a natural limit of supply. Chiang Mai, suburban Bangkok and moobans in Nakhon Nowhere....I am not so sure. that said, costs to build are rising substantially in the last 10 years, and that's got a flow on effect to the price of new...which flows on to the 2nd hand market to some degree.

[jaideeguy]

"ask the people who live there what they think. Most people are pretty helpful - security guards and maids especially so since there is no real benefit for them to make stuff up."

Sorry, but I have to disagree with that tactic because most Thais will either pad the price or get a commission at any chance. Those that 'have not' want to 'have' and it's common practice to get a finder's fee or commission of at least 3 % up north.

[KittenKong]

Sorry, but I have to disagree with that tactic because most Thais will either pad the price or get a commission at any chance. Those that 'have not' want to 'have' and it's common practice to get a finder's fee or commission of at least 3 % up north.

Yes, when it comes to property in Thailand you have to look long and hard to find someone who isn't on the make, including farangs.

[OnMyWay2]

The thai lady who I rent condos from in Pattaya recently went out of business. She had to shut down because she couldn't find a tenant for 6 months straight. So yeah its definitely slower than normal.

[Halfaboy]

She could have changed strategy I.e. renting out for 3 months...

[trogers]

She could have changed strategy I.e. renting out for 3 months...

I think this lady was a property agent, and not a landlady. Terms of lease would be determined by the property owners. She closed shop due to a lack of demand for rentals.

[AnotherOneAmerican]

She could have changed strategy I.e. renting out for 3 months...

I think this lady was a property agent, and not a landlady. Terms of lease would be determined by the property owners. She closed shop due to a lack of demand for rentals.

Or maybe she wasn't very good at her job.

[Anthony5]

She could have changed strategy I.e. renting out for 3 months...

I think this lady was a property agent, and not a landlady. Terms of lease would be determined by the property owners. She closed shop due to a lack of demand for rentals.

Or maybe she wasn't very good at her job.

I rather think she must have had only one single property in portfolio, which was probably badly located.

[OnMyWay2]

She could have changed strategy I.e. renting out for 3 months...

I think this lady was a property agent, and not a landlady. Terms of lease would be determined by the property owners. She closed shop due to a lack of demand for rentals.

Or maybe she wasn't very good at her job.

I rather think she must have had only one single property in portfolio, which was probably badly located.

Nope, multiple units in prime location in view talay 6 . No renters for 6 months straight.

Edited October 5, 2014 by OnMyWay2