Has the condo discount festival started ?

[Asiantravel]

Talk to a Chartered Surveyor, or equivalent, about values.

what is so special about a chartered surveyor?

Why should anyone believe a chartered surveyor any more than a used car salesman?

Lying surveyor from Staffordshire is jailed for fraud

Christopher Jarvis was sentenced to two years

A chartered surveyor who rated a luxury home at more than three times its true value has been jailed for two years.

http://www.bbc.co.uk/news/uk-england-stoke-staffordshire-12785736

[balo]

Anyone knows what to do to get some attention from buyers?

I've contacted 6 agents, one even came by and took their own pictures of the condo . I have used boards at Big C and Foodland. I have offered rewards of up to 50000 baht. I have accepted commision fees of 5% but so far nothing .

This is a small size condo 35 sqm. New building from 2013, very nice swimming pool and all I want is 1.4 million baht incl foreign ownership. I paid more for it off plan so I am selling with a loss now.

Edited January 8, 2015 by balo

[Anthony5]

Anyone knows what to do to get some attention from buyers?

I've contacted 6 agents, one even came by and took their own pictures of the condo . I have used boards at Big C and Foodland. I have offered rewards of up to 50000 baht. I have accepted commision fees of 5% but so far nothing .

This is a small size condo 35 sqm. New building from 2013, very nice swimming pool and all I want is 1.4 million baht incl foreign ownership. I paid more for it off plan so I am selling with a loss now.

I think to notice from your post history that your condo is in a very undesirable location, isn't it?

[balo]

700 meters from the beach, not the worst location but there was construction work going on for a year when they built the other condo Amazon Resort so it was difficult to live there.

Now they finished the building next door so the noise level is back to normal .

[Anthony5]

700 meters from the beach, not the worst location but there was construction work going on for a year when they built the other condo Amazon Resort so it was difficult to live there.

Now they finished the building next door so the noise level is back to normal .

So there isn't a huge workerscamp right in front of your building, that provides labour to many condo projects in Jomtien?

[N47HAN]

Just a question, They don't do mortgages for Falang do they ?

I have asked various people and gotten several different answers, I figured I would ask the fourm

Thanks in advance

Google mbk finance , specilize in foreign mortgages.

Max of 50% loan to valuation though

[KittenKong]

I bought my condo some twenty years ago for 3 Million Baht, then spending about 1 Million Baht on a upgrade from the usual Thai standard product. The Condo has been well managed and well funded over the years, and we are sitting on a healthy sinking fund.

Comparable units are now selling, ( Not asking) between the 13 to 15 Million Baht range.

I have just let the unit to a company for 80K per Month, I am moving into another one I bought in the same building about 10 years ago.

I conservatively guessimate the "Saved rent" over 20 years to average around 40 K per month, = 480,000 per year x 20 = 9.6 Million Baht.

This all sounds wonderful but for every unit bought 20 years ago for a song there must be 10 bought last year that today are not worth anything near the amount that was paid for them. Were they bargains also? I don't think so.

Would you buy your own unit today for 15MB? And if you did, do you think it will be worth 50MB in 2035?

[KittenKong]

Where are these 20 years old condos selling for 13-15 millions in todays market? They must be super fancy. Any pics?

Come to think of it, very good point. I think the poster is telling porky pies. First, yes, where are these 20 year old or older condos selling for 15 million baht?

No, such units are indeed available at those prices here.

I looked at several but eventually decided against them mainly because they are simply much too large for my needs, and also because they tend to not be within walking distance of public transport and shops, which I think is something worth considering as old age creeps up on me. Apart from that I really liked them and not a day goes by when I dont wonder if I should have thought again.

[piston broke]

so many units on or coming on the market it will also have a downward pressure on rental pricers which go hand in glove so I say hold on till there really is blood on the streets

i think its a good time to buy and are looking to build a portfolio of 10 condos over the next couple of months...

Agents tell me that i can get a 15-20% return easily.....

Have they also told you about a bridge hey have for sale?

Normal returns are 5-8% in a normal market and up to 10% in really good years. Currently, I'd say Pattaya is neither of these...and this if if your an experienced landlord and know what you're doing (don't overpay to begin with, keep up your units, charge competitive rents, and work your butt off keeping your tenants happy). You don't just buy and then magically tenants appear and the money starts to flow in like the tide. These are decent returns on capital in a 1% interest rate environment but you have to work your butt off to get them.

i have assurances from at least 2 agents that if i buy 10 units from them, they will find the tenants and guarantee me a 15% return p.a., with me having no involvement - other than banking my rent cheques each month....."luvery jubberly"....

where's the risk ??

[i claudius]

A friend of mine yesterday bought a 34 sqm condo in Siam Oriental Garden Pratamnak

Developers price of 2,4 mio went down to 1.25 mio and foreign name..

Not an impressive condo although brand new and construction almost finished.

Nice bargain as I seen it already advertised at 12.000 per month rent..

2.4MB for an unimpressive 34sqm condo on Pratumnak was never a serious price. I think that 1.5MB would have been much nearer the mark.

And I wonder what price your friend would get if he tried to sell it today? A year or two ago I saw a nice resale 40sqm farang-name unit go for 1MB in a decent new development in a much more convenient location. Why? Simply because no one wanted to buy it. I dont think that anything has changed much.

As for it being advertised for rent at 12,000B per month, I could advertise my condo for rent at 1MB per month but that doesn't mean that anyone would ever take me up on it.

The disparity between real prices and advertised prices here just gets bigger and bigger.

your dead right,my wife just took a client too see two condos priced at 2.1 mill she did not bother to show the other not as nice one in the block 2.8 mill,the guy has been told many times it's overpriced but reckons it's worth every penny,some people 555

[fosseway]

I will put the derogatory remarks aside, but must point out to Asiantravel re his comment. quote, That proves nothing, you are talking about the past. unquote. of course I am talking about the past, that was the whole point of my post, how could I possibly have made a comparison to todays selling and rental price. maybe it's an "age thing" with him.

What did Paddyjenkins comment re the SET have to do with my post. Maybe that's an "age thing"

[OMGImInPattaya]

so many units on or coming on the market it will also have a downward pressure on rental pricers which go hand in glove so I say hold on till there really is blood on the streets

i think its a good time to buy and are looking to build a portfolio of 10 condos over the next couple of months...

Agents tell me that i can get a 15-20% return easily.....

Have they also told you about a bridge hey have for sale?

Normal returns are 5-8% in a normal market and up to 10% in really good years. Currently, I'd say Pattaya is neither of these...and this if if your an experienced landlord and know what you're doing (don't overpay to begin with, keep up your units, charge competitive rents, and work your butt off keeping your tenants happy). You don't just buy and then magically tenants appear and the money starts to flow in like the tide. These are decent returns on capital in a 1% interest rate environment but you have to work your butt off to get them.

i have assurances from at least 2 agents that if i buy 10 units from them, they will find the tenants and guarantee me a 15% return p.a., with me having no involvement - other than banking my rent cheques each month....."luvery jubberly"....

where's the risk ??

Is that what there're telling the marks now...so what's stopping you?

[brling]

so many units on or coming on the market it will also have a downward pressure on rental pricers which go hand in glove so I say hold on till there really is blood on the streets

i think its a good time to buy and are looking to build a portfolio of 10 condos over the next couple of months...

Agents tell me that i can get a 15-20% return easily.....

Have they also told you about a bridge hey have for sale?

Normal returns are 5-8% in a normal market and up to 10% in really good years. Currently, I'd say Pattaya is neither of these...and this if if your an experienced landlord and know what you're doing (don't overpay to begin with, keep up your units, charge competitive rents, and work your butt off keeping your tenants happy). You don't just buy and then magically tenants appear and the money starts to flow in like the tide. These are decent returns on capital in a 1% interest rate environment but you have to work your butt off to get them.

i have assurances from at least 2 agents that if i buy 10 units from them, they will find the tenants and guarantee me a 15% return p.a., with me having no involvement - other than banking my rent cheques each month....."luvery jubberly"....

where's the risk ??

Guaranteed for how long ?. If it is only for the next 12 / 24 months then the agents are happy because they have ripped you off on the sale.

[OMGImInPattaya]

I bought my condo some twenty years ago for 3 Million Baht, then spending about 1 Million Baht on a upgrade from the usual Thai standard product. The Condo has been well managed and well funded over the years, and we are sitting on a healthy sinking fund.

Comparable units are now selling, ( Not asking) between the 13 to 15 Million Baht range.

I have just let the unit to a company for 80K per Month, I am moving into another one I bought in the same building about 10 years ago.

I conservatively guessimate the "Saved rent" over 20 years to average around 40 K per month, = 480,000 per year x 20 = 9.6 Million Baht.

This all sounds wonderful but for every unit bought 20 years ago for a song there must be 10 bought last year that today are not worth anything near the amount that was paid for them. Were they bargains also? I don't think so.

Would you buy your own unit today for 15MB? And if you did, do you think it will be worth 50MB in 2035?

What you don't seem to comprehend is that today's 15 MB condo is the 3 MB condo of 20 years ago. There's a good chance that it will be worth 50M in 20 years.

[Asiantravel]

so many units on or coming on the market it will also have a downward pressure on rental pricers which go hand in glove so I say hold on till there really is blood on the streets

i think its a good time to buy and are looking to build a portfolio of 10 condos over the next couple of months...

Agents tell me that i can get a 15-20% return easily.....

Have they also told you about a bridge hey have for sale?

Normal returns are 5-8% in a normal market and up to 10% in really good years. Currently, I'd say Pattaya is neither of these...and this if if your an experienced landlord and know what you're doing (don't overpay to begin with, keep up your units, charge competitive rents, and work your butt off keeping your tenants happy). You don't just buy and then magically tenants appear and the money starts to flow in like the tide. These are decent returns on capital in a 1% interest rate environment but you have to work your butt off to get them.

i have assurances from at least 2 agents that if i buy 10 units from them, they will find the tenants and guarantee me a 15% return p.a., with me having no involvement - other than banking my rent cheques each month....."luvery jubberly"....

where's the risk ??

RENTAL GUARANTEE SCAMS

How investors lose thousands with rental guarantees.

It's a classic case of buyer beware: rental guarantees often guarantee investors nothing but heartache.

http://www.jenman.com.au/news_alert.php?id=53

Edited January 8, 2015 by Asiantravel

[Asiantravel]

I bought my condo some twenty years ago for 3 Million Baht, then spending about 1 Million Baht on a upgrade from the usual Thai standard product. The Condo has been well managed and well funded over the years, and we are sitting on a healthy sinking fund.

Comparable units are now selling, ( Not asking) between the 13 to 15 Million Baht range.

I have just let the unit to a company for 80K per Month, I am moving into another one I bought in the same building about 10 years ago.

I conservatively guessimate the "Saved rent" over 20 years to average around 40 K per month, = 480,000 per year x 20 = 9.6 Million Baht.

This all sounds wonderful but for every unit bought 20 years ago for a song there must be 10 bought last year that today are not worth anything near the amount that was paid for them. Were they bargains also? I don't think so.

Would you buy your own unit today for 15MB? And if you did, do you think it will be worth 50MB in 2035?

What you don't seem to comprehend is that today's 15 MB condo is the 3 MB condo of 20 years ago. There's a good chance that it will be worth 50M in 20 years.

" There's a good chance that it will be worth 50M in 20 years."

It would be an estate agent's dream to have someone with your perspective of the property market walk into their office

[OMGImInPattaya]

I bought my condo some twenty years ago for 3 Million Baht, then spending about 1 Million Baht on a upgrade from the usual Thai standard product. The Condo has been well managed and well funded over the years, and we are sitting on a healthy sinking fund.

Comparable units are now selling, ( Not asking) between the 13 to 15 Million Baht range.

I have just let the unit to a company for 80K per Month, I am moving into another one I bought in the same building about 10 years ago.

I conservatively guessimate the "Saved rent" over 20 years to average around 40 K per month, = 480,000 per year x 20 = 9.6 Million Baht.

This all sounds wonderful but for every unit bought 20 years ago for a song there must be 10 bought last year that today are not worth anything near the amount that was paid for them. Were they bargains also? I don't think so.

Would you buy your own unit today for 15MB? And if you did, do you think it will be worth 50MB in 2035?

What you don't seem to comprehend is that today's 15 MB condo is the 3 MB condo of 20 years ago. There's a good chance that it will be worth 50M in 20 years.

" There's a good chance that it will be worth 50M in 20 years."

It would be an estate agent's dream to have someone with your perspective of the property market walk into their office

I'm sure that's what the agents (and forum posters...oh I guess there were no forums) were thinking 20 years ago too.

Of course, I'm not referring to all the flotsam condos that are being thrown up all around town but to well-managed buildings in prime locations (usually with direct beach access). There's plenty of in-land fill land to build on but the amount of prime beachfront land is very limited (and mostly gone).

[NanLaew]

I bought my condo some twenty years ago for 3 Million Baht, then spending about 1 Million Baht on a upgrade from the usual Thai standard product. The Condo has been well managed and well funded over the years, and we are sitting on a healthy sinking fund.

Comparable units are now selling, ( Not asking) between the 13 to 15 Million Baht range.

I have just let the unit to a company for 80K per Month, I am moving into another one I bought in the same building about 10 years ago.

I conservatively guessimate the "Saved rent" over 20 years to average around 40 K per month, = 480,000 per year x 20 = 9.6 Million Baht.

This all sounds wonderful but for every unit bought 20 years ago for a song there must be 10 bought last year that today are not worth anything near the amount that was paid for them. Were they bargains also? I don't think so.

Would you buy your own unit today for 15MB? And if you did, do you think it will be worth 50MB in 2035?

What you don't seem to comprehend is that today's 15 MB condo is the 3 MB condo of 20 years ago. There's a good chance that it will be worth 50M in 20 years.

What? And defy every known condo financial model in the civilized world?

Only in Pattaya.

Edited January 8, 2015 by NanLaew

[KittenKong]

Would you buy your own unit today for 15MB? And if you did, do you think it will be worth 50MB in 2035?

What you don't seem to comprehend is that today's 15 MB condo is the 3 MB condo of 20 years ago. There's a good chance that it will be worth 50M in 20 years.

My comprehension is fine. What I'm trying to point out is that the big gains occurred years ago, and that those big gains were a result of unusually low prices early on (often connected with currency fluctuations) and artificially high prices later on.

I dont think that these price rises are sustainable here to that same extent given the vast amount of available land for new buildings, and without a good measure of inflation.

[balo]

700 meters from the beach, not the worst location but there was construction work going on for a year when they built the other condo Amazon Resort so it was difficult to live there.

Now they finished the building next door so the noise level is back to normal .

So there isn't a huge workerscamp right in front of your building, that provides labour to many condo projects in Jomtien?

Still there, but it's not huge anymore, when they finished Amazon they removed a lot of the smaller work houses near the condos, so that also reduced the noise level . Edited January 8, 2015 by balo

[MrWorldwide]

My hope is that the lack of condo buyers will put some of the corrupt real-estate people out on the street...

Like bad pennies, they'll be back. Just wondering how much longer before the displays in Central Festival and Big C Extra are either removed or reduced to an unmanned display. I dont spend my days at either centre, but there seems to be zero interest regardless of how attractive the ladies manning the displays may be.

Not sure how sustainable it is, but low-cost housing developments aimed at the Thais here in Pattaya seem to be surging : interesting times ahead.

[OMGImInPattaya]

My hope is that the lack of condo buyers will put some of the corrupt real-estate people out on the street...

Like bad pennies, they'll be back. Just wondering how much longer before the displays in Central Festival and Big C Extra are either removed or reduced to an unmanned display. I dont spend my days at either centre, but there seems to be zero interest regardless of how attractive the ladies manning the displays may be.

Not sure how sustainable it is, but low-cost housing developments aimed at the Thais here in Pattaya seem to be surging : interesting times ahead.

To builders and investors in the know, the simple rooming houses for local working class Thais, retail/restaurant service staff, and bar-workers has always been a money spinner. Simple to build, maintain, and manage...and no pesky farangs to deal with and their Western notions of build quality, safety, and orderliness.

Edited January 9, 2015 by OMGImInPattaya

[OMGImInPattaya]

700 meters from the beach, not the worst location but there was construction work going on for a year when they built the other condo Amazon Resort so it was difficult to live there.

Now they finished the building next door so the noise level is back to normal .

So there isn't a huge workerscamp right in front of your building, that provides labour to many condo projects in Jomtien?

Still there, but it's not huge anymore, when they finished Amazon they removed a lot of the smaller work houses near the condos, so that also reduced the noise level .

Jomtien is still not very prime...no decent supermarket, gym, or ladyboy bar (not to mention a shopping center)...and make no doubt about it, oil prices will come back at some point and so will the Ruskies and their Rubble. Maybe just keep it until then and rent it our in the interim.

[SheungWan]

Would you buy your own unit today for 15MB? And if you did, do you think it will be worth 50MB in 2035?

What you don't seem to comprehend is that today's 15 MB condo is the 3 MB condo of 20 years ago. There's a good chance that it will be worth 50M in 20 years.

My comprehension is fine. What I'm trying to point out is that the big gains occurred years ago, and that those big gains were a result of unusually low prices early on (often connected with currency fluctuations) and artificially high prices later on.

I dont think that these price rises are sustainable here to that same extent given the vast amount of available land for new buildings, and without a good measure of inflation.

The big gains were primarily made on the back of the currency turmoil that whacked the baht which subsequently recovered. Those that bought when GBPTHB was 70+ have done more than OK and have lived rent free as well.

[bobbin]

From my experience, the 6% the US agent(s) were paid, was worth every cent. They didn't sit in the office, but did a lot of field work, showings, etc. Time is money and they were on time for me.

Agents in Europe and the UK do this also, but for much lower commission rates.

As far as I'm concerned 6% is just plain silly. But if you are happy paying it, that's fine.

Just noticed this post, I think both Kitten Kong and myself have been here before.

UK commission rates are typically between 1 and 2% this much depends on the price of the property. Can you imagine selling a 5,000000 Pound apartment in Mayfair, @ 6% this would net the agent 120,000 Pounds commission !!!

I would guess agents overheads in UK are higher than the US, for a start, US fuel is about a third of the cost of UK.

But at the end of the day, as quoted by K.K. If you are happy paying it, that's fine.

Under the MLS system the usual 6/7% is applicable to the first $100,000, falling to 2/3% of the balance of sale price. Neither of these figures is written in stone due to anti- price fixing laws in the various jurisdictions. The industry's answer to this is that with a lower percentage, agents may give preferential viewing of properties that offer full commission.

The main advantage, but not the only one, is that all licensed realtors are members of the MLS system and have access to all listed properties. There is the "listing" realtor (personal choice of the vendor) and the "selling" realtor and only occasionally are they the same realtor. Therefore commissions are split 50/50. Another advantage of the system is that all listing prices and eventual sale price are freely available to all licensed realtors, making for an informed marketplace. This system is superior to any others I am familiar with.

[MrWorldwide]

I'm shocked that Farang are expected to live in Jomtien without ready access to a ladyboy bar - they are more than welcome to the scores of LBs at this end of 3rd Road. I'll even charter a bus to transport them to their new digs.

[mike2011]

I had an agent offer me a place and throw in a candy like she will rent it out for me the first year. The gal was good-looking and would fetch 700 baht anytime at the coconut bar. However, I was not as stupid as she had thought (not quite...). The condo she showed had also been on offer with another 'agent' (probably worth 200 baht in boys' town). The good gal had simply added ten percent to the 'agent's' price. In other words, she wanted an agreement where she would get the full fee and her usual cut and on top of that make a sidedeal with me which would give her another nice slice of the pie.

If an agent starts talking of renting a unit out for you while offering it to you for sale, it is time to run in my experience. Hearing that somebody makes an offer for 10 units, I would love to see the contract. Are these units off-plan?

[CHdiver]

so many units on or coming on the market it will also have a downward pressure on rental pricers which go hand in glove so I say hold on till there really is blood on the streets

i think its a good time to buy and are looking to build a portfolio of 10 condos over the next couple of months...

Agents tell me that i can get a 15-20% return easily.....

Have they also told you about a bridge hey have for sale?

Normal returns are 5-8% in a normal market and up to 10% in really good years. Currently, I'd say Pattaya is neither of these...and this if if your an experienced landlord and know what you're doing (don't overpay to begin with, keep up your units, charge competitive rents, and work your butt off keeping your tenants happy). You don't just buy and then magically tenants appear and the money starts to flow in like the tide. These are decent returns on capital in a 1% interest rate environment but you have to work your butt off to get them.

i have assurances from at least 2 agents that if i buy 10 units from them, they will find the tenants and guarantee me a 15% return p.a., with me having no involvement - other than banking my rent cheques each month....."luvery jubberly"....

where's the risk ??

They did sell Suan Sawarn Condo in Jomtien with the promise that they will pay 1000 Baht a day (I think that was the amount) if they are late. Yes for every day. Now they did still not finish the Development (probably 5 years late by now). Best ROI would be to clean your backside with the contract.

[whitemouse]

I bought my condo some twenty years ago for 3 Million Baht, then spending about 1 Million Baht on a upgrade from the usual Thai standard product.

Comparable units are now selling, ( Not asking) between the 13 to 15 Million Baht range.

I have just let the unit to a company for 80K per Month, I am moving into another one I bought in the same building about 10 years ago

You just rented your unit to a firm at 80.000 thb a month.

Would you say it is relativly quick and easy to find a tenant for a 80k per month unit?

And if you wanted to sell your 20 year old condo for 15mil, how long you think it would be on a market? And may I ask which condo, please?

[i claudius]

I bought my condo some twenty years ago for 3 Million Baht, then spending about 1 Million Baht on a upgrade from the usual Thai standard product. The Condo has been well managed and well funded over the years, and we are sitting on a healthy sinking fund.

Comparable units are now selling, ( Not asking) between the 13 to 15 Million Baht range.

I have just let the unit to a company for 80K per Month, I am moving into another one I bought in the same building about 10 years ago.

I conservatively guessimate the "Saved rent" over 20 years to average around 40 K per month, = 480,000 per year x 20 = 9.6 Million Baht.

This all sounds wonderful but for every unit bought 20 years ago for a song there must be 10 bought last year that today are not worth anything near the amount that was paid for them. Were they bargains also? I don't think so.

Would you buy your own unit today for 15MB? And if you did, do you think it will be worth 50MB in 2035?

What you don't seem to comprehend is that today's 15 MB condo is the 3 MB condo of 20 years ago. There's a good chance that it will be worth 50M in 20 years.

If you have friends who think like you get them to e mail the wife ,she is in the property market ,and please tell us where you baught a condo 10 years ago for 3 million that now sells for 15 million ,God did i miss the boat in that block when we were looking.