Has the condo discount festival started ?

[KittenKong]

I sold the condo now for 1.35 million . It was not that hard really once I reduced the price, I had many buyers looking. Most owners think they can sell with a small profit in todays market, but they still don't understand how bad the financial situation is in EU now.

I accepted the loss and move on in life.

I think you did the right thing as I suspect that prices will go down more before they go up again. Well done.

[KittenKong]

Just stooped at the Parisideo by Bang Saen , only 1 0ne bed room left she said the are asking 86,000 baht per sqm. you got to be kidding right ?

A nice enough place. I wouldnt mind living there, but not at anything near that price.

[Pattaya46]

Most owners think they can sell with a small profit in todays market,

but they still don't understand how bad the financial situation is in EU now.

Hum... That may be true for owners who bought very recently, or on projects just finished, but those who bought a few years back still make a nice profit when they sold now.

And about the low value of the euro, that makes my condo value yet 1/3 higher in euros because of the currency value change. Good if I had to return to my country now...

I begin to hear/read about a few discounted prices on condos, but all are for new or unfinished projects. Older condos prices don't seem to be impacted... until today?

[sotsira]

Build quality is of course one of the the first considerations, but another very important factor in deciding what complex to buy into is the number of units per lift, I live in a condo with 50 units per lift, the condo is also rarely full, as many Bangkok owners use it on high days and holidays, this results in hardly ever having to wait for a lift. I have visited friends in both VT 1 and 2 and had to wait ages for a lift. I am guessing the lift to room ratio is considerably higher than the above, maybe someone could tell me.

There are approx 700 units that are owned in VT2a with 2 lifts and 1 service lift.

I used to live there on the 3rd floor, luckily i never needed to wait for a lift, just took the stairs.

[guzzi850m2]

Yes Pattaya aren't Tokyo-London or New York where the prices likely will only go up and up, unless the whole World collapses.

Here, no way, the saturation point is long time passed and not until the Russians get their Rubble sorted and can afford to buy again the prices will continue to drop.

Its gonna get interesting to watch the market here in 2015.

[Asiantravel]

Yes Pattaya aren't Tokyo-London or New York where the prices likely will only go up and up, unless the whole World collapses.

Here, no way, the saturation point is long time passed and not until the Russians get their Rubble sorted and can afford to buy again the prices will continue to drop.

Its gonna get interesting to watch the market here in 2015.

But the part which is astonishing to me is that some real estate developers seem to have no risk aversion whatsoever.

When I visited Big C Extra this evening I couldn’t believe it when I saw a large area near the escalators occupied by yet another new sales team promoting another proposed new luxury condominium development on Pratumnak Hill called “ The Cloud “.

And then just a few days ago I was shown a brochure by the real estate group New Nordic development where they are starting to promote not one but two luxury condominium buildings in the shape of castles! They are intending to build even more castle -type structures all to be connected with underground tunnels and bridges.

I keep thinking of what Barry Eichengreen who is in an economic historian at the University of California Berkeley said two weeks ago when he spoke on a panel discussion about the euro crisis. He said in the short run the economic impact of Greece exiting the euro zone would be “ Lehman Brothers squared “.

But that’s just one of the many economic problems facing the world right now. With the current supply of all the completed but unsold condominiums you would think they would be worried about adding even more supply?

[mike2011]

The promotions and advertizings cannot surprise. The whole scene lives on minimal wages, if any, and high hopes for commissions.

Most of the real estate companies/developers are undercapitalized. In the past they got their cash from the Gulf and for some time their hopes rested on people escaping from 0.1% interest rate countries.

Since it is not their cash they will play the game to the last moment. Things will get tight for them if the capital flow stops at a time when the investors see that the returns do not materialize. Until then books will be cooked and raving reports written. In a way, the guys paint here and elsewhere the rosy the picture for potential buyers while the same is done on a different level for those who put up much larger sums.

The failure of the Nova group's project is probably just a beginning. Not enough subscriptons to bait bigger investors. And the group had not enough capital to put down itself and present it as sold units. A late friend of mine worked this way. He needed a percentage of sold units to get credit from banks or investments, so he 'sold' to himself and privately peddled these units among friends. You can play that game when Russians are buying, Euro is strong, military just doing things in the parlours and not on the street, the promised Chinese boom (despite their home made bubble), etc etc. But now? These tricks are high risk and likely to burn the little capital these companies have. Thai banks are sharks and wait for their prey.

Customers with cash can wait for the bleeding to start. After that it is matured meat for breakfast.

[loppylugs1]

Yes Pattaya aren't Tokyo-London or New York where the prices likely will only go up and up, unless the whole World collapses.

Here, no way, the saturation point is long time passed and not until the Russians get their Rubble sorted and can afford to buy again the prices will continue to drop.

Its gonna get interesting to watch the market here in 2015.

But the part which is astonishing to me is that some real estate developers seem to have no risk aversion whatsoever.

When I visited Big C Extra this evening I couldn’t believe it when I saw a large area near the escalators occupied by yet another new sales team promoting another proposed new luxury condominium development on Pratumnak Hill called “ The Cloud “.

And then just a few days ago I was shown a brochure by the real estate group New Nordic development where they are starting to promote not one but two luxury condominium buildings in the shape of castles! They are intending to build even more castle -type structures all to be connected with underground tunnels and bridges.

I keep thinking of what Barry Eichengreen who is in an economic historian at the University of California Berkeley said two weeks ago when he spoke on a panel discussion about the euro crisis. He said in the short run the economic impact of Greece exiting the euro zone would be “ Lehman Brothers squared “.

But that’s just one of the many economic problems facing the world right now. With the current supply of all the completed but unsold condominiums you would think they would be worried about adding even more supply?

Did bring this Big C selling teams agressive approach up few months ago,avoiding one set of escalators,bit more subdued now,could not get past without jumbles of advertising crap offered. Couple of times a professional closure,thick set middle aged Thai guy, was brought in to try and boost sales over the rather lax girls attempts. One of them used to stand back from the kiosk and scan anybody that even half way looked at his kiosk and then pounce,and did he pounce,another a Russian stood at the top of the escalator studying anybody who looked mug enough getting carried forward and upwards towards him and pounce

Cannot believe they are still attempting to sell some of the unveiled rubbish that have tanked,but yes the Venetian themed one is being pushed now by the Russians,love to see this one launched (or not).

Soi 15 is going to be heavily punished in Pattaya,not detailing anything,but what a horrible mess is about to unravel

[Pattaya46]

Cannot believe they are still attempting to sell some of the unveiled rubbish that have tanked,but yes the Venetian themed one is being pushed now by the Russians,love to see this one launched (or not).

Not sure what you talk about, but the Ventitian Pattaya is more than "launched"

[loppylugs1]

Funny enough one not far off this one, launched, mostly fitted out and then sunk. No bets on this one being finished either,but this one seems to be what the Russians are flogging to death at the moment

[Anthony5]

Cannot believe they are still attempting to sell some of the unveiled rubbish that have tanked,but yes the Venetian themed one is being pushed now by the Russians,love to see this one launched (or not).

Not sure what you talk about, but the Ventitian Pattaya is more than "launched"

Those pictures were taken during lunch time or on a public holiday?

[georgegeorgia]

I still see a few 26sqm condo sell for 400/450 k.Usual rental return is about 3 to 4k a month.

[CraigSchuler]

I have been looking but still not able to find any "great" deals!

[georgegeorgia]

I do like the older type "shoe box" condo"s that still sell for under 600k.

Whether they are good for investment Im not sure,the rental return seems from 3,000 baht a month up to about 4500.

[morrobay]

I do like the older type "shoe box" condo"s that still sell for under 600k.

Whether they are good for investment Im not sure,the rental return seems from 3,000 baht a month up to about 4500.

What are the locations of these, near the beach, Pattaya or Jomtien ? Or you can PM me thanks

Edited February 3, 2015 by morrobay

[loppylugs1]

Cannot believe they are still attempting to sell some of the unveiled rubbish that have tanked,but yes the Venetian themed one is being pushed now by the Russians,love to see this one launched (or not).

Not sure what you talk about, but the Ventitian Pattaya is more than "launched"

Those pictures were taken during lunch time or on a public holiday?

Putting a minimal amount of workers there gives the impression all is well,attempting to wring out just a few more mugs Now the baht is getting ever stronger,the Euro and Ruble ever weaker,does not bode well for anybody with farang tag

[ttthailand]

Just stooped at the Parisideo by Bang Saen , only 1 0ne bed room left she said the are asking 86,000 baht per sqm. you got to be kidding right ? OH but we have a lot of two and three bedrooms left . This is the 3 towering buildings as you come into bang Saen going north on Sukumvit on your left. 1 bedroom 60 sqm

I was in Bang Saen last week. One development about 300 meters off the beach north of the main town in the middle of a huge field had 33sqm condos starting at around 1.6 mil. There were two building with about 300 units total. The building had pool, gym and other areas finished and rooms were basically finished except for beds, tables etc. It looked like no rooms were even occupied and I was told that only 4 units were sold.... ONLY 4 out of 300 in a completed building !!!

Something wrong somewhere ....

" I was told that only 4 units were sold.... "

How extraordinary. I bet whoever you were talking to were never meant to say that !!

Developers here will go to extraordinary lengths to make it appear they sold out quickly even if just for appearance sake they sell it to known associates or related companies.

yes, I was surprised that the lady told me. A friend of mine who I was with was also shocked. But we had walked and looked around and you could see that there were no curtains in the windows and no cars or motor bikes in the parking lot.

[paddyjenkins]

You wouldn't believe the games that go on in the condo business, not just in Thailand but throughout Asia. They put up cheap shoddy constructions, often partially funded in a highly dubious manner and then market to the dumbest or filthiest money they can find. Pattaya is fantastic because they have both a lot of dumb people and a lot of dirty money. And the friends and those connected to the business are given huge discounts. When i say huge, i mean like half price or lower. I know a woman who has been given these discounts and i was shocked when she told me. Sometimes these discount are favors for having helped with some dodgier aspects of all the paperwork, like tax, banking or marketing. And these people have no intention of ever using for own use, they know very well that is the job of the suckers who they end up selling to. So basically you'll hear stories of this or that person bought 12 units and made millions flipping them, virtually overnight, but thats all corrupt insider dealing or now and again someone who bought before construction even began and had been willing to take a big risk and sold after a few years upon or near completion. Even so, the biggest discounts are for insiders only, no matter what else you are told. If you pay the normal price you will almost certainly lose money at this point in the cycle.

Edited February 3, 2015 by paddyjenkins

[fosseway]

I still see a few 26sqm condo sell for 400/450 k.Usual rental return is about 3 to 4k a month.

I would like to know where to buy condo's at 15K per sm. ? that would be way below land and build cost.

[mike2011]

One of the most notorious persons involved in such deals as Paddy described above was noone else than Mr. T..., a most prominent politician, himself. He collected through his brother and other people 5% of shares on IPOs for 'streamlining' the process. No problem if the company went bust 2-3 years later as the gang had sold its shares right away. Similarly, these people received condos as gifts. I doubt that this clan ever changed its mode of operation or that other individuals in such a position were any better.

Does anyone remember the tallest building in the world in Jomtien? What phantastic story.

With the US economy gaining steam and slowly increasing interest rates and the recovery of real estates values, the industry here will presumably depend more on funding like paddy described it. Question is, how does that fit with the alleged cleanup and anti-corruption campaign of the junta? This might add additional pressure on the industry.

[Asiantravel]

Yes Pattaya aren't Tokyo-London or New York where the prices likely will only go up and up, unless the whole World collapses.

Here, no way, the saturation point is long time passed and not until the Russians get their Rubble sorted and can afford to buy again the prices will continue to drop.

Its gonna get interesting to watch the market here in 2015.

But the part which is astonishing to me is that some real estate developers seem to have no risk aversion whatsoever.

When I visited Big C Extra this evening I couldn’t believe it when I saw a large area near the escalators occupied by yet another new sales team promoting another proposed new luxury condominium development on Pratumnak Hill called “ The Cloud “.

And then just a few days ago I was shown a brochure by the real estate group New Nordic development where they are starting to promote not one but two luxury condominium buildings in the shape of castles! They are intending to build even more castle -type structures all to be connected with underground tunnels and bridges.

I keep thinking of what Barry Eichengreen who is in an economic historian at the University of California Berkeley said two weeks ago when he spoke on a panel discussion about the euro crisis. He said in the short run the economic impact of Greece exiting the euro zone would be “ Lehman Brothers squared “.

But that’s just one of the many economic problems facing the world right now. With the current supply of all the completed but unsold condominiums you would think they would be worried about adding even more supply?

Did bring this Big C selling teams agressive approach up few months ago,avoiding one set of escalators,bit more subdued now,could not get past without jumbles of advertising crap offered. Couple of times a professional closure,thick set middle aged Thai guy, was brought in to try and boost sales over the rather lax girls attempts. One of them used to stand back from the kiosk and scan anybody that even half way looked at his kiosk and then pounce,and did he pounce,another a Russian stood at the top of the escalator studying anybody who looked mug enough getting carried forward and upwards towards him and pounce

Cannot believe they are still attempting to sell some of the unveiled rubbish that have tanked,but yes the Venetian themed one is being pushed now by the Russians,love to see this one launched (or not).

Soi 15 is going to be heavily punished in Pattaya,not detailing anything,but what a horrible mess is about to unravel

" Cannot believe they are still attempting to sell some of the unveiled rubbish that have tanked,but yes the Venetian themed one is being pushed now by the Russians,love to see this one launched (or not). "

Actually it's not the Venetian I was referring to. It's this one

[GaryB1263]

This is the best condo thread I've seen in a long time. It's been informative. The earlier suggestion to pin a thread about latest sales and offers in the area is a good one.

[KittenKong]

Does anyone remember the tallest building in the world in Jomtien?

Every day I walk past a certain real estate agent's office. He is still advertising it.

Nice to see people with faith here.

[georgegeorgia]

I still see a few 26sqm condo sell for 400/450 k.Usual rental return is about 3 to 4k a month.

I would like to know where to buy condo's at 15K per sm. ? that would be way below land and build cost.

Put on the walking shoes..walk more and theres less big fat butts. Edited February 3, 2015 by georgegeorgia

[fosseway]

I still see a few 26sqm condo sell for 400/450 k.Usual rental return is about 3 to 4k a month.

I would like to know where to buy condo's at 15K per sm. ? that would be way below land and build cost.

Put on the walking shoes..walk more and theres less big fat butts.

I don't think that answers my original question, so would you care to tell me why to buy these units.

[yankee99]

I have been looking but still not able to find any "great" deals!

Exactly!

When i purchased my real-estate here it took months to find properties worth buying. None were steals but all have earned money over the past 7 years and all could be sold at a small but higer value than i paid.

[morrobay]

I do like the older type "shoe box" condo"s that still sell for under 600k.

Whether they are good for investment Im not sure,the rental return seems from 3,000 baht a month up to about 4500.

What are the locations of these, near the beach, Pattaya or Jomtien ? Or you can PM me thanks

Well can someone else answer this question ?

[fosseway]

I still see a few 26sqm condo sell for 400/450 k.Usual rental return is about 3 to 4k a month.

I would like to know where to buy condo's at 15K per sm. ? that would be way below land and build cost.

Put on the walking shoes..walk more and theres less big fat butts.

I don't think that answers my original question, so would you care to tell me why to buy these units.

Sorry, Typo, should have been,where to buy these units

[Anthony5]

I still see a few 26sqm condo sell for 400/450 k.Usual rental return is about 3 to 4k a month.

I would like to know where to buy condo's at 15K per sm. ? that would be way below land and build cost.

Put on the walking shoes..walk more and theres less big fat butts.

I don't think that answers my original question, so would you care to tell me why to buy these units.

It answers your question actually, it indicates that georgegeorgia was talking out of his behind when he made the statement, and is unable to elaborate on it.

[loppylugs1]

I have been looking but still not able to find any "great" deals!

Exactly!

When i purchased my real-estate here it took months to find properties worth buying. None were steals but all have earned money over the past 7 years and all could be sold at a small but higer value than i paid.

Prices ,baht wise may well go up in the foreseeable future,last few viewings of reports into the bahts promising potential do not look too rosy,good to see a plunge in value. Asking more for far less baht value