theguyfromanotherforum Posted March 22, 2016 Share Posted March 22, 2016 Booked with deposit paid to hold until available. 13% roi. How can you be sure of a 13% ROI when you have only booked the condo? Would you mind sharing your numbers (acquisition price, expected rental price, expected occupancy rate, common area fees, management fee (if you are going through agent), and size of unit in sq.m.). I’m considering buying a (new) condo myself, but my estimate is a ROI slightly below 5%, depends on how much of a discount I can get when I buy the unit. It's a lie. By a condo developer/agent. Link to comment Share on other sites More sharing options...
Happy Grumpy Posted March 22, 2016 Share Posted March 22, 2016 (edited) Booked with deposit paid to hold until available. 13% roi. How can you be sure of a 13% ROI when you have only booked the condo? I read it as he owns the condo, he listed it for rent, and someone has booked to rent it when it becomes available at 13% roi. I’m considering buying a (new) condo myself, but my estimate is a ROI slightly below 5%, depends on how much of a discount I can get when I buy the unit. Mrs. HG bought a used unit empty, renovated it nicely (real wood, not cheap cr@p etc.), has it fully set up now and those renting the same size units in the building pay around 10% p/a of what she spent buying and renovating it. Edited March 22, 2016 by Happy Grumpy Link to comment Share on other sites More sharing options...
condo bought Posted March 23, 2016 Author Share Posted March 23, 2016 Booked with deposit paid to hold until available. 13% roi. How can you be sure of a 13% ROI when you have only booked the condo? I own the condo. I listed it as available for rent from next month. 2 people came to view it, the second paid the deposit to book a one year rental starting next month. There were three more people due to look at it this week. Link to comment Share on other sites More sharing options...
Puwa Posted March 23, 2016 Share Posted March 23, 2016 Certainly beats working for a living! Link to comment Share on other sites More sharing options...
LannaGuy Posted March 23, 2016 Share Posted March 23, 2016 Booked with deposit paid to hold until available. 13% roi. How can you be sure of a 13% ROI when you have only booked the condo? Would you mind sharing your numbers (acquisition price, expected rental price, expected occupancy rate, common area fees, management fee (if you are going through agent), and size of unit in sq.m.). I’m considering buying a (new) condo myself, but my estimate is a ROI slightly below 5%, depends on how much of a discount I can get when I buy the unit. if it helps I'm a seasoned owner of several condos across many buildings at one time or another. the market is not what it was, bargain wise, but for a steady income it has held up for many years and i dont see it changing. ROI 8% net is reality for me and my buddies after taking out agent fees etc. sometimes slightly less sometimes more. on the new condos the return is FAR less and you will be lucky to get 5% due to the inflated prices per square meter and the really poor interiors and most importantly the sizes of the new condos for tenants as many are shoe boxes. good luck and be cautious. Link to comment Share on other sites More sharing options...
condo bought Posted March 23, 2016 Author Share Posted March 23, 2016 (edited) I agree about the over inflated prices of new condos. There are some real bargains to be had on used units. Certainly going to bump up the roi. Don't be in a rush, look around, I wouldn't buy new on a investment property. I would buy an empty used unit in a good building with good management. Refurbish using good materials. No laminated chipboard furniture and plastic sofas! Better stuff isn't that much more expensive. good luck. Edited March 23, 2016 by condo bought Link to comment Share on other sites More sharing options...
WinnieTheKhwai Posted March 23, 2016 Share Posted March 23, 2016 Someone tells me 13 roi in this environment (not necessarily a condo environment) I take it as direct insult to my intelligence. Read scam. ^ A scam is where someone tries to gain something from your on a dishonest basis. He's not trying to get anything from you. I believe the 13% ROI, give or take a bit due to the various creative ways people choose to calculate it. Personally I think I've cracked this thing and wish I could find some more funds to buy more real estate. Link to comment Share on other sites More sharing options...
opalred Posted March 23, 2016 Share Posted March 23, 2016 do people wear blinkers ihave been here 14years and seen so many people lose on condos look around how many empty 10000 people in condo saleswill tell its booming same story world over if you want to lose money buy or through your money in ping river Link to comment Share on other sites More sharing options...
ardokano Posted March 23, 2016 Share Posted March 23, 2016 >> and a 10 minute distance from Thapae gate<<..we still do not know if that is walking or driving distance. Walking distance is quite difficult as there is no high-rise development allowed in the old town. Would have to be driving distance. Very likely near the Railway Station / Makro Superhighway Intersection. In CM have "high-rise development"? Link to comment Share on other sites More sharing options...
anto Posted March 23, 2016 Share Posted March 23, 2016 >> and a 10 minute distance from Thapae gate<<..we still do not know if that is walking or driving distance. Walking distance is quite difficult as there is no high-rise development allowed in the old town. Would have to be driving distance. Very likely near the Railway Station / Makro Superhighway Intersection. In CM have "high-rise development"? Yes well relatively .There is a new 40 floor aprox going up by the Superhighway ,not far from Arcade bus station .Looks hideous . Link to comment Share on other sites More sharing options...
mascarabertha Posted March 23, 2016 Share Posted March 23, 2016 do people wear blinkers ihave been here 14years and seen so many people lose on condos look around how many empty 10000 people in condo saleswill tell its booming same story world over if you want to lose money buy or through your money in ping river How have the scores of people that you have seen lose money on condos actually lost money. Amateurs and those that are undercapitalised always lose in whatever they do. If you buy a condo as your home, it's your home not an investment. Link to comment Share on other sites More sharing options...
uptheos Posted March 24, 2016 Share Posted March 24, 2016 do people wear blinkers ihave been here 14years and seen so many people lose on condos look around how many empty 10000 people in condo saleswill tell its booming same story world over if you want to lose money buy or through your money in ping river How have the scores of people that you have seen lose money on condos actually lost money. Amateurs and those that are undercapitalised always lose in whatever they do. If you buy a condo as your home, it's your home not an investment. And anyway people should use their money however they want, it's no one else's concern. Link to comment Share on other sites More sharing options...
anto Posted March 24, 2016 Share Posted March 24, 2016 >>o people wear blinkers ihave been here 14years and seen so many people lose on condos look aroundhow many empty 10000people in condo saleswill tell its booming same story world overif you want to lose money buyor through your money in ping river<< I owned 2 Condo in Jomtien/Pattaya .Made a small profit on both when i sold plus had the use of one over 7 years .Now own a house in a suburb of Chiang Mai for 6 years .Houses near me are going for double what i paid .Its not all doom and gloom here . Link to comment Share on other sites More sharing options...
theguyfromanotherforum Posted March 24, 2016 Share Posted March 24, 2016 >>o people wear blinkers ihave been here 14years and seen so many people lose on condos look around how many empty 10000 people in condo saleswill tell its booming same story world over if you want to lose money buy or through your money in ping river<< I owned 2 Condo in Jomtien/Pattaya .Made a small profit on both when i sold plus had the use of one over 7 years .Now own a house in a suburb of Chiang Mai for 6 years .Houses near me are going for double what i paid .Its not all doom and gloom here . Only realized profits count. I think most Westerners are not like Thai who can wait 20 years to sell a condo/house. Link to comment Share on other sites More sharing options...
anto Posted March 24, 2016 Share Posted March 24, 2016 (edited) >>o people wear blinkers ihave been here 14years and seen so many people lose on condos look around how many empty 10000 people in condo saleswill tell its booming same story world over if you want to lose money buy or through your money in ping river<< I owned 2 Condo in Jomtien/Pattaya .Made a small profit on both when i sold plus had the use of one over 7 years .Now own a house in a suburb of Chiang Mai for 6 years .Houses near me are going for double what i paid .Its not all doom and gloom here . Only realized profits count. I think most Westerners are not like Thai who can wait 20 years to sell a condo/house. House in my soi recently sold in one month .Another in next soi took 6 months .(there was problem with paperwork ) .Anyway ,as we are not intending to move in the near future its all relative .Nice to know though that we are rent and finance free . Edited March 24, 2016 by anto Link to comment Share on other sites More sharing options...
Happy Grumpy Posted April 20, 2016 Share Posted April 20, 2016 We rented a unit last week, works out at 6.85% RoI after the agent fees (1 month) and annual management fees are deducted. It was listed for less than a week. We were low balled and accepted due to the convenience of it. We could have been tight and held out for others but couldn't be bothered. Renting at the asking price (what other units are renting for) and without the agent fees (if the renter came due to our own advertizing and not through an agent) it works out at 9.63% RoI after the annual management fees are deducted. The other units typically last 2-3 weeks before being rented. We got a good deal on the unit (used) which obviously helps the RoI. Hope that helps people. Link to comment Share on other sites More sharing options...
KhonKaenKowboy Posted April 20, 2016 Share Posted April 20, 2016 6.85 with zero for maintenance. Could be worse, but considering you can get 4%+ in utility stocks, that you could sell in 4 seconds for 7 Dollars..... Link to comment Share on other sites More sharing options...
Happy Grumpy Posted April 20, 2016 Share Posted April 20, 2016 6.85 with zero for maintenance. Could be worse, but considering you can get 4%+ in utility stocks, that you could sell in 4 seconds for 7 Dollars..... Sounds great, maybe we'll buy them every month with the rental income. Link to comment Share on other sites More sharing options...
KhonKaenKowboy Posted April 20, 2016 Share Posted April 20, 2016 6.85 with zero for maintenance. Could be worse, but considering you can get 4%+ in utility stocks, that you could sell in 4 seconds for 7 Dollars..... Sounds great, maybe we'll buy them every month with the rental income. I've done the same thing...unless of course you have a/c repair or you need to paint, or remove everything in the home, burn the mattresses and fumigate, or your tenant dies, or a pipe bursts....drink a lot before bed and you won't stay awake worrying. Link to comment Share on other sites More sharing options...
Happy Grumpy Posted April 20, 2016 Share Posted April 20, 2016 Trollsurance is really quite cheap, as it happens. Sorry, insurance, of course. Link to comment Share on other sites More sharing options...
northernjohn Posted April 20, 2016 Share Posted April 20, 2016 6.85 with zero for maintenance. Could be worse, but considering you can get 4%+ in utility stocks, that you could sell in 4 seconds for 7 Dollars..... can you sleep in it? Link to comment Share on other sites More sharing options...
LivinLOS Posted April 20, 2016 Share Posted April 20, 2016 6.85 with zero for maintenance. Could be worse, but considering you can get 4%+ in utility stocks, that you could sell in 4 seconds for 7 Dollars..... can you sleep in it? Can you sleep in a condo you have rented out either ?? Link to comment Share on other sites More sharing options...
Happy Grumpy Posted April 20, 2016 Share Posted April 20, 2016 Sure. Just leave before they get up. Link to comment Share on other sites More sharing options...
KhonKaenKowboy Posted April 20, 2016 Share Posted April 20, 2016 just kick some of the staff off the lobby sofas and sleep there. Link to comment Share on other sites More sharing options...
WonderousWand Posted April 20, 2016 Share Posted April 20, 2016 Condos with air-con and covered parking go for around 3,000-4000bht 250m from KSK. (with balcony and view of Wat Doi Suthep) What building, and what size, please? Link to comment Share on other sites More sharing options...
LannaGuy Posted April 20, 2016 Share Posted April 20, 2016 >>o people wear blinkers ihave been here 14years and seen so many people lose on condos look around how many empty 10000 people in condo saleswill tell its booming same story world over if you want to lose money buy or through your money in ping river<< I owned 2 Condo in Jomtien/Pattaya .Made a small profit on both when i sold plus had the use of one over 7 years .Now own a house in a suburb of Chiang Mai for 6 years .Houses near me are going for double what i paid .Its not all doom and gloom here . Link to comment Share on other sites More sharing options...
heybruce Posted April 20, 2016 Share Posted April 20, 2016 (edited) We rented a unit last week, works out at 6.85% RoI after the agent fees (1 month) and annual management fees are deducted. It was listed for less than a week. We were low balled and accepted due to the convenience of it. We could have been tight and held out for others but couldn't be bothered. Renting at the asking price (what other units are renting for) and without the agent fees (if the renter came due to our own advertizing and not through an agent) it works out at 9.63% RoI after the annual management fees are deducted. The other units typically last 2-3 weeks before being rented. We got a good deal on the unit (used) which obviously helps the RoI. Hope that helps people. How long is the lease? How much annual turnover are the other units experiencing? You state units typically sit empty for 2 to 3 weeks before being rented, is that year round or your observation during the just ended high season? How much does it cost to prepare a unit for new tenants? How many tenants leave with unpaid bills and damage to the unit? What would a few hundred thousand baht of damage to the unit do to your ROI? Until you can answer these and other questions you shouldn't get too comfortable with your 6.85% estimate. Also, if you don't have a Thai partner or the right visa and permits, what you're doing is illegal. Edited April 20, 2016 by heybruce Link to comment Share on other sites More sharing options...
Happy Grumpy Posted April 20, 2016 Share Posted April 20, 2016 OMG. Link to comment Share on other sites More sharing options...
puukao Posted April 20, 2016 Share Posted April 20, 2016 i sell a class on how to make big money with condos in CM. only 100,000 baht but you have the potential to make 1 billion baht first 1,000 students only!!! Link to comment Share on other sites More sharing options...
HenryB Posted April 21, 2016 Share Posted April 21, 2016 the water problem will not help Link to comment Share on other sites More sharing options...
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