Purchasing Condo -- Appreciate Advice

[funandsuninbangkok]

On 1/12/2017 at 2:20 AM, realenglish1 said:

Prices have continued to soar based on What certainly not demand Banks are being very restrictive about Real Estate loans now   Prices have risen unabated since 2000 and there is no such thing as a market just going up with no correction Its just not realistic . A correction is coming and you will feel  it

You know nothing about real estate  When the supply outstips demand  there is a problem The reason they are not building more luxury condos is there is little demand for them .

Who is going to buy them Thais are in financial straights right now Borrowed too much If the banks won't lend and people want to sell You have a serious problem

Sit in your Ivory tower but the correction is coming . There is a thing in real estate called over bought . Now look at your condo and see who has sold in the last 6 months or so

Probably not too many at the high end NO MONEY

2017 is going to be very very difficult 

 

 

Bangkok Post this week:

 

KCProperties defaults on bills of exchange. 

 

Experts downplay talk of real estate bubble

 

EU warns Thailand on Human Rights and trafficking

 

Donald Trump inaugurated this week

 

What could possibly go wrong for a nice little country run by a military dictator and depended on exports for 70% of its GDP?

 

Nows the time to buy!

[zorro1]

 
Well actually if he invested in many other things like equities, bonds, Reits, gold, etc he would have done just fine. 
 
In the mean time rents in Bangkok are the same as the were 10 years ago.  I know as I invested in US high tech in 2001 and have  happily rented here. 

New condo prices have tripled in lower Sukhumvit In 15 years but rent is the same? Haha I wanna buy what you are smoking!

Of course you have done well. I've yet to see a TV poster who wasn't a shrewd investor lol

How did the 2008 crash pan out for you? You would have done your balls! [emoji26] thai real estate was totally unaffected one of the few on the planet that was

[funandsuninbangkok]

16 minutes ago, zorro1 said:

New condo prices have tripled in lower Sukhumvit In 15 years but rent is the same? Haha I wanna buy what you are smoking!

Of course you have done well. I've yet to see a TV poster who wasn't a shrewd investor lol

How did the 2008 crash pan out for you? You would have done your balls! thai real estate was totally unaffected one of the few on the planet that was

Rents are Exactly the same as 10 years ago, some lower. I rent 330 sm on soi 8 for 85 K. Just signed the lease. Moved to Bangkok in 2006 (to a different place same size for 85k) and my new building I just moved into was asking more in 08. Rents have stayed flat for 10 years in Bangkok(except for idiots who rent first unit they see). 

 

New condo owners are asking huge money for their little 30 sm units BUT not getting it. 75% vacancy in many new buildings. And more units in the way. Page through ddproperty to see all the sellers. 

 

As for stocks all-time high last week. Crash in 08 was scary but kept cool. Lots of real estate got crushed then even in Thailand Including on Sukhumvit. 

Edited January 18, 2017 by funandsuninbangkok

[zorro1]

Rents are Exactly the same as 10 years ago, some lower. I rent 330 sm on soi 8 for 85 K. Just signed the lease. Moved to Bangkok in 2006 (to a different place same size for 85k) and my new building I just moved into was asking more in 08. Rents have stayed flat for 10 years in Bangkok(except for idiots who rent first unit they see). 

 

New condo owners are asking huge money for their little 30 sm units BUT not getting it. 75% vacancy in many new buildings. And more units in the way. Page through ddproperty to see all the sellers. 

 

As for stocks all-time high last week. Crash in 08 was scary but kept cool. Lots of real estate got crushed then even in Thailand Including on Sukhumvit. 

Nah you didn't keep your cool.. You got crushed like everyone else. Nobody got out of that unscathed and most lost a fortune or got wiped out, you were no exception

That's a fact.

Lower Sukhumvit real estate was crushed so badly that it doubled and tripled in sqm price? You're a funny guy [emoji108]

Rent the same? Let me guess a 5mill baht condo in 2005 was 10k rent and a 15 mill baht condo in 2016 is 10k rent. Do you know how utterly ridiculous you are sounding?

Lower Sukhumvit has exploded in rent in the last few years especially and the prime reason that all of those shrewd investors live in studios.. Just to expensive to rent one or 2 bedders [emoji30]

[trogers]

On 01/12/2017 at 3:20 PM, realenglish1 said:

Prices have continued to soar based on What certainly not demand Banks are being very restrictive about Real Estate loans now   Prices have risen unabated since 2000 and there is no such thing as a market just going up with no correction Its just not realistic . A correction is coming and you will feel  it

You know nothing about real estate  When the supply outstips demand  there is a problem The reason they are not building more luxury condos is there is little demand for them .

Who is going to buy them Thais are in financial straights right now Borrowed too much If the banks won't lend and people want to sell You have a serious problem

Sit in your Ivory tower but the correction is coming . There is a thing in real estate called over bought . Now look at your condo and see who has sold in the last 6 months or so

Probably not too many at the high end NO MONEY

2017 is going to be very very difficult 

 

I actually welcome a correction in the property cycle in 2017 as I am looking to start unloading 7-10 years from now, near the next peak.

[funandsuninbangkok]

On 1/18/2017 at 4:22 PM, zorro1 said:

Nah you didn't keep your cool.. You got crushed like everyone else. Nobody got out of that unscathed and most lost a fortune or got wiped out, you were no exception

That's a fact.

Lower Sukhumvit real estate was crushed so badly that it doubled and tripled in sqm price? You're a funny guy

Rent the same? Let me guess a 5mill baht condo in 2005 was 10k rent and a 15 mill baht condo in 2016 is 10k rent. Do you know how utterly ridiculous you are sounding?

Lower Sukhumvit has exploded in rent in the last few years especially and the prime reason that all of those shrewd investors live in studios.. Just to expensive to rent one or 2 bedders

 

Google CBRE Q3 report for Thailand. Two facts from it:

 

rents in Bangkok CBD are same as 2007 

 

high end projects under construction in lower Sukhumvit  due for completion in 2018 are less than 30% reserved(most agents here say sold but in the real world property is not sold until you pay for it, unlike Thailand). 

 

Yes, asking prices are very high but with the stock markets offering hugely better returns, nobody is buying(except maybe you). Good luck

 

[mcfish]

 
Google CBRE Q3 report for Thailand. Two facts from it:
 
rents in Bangkok CBD are same as 2007 
 
high end projects under construction in lower Sukhumvit  due for completion in 2018 are less than 30% reserved(most agents here say sold but in the real world property is not sold until you pay for it, unlike Thailand). 
 
Yes, asking prices are very high but with the stock markets offering hugely better returns, nobody is buying(except maybe you). Good luck
 

Asking prices are high that's the only bit you got right [emoji3]

Sent from my Redmi Note 3 using Tapatalk

[lkn]

9 hours ago, funandsuninbangkok said:

[…] with the stock markets offering hugely better returns, nobody is buying(except maybe you). Good luck

I think your understanding of “the stock markets” is naive. It’s not a place where you just deposit your money for a 9% annual yield.

 

I can show you a dozen funds that have been flat or negative for the last few years.

[JayBird]

Thank you all for the valuable feedback.  A quick question:

 

What happens if I wire the cash in to purchase a condo but do *NOT* include the magic words 'For Purchase Of Condo' (and include no comment at all).

 

Reason I ask is, there is no comment section for outgoing wires from my bank (nor do they support it).

 

Thank you.

[lkn]

9 minutes ago, JayBird said:

What happens if I wire the cash in to purchase a condo but do *NOT* include the magic words 'For Purchase Of Condo' (and include no comment at all).

Absolutely nothing happens.

 

You transfer the money to your account in Thailand, then you go to the bank and get either a foreign exchange form or a letter stating that the money are from abroad, and you use that as documentation at the land office. No-one cares what the “subject” field was, when you sent the money to Thailand.

 

As I have mentioned before, I think the misunderstanding about this (non-existing) requirement is because some developers will tell you to wire the money to *their* account, and then under the “required steps” they will put in something like “remember to put »For condo unit 123« in the reason for the wire”. This of course is just to make it easier for the developer to do bookkeeping.

 

[blackcab]

As stated, the Land Office don't actually care what, if anything, is on the comments line.

 

You could put "General Funds" and they would accept that too.

[JayBird]

12 hours ago, lkn said:

Absolutely nothing happens.

 

You transfer the money to your account in Thailand, then you go to the bank and get either a foreign exchange form or a letter stating that the money are from abroad, and you use that as documentation at the land office. No-one cares what the “subject” field was, when you sent the money to Thailand.

 

As I have mentioned before, I think the misunderstanding about this (non-existing) requirement is because some developers will tell you to wire the money to *their* account, and then under the “required steps” they will put in something like “remember to put »For condo unit 123« in the reason for the wire”. This of course is just to make it easier for the developer to do bookkeeping.

 

 

9 hours ago, blackcab said:

As stated, the Land Office don't actually care what, if anything, is on the comments line.

 

You could put "General Funds" and they would accept that too.

Sweet, thank you guys.  And goo explanation there Ikn, that makes sense.

 

 

[mortenaa]

On 1/10/2017 at 9:25 PM, zorro1 said:

You can not get a mortgage so it has to be full cash.
I would go bangkok, prices are skyrocketing due to the lack of land for development. Same thing happened Singapore and Hong Kong. A simple issue of supply and demand

 

No problem getting a mortgage. I got one through UOB.

 

 

On 1/11/2017 at 7:17 AM, elgordo38 said:

I rent would never buy. I rent a condo and attest to the door slammers. Thailand is noise personified you will never escape it entirely. I have no dogs or roosters but motorbike hell exists outside my balcony window. Its an older building thus remodeling noise comes reaches a peak and then dies down and cycles.  Life is a trade off. The only true peace you will ever achieve is death. 

 

I have a super quiet condo, 700m from BTS. No door slamming, double glazed. Can't hear a sound!

 

On 1/11/2017 at 8:39 AM, KittenKong said:

 

I'm not aware of anywhere around there where prices are "rising quickly". "Static" seems closer to the mark.

 

Hmm.. 15% a year roughly in my area. I wasted 1.8MB on rent in 6 years. Buying a condo in Bangkok is a great investment if you buy in a good location. The best thing I ever done!