Property prices in Thailand is hitting a difficult balance as the government tries to bring the market under control due to speculation. A recent property report however gives another picture and raises the question …
Asia meaning Malaysia, Thailand and Taiwan have brought measures into place to avoid a property bubble. In Bangkok some apartments close to the BTS skytrain have more than doubled in price over the past 3 years. For any property investment that has an excellent return. This however the government fears is going to make property in Thailand too expensive for the average citizen and spur inflation.
Mayta Chanchamcharat, director of Pruksa Real Estate, said concerns about a possible property bubble in Bangkok have calmed the market due to a retreat of speculators and investors. When looking into the property market however the picture is mixed. The bottom end of the market is flooded with an oversupply at present but your mid range and high-end apartments are still holding their values.
This is good news if you already own a high-end apartment and bad news if you are trying to sell the small units. The value of condo units coming online in the next year is expected to pick up again and all of this is a crowded market. The property however close to the new BTS line between Bangkok and the airport however has seen huge increases either way. Property in these areas have more than double in less than a year since the government has released a detailed map of the path the rail system will be taking. Rentals in those areas have also gone up in price by an average of 30%
Property investment in Thailand in the high-end and mid-range has always been a good investment. Most Thai’s do not buy into these units and hence the market is still very limited in this regards. Looking forward in the next 10 years however this might very well change as Thai’s levels of income increase and their appetite for the high and mid range markets increase. Either way for an investor who bought in early it will make for a great investment either for resale or for rental.
Considering buying into the market? Call us now. With offices in Bangkok, Hua Hin, Pattaya, Phuket and Chiang Mai we are best able to serve you. Call us on our toll free US and UK telephone number 24 hours of the day!