Real Estate development in Bangkok, Pattaya, and Phuket to remain hot!

Developers  continue to remain confident in the property market in 2013. Predictions are property will grow by 5-10 per cent, this based on strong growth in gross domestic product, which is anticipated at roughly 4-5 %.

This confidence is spurring a plan to launch new residential projects worth more than Bt200 billion next year. locations targeted are the  Greater Bangkok community and upcountry regions such as Chon Buri, Pattaya, Hua Hin, Chiang Mai, Phuket and Khon Kaen.

The top three property firms - Pruksa Real Estate, Land & Houses and Sansiri - told The Nation last week that they would each launch between 30 and 40 projects, totalling nearly 100. These 3 developers projects are estimated to be worth around Bt90 billion to Bt100 billion.

Asian Property Development, a top 10 listed real estate firm, is planning at least 18 projects worth a total of Bt20 billion. SC Asset Corporation is also planning at least 14 projects worth Bt20 billion, and LPN Development is planning at least another10 projects. their projects will also be worth between Bt15 billion and Bt20 billion. This creates a total investment budget for these launches next year will be between Bt100 billion and Bt130 billion.

 Pruksa Real Estate president and chief executive officer,Thongma Vijitphongpun has stated that the company has strong confidence demand for home purchases will grow next year at an estimated 5 to 7 %. This is in line with Thailand's expected GDP growth.

Kree Dejchai, SC Asset Corp chief operating officer, said the company would continue to focus on the middle-to-upper-income market next year. Up to 70% of its new projects will be low-rises projects including detached houses and townhouses.

Most property firms stated that the market this year would post 5-per-cent growth over 2011.



 

Jomtien beach condo rented as Thailands high season kicks in!

Our 1 bedroom condo we have been featuring, in the much desired View Talay 1 building in Jomtien, has just been rented for the high season and beyond. There are still many other good deals still out there but they may not last for long.

A few recommendations are Two Phum Puy Guesthouse on Pratumnak soi 5, and the serviced apartments in the brand new much acclaimed Tudor Court on Pratumnak soi 2.

For information on these properties or any other interests you may have please e mail us at info@pattayarealestatemarket.com.

Is Pattaya’s condo market facing a bubble?

According to recent numbers, residential increases in property - especially the condo market in the Pattaya Jomtien Beach area - have only risen on average of 1 percentage point per year. That is amounts to 4% combined over the last four years. These increases are inclusive of inflation consisting of both rising land prices as well as a significant increase in materials cost.

These numbers are much lower than the bubble of 1996, and the financial crisis of 1997… 11% lower from 1993 – 1996. In addition, home loan rates have increased only half (12%) what they were during the bubble of 93-96 where they topped out at 25%.

Although the last 2 years have seen an increase of 5%, versus the 2% FOR 2008 – 2009, this is in confluence with Thailands GDP which has been maintaining 2% annually. This is the same as it was 10 years ago.

Current supply seems to be meeting demand as Pattaya, Jomtien Beach, and Thailand in general continue to grow. This growth is attributed to rising foreign investment, foreigners ex-patriating and retiring in Thailand as well as domestic growth and investment as a whole.

Pattaya Real Estate Market gone a bit quiet??

If you have been following our blogs lately, this one or others i publish, you may have noticed not alot of activity recently. Does this mean that Pattaya Real Estate Market has gone a bit quiet?

Not at all. Khun Sa is still publishing her articles in Thai and handling affairs in the office, as well as updating our website.

I have been offshore finishing a contract the last 2 months and with the internet being as slow as it is in combination with this old and barely breathing lap top, it has just been too difficult to get a hold of quality information and write about it.

I should be back in Pattaya by the middle of this month and once again be hard at it, putting new listings as well as good information for tourists, prospective renters and buyers along with ex-pats. Thanks for all the support from all of our friends

Brian