Is the condo market in Pattaya and Jomtien Beach finally cooling off?

The buzz around Pattaya and Jomtien Beach is that sales are down!

A friend of mine from one of the most prominent reality companies here in town has confirmed rumours as to what was already believed, that sales are down this year. Down to what degree? Last month alone saw a decrease of about 75% compared to November of last year. Of course you'll still get the majority telling you sales are rocking and business is great.

What does this mean for the potential buyer?
  Overall i would have to say that it should mean nothing. If you want to have a place here in Pattaya or the neighboring Jomtien Beach and even down to Bang Sarae, these are still nice places to live regardless of what the property market is doing at the moment. Property is a long term investment in its own right, not a get rich quick overnight goldmine.

Is buying a condo right now a good idea as an investment?
 If you are looking to purchase to make a return on monthly rentals one thing you should consider is if you have enough friends that either holiday here regularly, or if you know enough locals to rent for long term. Agencies have a far bigger database of available properties than prospective renters.

Is buying and looking towards the equity a good odea over the mid to long term?
 I would have to say definitely. In the 10 years i have been here prices on everything have contimued to rise. This is in the wake of tsunamis, political instability, airport closures, foreign exchange rates declining by an average of 25%, property and land prices have continues to rise.

All in all Thailand is still a great holiday destination and place to live. Pattaya and Jomtien Beach are particularly convienent and ex-pat friendly beach communities. The newer condos offer better construction, more luxury and hold their value. In particular Nova Group and Tudor Group are some of the best deals going atthe moment.

Novana residence announces new units available with some of the best prices in Pattaya

Brand new units available in foreign name starting at just 65,000 Baht per Sq. meter!!

Nova groups success continues with it's South Pattaya city location "Novana Residence". These affordable luxury condos are in a great location just off of Pattaya 3Rd rd and soi 17.

1. New units include: 2 - 25 sqm units on the 2nd floor priced at 1,625,000 B.
2. Also there are 2 more 24 sqm units available on the 4th floor with excellent pool views off the balcony for only 1,560,000 B.
3. One more 24 sqm unit is also available on the 8th floor is also going for 1,560,000.

These units will not last long at this outstanding value. Easy pricing plans are as follows:

• 50,000THB for reservation fee.
• 20% sign contract after 2 weeks (minus the reservation fee)
• 20% over 3 months.
• 20% over 6 months.
• 40% on Completion

For more information or to arrange a viewing please contact us at info@pattayarealestatemarket.com

Tudor Court on Pattaya's Pratumnak Officially Completed!

I just received word that the Tudor Court poject on Pratumnak Hill in South Pattaya is now officially completed and open in all aspects. This includes both the long awaited serviced apartments as well as the beautiful swimming pool. All the landscaping is also done. You can get more information and a better look at this magnificient complex at www.pattayarealestatemarket.com

Tudor Court Condos on Pratumnak ready to move in!!

The long awaited completion of Tudor Court Condos on Pratumnak soi 2 are now being occupied! The rubble has been removed, the grounds have been cleared and the dust swept away.

Developer Simon Ditchburn has just announced that buyers are now moving in. There are still a few units available and Pattaya Real Estate Market has some of the best prices available.

Tudor Court Condos are built to the highest European standards with attention taken in every last detail. They will soon be offering serviced apartments available for rent shortly as well. For a better look at these high quality units check out the video below

Chonburi Condo market on the rise

In the hottest selling areas for condos such as Pattaya, Naklua, Jomtien, and even the proclaimed "Beverly Hills" of Pattaya..Pratumnak Hill, there seems to be one overshadowed market place.

Chonburi province in its own right boasts huge industrial compounds that require corporate housing for both Foreigners and Thal Nationals.

LPN Development is currently estimating demand at 10,000 new condominium units per year to house blue and white collar workers currently working in Chonburi factories and industrial estates. These new projects are slated to very reasonably priced starting at 550,000 Bt and not to exceed 2 Million Bt.

To gain a better understanding of just how much of a housing shortage exists through Chonburi's industrial compounds please check out the article below from "The Nation".

SOMLUCK SRIMALEE
THE NATION October 1, 2012 1:00 am

 

More than Bt20 billion worth of new condominium projects will be launched in Chon Buri province, including Pattaya, in the current second half of the year thanks to strong demand. Most of the demand is for condos priced lower than Bt2 million.

LPN Development says it sees demand in Chon Buri for nearly 10,000 condominium units per year.

These are located near eight industrial estates around the province, such as Amata, Laem Chabang, Saha Group's estate, three projects near Pinthong Industrial Estate, Hemaraj and Panthong Kasem Industrial Estate.

These estates host 479 manufacturing plants that employ more than 211,000 people, 10 per cent of whom are white-collar staff. Chon Buri also has five universities.

LPN Development managing director Opas Sripayak said many employees in the industrial estates and students and teachers in the universities rented serviced or unserviced apartments costing between Bt3,000 and Bt5,000 a month. But Chon Buri province has only 28 apartment projects with a combined 1,262 units, not enough to handle the rising demand.

The company's survey also showed that industrial-estate employees who want to buy a home needed the price not to be higher than Bt2 million.

As a result, the company decided to launch its latest condominium project, Lumpini CondoTown Chonburi-Sukhumvit, worth Bt2.6 billion. The project has 4,181 units at starting prices of Bt550,000, which have utilisation space of 21 square metres.

The project will open for booking next weekend.
By the end of last week, the company had already issued 2,000 queue tags to people interested in booking next weekend, and expects tags to total 2,500-3,000 before bookings open on Saturday.

This is an indication of the strong demand in this market after the company had successful launches of three condominium projects in Pattaya worth Bt8.2 billion in the first half of the year.

Sansiri also will launch its first condominium project in Pattaya, in the Wong Amat area, next weekend called Baan Plai Haad, worth Bt2.2 billion, with 353 units at a starting price of Bt3.59 million.

In the third quarter, Kingdom Property Co launched a condominium project called Southpoint Pattaya, worth Bt2 billion.

In the same quarter, Kotobuki Property launched a condominium project worth Bt95 million at Lamthan, Chon Buri province.

A survey by the Agency for Real Estate Affairs shows 87,500 residential units worth Bt246.5 billion in Chon Buri province, of which 60,241 have sold. The agency believes that the rest will be sold out by the end of the year because this market has strong demand, especially for units priced lower than Bt3 million.

Caution on Condos in Pattaya

There has been much speculation in recent years regarding the condo boom around the Pattaya area...is it getting over built. I saw this article in the Bangkok Post todaystating smaller developers may run short on funds for completion of projects due to rising construction costs and Pattaya possible getting over built. Future prospective buyers are always advised to consult a lawyer and conduct their own Due Diligence. Best advice is to stick to the more established developers and consult with local real estate professionals. Here is the article:

Pattaya condos 'may not be built'

Home buyers must be extra cautious in purchasing condos in Pattaya as smaller developers are expected to face difficulties in actually starting construction of their projects, according to a major developer, SET-listed Raimon Land Plc (RML).

Reuters Photo

According to the latest Raimon Lands annual research publication Condominium Focus Thailand: Update for Inner-City Bangkok and Pattaya, 28,892 condo units are expected to be completed in Pattaya over the next three years.
However data gathered over the last one year (from the second half of 2011 to the first half of 2012) shows that 3,258 units have already been officially suspended.
Simon Derville, Raimon Land’s deputy vice president for business development said the majority of the units suspended tend to be low rise, 8-storeys high and without beach front or sea view, which makes it difficult to sell.
He forcasts that the number of development projects that would not be able to secure financing due to low pre-sales could reach up to 10,000 units over the next three years.
"If you are buying from someone you never heard of, you should definitely double check, ask a lot of questions and do our own due diligence," he said adding that buyers should find out if the developer actually owns the land if they have secure financing for construction and what their previous construction projects include.

Laguna Beach Resort Jomtien

Heights Holding Group has delivered yet another great project. Following the success of the first Laguna they are now hard at work on Phase 2. True resort living right next to Jomtien beach. Studios start at just 1.299 MB. Swimming pools, waterfalls, water slides and it's own private sand beach are just part of what sets this development apart. See more

2 Billion Baht condo project headed to Pratumnak Hill

The Kingdom Property Group LTD is is in the final stages of beginning its 2 billion dollar condo project in Pattaya's exclusive Pratumnak Hill. The Unit will be called "South Point" and will feature studio, 1 Bedroom, 2 bedroom, and Three Bedroom units. Prices will be starting at around 1.5 MB. See More...