The market for condos in Pattaya is now making positive movements, trending upwards. It is expected to continue expanding over the next several years, so states the “Condominium Focus Thailand” in the 12th edition report.It is expected that the strongest activity will most likely be found in urban areas, such as Bangkok and other major cities inland, as these areas have many advantages that make up for the fact that they lack the natural beauty of the coastline and mountain ranges of Thailand. The highest demanded locations will most likely be beachfront properties from people who are able to afford them. However Raimon Land also forecasts a steady climb in the number of developments targeted toward natives or those with smaller wallets. Beachfront projects will also continue to draw in investors who are interested in the luxury and high-end properties, although the supply will be limited due to the lack of land available.
It is likely that developers will prefer condos that fall within the 1 million baht and 3 million baht price range, which will help to accommodate the growing interest in high end properties from the ever-growing wealthy national workforce. Property investors are expected to mainly seek one-bedroom condos of up to 40 square metres, despite the fact that cost per square metre is expected to rise further. Condos that are inland and lack an ocean view are believed to sell quickly, as they now have other advantages such as proximity to shopping centres and offices.
While a greater ability to buy property will inevitably help the market, it is possible that it could overheat. To prevent this, property developers who cater toward lower end property buyers could tighten their buying requirements by charging higher booking fees and requesting greater down payments. However, with an average take-up rate of about 50%, Raimon Land says that this might not occur for a while.
