With a greater supply than the demand for condos in Hua Hin and Cha Am, it’s a buyer’s market, so long as the buyer is not deterred from investing in real estate due to Thailand ongoing political problems.
At the end of 2013, when protests and political unrest was already months under way, Hua Hin had nearly 6,200 condo units available from a total of 23,000 units. Cha Am currently has the largest number of available condominiums in the region, accounting for more than half.
Last year, over 2,700 new condos were built, a number that has decreased this year due to the fact that many of last year’s condos still have not yet been filled as well as the fact that Bangkok is still dealing with political unrest. This year only 8,800 units are expected to be completed. To explain the decrease in property development, the political problems in Bangkok in the fourth quarter are a major concern for all developers. Most postponed project launches until this year or until the political situation calms down.
Developers are still hanging on to plans for 2014 though, saying that projects will start if the political turmoil ends before the third quarter. For example, Thanapat Property Development Plc plans to launch two new town house projects worth a combined 800 million baht, but it will suspend new condo launches if the political standstill has not concluded by the end of April.
