Capital values for Bangkok luxury prime property climb in an upwards direction.
Prime property in Bangkok is continuing to prove its worth. Research collected by real estate consultancy firm Knight Frank reveal that prime property increased in value by 51.3 percent in the last three months of 2016. This is well ahead of Malaysia’s capital appreciation of 2.1 percent but also well behind Jakarta that saw prime property increase an impressive 123.3 percent for the same period. Simultaneously Singapore’s values continued to slip by 1.3 percent.
The thirst for prime property in Bangkok has grown over recent years. A result of the increase in luxury projects to the market. Having been well received there are new luxury projects springing up throughout the city to meet demand. Developers have responded accordingly noting that this upper tier of investors are not influenced by the economy. Many of whom are ready with cash in hand.
Consequently some record breaking prices have been achieved thanks to their quality and facilities. Reasons that Knight Frank cite Bangkok has an attractive investment destination due to the yields and potential capital appreciation on offer.
Bangkok also offers more in terms of value. For the same money you could buy a unit in Thailand’s capital that is just over 100 square metres as you could for a 42 square metre unit in Singapore. Plus Bangkok has become a hub for the region with many businesses setting up shop and operating here. This coupled with the increase in tourism puts a strain on accommodation throughout the city and helps to maintain, and increase property prices.
Despite Singapore having some of the highest price tags in the region, the island state lures in people. Its robust environment is politically and economically sound. The result is that Singapore has become the second most attractive destination for the ultra-high-net-worth individuals according to Knight Frank.