Where are Pattaya real estate prices going?

[accountant]

Where are real estate prices going?

When should i buy Condo in Pattaya?

Now?

in 2009?

in 2010?

never?

 

Anyone have a tip regarding how 2 monitor prices?

Is there any Index somewhere?

Edited December 28, 2008 by accountant

[Dr.Winston]

it's always struck me how chaotic property prices in Pattaya are. I've seen condominiums selling for more than twice the price of a nearly identical one in the same block. I've also seen prices for a condo written in Thai on a condominium block notice board next to ones written in English for much higher prices.

 

The whole concept of buying and selling houses, especially at a profit is pretty new to the Thais. Traditionally a girl would marry, her father would give them a bit of his land, they would build a house on it and so on.

 

A high percentage of the housing market in Pattaya is driven by the ex-pat community. There are a lot of estate agents catering to the demand who will basically just whack as much on to the asking price as they can get away with.

 

I don't know where you could get a reliable source of prices, the best bet is to spend time there, look around yourself as opposed to going through an agent and keep your fingers on the pulse.

[aum]

I would expect that there will be some significant declines in prices through 2009. The world economy is starting to have a measurable effect in Thailand now, this won't change overnight.

[accountant]

so late 2009 or 2010 might be a good year 2 invest, maybe?

[BSJ]

Second half of 2009 should be good. Whilst construction is still happening people will falsely believe the housing economy is still good. Once the foreclosures start and the building sites are silent and the general economy is flat that when sellers get nervous and I buy! Don't get to involved with the agents, talk directly with the banks. Some of their lists are several pages long now, but I can't read much Thai.... maybe you can?

[theduece]

Spoke with a mate of mine who sells real estate in Pattaya, said they were expecting prices to fall due to the recent fall of Salomon Smith and Barney(SSB). Apparently had alot of influence in Thailand and is expected to affect the market. Havent researched his info online but may be worth looking into if your looking to purchase something. Hope this info might be usefull. Cheers!

[accountant]

tks for all good advice. many good advice here. I will wait 2 second halv of 2009 then. The idea of buying directly from banks was new 2 me.

[HappyGuy99]

How do you get a list of repossessions off the banks in Thai?

[Dr.Winston]

How do you get a list of repossessions off the banks in Thai?

 

Just go to the Bank and ask, the last time I looked they kept lists in the branches.

[Aussie Bernie]

How do you get a list of repossessions off the banks in Thai?

 

 

Have a look at some of the banks websites.

 

I know Kasikorn bank has a list on their site. But it's in Thai.

[accountant]

any more info from anyone? the world economy is not going better, I was in Dubai recently, and the told storries of real estate down 20 - 40% in value. Any simular info from pattaya?

[hungryandy]

Thais do not lower prices when things do not sell. During the last recession, this was clear in surveying prices in Bangkok, and as it was an "Asian" crisis - the prices in Pattaya kept on going up as it is Europe centric market.

 

One key issue for you is - how the Krone will move against the Baht which is tightly locked to the USD. Assuming Pattaya prices remain stable in Baht terms how will that reflect on the Krone value come end of 2010 ?

 

You should be looking for EUROPEAN owned condos, as many Europeans will be looking to divest their discretionary investments as a mater of necessity over the next 12 months. This will mean doing the WEB searches for property in Pattaya tat is being offered by the OWNER as any agents will try to lift the property to Market Value. Its not in their interest to have property start to fall. As mentioned at the start the Thai owned properties will probably not attract much of a discount.

 

As noted in the post by Dr Winston, There is no real logic to pricing structure. You need to carefully look as several condos in any block - two properties one next to the other may vary by 50%.

 

Additionally in some blocks you will find there ARE two prices - Thia only units and Farung permitted units. This is to do with the law that only 45% of any development can be sold to farungs. I usually see a 30% discrepancy. Thats why with bigger developments you will often see the prices on the notice board differ for Thai and Farung units.

[accountant]

Anybody have any opions regarding prices now? In US & Europe we see big declines. Same can be said for Dubai & Hong Kong. How abaout Pattaya Condo-prices?

[Alex the Hedonist]

ive done a lot of research, and all things considered, its better to rent a place...unless you are going to rent it out and only use it occasionally AND can pay cash...but even then, I wouldnt buy until the 4th quater of 2009 at the earliest...my guess is, the best buys will be the summer of 2010.

 

its simply cheaper to rent, and then invest your capital elsewhere...BUT if you are going to retire there (as i plan to), then i would recommend starting by renting a place month to month, get a feel for the town from a resident's perspective for a few months, then rent some place for a year in the area you think you want a place...THEN buy one if you are settled.

[accountant]

tks for the advice. i might whaite for the summer of 2010 then.

I like the Prathamnak aeria, so i might go lookin a bit there, The View Talay 5 & 7 closer to Jomtien also seems intersting, but maybe 2 big.

 

I have bought one condo in 2006, and wants more, but that condo have not gone up in value, so i might take it easy intil 2010

[hazze]

Anybody have any opions regarding prices now? In US & Europe we see big declines. Same can be said for Dubai & Hong Kong. How abaout Pattaya Condo-prices?

 

i'm no expert but i'd imagine theres a lot more fall in the market to go.

Pattaya seems to bubble a bit, and thailand has plenty of bad news and worrying signs of government attitude to help push prices lower than the global trends.

[accountant]

Oki.

The real estate in US took a hit 2 years before Europe i think. maybe Asia is even further behind, so maybe 2011 is the ultimate timing?

 

On the other side, Some experts are expecting that Chinese will be a very big buyer-group in Thailand the next years. seen any?

[praf974]

i would have thought that the real issue was the value of the baht making property artificially much more expensive at the moment than it should be, the baht could easily drop 50% over the next 2 years .. i really wouldnt buy property here right now for that one reason.

[accountant]

very interesting point

[Goldenballs]

I bought a place in 2007 off plan and paid a small fortune for it, I find myself now in 2009 and the place is still not built but prices have dropped. So I guess I will be left with a 30% negative equity if it ever completes.

[Newton]

Too many to Expencive Down i think

[Busta Hymen]

The thais are weird people.... they would rather leave a property vacant for years rather than sell it for a big loss.

 

Many see huge downsides for real estate in Thailand in general and in Pattaya the hole could be even bigger. Definitely the smart money is on renting and investing elsewhere

[accountant]

was in pattaya in June. Looked at prices at real estate agents, but i cant say it looked like prices are down.

In lokal newspapers I found some private sellers who had lowered their prices up to 30% .

 

Any opinions on how the condo prices in Pattaya/jomtien are right now?