It seems like every street in Bangkok has an apartment block being built these days. New apartment blocks selling “happiness”, “lifestyle” and “freedom” are advertised on every street corner and inside every train station.
As I sigh at the concept of property ownership and marvel at the workers putting the new block opposite mine together, seemingly by hand, I wonder, is it really worth buying an apartment in Bangkok, or anywhere else in Thailand for that matter?
Though the idea of owning property and being tied to one place has never really appealed to me, at one time or another, most of us are forced down that route, either for want of stability or to have something to leave our kids.
On the face of it, buying an apartment in Thailand seems like a fantastic deal. For £40,000 you can get a decent one bedroom place in Bangkok.
If you want somewhere nearer the centre of town, you are looking at about £80,000-100,000 for a two bedroom apartment. Go rural, however, or even to the city of Chiang Mai, and you can pick up a decent one bedroom place for £20-30,000.
Getting on the property ladder at these prices is a dream come true, right? Personally, I think not. Take a deeper look at the condo market in Thailand and you'll see the false economy.
A Closer Look At What You Get for Your Money
For a start, building standards in Thailand are poor, period. I remember a builder friend of mine nearly having a heart attack when he say how the builders were constructing an apartment block opposite his hotel. But the workers aren't to blame. Low paid, and often low-skilled, they are expected to build entire apartment blocks, pretty much by hand.
Indeed the lack of power tools used is a huge concern. And it’s not like the tools aren;t available to rent; it's just that the developers want to save money at all costs.
On this very subject, just the other day a guy was sent to re-lay two tiles in my room. He was given a screwdriver and an ageing portion of cement in a plastic bag to do the job. Needless to say the tiles are already wobbling and will no doubt be cracked by next month.
Cost cutting property developers deliver great looking apartments, which will seem cheap to a foreigner. And they are cheap. In fact, they are so cheap in build quality, that guaranteed, within a couple of years, you'll need to start carrying out maintenance on your apartment.
The freehold you get might seem attractive, but truth be told, it might as well be on a short lease if the entire building is going to look like crap within 10 years.
No Resale Market
This leads me to the second reason I wouldn’t buy an apartment in Thailand. There is little, if any, resale market, well at least presently there isn’t.
Most people in the Western world buy a property because it goes up in value, yet I know a guy here who bought a condo two years ago and now cant sell it for toffee. He thought the escalating market would mean being able to flip it for a small fortune within a couple of years. No.
Why would a buyer buy second hand, when for only a few grand more they can buy brand new? There are so many developments to choose from, many offering super discounts for early takers, that the resale market is practically dead, except in those upscale areas that remain evergreen, so to speak.
Talking to a local estate agent, I am told,
“Unless you are selling a condo in a very special location, you will struggle on the resale market”.
I’m out already. Special location means paying near on what I could get a place for back home, and at least then I could safely assume it wouldn’t depreciate (I hope).
Buying An Apartment to Live in Thailand Long-Term
Well, if you do the math, and you know that your rent over 10 years will equal the price of buying a condo, then go for it. But think, will you want to stay in the same place for 10 years? And will you not end up paying out for maintenance and service charges on top?
When rent is so ridiculously cheap (when you shop around), and the owner of the apartment block takes full responsibility for maintenance, it seems silly to buy an apartment in Thailand, especially when the market is flooded and prices don’t go up or even hold their value.
What About Buy-To-let In Thailand?
It's possible, but again, ask yourself…
- Do you want to wait 10-15 years for your money back?
- Will you be able to rent the property month-in-month-out?
- Will you be able to sell it for more than you paid for it after 10-15 years?
- Will you be left with a depreciating, dilapidated hassle of a building after 10 years?
There Is A Way To Profit In The Thai Property Market…
It isn’t all doom and gloom. There is a way to turn a profit in the Thai apartment market, and that is to buy early. Some developers are desperate to secure sales in the early stages to help pay off creditors and secure further funding for the next stage of building, it also boosts popularity around the project.
This means you can get a much cheaper deal if you buy early on and, if the project is in a desirable area, then you may be able to sell the brand new apartment to someone desperate to get in on the action when all the other units have sold out.
Problem is, to get in this game you need capital and to know the right people, as I speak about in this post. You will need to buy in hotspot areas, too, and those condo’s don’t come cheaply.
You need to know the market well, because the last thing you want is to be stuck with an apartment two years down the line in an area that isn't very popular with the rental market.
There is also another huge risk to buying before completion. There have been numerous cases where the project has fallen though, the creditors have refused to lend money for a third stage of building, or quite simply an unscrupulous businessman has done a runner with the money. Okay, these occurrences are fairly rare, but be careful who you do business with.
In Bangkok, for a little under £300 per month, you can rent a 1-bedroom condo with a balcony just a few metro stops from the centre of town. And, when you get bored of that apartment, you can just move to a newly built one. On the islands you can find some epic deals on houses, too.
In my mind it's better to keep your cash in the bank, your life hassle free and your ability to around as and when you want.
If you think I am way off the mark, or that I have missed some important points here, then please contribute with your comments below. I am certainly no property expert, and would love to hear from those of you that have property experience in Thailand.
Hey, since writing this post I've written a far more in-depth post on this subject matter: Read it here.
Last Updated on
Jack says
Feb 06, 2021 at 3:46 pm
John Qin says
Feb 12, 2019 at 7:40 pm
Humam Aal-Jazaeri says
It is my desire to purchase a house for my family in your country.
Please can you help me on this?
Thank you and looking forward to hear from you.
Humam
Jan 19, 2019 at 6:41 am
alex ferdman says
Buy what you can afford to lose and I lost half a mil and still alive but I remembered--don't put all your eggs in one basket and I follow and now
sitting pretty.
Yes, I traveled all over the world and best country is USA.
Oct 11, 2018 at 7:48 am
TheThailandLife says
Oct 11, 2018 at 7:06 pm
Ben says
Apr 26, 2020 at 6:23 am
Hilda says
Vietnam is coming along
The netherlands
Spain
Croatia
Montreal
Aug 23, 2021 at 7:43 pm
Ben says
Apr 26, 2020 at 6:22 am
Tom says
Oct 06, 2018 at 5:13 pm
James E says
Oct 06, 2018 at 11:24 pm
Dmitry says
May 02, 2018 at 11:37 pm
Victor Summers says
Mar 30, 2018 at 12:01 pm
John pollitt says
Mar 25, 2018 at 5:59 pm
TheThailandLife says
Mar 26, 2018 at 4:56 pm
Art says
Aug 17, 2018 at 5:10 pm
Millennium Bangkok says
Jan 05, 2018 at 6:56 am
JB says
One reason why you might want to own a condo in Thailand is if you need to leverage. Local Banks are eager to lend, but they need some sort of collateral from you - preferably property type asset. The great thing about condos is that their 'supposed' price goes up every year - 5-10% at a time - because new condos are being built at a higher price point which prompts everybody to 'up-rate' their own condo valuation by a similar amount. So if you're in need to raise a big chunk of capital in a hurry, then mortgaging your condo(s) will ensure that your loan officer to get approval from his superior - regardless of the fact that the second hand condo market is highly illiquid and if the Banks do end up confiscating the asset then they would be stuck with it for a long time, and probably won't be able to sell it for half of what they 'thought' it was worth...
Which leads us nicely to the next reason why you would want to buy a condo in Thailand - money laundering. If you need to launder $100m of your ill gotten gains quickly, what's better than buying 100 units (or one penthouse) in a hyper luxury condo project from, say, Sansiri in cash?
OF course, if you actually want a place to live and don't want to spend three hours a day stuck in traffic commuting from the suburbs - then that might be another reason to buy ... but at the rate which prices per sqm are going up most people are only going to be able to afford a shoebox in the near future. So ultimately, I imagine that the majority of people will end up renting in the future.
Dec 20, 2017 at 5:52 pm
Mario says
Thanks.
Sep 16, 2017 at 7:25 pm
stefania says
Sep 16, 2017 at 10:48 am
TheThailandLife says
Sep 16, 2017 at 3:51 pm
David says
I really like the condo I rent. It is in a good location in Chiang Mai. The place is 38 sqm. Being single and retired, this size works just fine for me. I've lived here for 6-1/2 years and know that the building is sound and the management is better than average. They work at keeping the building in good repair. The owner has offered to sell it to me for 1.2 MB if I am interested.
Considering what I would save in rent by buying, less the common area fees and whatever maintenance I would have to do, it would probably take 11+ years to break even.
And then, of course, there is the resale issue. There is no guarantee that I will stay in Thailand that long. I love traveling and I have been keeping my eye on Prague. :)
So, as much as I like the condo and where I am located, I think I will stick to your advice and continue renting.
Thanks for providing the continuing reality check.
Sep 08, 2017 at 3:30 am
TheThailandLife says
Sep 09, 2017 at 3:37 am
James says
Sep 05, 2017 at 4:20 am
Omar says
Would you please elaborate more on the other points not listed?
Dec 26, 2017 at 6:58 am
Danny Rea says
Mar 28, 2018 at 9:04 am
Victor Summers says
Mar 30, 2018 at 12:04 pm
perry says
Jul 18, 2018 at 11:37 pm
PatrickB says
Aug 16, 2017 at 8:59 pm
TheThailandLife says
Aug 17, 2017 at 5:32 pm
PatrickB says
The condo I bought was 13.55m THB. There are a lot of much nicer designs out now that look like they will hold their value better than the one I chose (which is nice!) I chose a developer that is listed on the Thai stock exchange and as built over 60 projects. I would suggest anyone interested go only with known, experienced developers listed and with tons of completed projects. Sansiri, Raimon Land, Grande Asset, etc.
Aug 17, 2017 at 9:04 pm
feng says
Jul 14, 2017 at 2:59 pm
TheThailandLife says
Jul 17, 2017 at 4:18 pm
wael adel mousa says
1-of course u need to be far .mean u rent it for others .and u will be in another country .but u must make recedincy and renewal it wd 25000 b yearly .
2-u need to go police every 90 days to see u . it mean u must go thai 4 times per year .check how much 4 journy cost u and deduct the sum from your profit .
best regards
Sep 23, 2017 at 6:19 pm
Ole says
Biggest problem with Thailand, i think, is that all buildings have too low maintenancecharge so the buildings will "go bad" too soon and there is not much you can do about it.
I bought a 55 sqm 2009 in Jomtien. 150 meters to sea, no blocking buildings and good layout. House was ready for transfer 2011. I put it out on the market in 2014 and it took 3 years to sell. After 2,5 years i decided to make a renovation with new kitchen, new bathroom, repaint and new furniture. I could no raise the price to cover the renovation but at least i got a bid. All in all i think i dropped 15-20% of investment. House and condo was ok but no luxury.
There is no value in buying condos in any part of Thailand imo. But i think the Pattaya-area is worst. I read an article about the the builders in the area and they are sitting on 62.000 unsold units. Mostly small one beds. How can the prices start going up in the coming years .... i highy doubt that.
Jun 19, 2017 at 1:20 am
TheThailandLife says
Jun 19, 2017 at 4:19 pm
83010278301027 says
Jul 09, 2017 at 8:25 am
Mike says
Apr 18, 2017 at 10:23 pm
Muzz says
If it has to be Bangkok, my advice as given above, rent only
Apr 16, 2017 at 3:12 am
Steve says
Mind you I come from Australia, where rental values are very high.
But I think I learned two things from this piece; one, that build quality is low, leading to capital depreciation rather than capital appreciation. Two, that supply may be outstripping demand due to rapid expansion in condo development.
Apr 06, 2017 at 8:54 pm
wael adel mousa says
best regards
Sep 23, 2017 at 6:35 pm
Gus says
Feb 24, 2017 at 2:54 am
Andre Leonard says
Feb 13, 2017 at 2:09 pm
Mark Brown says
Jan 25, 2017 at 7:29 pm
Mike says
Here in England, we have that buying instinct, but I might find it hard to justify buying in Thailand, given what you say.
Feb 20, 2017 at 7:56 am
Nigel says
Apr 18, 2017 at 2:33 pm
Peter says
Jun 27, 2017 at 11:05 am
CHENG LU says
Jan 19, 2017 at 11:14 am
Daniel says
Jan 15, 2017 at 12:36 am
CHENG LU says
Jan 19, 2017 at 11:17 am
Sydneyguy says
I know a few friends who have bought a condo and are getting decent rent returns, through AIR bnb or other holiday booking engines.
Buying property is always about location, no matter if you buy in Sydney, Singapore or Shanghai.
Feb 07, 2017 at 5:25 pm
David Thompson says
The problem with renting is that you live with what's provided in the Condo, u are reluctant to spend money on a rented property whereas if u buy u do it the standard that you like.
I have brought house when it was new and furnished it to high standard and then sold it for good profit, also l buy cheap condo new with a view to renting it but ended living in it myself after l sell house and now l have sold again for a profit.
I am renting in Bkk with a view to buy in 12 months and then l will spend money to make it look good after l buy but the key in Bkk is to buy near BTS station then travel so easy and good.
Dec 17, 2016 at 7:58 am
Stephen says
Feb 08, 2017 at 9:51 pm
targetproperty says
Thank you for this very informative blog post of yours. I learned something about this and would love to read some article from you again, next time.
Well, if you do the math, and you know that you rent for more than 10 years or plans to stay in Thailand for a long time, it is better for you to just buy a condo or a real estate. For me, it is better to buy a real estate early so there's not much amortizations in it and if you don't want to live in Thailand already, then sell the condo for higher price if you want to.
Nov 25, 2016 at 9:16 pm
Simon says
Nov 07, 2016 at 4:44 pm
John young says
Oct 23, 2016 at 12:27 pm
Wannisa says
Sep 26, 2016 at 3:04 am
oracle says
Oct 05, 2016 at 3:34 am
Gary says
So, this post is a bit all doom and gloom and I for one, based on my experience, find it difficult to accept what is being suggested here. If you are in this to make a quick buck, then maybe buyer beware. But if you want to live in quality, maybe make some capital then joy wisely, centrally and it ought to be OK.
I do admit that there might be over supply now, but even so it is hard to argue with what I know about the condo I sold 7 years ago... It is all fascinating.
Sep 03, 2016 at 4:38 pm
philippe says
Dec 10, 2016 at 4:25 am
Brett says
% return in 3 years
Dec 19, 2016 at 4:38 am
Rowdy says
Mar 28, 2017 at 8:12 am
MNM says
I recently visited Thailand and fell in love with this country, its culture, its atmosphere and its people. Its my great wish now to live there. I am willing to do some investment in Thailand to buy some land or villa etc. But i want to know that in this case, what facilities will be offered regarding immigration or migration of my family from my home-country? Still i will be considered as a foreigner or i will get some rights or benefits as Thai nationals have there?
Sep 02, 2016 at 9:21 pm
P.B.Saxena says
Sep 03, 2016 at 8:30 pm
Yada says
Nov 12, 2016 at 10:31 am
TheThailandLife says
Nov 12, 2016 at 6:01 pm
Economic Mic says
There's not a lot of jobs for expats to afford such prices. And for real estate to compare Bangkok to NYC is wrong because NYC pays top dollar and people from all around the world work there . So it breaks even a little better. Also the condos people buy in NYC are twice as big. A westerner is not looking to pay a Western price outside of its country. Perhaps slightly less but not the same or higher with less space. That is not an investment!
Economically if the Housing Bubble does not slow down the inflation in Thailand from this bubble will pop and the real estate industry will suffer like USA due to greed, 2008 is a big lesson over here. And Thailand should not exclusively depend on tourism and real estate it will exhaust eventually.
Thailand has a lot of land but I see a lot of homes unfinished. This takes away the value of villages and who wants to pay to see that. That is exactly what America had in 2008 and these homes have been abandoned.
Many condos are selling a studio for $80,000 = 3 million Thai bhat. Or even a 1 bedroom with a divider. WHAT? New Yorkers are running to my state to buy condos for that price for at least 1500 square feet or more (139 sq. m). If foreign real estate companies don't change the dynamics when Thailand feels the strain of their economy they will blame farang. Only condos rented, sales slow down and many so called townhouses not completely finished. Many of their clients will go to Vietnam to invest because it looks more attractive. Just because a person comes from the west doesn't mean they want to be drained and haggled.
American soooo want to buy but the price I am looking at and for what looks like a box.
Let me know your thoughts.
Jun 21, 2016 at 11:15 pm
Condo joe says
Jul 10, 2016 at 5:56 pm
Dev says
To me it sounds like a great opportunity to Low ball for resale units since the owners are desperate to sell. its just how Low can u go?
On the other hand, if I can't get it Low enough to make me grin, then its not all that dead n doomed for the resale market isn't it.
**Btw I dun own anything in Bangkok atm....
Sep 02, 2016 at 12:35 pm
Paul says
Apart from that tulip group & Centara were meant to be a quality project . Not only is the condo 9 months overdue now where they lied to me for 6 months saying it was complete,the high quality look of the showroom to what you really get is a stark contrast. I have encountered deep gouges in stone benchtop,floor tiles you tap & hear its hollow underneath, very poor paintwork with even paint bubbling on the ceiling in the bathroom & their idea of rectifying it was another coat of paint over the bubble . Staying there for 2 months this time I noticed numerous vacant buildings even with very few lights on . I am lucky its in a central location so rent may be possible but I think at a much lower rate . I would definitely just rent again given the choice .
I even stated to them they have broken the contract they are long overdue & would like my money back at least on 1 only to hear ohh no we cant do that. I saw a solicitor & they said yes they broke the contract & yes you could win in court but if you put your hand in the crocodiles mouth you don't expect to get it back do you .
I wish for my sake & others who were sucked in I could give a positive point here but I would strongly advice at this time stay well away . The Russian investors have gone , perhaps we will get lucky with Chinese buyers the city is full of them now.
cheers
Sep 02, 2016 at 5:05 pm
John young says
Oct 23, 2016 at 12:36 pm
TheThailandLife says
Oct 25, 2016 at 2:07 pm
Pete says
Jul 18, 2017 at 7:05 pm
jj says
Jun 18, 2016 at 5:30 pm
Condo joe says
Jul 12, 2016 at 2:50 pm
philippe says
situation is not gonna improve
See below
http://www.bangkokpost.com/print/885492
Dec 10, 2016 at 5:05 am
Gary says
Property is a gamble. I agree with the original poster. Rent is best here.
I also agree on the idea of renting and when it starts getting old move to a newer unit. They are everywhere. I move all the time. When I find something I like better and newer I am gone.. :) Love it.
May 18, 2016 at 12:41 pm
Iouri says
Aug 24, 2016 at 6:52 pm
feelsometypeofway says
May 04, 2016 at 6:53 pm
TheThailandLife says
May 04, 2016 at 10:05 pm
Feelsometypeofway says
And what's pushing up demand I can give you a few examples too. Phuket and pattaya the demand is coming in from the Russians,; Chiangmai is mostly Chinese and Bangkokians lookinh for a second home or for retirement.
And as for Bangkok it's very bullet proof even the 2011 floods didn't slow the market down. Terrorists attached, martial law... Etc
disclosure: I do not own property in these cities or have any affiliation with property companies operating within Thailand
May 04, 2016 at 10:33 pm
Russian_Expat says
So nowdays Russians are experiencing a deep financial crisis. And it will take at least 5 years up to get out of there.
May 08, 2016 at 11:54 pm
Pete says
Jul 18, 2017 at 7:15 pm
assaf says
Assaf
Jul 05, 2016 at 1:22 am
Sean Lee says
Aug 11, 2016 at 4:22 pm
pah340 says
May 05, 2016 at 5:11 am
ap999 says
Maybe its just my opinion, but personally there are better investment opportunities probably in your own country like the US or UK and plenty of other places. I would stick to renting in a place like bangkok, at least for me it makes sense. I have a military pension, investment income, online income and a very healthy amount of savings. Between all these sources of income the rent is very affordable, and the option to move easily is nice to have. It would be very stupid of me to throw all my liquid savings/investment savings into one property in thailand, u know what they say, "never put all your eggs in one basket". Like i said if you are wealthy enough to buy and its okay if you were to loose a chunk of your money into a property of your own there, then sure, but if its not money you cant afford to loose then i would say its not a good idea.
Jan 28, 2016 at 4:28 pm
ap999 says
Jan 28, 2016 at 4:53 pm
Ben says
Apr 02, 2016 at 10:16 am
ap99 says
May 05, 2016 at 5:34 am
Pete says
Jul 18, 2017 at 7:18 pm
Ray says
You can literally refurbish a condo from shite to one people will want for around 100k THB.
Note: I am thinking DIY here, do not let others do anything for you because you will not get what you expect. Ever!
Sep 10, 2016 at 1:12 pm
Tim K says
Jan 28, 2016 at 3:34 pm
Karsten says
I personally know of a landlord who had gotten himself a beautifully furnished apartment before he decided to move on and rent it out. The place was gorgeous. He couldn't rent it out for THB 18,000, so he dropped it to THB 15,000 (in spite of other units in the building going for more). 3 years later he only got THB 14,000.
Out of that amount he had to pay THB 2,000 in maintenance fees to the building. Unfortunately an employee of the building apparently ran away with a good part of the money, resulting in major building maintenance not getting completed. The facilities of the building deteriorated over time, some parts stopped getting repaired completely.
To top things off, he got a termite problem. In Bangkok. On the 4th floor of a condo building. In addition to the damage of the termites, he had to hire his own termite company to take care of things (because the building pest control wasn't sufficient). Add another THB 1,000 to 2,000 per month in cost.
In the end he sold it off just to be rid of it. He probably could have gotten a better deal by just putting the money in a bank account. And a lot less hassle.
Jan 27, 2016 at 5:31 pm
TheThailandLife says
Jan 28, 2016 at 11:55 am
Karsten says
Jan 28, 2016 at 2:47 pm
Morgan says
Jan 25, 2016 at 11:15 am
Karsten says
Long story short: If they offer a rental guarantee above average returns, they'll make the money back on the purchase price or other contractual fees. No free lunch.
Jan 28, 2016 at 2:50 pm
Mark Jackson says
In the example I am talking about, you actually get just a bit less than 10%, because you remain responsible for the maintenance fee and they deduct that. So it's more like 9.3% instead of the guaranteed 10%.
Aug 11, 2016 at 9:49 am
Chickensweat says
Dec 28, 2015 at 4:17 pm
Gary says
All investments carry risk, doesn't matter what anybody says. So a sensible person does their homework and research,,, they also ask themselves questions,, why do you want to buy? Where? How much? Rental income or own use? Expected return? Risks with ownership? The bottom line is if you can balance your risk so the plus points significantly outweigh the minuses then it is a risk worth taking a risk.
It has worked for me so far, and i know of many others where it has also worked.
There are always horror stories and bad experiences, but there will be far more positive stories. They just won't all post here because they are too busy enjoying their success,,, (my poor attempt at humour).
Good luck to all who take the plunge I say. Rewards always come with an element of risk.
Jan 28, 2016 at 2:55 pm
David Nicholis says
Jan 29, 2016 at 7:18 pm
Tim K says
right now - where can i buy those? i just want to have a cheap home, where i always can come back and my computer is waiting for me. im 27years, but walking from apartment to apartment makes me "sick". i never really feel home, wherever i am on this planet. so where do i find the 2ndhand market? i always look for apartments in BKK or HKT (kata area) but just find sweet brand new ones, >2M. i just want to have a small 40sqm place to say "this is home". but for 2M baht, i can buy that place back home in germany and call it "real home" (but without sun)
Dec 14, 2015 at 5:40 pm
Gary says
Just make sure you go to the condo block, ask to meet the condo manager, and ask if there is a committee and who the members are.. Also, use the lift and use your eyes,, if the building looks rough and unkept then it probably is, then just walk away.
However, if the above things pass your test then you can ask to view properties for sale.
Not sure what else you can really do,, its what I do. I am buying 2 more condos shortly to add to the 3 i have already purchased. These 2 new ones are bigger, 65 sq mtre, solid building but 18 years old. Building looks solid and well kept, met the condo manager who is sitting at his desk everyday.
So, for me good investment as I will get approximately 12,000 baht a month per condo,, not big money but I am not spending big money,, not by many peoples standards anyway.
When you want to find these places you have to google private ads and travel around yourself. Most agencies in Bangkok will be pushing to sell new or not yet completed condos where the sale is curative for them.
This is website I sometimes use here,,
http://www.expat-condos.com/1-million-baht-condos-pattaya.html
Have fun and good luck to you my friend...
Jan 28, 2016 at 3:08 pm
Himmy says
Some articles I read explain that foreigners can only own 49%
Oct 29, 2015 at 11:20 am
TheThailandLife says
Oct 29, 2015 at 11:49 am
Berto says
Value for money is very bad. You can buy cheap stuff but is garbage.
To answer your question you can't own land or houses in Thailand, many get married with a local and transfer property to the wife, who after a while, will steal everything from the husband and run away.
Nov 04, 2015 at 6:59 pm
TV says
Ideally, if demand goes down prices will go down accordingly. In most Western countries real estate prices rise and fall.
However, in Thailand a different kind of logic is applied. If demand is low prices often go up. In some Bangkok districts not even 10% of newly build condominiums are sold (Bangkok Post, 2015). If tourism is down Thai people in tourist areas also tend to raise prices, enforcing a negative spiral. This - to me strange - logic can been seen in other (non Western) countries as well. Examples are China and many former Soviet economies Russia, Belarus, Kazakhstan).
I am very pessimistic about real estate in Thailand. After the 1997 economic bubble rich Thai tycoons have invested heavily in real estate. It is starting to look like a real bubble. Most Thai people simply do not have 2-3 million baht for a box (24-26 m2 for 2+ million, wow). Household debt is close to 90% of GDP (and pretty much non of it is due to mortgages) which is really high considering the fact that Thailand isn't a highly developed country. This makes it even harder to buy an apartment for most. Let's not start about the interest rates on mortgages.
I personally think economic growth prospects for Thailand do not look that great either. Labor productivity is low, the education system is a mess and corruption is endemic. On top of that the political outlook isn't that great which isn't good for FDI. The nation's economy seems trapped for the moment. I am not a Thailand basher. I hope serious reforms will take place. I just think it is really challenging and the global economic outlook is pretty gloomy.
In conclusion: I wouldn't buy anything new unless it's in the top segment of the market. Trying to find a second hand condominium sounds like a better bet if you are able to lower the price by 25-30%. Buying a house in Europe (excluding Scandinavia) and renting it out sounds like a better bet to me.
Oct 28, 2015 at 5:19 pm
TheThailandLife says
Oct 28, 2015 at 10:07 pm
Shaun says
Dec 02, 2015 at 10:31 am
Modern Nomad says
Oct 17, 2015 at 2:07 pm
philippe says
Dec 10, 2016 at 6:02 am
Gary says
I know a millionaire who invested in "dozens" of condos in Pattaya only to see a huge courts case emerge that the building was built without legal planning permission (how this happens God only knows). So, just before completion everything grinded to a halt. You only have to google to see how many cases are going on just in Pattaya, frightening.
So, what do you buy? Well if you are buying for yourself then it is all about peace of mind and security, the market now is down and looking gloomy so bargains are to be had. But do not buy if you are thinking short term, might as well just rent.
For buy to let then this is still a viable option as the post says people are choosing to rent.
In my view (and this is what i did), cheap rentals will always rent out no matter what the economy does. and I mean under 10,000 baht so cheap.
If the economy is rising then everyone can enjoy, if the economy is falling then people economise and look for cheaper accommodation.
So, I bought 3 condos in an older, established block that needed some renovation. I bought each condo from a family that inherited them for a bargain 550,000 bhat each. All are 40mtr sq but they were empty shells. So I then spent 150,000 each renovating. So far spend on each 700,000 baht.(2,1 million baht)
I renovated and rented all 3 condos for 22,500 baht a month (7,500 EACH). Rented them all out within 6 weeks on 1 year contracts. So I get a 12.2% yield, much higher then any new build and bank.
So, my strategy and advice is if you can find an older established condo in a central location, check for some bargains as their will always be somebody who wants to offload quickly in todays market, buy, renovate then rent them out.
If in 7 or 8 years from now I want to sell, well I have my money back so can afford to discount, or just keep renting them out.
There are always people looking for cheaper rentals the ones that I see struggling are the new, tiny 25sq mtr condos in the new blocks with rent of 15,000 plus a month and there are many.
My condos, nicely renovated, central location, 40sq mtr, 7,500 a month, so far it has worked well. All being well I will buy again in the near future and try and build a reasonable income.
Sep 30, 2015 at 8:41 am
TheThailandLife says
Sep 30, 2015 at 11:31 am
Gary says
They key for me is pretty obvious, if you are buying in an older building firstly see how well its managed (if this is hard to answer and you can't get to the committee or condo manager then bad sign) and 2 study the rental income you can expect and be realistic.
True the building will get older but not so much in 7 or 8 years.
As I stated I am making a 12.2% yield which is far higher then i could expect in the West and a much better return then any bank.
It is perfectly possible to make money but you do need to buy at the right price, do your homework and be patient.
Sep 30, 2015 at 12:14 pm
TheThailandLife says
I just read what you wrote again and stand corrected.
That's impressive then. I guess the key is picking the right building. I don't know much about building materials so that would be an obstacle for me.
Sep 30, 2015 at 12:35 pm
Gary says
It has regular maintenance on the lifts and electricals. They have recently repainted the building. The building has CCTV at entrance, lobby area and on every floor,, there are many other things that I won't bore you with but it is being maintained.
Also, dont forget although condo prices may go up or down if in say 10 or 15 years the condo is ear marked for demolition the land prices have increased massively. So, if the land were to be sold or redeveloped then of course I would benefit from that.
I guess everyone has their viewpoint, but so far things are working ok for me and (no disrespect) I hope I am right and you are wrong.
thanks
Gary
Sep 30, 2015 at 12:45 pm
TheThailandLife says
Sep 30, 2015 at 2:20 pm
Glynn says
Ive been looking at buying a condo there for a while now.
Tell me how do you find a reputable and honest agent and lawyer ect to deal with and make these property transactions without getting ripped off or paying to much ?
I suppose a Thai partner would help?
Nov 01, 2015 at 8:20 am
Gary says
My advice is find the property yourself. Most agents won't bother with properties under 1 million baht because they don't see it worth their time so it is not easy to find online.
I simply travelled around the areas in central and found a few condo blocks that looked reasonable. Then started digging. I did find however, as soon as you mention to one of the office staff that you might be interested in buying they immediately say, "oh my friend is selling one". The reason they do this is because they want to put themselves between you and the seller to earn easy commission,, i know it sounds cynical but its true I'm afraid.
So, I ask for the owners details so I can speak to them.
Once I have found somewhere then you need to do the checks on the property and check there s not debt secured again it or anything. Need a lawyer to do this. Then assuming every things ok, agree the deal with the buyer and get yourself over to the land registry office with your lawyer and the seller and do the paperwork.
At this point you can't really be ripped off because the land registry just process the paperwork to put the property legally in your name.
The only thing you can do is perhaps pay a little extra to jump the queue because you can be there a while.
Then you are given the deeds which you store safely of course and away you go..
So, not difficult really. If you look around central Pattaya from 2nd road up to Sukhumvit and drive up and down the sois you will see many condo blocks.
My feeling is that if it is well managed you will easily get to the condo manager and the committee,, if you fail to get past the secretary then be cautious as there may be no one really in charge.
Good luck fella,,
Nov 02, 2015 at 2:45 pm
Mami says
I've stayed here more or less 5years and started thinking about purchase one but compare to my country, it is over priced and can you vision after 25years of Thailand?
Where this ASEAN things go? How much of economical development in Thailand can be expected?
If not your future investment, only for your vacation, and if you come up with positive calculation then should do.
Mere my opinion.
Sep 21, 2015 at 8:22 pm
Atiqul says
Aug 18, 2015 at 4:40 pm
Mark says
Aug 16, 2015 at 9:17 pm
TheThailandLife says
Aug 16, 2015 at 9:36 pm
Mark says
Aug 16, 2015 at 9:52 pm
TheThailandLife says
As an example, I found this for 50k a month: http://www.ddproperty.com/en/property/2-bedroom-condo-in-pathum-wan-bangkok-1423067
89 sqm in Chitlom. Not sure how close to the BTS though.
Aug 16, 2015 at 10:05 pm
Gary says
I spend less then that each month to live and i live well.
As per my previous posts I invested approximately 70,000 USD on 3 cheap condos that i now rent out. They generate 22,500 baht a month income (so about 650usd a month) not a huge amount but good for the investment money.
But even then it is only 10% of your pension every month.
It's really up to you, the worlds your oyster, enjoy your life as it appears you have provisioned well and have earned it.
Sep 30, 2015 at 12:25 pm
forzy says
I just landed on this blog for the first time.. If you haven't made up your decision about whether to buy or rent, you are welcome to visit my agency Sense Property Group, located in Sukhumvit 31 (Soi Sawatdi opposite Sunshine Market).
Beyond the classic considerations of pros/cons of each option, I believe it is important to emphasize that with the historically low THB against USD and CHF - among other currencies - we have seen recently a strong increase in the number of requests from foreign investors, either expats who live in Bangkok, in neighboring Asian countries (Singapore, Malaysia, China, Hong Kong..) or who simply consider retiring here, mostly from Europe and the US.
Once that said, investing in property in Thailand requires patience, reason, and market insight. I would recommend to buy on the resale market, where you can find very decent condos for 100 to 150K THB / sqm.
You can also contact me directly at bastien @ senseproperty.com
Best regards,
Bastien
Oct 14, 2015 at 5:37 pm
ap99 says
May 05, 2016 at 6:23 am
Pam says
Aug 13, 2015 at 10:44 pm
TheThailandLife says
Aug 14, 2015 at 12:36 pm
TheThailandLife says
Mar 01, 2015 at 6:25 pm
Sally says
Feb 27, 2015 at 7:39 pm
TheThailandLife says
Feb 28, 2015 at 1:40 am
Sally says
Mar 01, 2015 at 1:39 pm
Observer says
The investment case. If buying to let your property, you must look at the return after costs; monthly maintenance fee, repairs, including downtime when your unit isn't rented etc , etc. Compare this to mortgage interest rates and term deposit rates. e.g. recently bought a well located condo in Chiang Mai and the yield after maintenance fee is about 5.6% which I consider only OK. I am not up to date right now with interest rates in Thailand but one can look them up.
I think location is V important. If one doesn't buy in a good location anywhere in the world, your property is less desirable and may be harder to rent or sell.
I think one vital long term issue with condos is the outside building maintenance. Maintenance inside your unit isn't expensive in Thailand but finding good tradespeople can be a hassle. However maintaining the common facilities of your building means going into issues of the controlling committee etc. etc. There are often issues with this as all over the world. In Thailand in general you can notice that most condo. buildings over the long term don't have enough spent on continuing maintenance of the building and common areas. Top end properties its usually better.
Condos. in Thailand are easy to buy and slow/hard to sell. Most Thais buy for capital appreciation and not for yield. Buying off the plan and 'flipping' is popular. All good as long as properties are going up.
Property is an inflation hedge. Are we headed for deflation like Japan who will money printing eventually cause inflation? I don't know. Anyway one usually should own some property somewhere as a hedge. Gives some security in old age. Key aspect is buying at the right price. For investment, adopting the adage buy low sell high, or contrarian stance can be a guide.
Cheers
Oct 10, 2014 at 4:57 pm
pik pie says
Aug 03, 2014 at 7:18 pm
TheThailandLife says
Aug 05, 2014 at 2:44 pm
alibaba says
Jul 06, 2014 at 1:23 am
TheThailandLife says
Jul 06, 2014 at 12:24 pm
Old sailor says
From my point of view however there are some BIG considerations that haven't been taken seriously into account.
I should start by saying that perhaps the real important decision one has to make is not Buying or Renting a condo in BKK. Or elsere. But how to INVEST wisely your money.
Let's say somebody ( Who loves to live in Thailand ) have savings around USD 300k or 10M bath. What are the real the available options to INVEST this money... ??
As many already said , leave the money in the BANK. Another option would be Invest throught the BANK. In addition I will say that you can also invest in stocks, bonds, mutual funds, etc, etc, etc, by yourself. Why not...??
The only problem is that if you simply leave your money in the bank in 10 years time you will have the "buying power" reduced by at least 50%, And at that time you will simply not be able to purchase the same condo you CAN today. As sure as the sun will shine tomorrow.
If you decide to invest through the bank be also aware of the "purchase fees" and management fees that sometimes can get nearly to 5% or 6% of the amount invested and the yearly returns nowadays can be very close to that so in the end of the day after 10 years time you will end up with the same 50% buying power situation and NOT being able to buy the condo again.
Since I am young and throughout my live I have continuosly invested in real estate EVERY TIME I have made enough cash for the purchase.
As a result having properties in different countries obvioulsly lead to a good sum of headaches too so I decided to stop purchasing real estate and do financials INVESTMENTS.
I took this decison around 2005 and on 2008 the great financial crises came.
To make the long-short ALL my Stop losses were hitten and I lost in a matter of days almost everything I had invested. Something around USD 250k. BTW the value of a nice 2b/2b anywhere in the world.
What remained....??? THE PROPERTIES. And the income generated by them.
It is now taking me almost 6 years to get the same point I was before needless to say that today for this amount I cannot purchase the condo I was planning by that time.
It is my opinion that most of the people who replied here in fact DON`T have disposable money to purchase and that is the main reason they ( have to) opt for renting.
This year I arrived again in the same situation of the USD 300k / 10 M THB disposable funds.
I purchase 1b/1b 42sqm in a busy area of Sao Paulo - Brazil 1b/1b 55sqm ethernal SEA VIEW in a very well mantained 14 years old condominiun in Patong, Thailand and a 2b/2b in Bonifacio Global City, Phillipines which gave me as a gift permanent residency !
What about the reseal value....???
Anyone really believes that in 10 yeras time these condos will be for sale for the same price...??
Another rule of thumb in regards to reseale value : Real Estate you ONLY buy NEVER sell.
I hope i have contributed to the forum.
Take care out there ;-)
Jun 24, 2014 at 4:42 am
TheThailandLife says
Jun 24, 2014 at 10:31 pm
Gary says
Nov 02, 2015 at 2:59 pm
mikey says
Jan 01, 2014 at 10:35 pm
TheThailandLife says
Jan 01, 2014 at 10:54 pm
Consider Your Context says
The comments here are all helpful, particularly TTL's original. My bias is also that in BKK renting is best, for most.
That said, if a reader is seriously in the market for a condo, the comments here are, no surprise for a general forum, a bit uninformed and incomplete. A serious buyer should not necessarily be put off, but rather energized by TTL's original post to thoughtfully consider all aspects of a buy in Thailand.
Consider Your Context. Most of the comments here are spot on especially for singles, those with lower budgets (e.g., <THB 15k/month rental), those willing to live in small rooms (Studios or 1BRs, 30 sqm or 60 sqm), and those with a shorter time frame, who expect to be in BKK 10 years or less, or cannot be sure. TTL was clear on all of these points. Those with families, a need or preference for larger space, a desire for a proper kitchen, a preference for a view, or a larger savings (but not the to include the rich) might - but not necessarily - find the economics of ownership turn in their favor.
Compare to Cambodia. For those considering buying in Thailand, you might take the time to compare Cambodia first hand, which is to say by actually going there, not just an Internet search. That can be an eye opener, and will reinforce TTL's original comments. The ROC (return on capital) there is phenomenally better, and the cost of living lower. If you were buying with the idea that you might, for whatever reason, rent later, and eventually sell, you might find certain areas of Cambodia (PNH, SR, SHV, etc) far more attractive for potential rental income, legal right to property, and likely appreciation over mid term (15 years). TTL is absolutely correct that the ROC in Thailand is, for most buyers, negative, and will be for decades to come. Comparing what you get there with Thailand will be sobering, and ensure that you are buying in Thailand for the right reasons, if you do.
Don't Forget Fees. For the Condo Buyer, this thread to date may have also overlooked the cost of monthly Common Area maintenance fees: they range from THB 800 to 1.5k to 3k per month, depending on size of unit. (They are, of course, all at psm, but for general readers the range above is perhaps more useful.) Beyond that, you have the cost of Internet, Cable TV, etc. It adds up very quickly. As a rule of thumb, for the owner of a 60 sqm condo, expect to pay at a minimum THB 4k per month in fees that are included/not apparent in your rent. The Buyer must also pay a large one-time initial payment to the Condo Fund, again on a psm basis. Ownership does not mean "rent free".
Tenure Matters. Ownership of less than 5 years incurs a tax penalty in Thailand. Beyond that, as in any country, anticipatable tenure is a key consideration in any buy vs. rent decision.
Size. Don't forget the Townhouse/Detached Home rental market. This is where, if you are willing to forgo the condo swimming pool, you will get even more value for your rent. If you add in a willingness to buy your own motorbike (ie, you're here for a few years), you could get a really good space in one of the Housing Developments, which have green space, under-used swimming pools, and kids.
Outside the Box. Don't forget the share rental condo or room in a home. This is an under-utilized gem here in BKK, which makes renting even more attractive.
Your Neighbors. One point is often overlooked that weighs heavily in favor of renting: BKK Thais can be incredibly petty and rude. This is not only to foreigners, but even more to other Thais themselves. When foreigners rent, it often is in an Apartment that competently manages the building, enforces hallway rules (e.g., garbage, etc), has polite guards, and generally does things to treat all tenants equally and deferentially. When you buy a condo, or even rent in a condo building, that is designed for the Thai buyer (ie, in the range of 3 million or less), you may find a decidedly eye-opening experience: middle-class Thais that are strident and shrill, security guards that are on the take, usage rules that are badly enforced, common areas that are unkempt and in disrepair, swimming pools that are overrun with bad behavior and multiple guests. The non-monetary costs of ownership are, for many would-be owners, the most powerful reasons to continue to rent.
You can live phenomenally cheaply in Bangkok, and this includes rent. But you have to work at it. The reality is that Thailand has gotten expensive. The daily commute for many is now 200/day (4k/month), as just one example. Bang Na, Ding Daeng or Nonthaburi have great bargains, but can make for an expensive commute. For those working, both foreigners and Thai's, BKK is often the only choice, so the pressure for space will continue.
But what if I'm a serious buyer? Might that change the economics? To be fair, let's make some assumptions that are realistic. These might include the following:
1) Tenure: I expect to be the owner of my Thailand Condo more than 10 years
2) Size: I expect to buy a condo of at least 60 sqm, at least 1Br/1B. Even this is a bit "unfair" to the Buy/Rent equation, as most foreigners who are serious buyers would be looking for even more space. The economics of buying tilt even more in favor of Buy with a 2Br/2B, but let's keep it at 1/1
3) Budget: I have savings now that I could buy a THB 2.2 million condo today. This again is a bit low. The serious buyer would honestly have a budget of THB 3 million+
4) Mortgage: I do not need a loan or, if I do, I can get a loan from my parents or an equity loan from the property I already own back home. Alternatively, I have an employer here in Thailand that will act as guarantor on my purchase and enable me to get a 25 year loan here in Thailand with 30% down payment. (This has happened for foreigners, but is unusual.)
Would these modest assumptions make Buy the better decision? Not in all cases, but certainly - especially for the long-term or family buyer - the economics get much better.
Size. For a 1Br/1B at 60 sqm, you might rent in BKK for 15k. A 2Br/2B might be 25k+. 15k for 10 years = 1.5 million (after fees). During that time, your rent would probably have gone up. Thus, at 1o years, you get to about Break Even, where if you had bought, you'd now be close to living rent-free + 3k monthly maintenance fee. 3k is not nothing, but is in reality the same amount we might pay on a single nice dinner for 2. BKK has a lot of small units available in the 1.5 to 2.2 million range.
Own to Rent. The comments to date may have mis-stated the rental market. For the savvy owner, it can be fairly easy to attract good tenants, and there are plenty of would-be tenants in BKK.
Without question, BKK is a Renter's market. Beyond condo's, there is a huge and growing stock of rental apartments (ie, for Thai's and budget foreigners). A few even have swimming pools. But if you are market savvy, and most reading this forum are, and buy your condo at an appropriate price, you will be able to rent out your condo on average for 10 months per year over a 5 year period. The key is to simply do the small things to make your condo nice, market the condo well, and under-price the market. These are things that few condo owners in Thailand do.
If you owned and lived in your condo for 10 years, then decided to rent it out for whatever reason, that 60 sqm 1Br/1B would rent fairly quickly at 12k per month, and give you the pick of reliable tenants.
Quality of Construction. The comments on Condo Construction are a bit mis-leading. Most of the comments relate to the non-high-rise buildings (fewer than 7 floors) done by owners of long-held family plots. These are not Condo's, but rather rental apartments, townhouses, or detached homes. By contrast, most Condo's are 20+ floors. These have the quality of at least what's making the news these days in Qatar or Dubai...which is to say the minimum. However, to be honest, if I were a Singapore buyer, I would not at all be confident that the building standards of the Indian crews working in Singapore or London are all that much better or held to a significantly better building standard. Singapore, and not Bangkok, is where a building has collapsed, and that caused all building standards and inspections in the region to be tightened.
The deterioration TTL refers to is really the interior components - PVC pipes that crack and cause water damage; built-in cabinets that look like crap; kitchen and toilet fixtures that scream 3rd World quality; flooring that cracks and warps. But from the Condo Buyer's perspective, these things also have positive points. With the cost of labor here, they are all fairly easy to replace or update. They make your initial Condo purchase a bit easier. Damage to other units (e.g., water damage to the unit below) is readily repaired and not the major incident it can often be in Europe.
The real worry about "quality" is - beyond the tiny little shoe boxes that are being built these days - the disappearance of your view. This is a huge risk for all new condo purchases in Thailand, and should be considered thoroughly. To be honest, you will most likely lose your view over 2 decades in mushrooming BKK. Most mid-range buyers are better getting a lower floor with a swimming pool/garden view, and not spending any money on a view.
Resale. As mentioned, the secondary market is terrible. At best, after 10 years, you will get what you paid nominally, before inflation. Those who are forced to sell after, say, 5 years, will sell at a loss.
So what is the strategy for buying a condo? Well, it is surprisingly bright, if you have the right context and perspective. Renting in BKK probably is best. But if you are looking for more than a "Thai-style Studio", but are still just a middle-income buyer, a buy strategy might look something like this:
1) Buy in the Secondary Market. If you are a serious buyer, you have a wad of cash in savings. You will find incredible bargains in used condo's. Look especially for buildings that are 5+ years old (Thai sellers want to wait 5 years to sell for tax reasons)
2) Negotiate hard, and be prepared to walk away. Thai sellers tend to be incredibly unrealistic. The listed price will be at least 30% too high, for no particular reason. Do your research. Find the price psm for that building/unit at time of off-plan sale (ie, two years before completion). The original owner can go as low as this, and often is willing to, just to get their original investment back and avoid another year of monthly maintenance fees with no tenant and no appreciation. If they stick to a high price, they are not serious about selling, and are just hoping a stupid foreigner will buy - certainly no Thai will. Get a good bargain, or walk away.
3) Consider a 20 Year Old Building. Some of the best space and price psm is available in the older buildings, and the quality can even be a bit better - without all the modern Chinese materials, etc. Don't hesitate to go after an "old" looking unit, bargain very hard, and invest 200k to fix it up.
4) Don't Necessarily Follow the BTS. Yes, of course, the BTS is a draw. It has its well reported good points. But the BTS is not exactly bargain cheap transport. Many places "near" the BTS are actually a scruffy 10+ minute walk. Beyond being more expensive, many BTS locations are noisier, smaller, without views, and congested.
Instead, consider following the Bus routes. This, I believe, is the unrecognized location opportunity these days. Of course, the bus transport of today is pretty bad. But even this standard is not all that bad, for those of you who have to commute everyday. And the buses will be upgraded big time during the next 10+ years.
More important, "bus route" locations have two big advantages over BTS locations, which buyers often forget: a) many, many potential Thai tenants have cars and want to drive to work; b) many potential foreign tenants, and perhaps you also, have many times that you want to take a taxi home instead of BTS, or might be in a group. In both instances, a Condo outside the BTS locations can be far easier to access. Considering the hassle (10 minute walk or 20 baht moto ride) of getting to BTS and cost once you're there, a commute location near a 10 baht bus route could be a nice alternative, at least for the hardy. They might even all have air someday.
For the really adventurous, a non-BTS route might also allow a convenient bike ride to work. Quite a number of the non-BTS locations are served by larger roads, which have more space to accommodate cyclists. Even if a bicycle is too much for you, buying a nicer condo for your budget outside the BTS area, getting some green space, and commuting sunny days by motorcycle may make much more sense. Alternatively, avoid the BTS by paying more for a place within walking distance to your work. Walking to work is heaven.
5) Don't Forget University Locations. While not quite the value of Western university towns, Thai University locations have a number of benefits for a condo buy, including in terms of nearby activities.
6) Invest in a Cocooning-Friendly Place. All other requirements met, the key to making a Condo purchase work in BKK is to pay a little more for a place with facilities that you can really enjoy. Most Thai's rarely use the Condo facilities. You will often have them to yourself. You can save yourself a ton of money by finding a place where you can be happy with your mate to stay on the grounds and open a bottle of wine, have dinner, and hang out at the pool. Here again, also, the non-BTS locations can help, too. Many have more space, are located near the newer shopping malls, and have more local flavor, restaurants, and street food nearby.
I bought my first BKK condo in 2000 (4Br/4B on 33rd floor in LPN development). It has been a phenomenal investment. But this was for only three reasons: 1) I bought in what was at the time an "odd outlier" area (Rama III, near the river and the original Tawandaeng); 2) I held it long enough for it to become a core part of the CBD (now considered part of the Sathorn area), 3) I bought it at a really cheap price. Buying cheap is most important.
If I was to do it today? I would definitely buy in the secondary market. There are some great bargains available here. I would buy a low floor with a pool view, and not risk the loss of view. I would look for an older building with a bit of space, and try to stretch my budget to get a 2Br or 3Br. I would look to see if there was something around the various schools, especially the outlying ones: ABAC, NIDA, Kasetsart, Siam, etc. I would consider to do a motorcycle commute, if I had to go to an office everyday, but also consider the ease of a bus/moto commute along the Rangsit Cooridor, including close in at Saphan Kwai/Bang Sue or even as far out as Kasetsart U or even Thammasat Rangsit. I would also look over in the area of the new Tawandaeng (Ramindra/Laksi). If I was to buy new, I guess I would look near Bearing/Bang Na or Nonthaburi, but beware your views. I would not be thinking seriously yet about Nakhon Nayok or Ayuthaya, unless I happened to work out in those areas.
But if my horizon were not at least 10 years, I would definitely not buy.
Dec 19, 2013 at 8:00 am
TheThailandLife says
Dec 21, 2013 at 7:24 pm
Kyoko says
Love this one, great view point, I have been investing in Real Estate since I was in my 20th, I own apartment building, beach house etc. all in great location, read what you wrote, I have to say, you are a smart investor.
I love South East Asia especially Bangkok, I am interested in and plan to buy a low rise old condo and do my own renovation, I'll follow your advise, the matter of fact, so many great ideas in your block, just what I am thinking too.
Thank you so much for sharing all of these great view points, greatly appreciate.
May 28, 2016 at 2:04 pm
tim says
May 28, 2016 at 5:38 pm
Kyoko says
I saw one, she wants 3.8 Millions, only 50 m2, I agreed, but after two days the seller changed her mind.
I guess, I have to wait until next visit, it probably in fall, or winter which is around September or December, hopefully I can find something the next trip.
May 31, 2016 at 12:54 am
Henry says
Aug 27, 2013 at 5:07 pm
TheThailandLife says
Aug 27, 2013 at 10:39 pm
Ap999 says
May 26, 2013 at 4:48 pm
Ap999 says
May 26, 2013 at 2:47 pm
TheThailandLife says
May 26, 2013 at 4:24 pm
Ap999 says
May 26, 2013 at 2:26 pm
valdo says
Apr 20, 2013 at 12:00 am
TheThailandLife says
Apr 21, 2013 at 3:55 pm
valdo says
Oct 03, 2013 at 12:53 am
TheThailandLife says
Oct 03, 2013 at 9:05 am
do ron says
hi mate, pound vs baht is something i try to watch /predict as i can see my self retiring in thaialnd maybe in 12 years or so , not doubting what your saying just wondering on what grounds you base your opinion on?
i think your assesment of the thai condo market is correct certainly in phuket , where rent is cheap but buying a condo is big £££. i k now of people who have purchased condo's recently and lost 20% in resale
Jan 12, 2013 at 11:55 pm
TheThailandLife says
Jan 14, 2013 at 8:27 pm
Magnus Magnusson says
I am, despite the warnings, wondering whether or not to buy a central Bangkok apartment for retirement. (warm weather, international hospitals, good food). Assuming that the Thai Bhat will appreciate against the US$ and the Euro, it might be a worthwhile investment. How is the resale market? What price difference between 'new' on 'second hand' is necessary to sell a property again.
Regarding 'built' quality, I agree to a previous comment. Most structures are reinforced concrete. The interior of an apartment has to be redone from time to time, this is normal, also in HKG and Singapore. My worry is more on the repairs which I cannot directly do, e.g. water supply, drainage, elevators etc. Any experience there?
What are typical management fees in Thailand?
Jan 12, 2013 at 6:24 pm
TheThailandLife says
Jan 12, 2013 at 8:11 pm
Jim O brien says
Any advice greately appreciated!
Dec 07, 2012 at 7:51 am
TheThailandLife says
Dec 14, 2012 at 7:36 pm
Marco says
Dec 02, 2012 at 10:27 pm
TheThailandLife says
Dec 14, 2012 at 7:38 pm
pik pie says
Aug 04, 2014 at 8:51 pm
TheThailandLife says
Aug 05, 2014 at 2:49 pm
hank says
May 28, 2012 at 6:13 pm
TheThailandLife says
May 28, 2012 at 7:41 pm
Atiqul Islam says
Please if you have any sajatiob or if you know any agency who can take care of the whole deal please let me know. Thanks Atique.
Oct 17, 2015 at 11:10 pm
Mark says
Im really glad Ive found this site. I was looking to buy a small condo in Thailand this year and i have booked a holiday for October and thought i would do a bit of looking round while i was there. I think i'll stay round the pool.
Some of the points raised did make me think hard about a purchase, i love thailand, i love the culture, food and people and i also love the fact its cheap, i want to retire early and enjoy my life and i thought if i bought somewhere it would be cheap for me to live but i'll keep my money in the bank and rent i think.
Can anyone recommend a area to look? im after somewhere thats not rowdy, not seedy but not too quite, im going to Khao Lak for a holiday and that place sounds right up my street but any suggestions welcome.
Thank you
Mar 13, 2012 at 2:57 pm
TheThailandLife says
Mar 13, 2012 at 4:10 pm
Succubus says
... so it might last another 20-30 years
Feb 26, 2012 at 3:46 pm
banksy says
Feb 18, 2012 at 8:04 am
Fatboy says
Feb 06, 2012 at 5:34 pm
TheThailandLife says
Feb 06, 2012 at 5:44 pm
Bernard says
It's depend the place,the view,the storey,the neighbour,subway or not etc......
Bkk and thailand are a future country where everythings will be possible in a future it's why I think if you've an oportunity an money to buy a condo and if you fell it,DO IT!America and europe are now close to becoming the past.
Jun 28, 2011 at 7:22 pm
TheThailandLife says
Jun 28, 2011 at 8:56 pm
Kik says
So why not buy second hand then ?
Buying at a low price, living in it, and then selling it later at a low price. Be happy.
Apr 03, 2011 at 6:21 am
TheThailandLife says
Apr 03, 2011 at 9:19 am
Kik says
Concerning overlander24 comment, of course a cheap kitchen doesn't last 20 years, but that's to be expected and not a problem. A condo needs maintenance that is true, and renting makes a lot of sense in Thailand (and in most part of the world I believe).
I don't recommand buying condos. I'm just pointing out that you cant say condos are expensive to buy and that they have a cheap resell value at the same time. The second hand buying price is obviously the same as the second hand selling price, this price can't be cheap and expensive at the same time :)
Apr 03, 2011 at 8:09 pm
TheThailandLife says
Apr 03, 2011 at 10:27 pm
Overlander says
Developers are asking silly money for Bangkok condos these days but, at the same time, market rents have fallen.
Instead of buying a condo, I invested my own capital in a high-interest fixed term bond back in the UK and used the income to rent an apartment. Initially, it was a nice place but, when cracks appeared in the walls, the sanitary fittings deteriorated and the kitchen units fell apart it didn't look quite so good. The last straw came when the army designated our soi a "live fire zone" during the red-shirt demonstrations. We were trapped indoors without electricity or running water for several days as the bodies piled up outside.
Needless to say, we moved out as soon as we could and are now living in a brand new rented apartment in a quiet riverside location. Had I been reckless enough to buy my previous flat, I would have been stuck there for the foreseeable future because the property market in that area has all but collapsed.
Despite the fall in the value of the pound, the decision not to buy has left me better off financially and I also enjoy the peace of mind that comes with not having to live in a potential war-zone.
Apr 02, 2011 at 8:03 pm
admin says
Apr 02, 2011 at 8:54 pm
Ubonrthai says
Apr 02, 2011 at 11:51 am
admin says
Apr 02, 2011 at 1:54 pm