A complete overview of the Thailand real estate market

All tourists visiting Thailand, sooner or later ask themselves the same question: “Is it possible to invest in real estate in Thailand, what is better, an apartment or a house?” If one regularly spends winter in Thailand for several months at a time, it is worth considering buying a home, and for this procedure, of course, you have to pay Thai tax.

Let’s take a closer look at a common real estate purchase option – buying an apartment in Thailand. This is a serious step that requires detailed study of all the nuances associated with the issues of pricing for real estate in Thailand, payment options, nuances in the registration of property rights, but first of all, you should decide what you are going to buy.

Buying an apartment in Thailand

There is a legal difference in the registration of real estate – these are houses, land and condominiums (apartment blocks). According to Thai law, farang can buy a condo in Thailand in his name and he will be 100% protected by law and the state.

Condominium in Thailand is a modern building, a complex of structures, several dozen stories high with restricted access to outsiders. In this type of real estate is done so that the residents feel quiet, comfortable and safe. There is 24-hour security, maid service, and 24-hour security, plus the ability to use additional services for a minimal fee.

Condo in Thailand

When you buy a condo in Thailand, you buy a package that comes with the condo and is paid for from the utilities:

  • free parking;
  • gymnasium
  • pool
  • tropical garden.

The big plus is that there is no property tax in Thailand, all you pay for the apartment is the maintenance fee, which just goes to cover those costs of parking, security, pool, garbage disposal, etc.

Classes of condos in Thailand

High class. Implies an apartment in a high-rise building by the sea with obligatory access to the beach, very developed infrastructure of the project (gym, restaurant, swimming pool, parking, security, etc.). The price for such housing in Thailand will start from 90 thousand baht per square meter. For that amount you get a fully ready to live in an apartment with the highest level of finishing and partially furnished with cabinet furniture.

Mid-range condo

Middle Class Condominium

high-end condo

High-end condo

Medium class. Very popular among foreigners, as it is as good as the quality of finish and quality of construction of high class condos. Such real estate in Thailand will be within walking distance from the sea (250-400 meters) and the price will be about 40 thousand baht per square meter.

Economic class. Property with cheaper finishes, infrastructure, distance from the sea a kilometer or more. Prices for such properties will start at 25,000 baht per square meter.

Buying a house in Thailand

Buy a house in Thailand for foreigners is a bit more difficult because it is on land, and land in Thailand they are not sold. The land can be registered to a Thai company or Thai. But there is a certain scheme, which has been practiced for more than 30 years, how foreigners buy land and houses. About this legal nuance, it is very important for you, as the owner of the property in Thailand, to know in advance, based on it, to plan your investment and not to give in to temptations.

House in Thailand

It’s possible that when you come, as a tourist to Thailand and on the spot, after evaluating the real offers, your initial plans for Thai square meters, can change dramatically.

This topic can be discussed in more detail in the articles “How to buy a house in Thailand” and “How to buy an apartment in Thailand”.

Factors affecting property value

Whether to buy a condo or a private house (villa) in Thailand is a decision for each individual, there are many factors to consider.

If you look at real estate in Pattaya, it is already a big city, and not all foreigners can afford to buy a house on the beach, as it is already a luxury. If you want to have affordable housing in Thailand, then you need to consider options that are located some distance from the sea.

Prices for real estate in Thailand largely depend on the proximity to the sea and beaches (eg Pattaya beaches or Phuket beaches), near which the property is located. The farther away from the shore, the cheaper the accommodation. If you want to enjoy the view of the sea, then an apartment is the best solution.

All in the same Pattaya at the moment more than two hundred residential condominiums, so the choice is yours. You can choose a property starting at 1 million baht a kilometer from the sea in a condominium with a pool and gym. Or consider the elite options by the sea, apartments of 100 square meters and with a higher level of quality and service.

Utilities

The average fee for utilities in Thailand is 30 baht/1m². That is, if you have a 30 sqm apartment, 900 baht per month is your maintenance fee, plus you pay water and electricity according to meters. Water in Thailand is inexpensive, your bill will be 200-300 baht from a small apartment. But the electricity will cost more, if you are a thrifty person and do not often use air conditioning, the bill will be 700-900 baht per month, with air conditioning will be from 1500-2000 baht.

The electricity will be more expensive.

Thailand’s primary real estate market

The housing market in Thailand is overflowing with offers from various developers and options for the purchase of apartments is also quite enough. But real estate, this market, which also has its own trends, one of which is investing in the construction phase. It is the most popular purchase in Thailand.

In Thailand, the legislation strictly regulates the company builder, it happens as follows. If the builder delays delivery of the property within six months, she pays very large fines, if this period is higher, the owners of the company are criminally liable. Therefore, developers are very clear deadlines for delivery of real estate in Thailand, in 90% of cases there are no delays.

Be aware that when buying property in the initial stage of construction, over the entire period of construction, it will increase in price by 40-50%. When you buy a home under construction, you get a very convenient payment plan. It’s a 20% down payment, throughout the construction period, you pay another 30% in equal installments, and 50% you pay when you get the keys to your property.

The secondary real estate market in Thailand

If you are not ready to spend a lot of money and wait for several months, then through a real estate agency you can buy a home in the secondary market. In this case, the chance of becoming the owner of the housing in Thailand, you increase dramatically. And the procedure for registration of the apartment ownership is very simple – all you need is a passport and money.

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