The condo market in Pattaya has been busy in the last 10 years with a boom period between 2011 and 2013 seeing the highest number of unit launches in the city’s history. The market has struggled in recent years though and while an uptick is likely, there does not seem to be another boom on the horizon, according to property experts.
“Many developers in recent years have been trying to diversify their revenue streams beyond Bangkok and have been active in all of the tourist cities close to Bangkok including Pattaya. Their interest in Pattaya was strong because of its well-developed infrastructure, and an average of 15,000 new units a year were launched from 2011-13,” says Bangkok property expert Surachet Kongcheep to the Bangkok Post.
The amount of new condo units launched in Pattaya was 78,400 from 2010 to 2017. This total is considerably higher than what was recorded in the 10 years prior to 2011. The significant activity during 2011-13 ended up causing many developers to focus on sales as the market needed to absorb unsold units before starting new projects.
The slowdown was made a lot worse by the weakening Thai economy as buyers delayed decisions on purchasing second or holiday homes. The fall of the Russian rouble saw the number Russian tourist arrivals to Pattaya drop greatly which hurt the city’s market since they were forced to cancel condo bookings. However, things may be picking up.
“While a return to the boom years of 2011-13 is very unlikely, there are signs that the Pattaya condo market could start to pick up again in the near future. Developers are counting on a number of government-backed projects to spur tourism and investment, which will have a knock-on effect on real estate. These include the Eastern Economic Corridor, expansion of U-tapao airport to serve more international flights, the extension of the Motorway to Map Ta Phut, a high-speed rail line, a monorail in Pattaya City, and cross-Gulf ferry service between Pattaya and Pranburi in Prachuap Khiri Khan,” says Surachet.
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