By Nikki De Guzman:
Thailand’s up-country condo markets — Pattaya, Phuket, Khon Kaen and Chiang Mai as well as the coastal stretch from Hua Hin to Cha-am — are not facing a supply glut, according to Sopon Pornchokchai, Head of the Agency for Real Estate Affairs (AREA).
This is said to be supported by the rising property sales and the short time it takes for units to get sold. Phuket has a total of 15,500 units with a total value of around THB34.6 billion.
“Research shows that 75 percent of these have already been sold. These have a combined value of THB23.7 billion, and the monthly turn-over [of new units] in Phuket is about 1,630 units,” he said.
“Moreover, [we estimate that] the time it will take for the remaining units to be (sold) off the market is only 2.3 months. This shows that the sales outlook is good and thus the situation is not worrisome.”
At Chiang Mai, around 10,700 units are collectively worth THB23.4 billion, of which about THB16 billion have already been snapped up. The monthly sales rate there stands at approximately 2,010 units per month, meaning it would only take about 1.5 months for the remaining units to be sold.
Over at market leader Pattaya, about 122,600 units have a combined value of THB321 billion and a monthly clearance rate of 5,850 units. Consequently, unsold units within the area are expected to be sold out in just 5.2 months.
Meanwhile, Khon Kaen, the centre of Thailand’s North-eastern region, has 5,500 units collectively worth THB8.95 billion. With a monthly turn-over rate of 1,500 units, the remaining houses will likely be taken up in under a month.
Thailand’s second largest condo market outside of Bangkok — the coastal stretch spanning from Hua Hin in Prachuap Khiri Kan province to Cha-am city in Phetchaburi province — has a total of 17,600 units with a combined worth of THB 58.7 billion. Around 75 percent of these units were already bought and the remaining homes are expected to be sold in just 2.7 months.
“Sales have been good because the country’s economy is up and thus residents in various regions, whether [based] up-country or out of Bangkok, in addition to some segments of foreigners, have purchased these units,” added Sopon.
Nikki De Guzman, Junior Reporter at PropertyGuru, wrote this story. To contact her about this or other stories email nikki@allproperty.com.sg
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