Average selling prices of newly launched property throughout Bangkok were at their lowest levels for more than two years during the first three months of this year.
Colliers International Thailand, in its latest research report, noted that average prices in the City area were more than THB155,000 per sqm, and significantly higher than other locations. The Suburban Bangkok area has the lowest average prices, lower than the average prices over the past few quarters.
Many condominium projects launched in the first quarter are from smaller or new developers, and all are located in the Suburban Bangkok area. Thus, the average selling price of all condominium projects in the first quarter is the lowest it has been in the past eight or nine quarters.
Most of the condominium launches in 2013 and 1Q 2014 had selling prices in the range of THB40,001 to THB60,000 per sqm, with most projects targeting the mid- to low-income bracket and located in the Suburban Bangkok area, far from existing mass transit systems.
Colliers reported that approximately 55 percent of new condominium units launched in the first quarter had an average price lower than THB60,000 per sqm, with around 22 percent of them being in the range of THB60,001 to THB80,000 per sqm.
The average prices of condominium projects located less than 200 metres from mass transit stations (BTS and MRT) are the highest at more than THB100,000 per sqm. The average prices of condominium projects not more than 200 metres from BTS stations are around 24 percent higher than at the projects along the MRT.
Colliers reported that average prices in all locations are significantly low, more than 30 percent lower than in the previous quarter, because only some high-end and luxury projects were launched during this particular quarter.
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Andrew Batt, International Group Editor of PropertyGuru Group, wrote this story. To contact him about this or other stories email andrew@propertyguru.com.sg