Supalai was the latest Thai developer to come out and say that it believes the country’s property market has nothing to worry about, local media reported. Its confidence stems from the fact local buyers still have purchasing power and this will ensure things do not bottom out.
Managing director Tritecha Tangmatitham explained that while global events might negatively affect Thailand’s economy, potential buyers’ purchasing power remains strong and that should help keep things heading in the right direction.
“There is unlikely to be a problem with purchasing power as long as middle-to-low-income earners are not worried about their job security,” Tritecha told the Bangkok Post.
The company earned THB10 billion in pre-sales during the first half of this year. That total is a 20 percent increase y-on-y. A majority of these pre-sales happened at Supalai’s townhouse and single-home developments with condominium projects accounting for roughly one-third of the total.
Supalai is also the latest developer to announce that it will launch new condo projects during the second half of the year. The developer has plans to launch two new projects worth a total of THB4.7 billion before the end of the month.
The first development is the 30-story Supalai Park Ratchavipha (imaged). The project is situated along Ratchadaphisek Road and will feature a total of 1,664 units when completed. The second development is located close to Rama VIII Bridge. Supalai City Resort will be comprised of two buildings and have a total of 446 units.
A number of Thai developers have already revealed their intentions to launch new condo projects during the second half of 2016 after a significant number of launches in the first half were postponed for various reasons.
“Large developers will continue to have a larger market share in the low-rise segment, due to a reduced number of players in the market,” Tritecha pointed out. “Housing demand will be stable in the second half, but the rejection rate will decline as people become aware of how to prepare for getting a mortgage.”
