subject: Thinking of buying property in thailand? Market still robust say officials [print this page] Thinking of buying property in thailand? Market still robust say officials
BANGKOK, Nov 11, 2010 Fears of a bubble emerging in the Thai property market were reduced today by announcemets from the Thai Condominium association executives.
Top execs of the Thai Real Estate Association, Thai Condominium Association, and the Housing Business Association confirmed on Wednesday that there are no immediate signs of a bubble developing in the domestic property market, which has been reported by some in the local media.
Thamrong Panyasakulwong, current Thai Condominium Association president, stated that he and executives of the other associations met with Bank of Thailand, deputy governor Krirk Vanikkul to discuss reports of a possible bubble burst in the condo business.
Thamrong told the deputy BoT chief there are no signs of bubbles in the property market as reported, and that such reports had affected potential clients' decision to buy condominiums.
Issara Boonyoung, president of the Housing Business Association, confirmed that there were no signs of unsustainable bubble prices in the property sector because demand is relatively close to supply.
Presently, he said, demand increasing for those buying condominiums, however it is well within a reasonable level.
If the central bank wants to attempt to control what it considers overly rapid property growth, it should target group properties which are possibly facing a real deflation, it should also give property developers time to adjust.
"Around 140,000 housing units have emerged annually in the past decade. At present, only 60,000 units are built annually. The latest information shows no sign of bubbles in the property sector although the number of properties transferred since early this year had reached 120,000 units compared with 157,000 units (last year)," he said.
It is clear from the data that growth in the Thai Condo market has a long way to go before we are talking about unsustainable price rises, we recommend considering Thailand as one of the best property investment locations in Asia. However, as a large country with lots of distinct property markets, it is important to research the area you are looking to buy and take time to shop for bargains.
