Bangkok Condo Market: Driven by End Users
- Demand for condos in bangkok is being fueled by both individuals seeking homes near work and investors targeting the rental market, especially those priced between 3-5 million baht.
- Recent condo sales in Bangkok are primarily focused on ready-to-transfer units, indicating a shift away from off-plan purchases.
- Samatkom Tangvivat, assistant executive vice-president of project development for high-rise at SET-listed developer Sansiri, notes that the most active buyers are end-users purchasing condos for work-related living.
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Bangkok Condo Sales Driven by End Users and Rental Investors
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Demand for condos in bangkok is being fueled by both individuals seeking homes near work and investors targeting the rental market, especially those priced between 3-5 million baht. Negotiable pricing is key to closing deals, according to developer Sansiri.
Current market Dynamics
Recent condo sales in Bangkok are primarily focused on ready-to-transfer units, indicating a shift away from off-plan purchases. This trend is driven by a combination of factors, including stricter lending criteria and economic uncertainty.
Samatkom Tangvivat, assistant executive vice-president of project development for high-rise at SET-listed developer Sansiri, notes that the most active buyers are end-users purchasing condos for work-related living. These buyers typically spend 130,000-150,000 baht per square metre,resulting in a total unit cost of around 3-5 million baht.
The Role of Rental Investors
Investment buyers have re-emerged in the past 2-3 months, focusing on units suitable for rental. This segment targets individuals seeking accommodation near workplaces or in convenient locations, particularly those who are unable to qualify for mortgages due to tightened lending standards.
Mr. Samatkom stated, “If potential customers negotiate within acceptable limits, developers must sell as there’s no point in resisting.”
shift Away from Speculation
The market has seen a notable change in buyer behavior. Speculators who previously flipped booking contracts have largely disappeared, particularly since before the pandemic. Today’s market is dominated by genuine end-users and investors with long-term rental strategies.
Upper-End Market Slowdown
the upper-end condo segment is experiencing slower sales. many potential buyers in this segment already own properties and are hesitant to make further purchases due to economic uncertainty. Thay are more likely to wait for more favorable market conditions or seek upgrades to larger units or better locations.