‘Lumpini’ pointed out that the COVID-19 real estate market in 2021 contracted by 20%, entrepreneurs slowed down in launching new projects. This year is expected to grow by 5-20%.
Mr. Praphansak Rakchaiwan, Managing Director of Lumpini Wisdom and Solutions Company Limited (Omicron) or Lumpini Wisdom, a real estate research and development company under L.P.N. Development Company Limited comment (Omicron) Public Company Limited (Omicron) revealed that the situation of new project launches in Bangkok – vicinities in 2021 that in 2021 there were 55,863 new project launches, a decrease of 20% while the opening value The new projects accounted for 265,558 million baht, a decrease of 4% compared to 2020, which was the third consecutive year of decline since 2019 as a result of the COVID-19 epidemic causing the economy and purchasing power to slow down. The launch of new projects in 2021 is the launch of low-rise housing projects, amounting to 34,921 units, accounting for 62.5% of the total number of new units launched, 55,863 units, a decrease of 20.63% compared to 2020, representing a total investment value. Launched a new low-rise housing project of 172,825 million baht, or the value of a low-rise housing project launched by 15.93% compared to 2020.
while the selling price of low-rise housing in 2021 averaged 4.94 million baht per unit. The average selling price per unit increased by 5.78% compared to the average selling price of 4.67 million baht per unit in 2020 as a result of higher land prices and construction materials prices in 2021, while 2021 opened The condominium project was 20,942 units or 37.5% proportion or a decrease of 20% compared to the year 2020, representing a condominium launch value of 92,732 million baht, an increase of 31% compared to the launch value in In 2020, the average selling price is 4.42 million baht per unit. Or the price per unit increased by 63% compared to the average price of 2.71 million baht in 2020. The average selling price per unit of condominiums in 2021 increased as a result of the launch of premium projects by Asa Company. Some recruiting agencies, causing the average price per unit to increase in 2021 compared to 2020.
The spread of COVID-19 in 2021 will affect the confidence of homebuyers. As a result, the average sales rate of new project launches in 2021 is 17% from the total number of units opened for sale. This is down from the average sales rate of new project launches in 2020 with an average sales rate of 18%. “The COVID-19 epidemic in 2021 directly affects confidence in future revenues and Buying decisions of home buyers As a result, real estate operators have to slow down and postpone their plans to launch new projects in the first 9 months of 2021 before launching new projects in the last quarter of 2021, causing the number of units and the launch value to New projects in 2021 have continued to decline from 2019-2020,” said Mr. Praphansak.
Mr. Praphansak said As for the trend of launching new projects in 2022 in the Bangkok-perimeter area It is likely to grow by 5-20%, depending on the ability to control the epidemic situation of COVID-19 (Omicron (Omicron) Omicron) and the government’s economic recovery measures.
