Thailand has grown its housing stock by ten per cent so far this year, according to new figures from the Government Housing Bank (GHB). Pattaya Mail reported that 2013 has seen residential units increase by 120,000. With demand increasing in the country and fears of a bubble fermenting among experts, news of rising supply levels will be welcomed as a means of controlling prices.
Samma Kitsin, director of the GHB Real Estate Information Centre, told the newspaper that in the first three quarters of the year there were 32,000 newly built housing units, which will rise to 40,000 by the end of Q4. There were also 60,000 units of new condominiums constructed between January and September. This number is expected to increase to 80,000 by the end of December, representing 20 per cent growth. Pattaya Mail explained that in this market the emphasis has been on projects situated among mass transit train routes.
Demand for condominiums has been driven by higher land prices across Thailand, GHB claims. This property class is also popular among overseas investors, particularly in locations like Bangkok. However, with the domestic market becoming more active, there is competition for assets. Personal income taxes have been reduced in Thailand recently, boosting the purchasing power of Thais. The preference to rent is also changing and more and more people native to the country are choosing to buy. This is affecting prices and putting stock levels under pressure.
These conditions have lead many to fear the creation of a bubble. However, Plus Property believes these concerns are unfounded. The real estate services provider and consultant maintains that demand in the country is organic, meaning instances of property flipping – which artificially inflates prices – are on the decline. Plus Property also claims there is no sign of economic interference, which is enabling prices to grow naturally. Nevertheless, ready-to-move condos have seen demand increase by 21 per cent and supply, while rising, is not yet meeting these levels.Article by +James Roberts on behalf of Propertyshowrooms.com
ที่มา : propertyshowrooms.com
อ่านเพิ่มเติมได้ที่…Thailand grows housing stock by10%
Thailand grows housing stock by10%
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