CHIANGMAI HOME & PROPERTY 

                                    

  Thailand Realty

 Advertise
 Apartments  
 Buying guide
 Businesses
 Classifieds
 Companies
 Condos
 Currencyconvert
 Guest Houses
 Handy hints
 Houses
 House Estates
 Insurance
 Islands
 Land
 Luxury Houses
 Luxury rentals
 Rentals
 Rent short term
 Restaurants
 Retired Options
 Security Alarms
 Taxes & fees
 SERVICES
 Classifieds ads
 Furniture maker
 Golf Land
 Kitchens-new
 Lawyer
Leasing
Links
Our Builders
Townhouses
Check Current Bangkok Bank Rates
Money & trading
Commissions

Twin Peak condo sales

 Condo rentals
 Factory sales
 Finance
 BTS route
 Cleaning service
 Jobs available
Property News info
 

Thailand Property Report/News

Shipping Household & Clearing agent

English/Thai Law Office

 

 

THIS WEBSITE IS FOR SALE INCLUDING LISTINGS & HELP. PLEASE ASK US FOR MORE DETAILS. GET A NAME THAT STANDS OUT AS OWNER HAS NOW RETIRED & THIS WEBSITE IS AN EXCELLENT NAME. YOU CAN WORK WITH EXPERIENCED SALES & WE LINK INTO OUR OTHER WEBSITES & ASSIST YOU TO PROMOTE. IDEAL FOR FOREIGNER INTERESTED IN THE BEST WEB NAME MONEY CAN BUY & A HEADSTART IN THE REALTY BUSINESS IN CHIANGMAI

US TODAY FOR DETAILS

THAILAND HOUSING SITUATION MAY 2008

Please remember the articles we publish some are written by Property Managers/ Companies who inflate the situation in Thailand for there own gain. eg Pattaya property when you see the numbers of foreign realtors have inflated the property market to overheating. Thanks to the Thai Govt they have made the best decision to curb foriegn ownership in land as it is these foreigners who inflate the property markets for self gain.

It is a good time to buy property in Thailand IF YOU HAVE EXPENDABLE CAPITAL ONLY. Bangkok Bank will lend only to elligilble business owners & property prices are now dropping due to the insecurity of the present economic situation; the US sub prime which hasn't really kicked in in Thailand as yet. This will mean even better bargains as people need to service loans and interest rates are climbing around 7.5% now. Not only this the cost of oil, fares, food to utilies is also climbing so its a buyers market or will be for foreigners who have that cash to buy. However only if you have the spare cash OK but don't look at condos as a cash earning venture unless you get a bargain from an outgoing expat etc. The worse hightmare will be the Management themselves in Thailand as many condo complexes have bad management and sinking funds are not used appropriately. Don't allow Estate managers to hold your titles as they change the circumstances not to your benefit anytime as well as use your titles for further collateral. When buying check out and talk to other owners in the building and especially about maintenance & other projects the owner has. He/she may have over committed?? on new developments and once you pay deposit theres no comeback. Thailand SET index has also been dropping as foreign investment is tending to shift to other countries but we have yet to see any major upheavals.

 

 

Bangkok thrives in CONDO MARKET???
source: Bangkok Post June 2 2008

Bangkok's condominium market continues to thrive, despite rising construction costs, and is fast establishing itself as one of the most attractive buys in the region. Compared to many other regional capitals, Bangkok offers a value for money proposition that can no longer be found in many of the cities with which it is competing for investment dollars.

Bangkok stands out as one of the most affordable cities in Asia when comparing the average prices of luxury residential properties, based on achieved transactions in completed developments. For similar grade properties, Bangkok's average price of $2,425 per square metre (psm) is almost one-tenth that of Hong Kong's $20,899 and Singapore's $20,468. While Beijing posted a slightly lower price of $2,026 in 2006 compared to Bangkok's $2,051, rates in the Chinese capital soared more than 40% to $2,873 psm last year while those Bangkok climbed by a slower 18.2%. Beijing is closing in on Shanghai's $3,158 psm (+20% over 2006), leaving Bangkok's upper-end properties the most affordable of any major city in the region, 18.5% less than Beijing and 23.2% lower than in Shanghai. The market here continues to grow steadily in the luxury segment, with increasing sales volumes and new price records for quality developments, according to Raimon Land research. Demand for new condominiums was in line with new supply as 63% of the 6,940 units launched in 2007 were sold by the end of 2007. A total of 6,214 units were sold in 2007, worth 42.5 billion baht. To date, 5,763 units remain unsold, half of which are in developments that have yet to start construction.
Transfers for complete developments reached 9.6 billion baht, with foreigners representing 20% of purchases. A total of 5,100 units were completed in 2007 with an additional 6,500 to 7,000 expected to be completed this year. New supply in prime developments will continue to be low this year due to a limited availability of suitable sites and of funds from both local banks and international equity suppliers. Higher buyer expectations have also created a stronger barrier to entry for developers. Pent-up demand since 2006 is one reason for this, coupled with the high presale and price performance seen in recent developments such as The River and Sukhothai Residences.

Construction and quality standards have risen significantly too. Bangkok is now ready to offer similar properties to its neighbours at a fraction of the price. The outlook for prime condominiums remains positive but potential risks remain due to the deterioration of the global economy, strengthening of the Thai baht and unfriendly foreign ownership policies. These factors will combine to result in a sharp rise in selling prices along with higher specifications offered by developers to match high expectations from buyers. The supply/demand situation is still very balanced and there is very little risk of any oversupply in the future. The potential risk to any amendments to further restrict foreign ownership does not appear to be an issue now, but there is no sign of the 49% foreign ownership quota being lifted.

In the more affordable condominium sector, our research shows considerable activity as more site opportunities emerge along planned new mass-transit lines. Some of Thailand's largest developers are shifting their focus to this sector and demand in affordable condominiums looks likely to remain high. This is being fuelled further by low interest rates, which will lift purchasing power and stimulate investment from local buyers. Also helping are signs of a consumer confidence recovery since the last quarter of 2007 and incentives initiated by the new government. We believe that higher competition from new entrants, some with strong financial capacity, will push developers to offer more incentives and promotions to maintain or gain market share. However, the potential risk of oversupply of affordable condominiums is rising. The capacity of buyers to transfer units will be a key factor in the following one to three years.

 

Thailand's new Escrow Act in effect
source: The Nation 11 Jun 2008

New Act puts tighter controls on escrow transactions The Escrow Act of 2008 came into effect on May 21, establishing laws governing the escrow business in Thailand.
In an agreement to purchase and to sell immovable property, or any such reciprocal contract, one party will have an obligation to transfer or deliver assets or documents to another party and the other party will be obligated to pay the first party. In order to ensure that the obligations of both parties are fulfilled, the parties may mutually agree to appoint an escrow agent. This involves a tri-party written agreement known as the escrow agreement. The escrow agent has the duty to ensure that the parties fulfil their obligations under both the contract and the escrow agreement. The escrow agent will also be responsible for the safekeeping of any money, assets or documents deposited by the parties and for handing over the money or arranging the transfer of ownership or rights to the assets when required. As well as providing general definitions and outlining the main features of an escrow agreement, the Act lists the conditions and requirements for engaging in the escrow business, the rights and duties of the parties to an escrow agreement and those of an escrow agent, and the powers of the Escrow Committee. It also prescribes penalties for non-compliance.

One of the requirements is that companies wishing to engage in the escrow business must obtain a licence from the Finance Ministry. The Act will not affect existing escrow agreements, but if existing escrow agents wish to continue to carry on their business under the new Act, they are required to apply for a licence within 90 days of the Act taking effect. The escrow business under the Act is a juristic person. The term "escrow agent" is defined as a juristic person whose creditworthiness has been approved by the Escrow Committee, which acts as a middleman.
Only a financial institution, or other juristic persons as specified under a ministerial regulation, will be permitted to act as an escrow agent. Further, the escrow agent must have no conflicts of interest with either party to the contract, and must obtain a licence to conduct the escrow business from the finance minister.
Escrow agents will be monitored by the Escrow Committee, which has the authority to order them to correct or stop prohibited activities if they are detected and to perform their duties in compliance with the Act. If an escrow agent does not comply with an order of the committee or with certain sections of the Act, the committee will have the authority to impose an administrative fine on the agent. The Act also prescribes criminal penalties for escrow agents committing fraud. The fines and penalties will also apply to the managing director or authorised representative of the escrow agent - unless they can prove their innocence or demonstrate that they exercised sufficient duty of care.
Kanitnoy Praneechit is a senior manager of legal services at PricewaterhouseCoopers Mekong. The Act will not affect existing escrow agreements, but if existing escrow agents wish to continue to carry on their business under the new Act, they are required to apply for a licence within 90 days of the Act taking effect.

 

More protection for buyers of condos

BANGKOK: -- Condominium buyers are to get better legal protection thanks to the amended Condominium Act, under which developers who do not deliver facilities as advertised will be penalised. The amendment will become effective on July 4. Surasith Sahasthamrangsi of the real estate business promotion bureau of the Land Department said at a seminar yesterday that the new Act would punish de velopers who used misleading advertising to boost sales.

"If they can't deliver what they advertise, the Land Department is empowered to charge them with giving false information," Surasith said. The amendment followed complaints by buyers whose purchases did not include what was advertised. Most of the angry buyers were people who bought units before they were completed. From July 4, developers will have to submit advertising plans with their construction proposals. On completion, the Land Department will check if all is as advertised. Property Perfect's chief operations officer, Teerachon Manomaiphibul, said this law would hurt only developers who are inclined to cheat buyers. Meanwhile, experts said the amended law might hurt the resale market, as the provisional clause that allows foreigners or foreign entities to hold more than 49 per cent of condominium units in Bangkok, municipal areas and other specified areas will be scrapped. The limit will now be 49 per cent, without exception.

-- The Nation 2008-05-17

WHY CHOOSE THAILAND :

Thailand is relatively safe and has all the amenities that a pensioner or foreigner could want. It has many hospitals and clinics within easy reach and maid service to look after you. For instance Chiangmai has 22 hospitals and over 400 clinics, the most advanced Dental hospital and Bangkok has the worlds top Hospital Bumrungrad so what more does one need. It has excellent food fresh as can be, a beautiful climate year round that changes little and the transport services will not break your bank account and are excellent, whatever one wishes to travel on. Just think about it you can hire or buy a vehicle and a small house will cost only 1m baht above -- now is this a lot of money. Remember the Chinese saying "have only what you need and leave the rest at home". I bet know you say that big house back home did we really need it? You will find many foreigners who buy and build big in Thailand actually regret it 5 years down the track and wish they bought a modest house.

Thailand has lovely people, no attitudes and a well organised cultural system that we can only envy. The Thais look after their people which is a far cry from many westerners who put their old folk in homes to spend their last days so they can make more money and be oblivious as to what their mums and Dads struggled to raise them to teenages. Well the Thai like the NZ Maoris do not do this. The choice is yours but even with websites you visit, remember this, we have been around on the web now for 10 years and we also own excellent real websites: www.bangkokrealty.biz & www.chiangmairealty.com

HOUSES AND BORROWING:

Thailand, housing loans make slightly above 50% of total household debt. Thailand after suffering from political crises, have not yet recouped the confidence of investors. This resulted in a drop of 5.09% in 2007 in Thailand’s house prices, down from an 8.03% increase in 2006. Housing in Thailand is a buyers market if you have the cash. The only problem is foreigners can only really buy into condos but these are bargains in the right places and locations. Thailand has gone the opposite way from NZ where salaries are not up with the rise of housing prices making it not even worth considering to buy unless you have cash. Although foreigners are unable to borrow in Thailand (can if they own a factory ) if they have cash it’s a good market. Don’t look at the Thailand situation as a rental investment as the rental incomes are not great and there are certain requirement like squatters rights so one may not get the rents if the renter refuses to pay and has nowhere else to go. But as a long term capital investment one should be able to recoup a small profit by adding features like a swimming pool which is always in demand here or a waterfall, landscaping etc. In this respect Thailand is still on a building boom.

We say the best buys for foreigners who wish outright ownership is the condo. You can close the door and go on holiday whenever you want knowing the condo is safe but on the other hand make sure your condo has good security grill door. Theres many condos out there especially in Bangkok and Pattaya, Phuket & lesser in Chiangmai so one can choose what they want. However be careful and follow our Property guide to buying found on both of our websites: www.chiangmairealty.com or www.bangkokrealty.biz which will guyide you to buying here in Thailand. Feel free to ask us questions if youre not sure and if you want to bring your personal belongings to Thailand we also own a Shipping and Freight Clearance Business here in Thailand.

INCENTIVES BY THE THAI GOVERNMENT

The Thai Government has also created incentives to the commercial banks to provide more home loans. The vast network of the commercial banks permit unrestrictive access to borrowers nationwide. The Government allows market forces to determine the mortgage-loan conditions. There are no arbitrary interest rate directives (ostensibly to help low-income borrowers, but usually yielding opposite results). The housing finance system is an integral part of the whole financial system. There are no special channels or conduits that force resources into housing finance. Should the financial system become unfavourable to home mortgage lending, the Government Housing Bank will absorb any spill-over demand. Surging oil prices and higher interest rates are to blame for the slowdown. Rising inflation would hit Thai households, the majority of which keep large amounts of their savings in cash rather than investing it.  

THAILANDS BEST INVESTMENTS FOR FOREIGNERS:

1/. Undoubtedly if you have over and above put into Gold & Condos. Do not keep money in the Bank here as the rates are next to nothing 2%?? and only bring what you need when you need.

2/. Condos are the best choice not for rental purposes but perhaps long term these will be OK. With the political situation somewhat still unstable these can be held by foreigners and your safest bet as long as the complex owners are OK and do the required maintenance & theres a Jurassic Management Committee in place as the maintenance in some condos is terrible. Also watch to make sure you are not buying over the 49% limit of condo ownership.

3/.Unless your marriage is stable and you have Thai kids then a house is OK but see a lawyer to make sure you cover yourself and children in the event something may happen to your Thai wife or Thai husband. We emphasis this as the will system here works on an heirarchy system so if your young Thai wife should pass away suddenly you may find the grandmother will now own the house and land not the children. So use a lawyer to make sure the foreign partner has power and remember a freigner can own outright the house? If you are single this is not an option but again draw up contract with lawyer first before you buy anything here.

4/. Stocks and shares -- be careful and never trust a finance company that has no bank backing?? so better to bring just what you need to Thailand and invest the rest back home as safer and better interest rates on your money. Finance companies are going bust in the west due to shodder Govt controls & willy nilly investing by the finance companies themselves so property assets is Ok if you have the cash. Internet banking is getting better by the day as well to assist your transactions but watch out for the sharks you meet in Thailand who know all the ways to spend your money.

THAILANDS HOTSPOTS FOR FOREIGNERS

1/. The islands like Samui are still the best places for foreigners although the costs are expensive in Thailand terms. Up to and over the 85,000baht per sq for condos

2/. Then comes Phuket and the bar scene of Pattaya for the single guys and gay scene. Many condos to choose from and good prices

3/. Hua Hin is the next favourite and prices are the same as Phuket and higher than Pattaya.

4/. Yes 4th place is Chiangmai. Most who come and buy here are retirees who like a cooler and not so fast city which Chiangmai is.

CONDOS BANGKOK, PHUKET AND PATTAYA; around 65000-85,000baht per sq metre.

CHINAGMAI ALTHOUGH AROUND 65,000BAHT you can get from 35,000-45,000baht but theres not a lot one can choose from in Chiangmai. The problem in Chiangmai is that their are not many good condos for sale and some buildings are old. Make sure they have a Jurassic management Committess and they do maintenance as well as upkeep on the condos and many are in poor shape plus the owners will not look after them

WHY USE OUR SERVICES: 

  • We work for you (Both Thai & foreign consultants ) & have excellent accountants in NZ
  • No hidden charges-everything is up front.
  • Guaranteed conveyancy help &  Company, work permit & land  setup for foreigners
  • We will sell your Commercial property, houses, businesses, bars and Guest Houses
  • Because you have the benefit of foreign help with our Thai lawyers and expat consultants
  • We offer: Full house onsite appraisals. Cost is 3000 baht for a house under 2 years old & 6000 baht for older houses ( plus travel if out of town ). This 5-6 page report is a must if you want to know what your house is really like which includes pics of repair work needed and we even do a air con survey (extra).

 

[ THAI LAW HELP SERVICE ]:  We have many more properties. Just ask us. Let us broker your business or property. If we don't sell we don't charge you.  Selling or wanting to Buy a Guest House, Restaurant, Business, Bar or Office then just ask us. We do not charge you to find your business. We even guide you to the best deal & help you form a company, partnership, year visa, agreements, leases, accounting services, taxation etc right to offering you FREE hardcopy promotions if you use our services.

BANGKOK REAL ESTATE Please go to : www.bangkokrealty.biz 

HOUSES FOR SALE: click on & view

  [ Thailand Property Update 2008] [ Bangkok Bank lends to foreigners ] [ Thailand Property Update Dec 2007 ] [ Read Thailand Property Hedge funds ]   [ Thailand Property Investing ]  [ Thailand Property Vs West ] [ NZ warned of Property Finance crash ]

POST YOUR FREE Thailand Property Classified on the NEW hottest classified website in Thailand: www.thaitrademe.com 

Open to Businesses and Personal ads: Auction & Forum

                              

Check out anything about Thailand on Asia Trading Post: from Business to Visas to Companies or just General. Click on:

 Bangkok's top premium property sales team & foreign guide to top Condos

  Offices in Chiangmai & Bangkok offering foreigners excellent law services in Thailand

 The world's No 1 search engine. Click and find anything you want.

                 

     cmhouses@gmail.com     Copyright 2001