Economy
Real estate consultancy says pandemic continues to affect foreign demand

A leading property consultancy says the ongoing pandemic and associated restrictions continues to hamper the real estate market. CBRE Thailand chief, Roongrat Veeraparkkaroon, says the low number of foreign arrivals means the sector continues to rely on local demand and must now adapt to these circumstances.
“A decline in tourist numbers affected both residential and retail sectors. Given this challenge, the property market should adapt, be more proactive, and brace for uncertainties that could emerge.”
According to a Bangkok post report, Roongrat’s colleague, Rathawat Kuvijitrsuwan, says the real estate sector currently faces 4 risks. They are the future path of the pandemic, spending power, government policies, and international travel restrictions.
“There may be new variants of Covid-19. It depends on how the vaccines respond to them and how the government and public react to the situation.”
He adds that Thailand’s economy relies on international tourism for its recovery and for now, the residential property sector has to rely on local demand. This in turn lowers sales as, unlike many foreign buyers, domestic purchasers are usually end users and take longer to decide. However, Rathawat says local demand remains strong in the case of some properties.
“Niche markets, or those with solid demand drivers, like projects near universities or branded residences, will continue to perform despite the economic downturn. Resort homes will still be attractive to local buyers, but the price must be right.”
Rathawat points out that purchasing power is a significant factor and has been severely affected by the pandemic. In particular, the retail sector has been hit hard over the last 2 years.
“As one of the sectors most affected by Covid-19 and government restrictions, the retail industry will have to evolve together with these constraints.”
SOURCE: Bangkok Post
Get more from The Thaiger
Join the conversation and have your say on Thailand news published on The Thaiger.
Thaiger Talk is our new Thaiger Community where you can join the discussion on everything happening in Thailand right now.
Please note that articles are not posted to the forum instantly and can take up to 20 min before being visible. Click for more information and the Thaiger Talk Guidelines.
- Best of3 days ago
Siam Paragon wins the Best Luxury Shopping Mall 2022 Award
- Education1 day ago
Why you should study Thai to explore Thailand
- Events2 days ago
“Eat Out with Marriott Bonvoy”: enjoy food discounts all the way
- Bangkok3 days ago
Thai woman fined 54,000 baht at airport after entering country with designer brands
- Tourism4 days ago
Thailand tourism authorities expect 1 million arrivals per month starting June
- 360 Reviews3 days ago
The best private villas to rent in Bangkok for 2022
- Coronavirus (Covid-19)3 days ago
Changes to Thailand’s Covid-19 restrictions to take effect June 1
- Coronavirus (Covid-19)3 days ago
Deadline to apply for “Covid” visa extension extended by 2 months
Recent comments: