Lower demand but Thailand is still China’s favourite international property market
The Yuan has dropped in value against the Thai baht and China remains in the midst of a long-running trade spat with the US. But, still, the Chinese investors are still buying up Thailand property although not at the same rate as they did last year.
But juwai.com, specialising in Chinese real estate, predicts further growth of Chinese buyers Thai properties next year.
The property website says that Bangkok and Chiang Mai remain the most popular locations for rental guarantees and claims that most buyers expect a rental guarantee of 5-7% a year, depending on the project and the price range.
But, despite their popularity with developers, the ‘rental guarantee’ has not always been followed through reliably. Chinese investors are now seeking more information about developers and using years of experience and property intelligence to weed out the ‘dodgy’ developers who have been big on marketing but poor on follow-through.
Many Chinese buy off-plan in Thailand and properties bought two or three years ago are now being completed or soon to be ready for final hand-over.
According to juwai.com’s own data on Chinese making inquiries about buying property, Thailand is still ranked the most popular country, followed by Japan. Data shows that Chinese buyers in Q1 2019 made four times more property buying inquiries in Thailand compared to the same time the year before, and that’s despite quite a drop from Q4 in 2018 when the inquiry rate reached the highest levels.
The most popular markets for Chinese real estate buyers in 2019 are Thailand, then Japan, Australia, Canada and the United States. The most popular locations are Bangkok, then Pattaya, Chiang Mai, Phuket and Koh Samui.
And what are Chinese buyers looking for? juwai.com says that most Chinese buyers want a one-bedroom condo in the capital. 40% of inquiries are for one-bedroom apartments, 24% for three-bedroom apartments, and 14% for two-bedroom apartments.
Whilst the most popular markets for Chinese buyers are still Bangkok and Pattaya, Koh Samui and Krabi are also getting lots of inquiries and an increase in purchases. Direct air links, good beaches and new condo developments at the right price – that’s still the driving factor for many Chinese buyers, according to juwai.com.
The website also noted that Chinese students can study at universities in Thailand for costs a lot lower than China and when compared to other overseas opportunities. Quality medical care, less expensive that China, was also a draw for the Chinese market.
If you’re looking for a property in Thailand go to property.thethaiger.com
