This needs to be known to Thailand’s real estate investors

 

 

 

 

What should foreigners know when investing in local real estate?

A significant aspect of real estate investment is to select a suitable property. It is this moment that determines effective investments, their durability, and payback. Thailand is one of the most promising destinations for this. Thailand-Real.Estate revealed in this article the main points of investing in real estate in Thailand.

Why Thailand?

Thailand wins over all European countries because tourists come here all year round. In Turkey, Spain and Greece, the tourist season lasts 5-6 months, in the Black Sea resorts, for example, in Bulgaria, only 3 months. The rest of the time, apartments and infrastructure are idle and closed.

There is no "off-season" in Thailand, there is a "high" and "low" season. The difference between them is as follows:

 - In the "high" season, tourists from the CIS, Europe, America come here – those who have bad weather from October to May. The occupancy rate of hotels during this period is 80-95%.
 - In the "low" season, there are many guests from China and other countries of Southeast Asia, as well as Australia. The Chinese come to Phuket all year round.

The proximity of China is a huge advantage. The market is vast, the Chinese have money, and they love spending it. They rent expensive apartments and go shopping. In short, they don't save.

Every year, Phuket – and this is the most popular and developed resort in Thailand – receives 10 million tourists. The average check for each is $250 per day. Most of the money goes to rent housing.

The tourist flow will continue to grow. The Ministry of Tourism of Thailand expects that by 2024, the number of visitors will reach 13-14 million per year. The project has been approved and a new Phuket International Airport, the second for such a small island, is about to be launched.

Investment options

In Thailand, as in any other country, there are two main areas for real estate investment: rental investment (a solution for diversification with fixed income under contract) and personal use.

Investment in rent

Investors choose foreign investment in countries where the economy is booming to benefit. Today, profitable real estate is considered a promising option. The Kingdom’s economy is export-oriented, and its developed infrastructure is combined with ever-growing tourist demand.

The real estate market offers competitive prices, attractive conditions and high-quality finished properties throughout the country. Real estate laws for foreign nationals are well-developed, and taxation is beneficial.

Thanks to these assets, Thailand has created the conditions for successfully investing in income-generating housing. 

The best new buildings give owners a rental yield of about 7-9% per annum (depending on the type of property, its location, and other individual features).

Investments for personal use: long-term residence, emigration, or retirement

The climate, its recreational conditions, a variety of unique locations, cuisine, and cultural attractions are well-known all over the world. It has a rich history and culture, and the population cultivates hospitality and respect. Many foreign nationals move here for permanent residence or choose a country for a long vacation. You can find many properties for your stay here: houses, villas and apartments. 

The Thai Government encourages investment and supports foreign investment in the private sector.

How to make money on real estate in Thailand?

The most interesting area for investment is resort real estate. Most of the money that tourists spend in Phuket (10 million people a year at $250 a day each) goes to rent housing.

The best solution for an investor is to buy apartments under the management of a large hotel chain. First, they maintain international quality standards. Second, they have a huge customer base and contracts with travel agencies around the world. Third, competent management, thanks to which hotels reduce costs and increase income. And finally, a strong brand – people are willing to pay more for it.

How to succeed in investing?

For a safe purchase, a buyer needs to have control and information support from a specialist who knows the market well and understands its features. Many expatriates want to travel without resorting to the services of intermediaries. However, in the case of Thailand, without knowledge of local legislation, language and customs, this will be extremely difficult. Thailand-Real.Estate specialists can help you make a profitable transaction.

Assistance in purchasing real estate in Thailand

The housing market is replete with profitable options for a successful business. Now is the right time for you to get the benefits of investing in real estate at favorable prices. Check out the ads at Thailand-Real.Estate to pick up the best properties, such as excellent villas, penthouses and apartments, for bargain deals in various in-demand locations.

Up-to-date property prices in Thailand, new hot offers from proven homeowners and trustworthy local developers and detailed information on the Thai real estate market await you at Thailand-Real.Estate. Find your dream apartment today!