Thailand is one of the most stable and promising economies in the South East Asia region. Over the years the Thailand government and its people have been working hard to establish Thailand as one of the top developing powers in this region of the world. It surely has achieved a lot of success and prosperity as a result and will continue to do so. Even though Thailand is still behind many of the other countries in the same region like Malaysia and Singapore, it is surely reaching new heights every year.
The real estate sector accounts for 6% of Thailand’s GDP and is significant for Thailand’s industry growth as it supports increasing levels of employment and income. The industry also fosters growth in other related sectors as well like construction, building materials, finance, consumer electronics, furnishings and decorations, and so on.
Fundamentally, the real estate sector in Thailand is segregated into three main sections: residential, commercial, and industrial. In Thailand, considered by value, some two-thirds of the entire property market is residential (source: World Bank).
Residential property developers focus on Thai customers as the Thai law stipulates that foreigners can legally only own condominiums, but not more than 49% of total saleable areas. Currently, over 80% of new housing units in the BMR is the project developed by housing developers.
As of 2018, it shows that large real estate operators (those that are listed on the stock market and their subsidiaries) control over 70% of both in terms of housing units and market value.
Since the last decade, there has been a continuous increase in projects comprising of high-rise buildings than low-rise structures. This could be due to the declining availability and rising prices of land.
In the span of a few years, Thailand has attracted a huge direct foreign investment which has provided a significant boost to the economy. Tourism, real estate, mining, and construction, etc. are some of the most prospering industries in this country. The government has also invested a lot in these areas which allow the country to achieve even greater things in the future. If you are thinking of doing business in Thailand then you have a lot of options to choose from.
Today we will be providing you an insight into the real estate market that is prevailing in Thailand. We have mentioned some very important points to remember before investing in this foreign country. Also, in this article, you will find why you have a huge scope of making a profit and we are going to kick start our article by discussing those points in the next segment.