Pursuit of Education Appeals Chinese Buyers to Invest in Thailand
People’s Republic of China (PRC) is an emerging superpower whose global presence and influence become sufficiently more noticed in recent years. Bilateral relations with many countries are being anchored by massive Chinese investment, which is leading to a global economic shift from West to East.
Furthermore, the project “One Belt One Road”, or the Chinese “21st Century Silk Road” aims to build giant overland corridors and maritime “road” of shipping lanes connecting PRC to Asia, Africa, and Europe by trade.
The Middle Kingdom, which a few decades ago started to open its doors to the world, is now enabling millions to travel outside the country and experience other ways of living.
Moreover, China’s rapidly growing purchasing power is allowing its citizens making their presence felt on the global property market as buyers. For many, it’s an opportunity which until recently was out of reach. From the wealthy to those of the upper-middle-class, Thailand is among their top choices, either for own use, emigration, investment or education. The latter is also attracting lots of western and other Asian investors.
Seeking for a Better Future
Chinese parents want to send their kids to international schools focusing on English study but high tuition fees in mainland China is driving them to look for Thailand as an option. Alongside, they are buying residential properties mainly in Bangkok, Pattaya, and the northern city of Chiang Mai.
Education becomes a common trend for overseas property investment by Chinese which is shifting from traditional markets like the USA, Australia, and Canada. According to experts, the number of Chinese enrolled in colleges in Thailand rose for the double in the past 10 years, from about 10,000 to over 20,000. In comparison to the traditional markets, the main advantages of Thailand are its geographical proximity to mainland China, less expensive tuition fees and an easier way to get a visa.
Average freehold residential condo’s purchase in Bangkok by Chinese parents is about USD 94,270-157,120 or THB3-5 million. The most popular locations are close to mass transit rail lines, nearby international schools, hospitals, and shopping malls, among others. Mostly, they buy in Ratchada area, Rama 9, Sukhumvit, Silom, and spread as much as to the west bank of Chao Phraya River (Thonburi side).
Chinese parents differ on the approach when it comes to investing in property assets having Thailand as a destination for Education. Some plan about 5-15 years ahead. Others have in mind the present time.
The first group usually enjoys the annual rental yield of their properties while living in their home country. The latter group may plan to have one or both parents staying in Thailand in order to better assist their offspring in an international education environment – children can be as younger as the age of kindergarten or primary school.
Another important factor is family relocation to do business or work in Thailand, leading their offspring to be enrolled in Bangkok schools or wherever they are set to.
Westerners, Japanese & Korean
A greater number of Western people, as well as Japanese and Korean, are driven to buy a property in Thailand due to the wider range of curriculum options (British, American, Japanese, Australian, Christian, and others), and low tuition fees. Into consideration are the low cost of life, easier procedures when it comes to buying a freehold condo, and a low-down-payment.
Such investments may require a total change of life if the parents decide to join their offspring. Others take the purchases as an opportunity to put some of their eggs in another basket aiming for capital gain by reselling the units after their children conclude their studies in Thailand.
Staying Legally & Figures
There are several options to stay legally in the country. Parents can apply for an elite resident visa, a retirement visa, a non-immigrant visa “B” (for business or work), or even a permanent resident visa (requirements must be fulfilled). Foreigner students need to apply for an “ED” visa.
Bangkok has currently over a hundred international schools catering for nationalities around the world, from boarding schools to day schools. According to the Times Higher Education – Asia University Rankings 2019, Thailand appears with 14 universities in the charts. By comparison, Malaysia is listed with 11 and Indonesia with five. Singapore and the Philippines with two, respectively, are the remaining South Asian countries. Mahidol University and Chulalongkorn University are Thailand’s best-ranked universities.
Segments of International Clients
Angel Real Estate is dealing with three segments of international buyers. One consists of nationals living in their home country that are looking at properties overseas. For example, an Australian buyer in Adelaide looking at property in Thailand.
Another is related to foreigner buyers living outside their home country that are seeking at international properties located outside of the country they’re living. For instance, a Chinese buyer in Malaysia looking at property in Thailand.
We also have domestic foreigner buyers living outside their home country that are looking at properties located in the country they’re living in. For example, an American buyer in Thailand seeking property in Thailand.
In addition, our company provides a remarkable customer care service with Angel Club where a full range of after-sale and butler services is tailored to add the comfort of our clients. Among our offers is the Education Services where we have listed some of the best options for overseas students in Thailand.
If you need any further help or want to have a chat with us, please feel free to write an email to daniel.O@angelrealestate.co.th. We will be more than happy to discuss and support your international real estate investment.