Tips & Trends of Resale Condo Market in Bangkok
Many Thai and foreign real estate buyers choose Bangkok as an opportunity to seek capital gain within a 3-5-year range or more. By the time they decide to put their asset on the resale market, newer projects are already launched with even classier and modern amenities to cope with trends that may emerge.
Saying this, it’s useful for paying attention to some tips that make the unit selling easier. Older residential condominiums may be less popular, like architecture, design, and common areas that can look outdated compared to new projects. Nevertheless, many are unbeatable in terms of location, which plays a key role in Bangkok’s second-hand market, especially if sited in the Central Business District (CBD) and its surroundings.
Even if the outlook of these buildings may be less modern, in many cases the unit’s interior greatly counts to make a final decision regarding the purchase. Therefore, it’s of prime importance to take care of the ambiance as you expect prospective buyers to pay a visit to your unit before deciding.
For instance, if the walls look kind of old, it is useful to repaint them. Besides, don’t neglect the floor if it looks damaged or oldie. Very used appliances and some old furniture should be replaced. In Bangkok, there are several options at affordable prices, such as Ikea, Home Pro, Index, and SB Furniture.
Location & Price
Condominiums nearby mass railway transit system commutes like MRT and BTS stations, as well as shopping malls, hospitals, and educational institutions, are attractive to the second-hand market. Depending on location, either Thai or expat potential buyers may be business or salary persons, student’s fathers or mothers, teachers, or even retirees.
Along with better location, price is a lure. Usually, even with capital gain assured, older condo units are less pricey than those of new projects located in the same area. As well, prospective buyers may be attracted to the bigger-sized units that are common in completed condominiums older than five years. In this regard, size matters to expats living with family, especially from Europe and the US, since they are used to bigger housing spaces in their home country.
If it is an old-fashioned condominium, a very good location is halfway to a successful sale. Firstly, it might be a good idea to invest in renovating the whole unit’s interior since it may pay-off because the demand is indeed varied.
There are a lot of good schools along Sukhumvit Road that parents would like to have their offspring enrolled. Thai buyers might even consider purchasing a second-hand condo unit, which allows their children to be nearby school. The same applies to professionals from different fields wishing to be close to work.
Expats living alone or with family have different needs. Depending on the lifestyle, the first group may reside in the CBD or a more affordable area, including the outskirts of Bangkok. The second group surely pursue bigger-sized units to meet the needs of the occupants, which in any case are in greater number.
Regarding new condo units, either to resell off-plan, before transferring ownership, or not long after transferring ownership, also the location is the main factor a potential buyer considers, followed by convenient transportation.
Units in low-rise condominiums located in prime areas are easier to resell because there are not as many to choose from in these properties. In high-rise buildings, those with unique layout-plan are preferred due to the limited number available, which means fewer owners have these assets to resell.
The Rise of Second-Hand Market
The scarcity of land available and the price hike of new condominiums in downtown Bangkok coupled with the continuous land valorization in non-prime areas in the capital of Thailand are making a surge in the number of potential national and foreign buyers to look for second-hand units as an alternative.
Regarding the first group, mortgage loan restrictions and interest rate hike implemented by the Bank of Thailand (BoT) are other reasons contributing to the change in purchasing habits. Usually, Thai buyers rather buy first-hand condo units due to the modernity of many projects’ concept brought to the sector by property developers in recent years.
Well-being solutions, such as rooftop with exquisite amenities, well-equipped fitness rooms, sumptuous swimming pools, pleasant gardens, as well as co-working spaces and other common areas, are making the trend of high-rise condo projects in the last five years.
With steady land value rise overall Bangkok, the price per square meter surges in new brand condominiums; hence, units tend to be less sized to cope with affordability and meet the pockets of buyers from super economy to the high-class segment. All these factors combined are making the resale condo market to get more attention from potential buyers, including expats.