What are the 5 Things to Keep in Mind before investing in Bangkok?

Discussion in 'Thailand property' started by David Lane, Feb 15, 2018.

  1. David Lane

    David Lane New Member

    In 2017, property in Thailand boosted and many investors are attracted towards it. It is now hot place to invest in Bangkok. But every one wants to know what are the 5 things you should know before investing in Bangkok.
     
  2. Longterminvestor

    Longterminvestor Active Member

    What are the 5 things we should know?
     
  3. David Lane

    David Lane New Member

    Investing in a property is always been a profitable deed. With proper knowledge and information, you can make the most of your investment. You can either enter the property market for just finding an ideal home for you and your family or you can seek to get extra income from rental units. Whatever your desires are, you just need to know exactly where you need to invest to get the best outcome.

    1. The Factor Of Bangkok’s Mass Transit System
    2. Developers Make A Difference
    3. Property By Property Investment Decisions
    4. Property Mortgages For A Foreign Buyer
    5. The Strange Bangkok Property Phenomenon
     
  4. Longterminvestor

    Longterminvestor Active Member

    I'm intrigued, what is the:-

    "The Strange Bangkok Property Phenomenon"
     
  5. David Lane

    David Lane New Member

    "The Strange Bangkok Property Phenomenon" means that

    In Bangkok, 2 side-by-side developments can be priced very differently, within seemingly similar attributes. There are instances where 1 development could even be double the price of another development just beside it.

    Many developments sell based on construction quality, types of material, design, and amenities within the development. As compared to Singapore, say in River Valley, selling for $1600 psf, the land cost could easily have been $1000 psf, construction cost could be $350psf, developer margin $250psf. Land price accounts for more than 50% of the selling price. In Bangkok for example, developments could be Bt20,000 psf (S$769 based on S$1: Bt26) while construction cost could be Bt5,000 psf (S$192 based on S$1: Bt26), margins could be Bt5,000 psf (S$192 based no S$1: Bt26), hence the land price as a percentage of the total selling price could be typically less than 40 -50%.

    Super luxurious fittings, amenities, unique design all contribute to raising the cost of the development and hence selling prices.

    So it is important to choose not only good locations, also focus on the design, the quality of the material used, the amenities, the finishing, furnishing, and fittings. These can impact the prices of a property quite a bit.

    I hope you get it.
     
  6. nmb

    nmb Well-Known Member

    In simple terms, you get what you pay for? If you want cheap it is there but if you want a nice finish and nice surroundings then you will pay for it. Seems fair to me.
     
  7. David Lane

    David Lane New Member

    Very True.... If you pay high amount and get nothing like what you have wanted then it will be huge loss for you. That's why these point you should know before investing in property.
     
  8. diyhelp

    diyhelp Active Member

    It sounds as though you have a lot of experience in the region David?

    I would be interested to hear your long term outlook for property in the region.
     
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