People coming to Thailand may enlist a comprehensive number of features that make the kingdom particularly tempting to invest in real estate. This is one of those countries where not only the booming short-term “package” tourism but also an increasing number of people who come for a long time and permanent residence. Every year the number of visiting travelers is in the tens of millions, with a steadily increasing trend. This crucial circumstance determines a corresponding increase in the number of residential and commercial properties for sale off-plan in Thailand. In this article, we are going to find the main purposes of real estate buyers in Thailand and what profits they get from their decisions.
The real estate in Thailand and its potential buyers
Due to the wide selection of stylish villas and apartments, most properties are characterized by their specific targeting. The real estate in Thailand is built right to serve its accurate purpose. For example, let`s explore the common cases:
Investing in large apartments in a quiet area is perfect for permanent residence, but not really profitable for renting it out.
Little staff, only necessary amenities, and nothing in abundance will make your stay a pleasant time-spending. Such variants are suitable for families with children as well. The kids will have enough space and tranquility along with entertainment and facilities.
Investing in standard studio apartments in complexes with professional hotel management is a contrary example. Practical finishing and furniture, round-the-clock reception, restaurant, spa, children’s club, swimming pool are provided. And most importantly there is a hotel license, without which the law prohibits daily rent of apartments. In short, everything is working to maximize profits. The target group in this case is people who are primarily interested in receiving an income from the property.
Such types of property are always rented out, so if you buy real estate for income, this is the right choice. A completely different situation when you want to live there permanently. You will be surrounded by constant noise, crowds of people, and tiny personal space.
Purposes of buyers who choose real estate in Thailand
Reasons why people decide to put money in real estate abroad differ. Sometimes they are purely individual, sometimes are not obvious to understand. However, we have distinguished three main motives the investors are governed by:
- Investment return
- Personal space for seasonal stay
- Permanent residence
Investment return
The buyers get investment return from renting out or resale of their property. As a rule, they are attracted by the following beneficial factors:
- Convenient location and resort style of life.
- Year-round tourist flow.
- Stable national currency: Thailand has the lowest inflation rate in the world.
- Property prices increase by 5% per year, and even more for resort properties.
- No Property Tax.
- Full ownership for foreigners.
- Low entry threshold – from $80,000 for an apartment by the sea under construction.
- Thailand is not interested in the origin of the money and does not give the names of the owners.
- A high rental income of at least 5-7% per annum. This is 4 times more than a bank foreign currency deposit.
- Cheapness of housing maintenance.
- Impossibility of real estate confiscation.
- A comfortable business climate.
It is important to analyze the real estate market and build a successful strategy of getting income beforehand.
Personal space for seasonal stay
Thailand welcomes people from all over the world all year-round. Being in love with the country and visiting it again and again, you may be fed up with staying in different houses or apartments. In case you want to buy a personal house or an apartment for staying several times in a year, pay attention to the liquidity of a unit and footage.
Comfortable interior and standard sizes will give the possibility to rent the property out in the time of your absence. The rental income will cover the maintenance fees and other payments. Besides, high liquidity of the building will play a crucial role in case of future sale.
Permanent residence
Real estate for future permanent stay impresses with its versatility. Still, most buyers book homes in residential complexes. Such complexes are away from tourists and closer to schools, kindergartens, hospitals, golf courses and picturesque green hills. If you want to live in a calm atmosphere on a secluded territory, do not consider tourist locations, where there is a resort surcharge and hustle and bustle on everything.
On the whole
Thailand-Real Estate provides a vast selection of beneficial housing units off-plan that meet all the above-mentioned goals. The best representatives of the real estate market from famous developers are waiting to make their future owners happy and satisfied. Do not wait to become an owner of property abroad and get high money and emotional income.