News Forum - Inflation forces real estate developers to readjust prices

[Thaiger]

To compensate for the sluggish real estate market after prices have risen due to higher costs caused by the Russia Ukraine war, real estate developers should downsize unit sizes and readjust some features. Furthermore, in order to avoid incurring greater costs as a result of the new tax, real estate developers will be more selective when purchasing property for their next project. Construction prices would increase by 5 to 10%, especially for residential properties where the cost to build them is much higher than the price of land, according to the honorary president of the Housing Business Association, Issara Boonyoung. […]

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[Soidog]

Well this story can’t be right. It was only a few days ago we were being told the real estate market and condo market is booming. Which is it? Even in Thailand they can’t both be right. 

[TheDirtyDurian]

So make properties smaller, and with cheaper materials basically....

[BIGGLES]

3 hours ago, Soidog said:

Well this story can’t be right. It was only a few days ago we were being told the real estate market and condo market is booming. Which is it? Even in Thailand they can’t both be right. 

It's all rubbish, peddled by the snake oil salesman. 

[Grumpish]

Thai economics 101. Too expensive, not selling? Put the price up.

[Marc26]

We've been trying to buy a house for a couple weeks

 

My wife said they had already come down 400k

 

But the price she was quoted, they won't move a baht and my wife has gone up twice

 

We are 200k apart 

[Grumpyoldman]

"Due to the economic slump induced caused by the outbreak, prices of land have gone up for almost two years,"

 

This doesn't fit any economic model known to man..... oh wait, This Is Thailand.

[Buzzkill]

Nobody wants smaller that is unattractive i can't believe you even attemp to sell these 24 sq meter shoe boxes so stupid those concrete block don't cost that much to build

[oldschooler]

31 minutes ago, Grumpyoldman said:

"Due to the economic slump induced caused by the outbreak, prices of land have gone up for almost two years,"

This doesn't fit any economic model known to man..... oh wait, This Is Thailand.

Fantasy Thai Economics. Fewer Customers Around ? Oversupply? Increase Prices to Compensate !

[oldschooler]

25 minutes ago, Buzzkill said:

Nobody wants smaller that is unattractive i can't believe you even attemp to sell these 24 sq meter shoe boxes so stupid those concrete block don't cost that much to build

Developer Profit normally 100% Build / Land Costs. 24 m2 a medium size hotel room. Unlivable long term.
Minimum comfortable living space (for me) is two bedroom 70m2 garden apartment ( limit: 1-2 adults & child)