For a period of time in Pattaya there was a huge surge in off-plan condominium sales within the local market. Developers would sell units at a reduced cost before it was even built and use the money to work with the banks of financing the construction.
It meant over night hundreds of real estates agents appeared across the town on the promise of making some good money, many of these small one man bands only needed one sale every three months and that would fund their life in Pattaya.
For one reason or another, and not the purpose of this blog so I won’t go into it now, this off-plan market dried up and just like that the only real local real estate market that was left were for the re-sale property of both condos and houses. It also meant only the best and most reputable survived and the ‘chancers’ disappeared.
Just as developers were starting to think the Pattaya condominium new builds bubble had burst, along came the Chinese buyer.
These Chinese buyers, as I understand from speaking to agents, were based in China and buying from China. These were big investors that didn’t even need to come to Thailand to make the purchase.
What I was also told is the Chinese are being sold units in projects in Thailand that even Thailand don’t know exits yet, as they exist only to the developers over in China. They are effectively selling PRE- off plan and it is proving very successful.
It is why now when many projects are now officially launched with the usual fan fare, on day one you are told 30-40% of the units are already sold!
Chinese undeterred by baht strength
Despite a rise of the baht’s value against the yuan, Chinese investors continue to buy Thai property, though at a lower rate than in 2018.
Carrie Law, chief executive and director of Chinese international property portal Juwai.com, said further growth of Chinese purchases of Thai properties is expected in 2019.
“This is a good year for developers to sell to the Chinese in the face of slower momentum from local buyers,” she said.
“What appeals to Chinese buyers is quality property at a good price. They want to buy a luxury property at a price that makes sense.”