KEY

POINTS

During the year 2020-2022 It is a difficult time for condominiums. Entrepreneurs opening new projects for sale have decreased in large numbers.

Investment in condominiums around educational institutions The price should not be more than 3 million baht or less than 2.5 million baht per unit. Because it is a group buying for investment and long-term rental.

Location around Bangkok University Rangsit and Thammasat University, Rangsit There are more than 20 condominium projects totaling tens of thousands of units.

During the year 2020-2022 It is a difficult time for condominium projects. Entrepreneurs in this business have greatly reduced the launch of new projects. There is still a new project for sale. But there are fewer This is because entrepreneurs must look for interesting locations so that when opening a new project for sale, it will not take long to sell. You must also consider the timing of the transfer of ownership so that there will be no problems or interruptions from applying for bank loans.

In addition, that location There must really be demand from both sides of the buyers. and in the group of people who buy condominiums for investment Especially in the group of long-term investments. It must also be done at a very affordable price. Because if looking at investment, it should be a project with a price not exceeding 3 million baht per unit. Or if it can be developed at a price lower than 2.5 million baht per unit, even better. Finding a location that meets the needs of both groups during a time of economic slowdown And there is a problem with the purchasing power of most people in Thailand. There may not be many suitable locations.

Mr. Surachet Kongcheep, Managing Director of Property DNA Company Limited, a real estate market researcher, analyzed that in these 2 locations there may be entire groups of people who actually need housing. and a group of people who are investors It is seen that this location is definitely in high demand. There may be only locations around the university left. or educational institution and locations around industrial estates Especially locations around universities outside of Bangkok have received a lot of attention. Including locations around universities or educational institutions in some provinces such as Chonburi and Nakhon Pathom.

In addition, the area around the university in Bangkok has received interest from both entrepreneurs. and investors as well Because it can capture a wider group than universities outside of Bangkok But the selling price will clearly be higher. This causes the sales rate to not be as high or as popular as in areas outside of Bangkok. As for industrial estates, there are industrial estates. that are in the metropolitan area, and industrial estates that are in the eastern region Especially in Chonburi and Rayong provinces, locations around industrial estates.

The location around the university may not be a location that has recently had a condominium project in the past few years. But it is a popular location where condominium projects have been open for sale for a long time. Some locations have had condominium projects for more than 10 years and are still locations where condominium projects have been continuously launched for sale over the past several years. But it may have become more evident in the past 2-3 years.

The location where it can be said that there are a lot of condominium projects open for sale that is clearly noticeable is the location around Bangkok University, Rangsit. and Thammasat University, Rangsit There are more than 20 condominium projects in the surrounding area, totaling tens of thousands of units as well.

Also interesting is that there are many closed sales projects. Or can make sales or reservations after opening the pre-sale very high within a short period of time. This shows that there is real demand. And it is a demand from the entire group that needs housing. and groups of investors

Condominiums in the area surrounding the university in the Rangsit area in both locations are mostly projects with a not very high selling price. or mostly at a selling price not exceeding 3 million baht, may be sold at a price of approximately 60,000 baht per square meter up to 80,000 baht per square meter. And there may be some projects with a selling price of more than 100,000 baht per square meter, which are not many projects. by projects that have been launched for sale in the past 2-3 years

Received a very good response. There are pictures of people making reservations and waiting several days in advance before the opening of the pre-sale. It is rare to see such an atmosphere during a period of economic slowdown. The operator with the most projects in both Rangsit locations is Assetwise, which in the past may have been Sansiri that opened condominium projects for sale before. Including flora There were large projects of thousands of units many years ago.

Another location around a university or educational institution in Bangkok that has many condominium projects. And it is clear that the entrepreneurs view part of their purchasing power as those directly related to educational institutions, namely the locations around Kasetsart University. Chulalongkorn University Srinakharinwirot University Prasarnmit, which has a large university and is in a convenient location for travel. Entrepreneurs therefore look at purchasing power that is related to

Educational institutions are also located around the Laksi intersection where there are many universities. One place where purchasing power from educational institutions is being looked at.

Outside of Bangkok, this may be clearly seen in Bang Saen and Salaya, which are areas with universities. There are quite a lot of students, with Bangsaen having a condominium project for more than 15 years, but only recently has a large entrepreneur opened the project for sale. Salaya may have just had a condominium project open for sale in the past few years. But it has received attention from both sides of the entrepreneur. and buyers who buy to live in and buy for investment

Condominium projects around Educational institutions may have to look at it as a long-term investment that will be more worthwhile. Because the return will depend on the rental of students or people related to that educational institution. In addition, lease agreements are made for the long term. Many parents buy condominiums for their children to live in and then rent them out after they graduate. or sell to get investment with returns Because if your child stays for a long period of time until they graduate, paying in installments with the bank is no different from renting a high-quality apartment near a school. Moreover, the condominium is also safe. and facilities Including parking that is more assured than an apartment or dormitory. There is also a group of parents who have children studying in educational institutions in inner Bangkok. And the parents also work in inner Bangkok. However, their home is in the outer Bangkok or surrounding areas. Traveling in and out may be difficult. and wastes a lot of time Buying or renting a condominium close to a school is a solution that many people choose. Condominiums close to educational institutions are therefore gaining attention. But you may have to be careful about the number of students. The number of students continues to decrease in line with the population decline. and the changing forms of learning Demand for surrounding condominiums Educational institutions may be close to saturation point.

For surrounding locations Industrial estates are another location that may not be a new location. Or it has recently received interest from entrepreneurs opening condominium projects for sale, but it is one of the locations that have both residential projects and housing developments. And condominiums have been open for sale for a long time, but in the past 1 - 2 years, some entrepreneurs may have clearly started to open up condominium projects for sale. There are two obvious ones: Sena Development, which focuses on selling inexpensive condominium projects with a starting price of less than 1 million baht in surrounding areas. Industrial estates in the metropolitan area around Bangkok have received good interest.

Although there are problems with applying for bank loans, because the buyer group is large Due to the inexpensive selling price, sales can be made continuously. There is also a group of investors who buy to rent as well. Another entrepreneur who is clearly selling condominium projects in the surrounding area. Industrial estates are Origin Properties that offer projects for sale in areas surrounding industrial estates in Chonburi and Rayong provinces. There are also condominium projects for small entrepreneurs in those provinces.

Selling prices of condominiums around industrial estates in Chonburi province and Rayong will not be very high Most are for sale at prices not exceeding 2 million baht per unit. It might cost more, but not much. Because of purchasing power for condominium projects in surrounding areas Industrial estates are people who work in industrial estates, where the group of middle to lower level workers has the largest number. Therefore, entrepreneurs choose to access this group's purchasing power by selling projects at that price level in order to gain access. The largest purchasing power There may be problems in applying for bank loans. But because the purchasing power is very large, there is still enough to circulate. People with high purchasing power may choose houses in housing developments rather than condominiums.

Areas around industrial estates in Chonburi Province and Rayong have had residential projects for a long time, along with the emergence of industrial estates in both provinces, but the opening of condominium projects for sale by entrepreneurs may see more during the period of investment flows from foreign investors. Nationals have become more common in recent years. Because there are more new factories The movement of labor into the area has increased. The demand for housing is also increasing. Just that there may be both a demand for rent and a purchase. When there is a demand for rent. A group of investors who were already looking for a location for investment came to buy condominiums in the area surrounding the industrial estate. To invest in the long term, which of course hopes to rent from people involved in various industrial estates because renting an apartment or dormitory is not much lower than renting a condominium at present. But have more safety and amenities. Many renters also view parking as being more secure than dormitories. or apartment But the most popular projects may be those that are not too far from their workplace. Because traveling is not as convenient as in Bangkok.

A concern for condominium projects in areas surrounding industrial estates is the movement or reduction of workers caused by factory closures. Including the increase or decrease of the factory's production capacity. Because it affects employment Labor income and continuing to apply for bank loans. Over the past 2 - 3 years, quite a few factories have closed down. Especially factories that use a lot of labor. and modern factories use more technology. The number of workers has decreased. It is believed that entrepreneurs are aware of this. Because the number of condominium projects around industrial estates is not many compared to housing units, the number of units is 10 times different. Moreover, housing projects have a group of buyers who are people in the area who want a house to live in. Including groups who need a home because of expanding family, etc.

Source:https://www.thansettakij.com/real-estate/587191

at 30/1/2024