New Reseach Confirms Pattaya Condo Market Boom

Three independent reports
released over the past month have all come to the same conclusion – that sales
of condos in Pattaya are currently seeing a major boom, with sales well in
excess of any other part of Thailand. 

The most comprehensive of the
surveys was undertaken by the independent research organization, the Agency for
Real Estate Affairs (AREA).  This,
the largest survey ever undertaken of the Pattaya property market took data
from 232 different developments in the city currently under construction or on
pre-sale during July 2011.  The
survey found that property in Pattaya was selling at a rate six times faster
than other major Thai markets such as Bangkok and Phuket, a rate that the lead
researcher on the project, Dr. Sopon Pornchokchai, says confirms that real
estate in Pattaya is “selling like hot cakes”.

AREA’s findings were supported by
the second of the three reports to be released by leading global realtor,
Colliers International, in their H1-2012 Pattaya Condo Market Report.  The report stated that they “were
astounded by the massive success of many [condominium projects] and the
incredible take up rates in most areas … the overall results are very
encouraging for the market in general and there seems to be no stopping the
immense popularity that Pattaya holds for both investors and end users.”

According to the AREA survey, the
average value of property sold during July was THB 3,540,000 ($114,000).  The most active sector of the market
was for one-bedroom apartments of under 40m2 sold in the THB 1-2 million
($32-64,000) price bracket, with affordable studio apartments also showing
strong sales. 

One of the major reasons for the
strong health of the Pattaya condo market is, according to the Colliers’
report, the “remarkable entry into all segments of the market from Thai buyers,”
stating that Thai buyers now account for 50% of all sales in the city.  The third report to be released over
the past month, the 11th Edition of Condominium Focus, from publically-listed
Thai developer, Raimon Land, confirmed Colliers’
findings, stating, “many Thais are now aspiring to have a second home in
Pattaya, especially as the number of attractions such as large-scale retail
malls, water parks, theme parks and other family attractions grow.”

Among foreigners, Russians continue to be the most active
buyers in the city, accounting for 28% of all Raimon Land’s sales in the resort
city.  Colliers noted that the
numbers of European and American buyers are slightly down on previous years due
to the economic problems at home. 
The report notes the recent emergence of significant numbers of buyers
from China and India, however, stating that these two countries “could quite
possibly be the superpowers of the future when it comes to buying property in
Pattaya”.

A detailed look at the Pattaya property market is now
available in book form with the publication of Pattaya
Property and Thailand’s Real Estate in August.  The book details the process of buying property in Thailand
and compares more than forty different developments which are currently on sale
in Pattaya.