Thailand's high-end real estate market is beginning to show signs of recovery following some dark days last year and earlier this year when investors were few and far between.
The recovery has been most apparent in Bangkok and Pattaya where positive signals are attracting the attention of buyers once again following the global economic downturn, according to leading luxury property developer Raimon Land's latest issue of its research journal, Condominium Focus.
The report reveals that property prices have remained stable, as have off-plan take-up rates, while selective investors are returning to purchase property as well as property stocks, which were the first to fall in late 2008 and among the first to recover in April this year.
Thailand's condominium development indicators also show that developers are enjoying lower construction and materials costs, but banks remain cautious in releasing new loans for their projects.
Condominium presales have bounced back after sinking 68 per cent from 9,829 units in the third quarter last year to only 3,150 units in the fourth quarter. The turnaround began in the first quarter this year when presales more than doubled to 8,520 units and the momentum carried over into the second quarter, which delivered similar results.
Stock Exchange of Thailand-listed developers - Raimon Land, Noble Group, Preusker, Measure Development, Asian Property, Supali and San Siri - reported an impressive 8.52 billion baht (HK$1.97 billion) in combined condominium presales during the first quarter, but that is still 36.5 per cent short of the 13.42 billion baht achieved in the same quarter last year.