Thai developers throw in massive discounts, hotel stays and even free registrations to reduce piling inventory levels
- A massive surplus in some parts of Bangkok has seen Thai developers launch yet another campaign to attract buyers amid the economic uncertainty
- Housing inventory levels in Bangkok stood at 147,000 units at the end of the first half, nearly the same as the 138,000 units seen at the end of 2015
Thai developers are offering huge discounts and throwing in freebies like hotel stays and even waiving off transfer fees as part of a campaign to drum up sales that have taken a hit from the Covid-19-induced recession.
“We have had a total of four campaigns so far in 2020 to stimulate buying demand,” said Charinya Youngprapakorn, head of advisory and transaction services for residential project marketing at CBRE Thailand.
She added that there was a surplus supply in some parts of the Thai capital as foreign demand had dropped since last year, while demand from local buyers had been affected by the economic uncertainty triggered by the pandemic and escalating social unrest.
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One company is offering discounts of more than 10 per cent or some 11 million baht (US$352,000) for its most expensive property. Others are offering gift vouchers that can be redeemed for hotel stays and dining at restaurants, and even free transfer fees. The promotions, launched by developers of 12 housing projects, run until November 30.
The marketing campaign is an extension of the promotions in the second quarter. Then, several developers had offered to pay finance instalments for up to three years, while others enticed buyers with Honda and Porsche cars with the purchase of luxury property.