2023-06-14-莱坊-Bangkok_Condominium_Market_Q1_2023_6页_1mb

Bangkok Condominium Market Analysis for Q1 2023

Bangkok's condominium market in Q1 2023 remained relatively stable, influenced by government stimulus and cautious operators due to global economic risks and inflation. Foreign demand increased, particularly from Chinese and Burmese buyers, though domestic purchasing power declined because of high inflation and household debt concerns, including political and economic factors like the situation in Myanmar.

Supply decreased by 25.3% year-over-year, with 88% focused on suburban areas, and Grade C condos (69% of total supply) dominating, averaging THB 40,000 per square meter. No new Grade A launches occurred.

Demand saw a sales rate of 42.3%, a 13.5% increase quarter-on-quarter, but a slight decrease yearly. Foreign interest stimulated demand in specific areas, while domestic demand slowed. Key buyers were investors and real demand groups.

Asking prices rose slightly across areas: CBD reached THB 243,800 per square meter, while other regions saw modest gains, attributed to inflation and rising construction costs.

Looking ahead, the market is expected to gradually recover with reduced supply from sluggish domestic demand. Prices will likely continue to increase due to cost pressures, and Thai buyers are showing more interest in international school-adjacent projects. Positive factors include tourism growth, but negative influences include higher interest rates and potential debt risks for mid-range buyers.