Bangkok Property Investment Guideline

Why Purchase a Property in Bangkok?:

Bangkok is the fastinating capital city of Thailand, outranking favorites cities such as London and Paris in terms of annual tourist numbers. Focusing on Bangkok’s property market, it continues growing and value for a long term investment. Apart from that, the property in Bangkok is also one of the most liquid choices as compared to other property investments in Southeast Asia countries. Together with Thai’s Baht is among Asia’s best currencies lately and used as a currency to store wealth. Therefore, it is not surprisingly that Bangkok is one of the world-class destinations in property investment and the tourism industry.

• A Pleasant of Lifestyle Destination

Naturally say Bangkok is often people’s first experience with emerging Asia, as the city offers a wide-ranging lifestyle as well as professional business prospects. It has a perfect geographical location, shopping malls, fantastic food, good medical health care, plenty of international schools, comparably cheap property, top retirement destination, etc. In term of business level, Bangkok is Thailand’s biggest and most urbanization city; having the headquarter of the country’s local and multination businesses in this city.

• Attractive Rental Yields

Based on Global Property Guide Research, property's gross rental yield is attractive at on average 5.13% comparing to other Asian nations. Generally, gross rental yields are approximately 4.0%-8.0% depending on a property location, property project and room size.

Source: Global Property Guide Research
Note: The gross annual rental income, expressed as a percentage of property purchase price.
(Return on investment before taxes, maintenance fees and other costs)

In term of price to rent ratio across the capital cities in various countries, Thailand property will take approximately 19 years to pay off as calculated by the average rental yield 4.5%-5.0%.

Source: DMRD Research

• Potential Capital Appreciation

Because Bangkok is the business center covering by a mass transit such as BTS/MRT. And in the future, it will have further development of urbanization due to the transportation infrastructure enhancement as well as an emerge of the new Central Business District. These factors will contribute to the upward trend of potential capital appreciation. According to the Bank of Thailand and Global Property Guide revealed property prices in Thailand had risen very modestly for the past several years.

Source: Bank of Thailand (BOT) and Global Property Guide Research

• Freeholds Condominium

Due to the Thai law and regulation, foreigners are allowed to purchase a freehold condominium up to 49% of the total number of all units.

• Low Resale Transaction Costs

Property investment is a prevalent method of wealth management. Sales and purchase taxes are always primary considerations when investing in real estate. As compared to other countries in the region, Thailand offers buyers and sellers advantageous and attractively low set of taxes. The general transaction costs are as follows;

Buying and Selling Condominium Taxes in Thailand

Source: Bank of Thailand (BOT) and Global Property Guide Research