Need some newbie advice on property purchases

[db74 0]

Hi Guys

 

Im considering boosting my property portfolio and am looking abroad. Have seen some development in and around Pattaya and it has sparked my interest.

 

Can any of you give me a heads up on some information regarding farang property ownership in LOS, any links or wisdom would be appreciated.

 

Also, any thoughts on what offers the best returns. Prices seem reasonable given conversion rates etc.

 

Hope you can help.

 

Regards,

DB

[JohnnyK 28]

Reasonable price to buy vs. western property.

In terms of cap rate, forget it.

Ask BM OnMyWay about this, he was very successful in real estate in the US.

Edited September 15, 2006 by JohnnyK

[sinkorswim 80]

forget about it......wait to see how the visa rules effect the property market in Pattaya, there is already a over supply and people want stupid prices for second hand properties.

 

I would not by in Pattaya now it is virtually impossible to make a decent return on your investment if renting.

 

example, you can pay 6 million baht for a nice condo and it rents for 20000 baht per month. 30000 baht if you are lucky.

[whitespider 1]

I agree with sinkorswim to a degree although not with his actual figures. At the moment a 3m condo would probably go for 20k+ a month.

 

The new Visa rules are likely to have a major impact one of which COULD be to drive down prices.

The rental market has been pretty bouyant in Pattaya for years but I have a feeling that the Visa regs will see an excess develope (or rather a dearth of long term renters) which logically would drive rentals down and MAYBE Cap values too. It is also probable that longer term lets will become difficult leaving the 1-3 month market intact whcih has its own inherant problems.

 

What IS [almost] certain is that it would be a good idea to wait and see how things pan out - I doubt you will see prices increase at least, although they have been doing so fairly steadily over the past few years. There are several BMs involved in this market and they will no doubt post the benefiot of their experience although I would assume that they purchased some time ago at lower prices and even they would probably hesiatet to get involved in a "new" purchase at the moment.

 

 

If you do wish to jump in now - there are several condos available in the 700-800k mark for which you can see about a 10% return via rental from expats looking at the cheaper end but again the capital element will be uncertain. One advatnage that DOES remain is that you can probably buy a new codo here for cash which is likely to be beyond most people in their home countries due to price.

 

Back to the core of the argument - I think waiting [at least] a few months will be a wise move.

Edited September 15, 2006 by whitespider

[sinkorswim 80]

I agree with sinkorswim to a degree although not with his actual figures. At the moment a 3m condo would probably go for 20k+ a month.

 

 

I was down in Pattaya a few weeks ago and was looking to buy a condo for myself. I went to the same building I was going to buy in 3 years ago for 1.7 million baht...........they now want 6 million baht for the same condo. These condos are renting for 20 to 30000 baht per month.

 

Not a good return in my opinion but like you say you can get condos in different buildings at cheaper prices. I would still wait and have a very very good look.

[WelshFarang 0]

Hi Guys

 

Im considering boosting my property portfolio and am looking abroad. Have seen some development in and around Pattaya and it has sparked my interest.

 

How much of your own time will you spend in the condo? Is it a place for yourself that you will also rent out, or is it somewhere that you want for an investment and nothing else. Do you have friends in LOS that can help with lettings and keep an eye on it?

 

Personally I would not invest property in a foreign country, unless I was there to oversee it myself. The Thai govt. can change rules without much concern for farangs, so the only money I would take into to LOS is money that I can afford to lose.

 

Sorry to sound negative, but recent changes to visas has brought home to me how uncertain expat life can be in LOS.

[papillon 695]

Hi Guys

 

Im considering boosting my property portfolio and am looking abroad. Have seen some development in and around Pattaya and it has sparked my interest.

 

Can any of you give me a heads up on some information regarding farang property ownership in LOS, any links or wisdom would be appreciated.

 

Also, any thoughts on what offers the best returns. Prices seem reasonable given conversion rates etc.

 

Hope you can help.

 

Regards,

DB

 

You can get advice on a forum like this but is it going to be any good?

 

What info are you hoping to hear that will be a deciding factor as to whether you buy or not?

 

Unless real estate is your business, buying property is going to be a gamble, simple as that.

 

Can you afford to play?

[Trvlr 50]

forget about it......wait to see how the visa rules effect the property market in Pattaya, there is already a over supply and people want stupid prices for second hand properties.

 

I would not by in Pattaya now it is virtually impossible to make a decent return on your investment if renting.

 

example, you can pay 6 million baht for a nice condo and it rents for 20000 baht per month. 30000 baht if you are lucky.

 

A couple of posters have mentioned new visa rules.

Are new visa rules being written for sure? Or are these general statements meaning that if new visa rules are enacted they may affect property or rental values?

[cbrib 354]

There is a 1 bedroom unit for sale in Tudor Court on Pratumnak Hill. It has a long term tenant in there already on a corporate rental. Looking at around an 8% ROI per year. PM me if you're interested

[Kev 178]

Anyone have a link to information about these new visa rules please?

[papillon 695]

Note the date of the OP.

[js007 795]

Anyone have a link to information about these new visa rules please?

 

New Visa rules? That didn't ever happen, did it?

[Trvlr 50]

Note the date of the OP.

 

Crap...that caught me out!