Condo investment for rental income in South Pattaya

[Piet969 0]

I am considering to invest in condo's in South Pattaya for rental income (studio and 1-bed)

 

Can you share your views:

- Is it easy to find tenants for 1-bed / studio condos in South Pattaya?

- How to find tenants when not being around all times ?

- What is the occupation rate I can expect for real estate in South Pattaya?

- Is real estate for rental income as easy as all advertisements suggest ?

- Would you encourage or discourage this initiative ?

- What do I need to know as an outsider ?

 

thanks for your views,

Piet

[jaxxon55 252]

I am considering to invest in condo's in South Pattaya for rental income (studio and 1-bed)

 

Can you share your views:

- Is it easy to find tenants for 1-bed / studio condos in South Pattaya?

- How to find tenants when not being around all times ?

- What is the occupation rate I can expect for real estate in South Pattaya?

- Is real estate for rental income as easy as all advertisements suggest ?

- Would you encourage or discourage this initiative ?

- What do I need to know as an outsider ?

 

thanks for your views,

Piet

 

I only have one rental condo and it is professionally managed by Dancewatchers. They have standards for their rentals but service is superb. I did not buy my condo for an investment but thanks to them I cannot afford to live there. All I do is pick up the money every couple of months. There has never been a problem and it is booked up a year in advance usually. My estimate after expenses (all expenses) is 13%. They are also long time personal friends but this recommendation is unbiased. Read the reviews on their website.

Jack

[VPI78 11,494]

I am considering to invest in condo's in South Pattaya for rental income (studio and 1-bed)

 

Can you share your views:

- Is it easy to find tenants for 1-bed / studio condos in South Pattaya?

- How to find tenants when not being around all times ?

- What is the occupation rate I can expect for real estate in South Pattaya?

- Is real estate for rental income as easy as all advertisements suggest ?

- Would you encourage or discourage this initiative ?

- What do I need to know as an outsider ?

 

thanks for your views,

Piet

 

It is similar to real estate investment at holiday destinations world-wide, i.e., good locations make it easier to source customers and those that actively manage their properties tend to do better. Good South Pattaya locations will be easier to rent/stay occupied than most locations out across Sukhumvit. Being an absentee landlord is something I would discourage anyone from undertaking if you are going to be a long distance away and especially in a place like Pattaya where the rule of law is less robust than you would be accustomed to in the EU.

 

If you just have to do it and are going to inactively manage the properties, e.g., be an absentee landlord, than get a good law firm/agent.

 

Buen suerte.

[filmmakrdan 82]

 

 

I only have one rental condo and it is professionally managed by Dancewatchers. They have standards for their rentals but service is superb. I did not buy my condo for an investment but thanks to them I cannot afford to live there. All I do is pick up the money every couple of months. There has never been a problem and it is booked up a year in advance usually. My estimate after expenses (all expenses) is 13%. They are also long time personal friends but this recommendation is unbiased. Read the reviews on their website.

Jack

What do you mean your estimate is 13%? That's how much the management company takes or that's how much you clear. Give me an example. How much does your place rent for for the month and how much do you get out of it? And do you already own the property or are you still making payments on it?

[BigDUSA 71]

IMHO Pattaya is way overbuilt with condo's with many more unit's being built. Pattaya is running short of water.

[yogi100 1,925]

I have two friends who rent out houses and condos in Pattaya. They both rent out to long termers and expats and charge very reasonable rents, the 40 SM condos in Pattaya go at 7000 and 8000 and the small houses on the darkside from 6000 to 8000. These rents do not include water and electricity. They both share the same philosophy that a regular 8000 baht per month year in year out is better than charging higher rents and then having to keep chopping and changing tenants and having to deal with estate agents and with petty complaints every week.

 

They have also been lucky in that their tenants are good payers, clean, tidy and treat the properties as they would their own. One of their tenants has been in the condo for 9 years and all the others for several years each. Other more financially ambitious landlords spend a considerable time showing prospective punters round their properties in the hope of getting 12 - 15000 bahts a month. Guess who makes the most money and has the less aggravation?

 

Edit.You can no more be a successful absentee landlord in Pattaya than you can in your own country. Letting agents will act in their own interests, not yours and will often not try and find a tenant at all but you will still have to pay your service charge. In your absence they will often look for short term renters that you will know nothing about. They are also property owners themselves and will keep the best tenants for themselves letting their properties first. You could easily find that instead of making money you are losing it and it will not be peanuts either. Remember you will also have to pay for repairs and wear and tear on the fixtures fittings and furnishings.

Edited November 5, 2012 by yogi100

[Gabor 296]

I have two friends who rent out houses and condos in Pattaya. They both rent out to long termers and expats and charge very reasonable rents, the 40 SM condos in Pattaya go at 7000 and 8000 and the small houses on the darkside from 6000 to 8000. These rents do not include water and electricity. They both share the same philosophy that a regular 8000 baht per month year in year out is better than charging higher rents and then having to keep chopping and changing tenants and having to deal with estate agents and with petty complaints every week.

 

They have also been lucky in that their tenants are good payers, clean, tidy and treat the properties as they would their own. One of their tenants has been in the condo for 9 years and all the others for several years each. Other more financially ambitious landlords spend a considerable time showing prospective punters round their properties in the hope of getting 12 - 15000 bahts a month. Guess who makes the most money and has the less aggravation?

 

Edit.You can no more be a successful absentee landlord in Pattaya than you can in your own country. Letting agents will act in their own interests, not yours and will often not try and find a tenant at all but you will still have to pay your service charge. In your absence they will often look for short term renters that you will know nothing about. They are also property owners themselves and will keep the best tenants for themselves letting their properties first. You could easily find that instead of making money you are losing it and it will not be peanuts either. Remember you will also have to pay for repairs and wear and tear on the fixtures fittings and furnishings.

 

how true.... I try to rent out my condo for 16.000 bt / month..... the agents says, sorry no customers... When I want to rent out condos for my mates they have offers for 18-20.000 baht....

[louie 1]

how true.... I try to rent out my condo for 16.000 bt / month..... the agents says, sorry no customers... When I want to rent out condos for my mates they have offers for 18-20.000 baht....

This is common

[tomcat76 327]

I have two friends who rent out houses and condos in Pattaya. They both rent out to long termers and expats and charge very reasonable rents, the 40 SM condos in Pattaya go at 7000 and 8000 and the small houses on the darkside from 6000 to 8000. These rents do not include water and electricity. They both share the same philosophy that a regular 8000 baht per month year in year out is better than charging higher rents and then having to keep chopping and changing tenants and having to deal with estate agents and with petty complaints every week.

 

They have also been lucky in that their tenants are good payers, clean, tidy and treat the properties as they would their own. One of their tenants has been in the condo for 9 years and all the others for several years each. Other more financially ambitious landlords spend a considerable time showing prospective punters round their properties in the hope of getting 12 - 15000 bahts a month. Guess who makes the most money and has the less aggravation?

 

Edit.You can no more be a successful absentee landlord in Pattaya than you can in your own country. Letting agents will act in their own interests, not yours and will often not try and find a tenant at all but you will still have to pay your service charge. In your absence they will often look for short term renters that you will know nothing about. They are also property owners themselves and will keep the best tenants for themselves letting their properties first. You could easily find that instead of making money you are losing it and it will not be peanuts either. Remember you will also have to pay for repairs and wear and tear on the fixtures fittings and furnishings.

 

Plenty of property management outfits that operate the same way here in the US!

[jaxxon55 252]

What do you mean your estimate is 13%? That's how much the management company takes or that's how much you clear. Give me an example. How much does your place rent for for the month and how much do you get out of it? And do you already own the property or are you still making payments on it?

I have 3000,000 in it. I bought it new off plan. My net (after expenses-all expenses) is around 13%. It is listed on his web site as v.i.p. room v.t. 6. AS I said I am not marketing it.

Jack

[jaxxon55 252]

IMHO Pattaya is way overbuilt with condo's with many more unit's being built. Pattaya is running short of water.

Big D, Do you think Holiday Inn,Tulip Group, Raimon Land, Dusit, Centara do not have marketing and research units that might know more about supply and demand than the average ex-pat?

Jack

[jacko 8,813]

Big D, Do you think Holiday Inn,Tulip Group, Raimon Land, Dusit, Centara do not have marketing and research units that might know more about supply and demand than the average ex-pat?

Jack

Well they can't really do much about it and probably don't want to miss the 'rush'.....

I believe the only source of water at the moment is Mabrachan out there on the dark side, and it is a concern to me as I get my water from there too. I am thinking Sabai Dee and their friends will be pouring gallons of it into the sea when I am left high and dry one day. I may have to have a well dug.

Holiday Inns are sold off frequently.....

[js007 795]

My guess is that the lower priced condos would be easier to rent, and perhaps you'd have a better yield. Still, I wonder how easy it is to keep tenants, with all the new condos going up.