Why Invest Why invest Off-planWhy Invest in Off-plan Properties in Thailand
Off-plan investments in Thailand can offer investors the ability to buy at the lowest price possible and achieve maximum return on investment
Keeping your property for a number of years will allow you to benefit from excellent rental income opportunities. Meanwhile you can enjoy a beautiful holiday home and watch your property appreciate in value
Buying a condo allows foreigners to buy freely, without the need to establish a limited liability company, provided the foreigner to Thai ownership ratio on your chosen development does not exceed 49%. However, if you choose to buy in a Thai Holding Company you can manage to get even better savings.
The government has strict guidelines to ensure the quality in Thailand is high and that it is also constructed in harmony with the environment. Obviously, as development projects are completed, it may be possible to purchase completed property but this will be priced substantially higher as it is also generating the return on investment for the original investor. Quality new investment opportunities in Thailand are always located in areas that offer the greatest potential for capital appreciation on the property. They are invariably in popular tourist areas that will allow investors to generate rental returns.
Buying off-plan in Thailand allows investors to purchase property in areas that will attract major rental demand and price appreciations at the lowest possible prices and with the best possible finance options. Those who purchase our selected quality Thailand developments early will see the greatest returns on their investment.
How can property be cheaper if bought off-plan – How does it work?
The developer of any project is always exposed to risk. They want to cap this risk as quickly as possible and limit bank loans and other debts. They do this by selling units off-plan at excellent prices as the buyers cannot see a physical property at this stage and rely on the location and artist impressions, diagrams and computer simulations.
In addition to an excellent price, the investor also benefits from excellent finance structures due to the fact that the property is sold off-plan. The investor usually only needs to pay around 25% of the value of the purchase in the form of a deposit, the rest is payable over the construction period at 0% interest.
Once you have decided to invest in off plan property, you need to decide which strategy you will adopt to achieve your return on investment. Our Sales Team will help you to choose the most appropriate investment plan, be it a "pure investment" or the "buy-to-let" strategy.
Maximizing Profit from an Off-Plan Investment in Thailand
- Purchasing early
At the commencement of a project, the developer offers units well below market value for the reasons mentioned above. In Thailand it is also important to buy as soon as possible as the property market is in its early stages of development and prices are still very competitive but already rising. Investors who purchase now will see the greatest profits. - Purchasing the best units
Early investors can purchase the most sought after properties on any given development. Penthouses are often favorites. The best units always offer highest capital appreciation in the quickest turnaround time, and will also command the greatest rental incomes. - Price increases as development matures
As the development begins to be constructed the units’ value rises. There is normally a completed show home at this stage so buyers are taking less of a risk without the need to rely completely on plans. - Price appreciates as more units sell
As more units are sold the price of the remaining units rises. This is due to buyers being able to see current units as mentioned above. Often there is a phase payment structure in operation which mirrors the increasing value of the properties. To the early investor this means that should you decide to sell your property, it will be worth considerably more at this stage than when you made your initial purchase.
Where to buy in Thailand
Known as the Thai Riviera, Pattaya is regarded as one of Asia's top beach resorts catering for every type of tourist. White sand beaches, world class hotels, restaurants, shopping centres and more than 30 international-standard golf courses are within an hour's drive. Pattaya's other leisure attractions range from the sedate (tropical gardens, Buddhist temples, zoos, fishing and sailing) to the more active (amusement parks, museums, go-karts, horse riding and shooting ranges), ensuring a constant flow of tourists not merely looking for beach pursuits.
The region is home to many huge industrial estates. Other than its manufacturing and shipping industries, it also has a diverse service sector comprising of the tourism, construction, and retail industries. Pattaya, the major tourist city, is also located here, and is only second to Bangkok in Thailand for the number of apartment buildings. The region is also the most popular retirement area for foreigners. Pattaya is located on the east coast of the Gulf of Thailand, only two hours by car from Bangkok (147km to the southeast of the city), and only 1 hour’s drive from the New Airport. It is one of the very few places that enjoys year round tourism.
To find out the best opportunities Direct from the Developers please email internationalsales@matrix-developments.com or contact us by phone at +66(0)890977431
