Real Estate

All posts tagged Real Estate

Forest Harmony’s $18M luxury villas break ground in Kampot

Published December 6, 2019 by SoClaimon

#ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

https://www.nationthailand.com/property/30379111?utm_source=category&utm_medium=internal_referral

Forest Harmony’s $18M luxury villas break ground in Kampot

Dec 05. 2019
Local and French joint-venture Forest Harmony has broken ground on its $18 million ‘second-home’ Luxury Holiday Villas project in Kampot province, comprising 90 villa units on an 18ha parcel near Kampot town. Forest Harmony via facebook

Local and French joint-venture Forest Harmony has broken ground on its $18 million ‘second-home’ Luxury Holiday Villas project in Kampot province, comprising 90 villa units on an 18ha parcel near Kampot town. Forest Harmony via facebook
By May Kunmakara
The Phnom Penh Post

433 Viewed

Local and French joint-venture Forest Harmony has broken ground on its $18 million “second-home” Luxury Holiday Villas project in Kampot province.

Century 21 Mekong CEO and local shareholder of the project Chrek Soknim told The Post that the project will comprise 90 villa units covering 18ha on a 97ha parcel of land which is located near Kampot town.

He said Kampot province has a reputation as a natural tourism destination and second coastal tourism destination after Preah Sihanouk province.

The project targets both local and foreign tourists who wish to have their own property in the province to relaxing over a weekend or holiday, he said.

“We opened for sale on Saturday, which was the same day we started construction. As of now, more than 10 per cent [of the project] has been booked – this is a very positive sign.

“Cambodians have seen an increase in their incomes and are spending a lot more on holidays in many places around the country, so it is the right time for us to start our first second-home project in Kampot, which is very famous among local and foreign tourists,” Soknim said.

He said each villa will be laid over an area of 24m by 30m and designed in a European style. The project will also contain parks, restaurants, football and tennis courts and other entertainment facilities.

He said the project will be completed within two years and in line with the government’s plans to develop the province to be more attractive to tourists.

Kampot provincial Department of Tourism director Soy Sinol said the project follows the tourism development policy in promoting second homes for retired people and for locals seeking to go on holiday.

The project “will greatly contribute to the attraction of the tourism sector in my province”, he said.

Cambodia is an expatriate hotspot for those dreaming of living a more luxurious lifestyle at an affordable cost, International Living’s Annual Global Retirement Index 2019 report said in February.

For the fourth year in a row, Cambodia took the top spot in the Cost of Living category. The report detailed the best places for foreign retirees to live this year and scored the country full marks of 100 out of 100 for the cost of living.

Vietnam ranked second with 99 points, and Thailand third on 94 points. Peru and Bolivia were tied for fourth to complete the top five. The Annual Global Retirement Index ranks the 25 best retirement havens in the world.

Cambodia ranked 12th overall in the list of best retirement destinations, scoring overall points of 81.2. Thailand was placed ninth on 83.5, with Vietnam 19th on 79.4. Panama in Central America topped the list, scoring 100.

Strong interest by foreign investors in Phuket resorts: report

Published December 4, 2019 by SoClaimon

#ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

https://www.nationthailand.com/property/30379018?utm_source=category&utm_medium=internal_referral

Strong interest by foreign investors in Phuket resorts: report

Dec 03. 2019
By THE NATION

905 Viewed

Buoyed by the rise of experience-driven travel and an affinity for locally inspired hotel offerings, resort assets remain a top target among investors, according to JLL Hotels & Hospitality’s Global Resort Report: Three-Part Series, which noted that resort sales account for 20 per cent of all hotel sales in the Americas, while Europe, the Middle East and Africa (EMEA), while Asia-Pacific resort sales total 7 per cent of all hotel sales.

Across all regions, private equity funds emerged as the dominant buyer, accounting for 20-50 per cent of annual resort transaction volume in each market.

In the Asia Pacific series of JLL’s Global Resort Report, Phuket was one of the three hotel investment markets in the region to be highlighted.

The island saw a total of Bt4.85 billion of resorts sold between 2014 and the first half of 2019, with half of these resorts achieving a transacted price at above Bt950 million.

According to JLL’s report, investment activity over the period was dominated by foreign investors whose acquisitions accounted for 79 per cent of the total investment volume, with the largest inbound capital coming from Singapore (58 per cent).

Findings from JLL also show that developers were the most acquisitive group, accounting for more than 65 per cent of total transaction volume on the island, followed by hotel operators at 20 per cent.

Strong growth in tourism has contributed greatly to Phuket’s appeal as a hospitality investment destination.

Total overnight visitors to the island have grown steadily over the past decade (2008 to 2018), with international and domestic visitation registering a Compound Annual Growth Rate of 10.9 per cent and 9.9 per cent, respectively. International overnight visitors accounted for 72.7 per cent of total arrivals.

“In 2019, the number of international visitors to Phuket is likely to taper off slightly due primarily to surging Thai Baht and unfavourable global economic conditions. However, investors have continued to show keen interest in acquiring quality resort assets in Phuket as they remain confident in the long term outlook for the tourism market of one of the world’s most popular holiday destinations,” noted Pitinut Pupatwibul, senior vice president – Strategic Advisory for JLL’s Hotels and Hospitality Group

“In addition, increased air connectivity, lower barriers of entry through visa fee waivers and limited future supply are expected to bode well for Phuket’s resort segment in the medium to long term,” she adds.

JLL’s Global Resort Report covers resort assets that are managed to meet industry standards by international or local resort/hotel operators, and excludes condotels.

According to JLL’s Hotels and Hospitality Group, the total stock of resorts in Phuket stood at 14,300 rooms at the end of June 2019. An estimated 540 resort rooms are planned for completion between the second half of 2019 and the end of 2021, accounting for less than 4 per cent of the existing stock.

Global perspectives

“Over the past five years, resorts have been star performers,” says Lauro Ferroni, Global Head of JLL Hotels & Hospitality Research. “Given many consumers’ propensity for experiences over material goods, we anticipate continued investment activity in this sector globally.”

According to JLL’s Global Resort Report, international tourist arrivals are anticipated to reach 2.2. billion in 2019, with a continued growth trajectory throughout the next decade, which will benefit resorts globally.

Luxury condo, villa development launched in Khao Yai

Published December 1, 2019 by SoClaimon

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

https://www.nationthailand.com/property/30378927?utm_source=category&utm_medium=internal_referral

Luxury condo, villa development launched in Khao Yai

Nov 30. 2019
By The Nation

923 Viewed

Property developer Blue Hills Khaoyai invites the well-heeled to give themselves a special New Year’s gift by buying into Akas Villa Khaoyai, a villa condominium project of three one-storey and two-storey towers designed in a modern loft style. Located just under three hours from Bangkok and well away from the polluted city, the project consists of 23 units on Phan Suk-Kud Khla Roads. All units are fully furnished, start in size from 130 sqm and are priced from Bt13.2 million,

Supinda Tanpetcharat, executive director of Blue Hills Khaoyai, says the project is meticulously designed and features 12 units with 2 bedrooms and 2 bathrooms with a floor area of 130-145sqm and 11 larger units with 3 bedrooms and 3 bathrooms of 145-195 sqm. Facilities include lobby lounge, gym room, 25-metre swimming pool, kids pool, and relaxing area, multi-purpose space, trail treadmill and outdoor amphitheatre. The complex is within easy reach of schools, is hospital, shopping complex, tourist attractions and restaurants.

The company’s first project, Akas Khaoyai, a low-rise condominium with two seven-storey towers and 83 units was well received by consumers, she added.

Akas Villa Khaoyai officially launches today (November 30) at Akas Villa Khaoyai sales gallery in Pak Chong. For additional information, visit www.akaskhaoyai.com or call (091) 742-3636.

Proud licensed to build luxury residence on Hua Hin beach

Published November 29, 2019 by SoClaimon

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

https://www.nationthailand.com/property/30378860?utm_source=category&utm_medium=internal_referral

Proud licensed to build luxury residence on Hua Hin beach

Nov 28. 2019
Serena Lim, left, Vice President Development, InterContinental Hotels Group (IHG), South East Asia and Korea, and Proudputh Liptapanlop, Executive Director of Proud Real Estate.

Serena Lim, left, Vice President Development, InterContinental Hotels Group (IHG), South East Asia and Korea, and Proudputh Liptapanlop, Executive Director of Proud Real Estate.
By THE NATION

1,089 Viewed

Intercontinental Hotel Group (IHG) has licensed Proud Real Estate to develop the InterContinental Residences Hua Hin, billed as the first luxury-brand residence licensed by the group in Thailand.

The beachfront site is on Petchkasem Road at Hua Hin Soi 71, opposite Market Village, and was purchased for a record-high price of Bt150 million per rai.

CBRE Thailand has been appointed sole agent for the project.

Proud executive director Proudputh Liptapanlop said it represented a key milestone in the company’s long partnership with IHG. InterContinental Hotels and Resorts is associated with residences around the world, she said, “but only in selected leading cities like Boston and Dubai”.

Residents will have access to benefits and promotions from IHG subsidiaries and affiliates across the world through the IHG Rewards Platinum Elite Membership and through Proud Privileges, including entry to the 111 Social Club, a refurbished beachfront colonial mansion next door.

“We believe the 111 Social Club will become the hot new check-in spot for tourists,” Proudputh said.

Managing director Paisit Kaenchan said the InterContinental Residences Hua Hin would have the accent on “A Residence of Legacy”.

“The new property encompasses the best elements of a super-luxury residence that takes its residents far beyond being simply a place to live and accommodates a closely connected family where different generations live together in harmony,” he said.

Valued at more than Bt3.5 billion, the InterContinental Residences Hua Hin will be 70 per cent open space, including 7,000 square metres of lush garden, a beautiful private beach and seven swimming pools, a seaside acrylic-edge jacuzzi, a “hidden” gym beneath a pool, and a spa.

It will have 238 residential units, between three and 13 units per floor.

CBRE managing director Aliwassa Pathnadabutr said the 2019 outlook for the real estate market in Hua Hin was “positive with an optimised demand-supply balance and cumulative demand for beachfront condominiums”.

“No new residential development has been introduced on Hua Hin beach in more than 11 years, since most of beachfront land is targeted for luxury hotels and resorts and the rest is private residences.”

There are only 356 new beachfront condominium units on offer, of which 85 per cent are sold, Aliwassa said.

But public utilities and infrastructure are fast developing in Hua Hin, spearheaded by the “Thailand Riviera” tourism promotion and transportation network, which includes motorways, dual rail and high-speed trains.

MQDC to integrate Well Building Institute Standards in future properties

Published November 28, 2019 by SoClaimon

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

https://www.nationthailand.com/property/30378810?utm_source=category&utm_medium=internal_referral

MQDC to integrate Well Building Institute Standards in future properties

Nov 27. 2019
Representatives of MQDC and IWBI sign a letter of intention (LOI) to collaborate on achieving WELL certification in MQDC projects. The LOI was signed by Tony Armstrong, Senior Vice President of IWBI Asia, front left, with Keerin Chutumstid, President for Property and Service of MQDC, front right.

Representatives of MQDC and IWBI sign a letter of intention (LOI) to collaborate on achieving WELL certification in MQDC projects. The LOI was signed by Tony Armstrong, Senior Vice President of IWBI Asia, front left, with Keerin Chutumstid, President for Property and Service of MQDC, front right.
By THE NATION

394 Viewed

Property developer Magnolia Quality Development Corporation (MQDC) and the International Well Building Institute (IWBI) today (November 27) signed a letter of intention (LOI) under which the Bangkok-based property developer will aim to achieve Well Building Standard certification in future projects.

Based on its founding commitment “For All Well-being”, MQDC is eager to apply IWBI’s global expertise to ensure the health and well-being of its residents, said Keerin Chutumstid, president of Property & Service at MQDC.

“Since its founding, MQDC has worked to achieve the well-being of not only our residents, but also surrounding communities and all living beings,” he said. “We are therefore delighted to be working with IWBI, the first global rating system to focus exclusively on how buildings, and everything in them, can improve our comfort, drive better choices, and generally enhance, not compromise, our health and wellness.”

MQDC’s international portfolio of over 20 projects includes the award-winning True Digital Park “smart city” as well as national symbols such as the joint-venture Iconsiam megaproject on the bank of the Chao Phraya River.

MQDC supports the Research & Innovation for Sustainability Center (RISC), which works to raise sustainability and well-being across the property sector. RISC’s office in central Bangkok is the first in Thailand to be built to the Well Building Standard.

The standard was launched in 2014 after six years of research and development as the premier standard for buildings, interior spaces, and communities seeking to implement, validate, and measure features that support and advance human health and wellness.

Govt package boosts share prices of developers

Published November 27, 2019 by SoClaimon

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

https://www.nationthailand.com/property/30378775?utm_source=category&utm_medium=internal_referral

Govt package boosts share prices of developers

Nov 26. 2019
736 Viewed

Share prices of several listed property developers rose today (November 26) after Cabinet’s announcement of a stimulus package for the sector, including the offer of Bt50,000 in cash-back to homebuyers.

The price of AP (Thailand) or AP rose 5.30 per cent to close at Bt6.95 as Supalai (SPALI) climbed 4.09 per cent to end at Bt17.80.

Ananda Development (ANAN) surged 3.52 per cent to close at Bt2.94. L.P.N. Development (LPN) gained 2.14 per cent to Bt4.78 at the close.

Share price of Pruksa Holdings (PSH) inched up 0.64 per cent to Bt15.70 as Origin Property (ORI) rose 1.42 per cent to close at Bt7.15.

SC Asset Corporation (SC) closed at Bt2.32, up 0.87 per cent from Monday’s.

Earlier today, the Cabinet had approved three newstimulus packages to prop up the softening economy.

The package for property aims to reduce home-purchase costs. The government will offer a cash-back of Bt50,000 per buyer on the down payment.

To be eligible, the buyer must have a monthly salary not exceeding Bt100,000 and included in the Revenue Department’s tax database of around 100,000 individuals under this category. The campaign will start tomorrow (November 27) and end on March 31, 2020.

AWS provides cloud service to AP Thailand’s smart platform

Published November 20, 2019 by SoClaimon

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

https://www.nationthailand.com/property/30378512?utm_source=category&utm_medium=internal_referral

AWS provides cloud service to AP Thailand’s smart platform

Nov 19. 2019
From left: Songpon Busparoek, Deputy Chief Digital Officer of AP (Thailand); Vittakarn Chandavimol, Chief Corporate Strategy and Creation of AP Thailand Group, and Dr. Chawapol Jariyawiroj, Country Manager of Amazon Web Services (Thailand)

From left: Songpon Busparoek, Deputy Chief Digital Officer of AP (Thailand); Vittakarn Chandavimol, Chief Corporate Strategy and Creation of AP Thailand Group, and Dr. Chawapol Jariyawiroj, Country Manager of Amazon Web Services (Thailand)
By THE NATION

298 Viewed

Amazon Web Services (AWS) has provided cloud service to AP Thailand’s Smart World digital platform, the property developer said.

Services on the platform range from asset management, replying to questions by project management, SMS notification for parcel delivery, fast notification for repair of assets or common facilities with real-time status monitoring, online payment of common facilities, deliveries of water and other bills, to facilitating contact with security, hospital and police station in an emergency, among others.

The new digital platform allows residents to manage their properties and connect to other services seamlessly, reinforcing the company’s vision to improve the quality of life for Thais with smart and connected technology. By the end of 2019, AP aims to have more than 70,000 users on Smart World.

“Our vision is to create a blueprint for good-quality life through the development of products, services and innovations,” said Vittakarn Chandavimol, Chief of Corporate Strategy and Creation, AP Thailand Group.

“Amazon Web Services and AP Thailand share a common goal to continuously innovate for our customers. We are delighted that AP selected AWS as its cloud provider, enabling the launch of this new customer service,” said Chawapol Jariyawiroj, Country Manager/Amazon Web Services (Thailand).

U City supports plan of Vienna House via hotel acquisitions

Published November 19, 2019 by SoClaimon

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

https://www.nationthailand.com/property/30378473?utm_source=category&utm_medium=internal_referral

U City supports plan of Vienna House via hotel acquisitions

Nov 18. 2019
By THE NATION

1,017 Viewed

Following the acquisitions of 19 hotels in Germany and Switzerland this year, U City is optimistic that the takeovers will pave the way for its subsidiary Vienna House (VH) to facilitate individualistic seamless travel across Europe.

Vienna House (VH), the largest hotel group in Austria, is also eyeing investment opportunities in Asia.

Piyaporn Phanachet, Chief Executive Officer of U City, said that U City invested over Bt890 million in acquiring 19 hotels, of which 17 are in operation while two others are in the pipeline via its subsidiary, Vienna House Germany II GmbH.

This asset portfolio comprises boutique properties from the “arcona” hotel group and five hotels under the Steigenberger brand, of which 18 are located in Germany with one in Switzerland.

All properties will eventually be managed under the Vienna House brand. The new additions brings U City hotel portfolio to 57 hotels/9,210 keys, owned in form of both freehold and leasehold.

In addition, the group also manages third-party hotels under brands (Vienna House, Vienna House Easy, U, Eastin, and Travelodge), boosting the total number of hotels to 117, of which 78 are in operation.

The group aims to explore further business opportunities in Europe, especially business travel which dominates the overall travel market in the region, while also looking to embrace hotels with ununiformed elements that flare with their own unique characteristics, be it structures with historic façade, central location, or room designs.

Rupert Simoner, CEO of Vienna House, mentioned that the key reason Vienna House came down to this deal was because of the locations, the properties themselves, and the existing human capital.

Rupert Simoner, CEO of Vienna House

Rupert Simoner, CEO of Vienna House

“The German market, both inbound and outbound, is considered one of the most important markets for us. This is the first objective of our expansion apart from the properties’ structures and designs that can fit under the Vienna House brand. Moreover, the people working in these hotels have the spirit of what we look for” he said.

“The arcona hotels are very well maintained with relatively solid performance with a clear upside. So, what we’ll focus on sales as we expect to see 3 per cent growth in the first 18 months,” added Simoner.

Tapping into a niche “boutique lifestyle market,” the newly-branded Vienna House hotels will cater to the needs of both business travelers and leisure segment alike.

“The way we define luxury is probably different nowadays as we may no longer look at the stars rating but the trend of travellers seeking for service that is unique and practical. If you want to characterise our brand’s philosophy by one word, I’d say “individualistic,” explained Simoner.

In 2020, we will see the boutique Vienna House brand emerge across several locations in Austria, Germany, and Switzerland; namely Stuttgart, Wetzlar, Osnabruck, Munich, Bremen, Schaffhausen, Leipzig, Baden-Baden, Potsdam, Berlin, Stralsund, Rostock, Braunschweig, Wismar and Eisenach.

These properties will all be converted under Vienna House’s sub brands: Vienna House, Vienna House Easy, and Vienna Townhouse; by beginning 2020.

On an expansion outlook, Vienna House is prone to 7-9 per cent growth annually or organically up to five properties to be signed into the group per year.

“Asia is a fast-growing market and with our strong partner, U City, we now have offices throughout Asia. So, that’s where the groundbreaking is going to be when we will have one or two flagship development of Vienna House in an Asian metropolitan cities,” he added.

“As a shareholder, we are delighted to see the accomplishment of Vienna House, which will be only a starting point. Their fun, creative lifestyle hotels will be a good add-on to modern business and leisure travellers. We are keen to bring in synergies, where possible, and support the brands to grow even further.”, Piyaporn said.

U City is a property investor and developer with total assets of Bt53 billion as of the third quarter,2019.

Hotel investments in Asia-Pacific on the rise: report

Published November 1, 2019 by SoClaimon

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

https://www.nationthailand.com/property/30377926

Hotel investments in Asia-Pacific on the rise: report

Oct 31. 2019
Mike Batchelor

Mike Batchelor
By THE NATION

540 Viewed

Hotel transaction volumes in the Asia-Pacific region are expected to increase by 25 to 30 per cent year-on-year to more than US$11 billion in 2019. real estate consultancy JLL said this week.

“Despite a cautious economic climate and wider political headwinds, hotels in Asia Pacific present an attractive yield profile amid booming tourism demand, in the context of falling interest rates and bond yields,” said the consultancy’s chief executive Mike Batchelor.

“Much demand this year has been buoyed by private equity firms, developers and domestic clients. This leads us to believe that 2019 will be the third most highly-transacted year in the past decade. To date, only 2017 and 2015 have surpassed the $11 billion threshold.”

According to JLL, the first nine months of the year have already seen $7.8 billion worth of hotel investments in the region. Thanks to Japan and its series of mega events such as the 2019 Rugby World Cup, 2020 Tokyo Olympic Games and 2025 World Expo, the country has reached close to $3 billion of transaction volumes so far.

“These tourism drivers will boost the need for accommodation assets, with investors looking to capitalise on the wave of demand. Japan is the region’s top performing market and forecast to hit a record high of US$4 billion in transaction volumes this year,” adds Mr Batchelor.

Across the region, the hotel market outlook remains positive. Over in China, softening office leasing demand and sluggish retail sales have turned investors’ attention towards hotels, where trading performance has been resilient.

Elsewhere, Singapore has seen a few landmark deals this year. In September, JLL advised OUE Limited in an agreement to sell Oakwood Premier OUE Singapore to a Hong Kong joint venture for $209 million. Most recently, JLL concluded the US$344 million agreement to sell Andaz Singapore in the largest single-hotel asset transaction ever in the island city’s history.

The JLL report reveals that while domestic investors have been active in their home markets, particularly in Japan and China, there remains an influx of foreign investment looking to tap into the region’s strong tourism growth and high yields.

South Korea, for instance, has seen a spike in international investor interest this year. Overseas investors are gaining increasing access in a tightly-held market as more institutional investors look to exit their investments after the pre-specified hold periods.

“Up until 2015, transactions in South Korea were almost purely domestic, but today cross-border deals make up about a quarter of total transactions. As the market matures further, we can expect foreign investors to make up a larger proportion of trading volumes,” noted Nihat Ercan, managing director and head of Investment Sales Asia for JLL Hotels & Hospitality.

Another recipient of continued foreign capital is the Maldives. Its reputation as a sought-after tourist destination has attracted more than $260 million in cross-border deals alone this year.

“As both overseas and domestic investors seek out higher yielding opportunities across Asia Pacific, the hospitality sector will continue to shine,” Ercan said. “We’re confident that this investment momentum will continue to drive the region’s hotel transaction volumes going into 2020.”

Govt cutting property transfer, mortgage fees might not be as effective as expected

Published October 28, 2019 by SoClaimon

ศาสตร์เกษตรดินปุ๋ย : ขอบคุณแหล่งข้อมูล : หนังสือพิมพ์ The Nation

https://www.nationthailand.com/property/30377789

Govt cutting property transfer, mortgage fees might not be as effective as expected

Oct 27. 2019
By The Nation

523 Viewed

The government has launched a new economic stimulus measure to boost the real estate business by lowering property transfer fees from 2 per cent to 0.01 per cent and mortgage fees from 1.0 per cent to 0.01 per cent for buying condominium units priced at not over Bt3 million.

Also, the Government Housing Bank will offer loans for the purchase of real estate with a total limit of Bt50 billion. The interest will be stable at 2.5 per cent in the first three years, will rise to 4.625 per cent between the fourth and fifth years, and will have to be repaid with up to 1 per cent of Minimum Retail Rate (MRR) for people with welfare or 0.75 per cent for retailers, which will be 6.625 per cent a year from December 24, 2020.

Sopon Pornchokchai, president of the Agency for Real Estate Affairs, who are independent property consultants, said the measures had their pluses and minuses. The good news was that the measure allowed customers to repay at a lower rate and the bad news is it might be a trap for real estate buyers because even though the measure seemed to help people with low or average incomes trying to buy affordable houses, it actually supported land developers as it only allows customers to buy houses from developers, not second-hand houses.

He said the Bt50-billion loan limit might cover only 1.7 per cent of the total value of new property and might not be as effective as expected. In the first three years, even though the interest was low, the customers did not repay the principal amount and in the sixth year, the bank can adjust the MRR to any rate which could be higher helping the bank to collect more fees.

Lowering the transfer and mortgage fees may encourage people to buy houses but may also cause loss of revenue in a developing country. “We need to raise awareness of the importance of paying taxes for buying houses at the full price and 1.5 per cent interest, which would allow the government to have a higher capital budget,” said Sopon.

%d bloggers like this: