City’s condominium sector still seeing strong growth
Prices in the central business district (CBD) areas continued to grow as major development sites became scarce, according to HipFlat, a real-estate search portal.
It said condo price rises were mainly driven by increasing land prices that pushed development costs and unit prices.
Demand also showed stable growth in downtown locations, while rental rates were strong in the CBD, especially in locations near mass transit links.
The resilience is well demonstrated by long-term market growth in Bangkok.
Condo sales continued to improve slightly in the final quarter.
Though there is a threat of ever-increasing debt within households, property developers continue to display confidence in the present and future market.
The market in high-income urban areas is growing significantly, providing sufficient supply and demand that was particularly noticeable in the final quarter, according to the website’s users.
It also reported that the condo market in Bangkok has continue growing with no solid signs of an oversupply.
This is especially true for buildings located along mass transit lines. With planned extensions to the subway, property developers can look for increasing supply in Bangkok peripheral areas.
According to the searching records of HipFlat users, the skytrain’s Sukhumvit line is the most popular area for homebuyers, especially in the Thong Lor to Ekamai area.
Also popular with buyers were Sathon, Ratchadaphisek Road and Rama IX Road near mass transit lines.
Similarly, the areas near the Ari, Phaya Thai, Ratchathewi, Krung Thon Buri and Wong Wian Yai skytrain stations are all visibly trending, as is the new CBD area on Rama IX Road.
Mirroring global trends found in larger cities, people in Bangkok tend to live in more modern high-rise buildings and condos located close to easy and convenient transit.
Most condo market demand in Bangkok comes from the growing Thai middle class.