Investing in Real Estate in Bangkok, Thailand: Why Now is a Good Time

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Now is the best time for investing in real estate in Bangkok, Thailand

There has never been a better time to invest in real estate in Bangkok, Thailand. In fact, I’ve lived in Bangkok for 10 years and, in the last few months, have realized what incredible opportunities there are out there for anyone with a little money to spare and a willingness to take a small chance.

Of course, if you’re not Thai, the types of real estate you can buy in Thailand is more limited than for those who are Thai. That’s because certain real estate is only allowed to be sold to Thai nationals. There are, however, still millions of other properties you can buy in Bangkok and at prices you will never get in your home country.

With so many reasons why investing in real estate in Bangkok is such a good idea, these five reasons may just persuade you to join those of us currently looking at properties all over Bangkok while planning our futures in real estate investment.

The Thai Economy – When I first started looking at real estate investing in Thailand a few months ago, the first thing that struck me was just how well the Thai economy is doing. While the US is struggling to see a 2 percent growth rate in 2013 and Europe’s economy is stagnating, the Thai economy is doing very well.

Current projections for annual growth in Thailand for 2013 are at 6-7 percent, and that means the better the economy does the higher property prices will go and the more value the real estate you have just purchased will have.

The Chinese – As China’s economy continues to grow, Thailand is seeing a huge number of Chinese visiting Bangkok, and many of them are wealthy. What that means is they are also buying ‘second homes’ in Thailand, or sending their teenage children to universities in Thailand and buying them a condo to live in while they do.

All projections show this is only going to increase as time goes on as the Chinese economy is showing few signs of slowing down. Thus, the more wealthy Chinese that buy real estate in Bangkok, the higher prices will go again. Invest in real estate now, and you can get in on the ground floor. Wait until thousands of Chinese have beaten you to the punch, and you’ll find the amount you need to buy a property in Bangkok will be far higher.

Real Estate Prices in Bangkok Increasing Every Year – When I first moved to Bangkok a decade ago, I could have bought a two-bedroom apartment in a beautiful apartment building in my neighborhood for 3 million baht, or just over $100,000. Ten years later and a close Thai friend has just bought a similar apartment in the same building. How much did she pay? Five million baht or $160,000. A whopping $60,000 increase, or a 60 percent increase of the original price, in just 10 years.

All over Bangkok, real estate prices are going through the roof, with nowhere near the number of ‘bargains’ you could easily pick up just a decade ago. Invest in real estate in Bangkok now, and if you come to sell just a few years later, you could end up seeing a sizeable return on your investment.

AEC and 2015 – The Asian Economic Community (AEC) will see economic integration of most countries in Asia by 2015, and Thailand is one of those countries. What that will mean is markets all over Asia will open to individuals and businesses from other Asian countries as the region becomes one enormous production area. The impact on business, property and economies is projected to be huge.

Once AEC goes into effect, individuals and businesses from all over the ASEAN region will be investing in Thailand. Property prices are likely to rise quite substantially as much more foreign investment pours into the country. Now is the time to invest in real estate in Bangkok before you are priced out of the market.

Investing in real estate in Thailand has never been a smarter thing to do. Even with the world economy still so shaky, Thailand has seen few of the ill effects of the downturn but many more positives.

If you are looking for a good place to buy real estate, in my opinion, you can’t do much better than Bangkok. Prices per square meter are still quite reasonable but, if projections are true, by the time 2015 and AEC come around, they won’t be. Now just may be the best time to buy.