Call to control foreigners buying in Bangkok

foreigners buying Bangkok property
Reading Time: 3 minutes

FIRST WITH THE NEWS: The President of Thailand’s Agency for Real Estate Affairs (AREA) has called for controls to reduce the numbers of foreigners buying Bangkok property.

Dr. Sopon Pornchokchai said: “If there is no control over foreigners buying property, Thai people would be in trouble in the future.”

He justified his comments by saying that the growth in income among Thais would be a slower compared with the growth in house prices driven by foreigners buying Bangkok property.

“Some measures should be adopted, such as a higher stamp duty for foreigners and the like,” he suggested.

He added that his agency believes that foreign buyers are responsible for 20 percent of all property purchases in the Bangkok Metropolitan region.

Whilst murmurings of such controls have been around for several years, this is the first time a prominent property industry figure has gone on-the-record to call for them to happen.

Andrew Batt, the Founder and Editor of ThailandProperty.News, said any move to restrict foreigners buying Bangkok property has the potential to case significant economic issues to Thailand’s real estate market, and also to its agents and developers who are investing significant amount to market their properties to overseas buyers.

“Given that some projects are selling-out their foreign quota due to a lack of real demand from Thai buyers, any moves to penalise foreign buyers will merely send them looking elsewhere.”

Cambodia, Vietnam and the Philippines are seeing increasing interest from Chinese buyers, which make up about 80 percent of the foreign buyers throughout Bangkok right now.

AREA is recongnised as being the largest and most comprehensive real estate information centre in Thailand.

 

What do you think about foreign property buying restrictions in Thailand? If you’re Thai is this a good thing to curb rising Bangkok property prices? If you’re a foreigner and considering a Bangkok property purchase, would an additional tax force you to look elsewhere? Have your say …

Andrew Batt
The author of this article is Andrew Batt, the founder and editor of www.thailandproperty.news. Andrew has been writing about property and real estate issues in Thailand and Southeast Asia for more than 10 years. He has worked for PropertyGuru Group, DDproperty, Dot Property Group, Hipflat and AsiaRents. He has also produced content for leading Thailand property developers and real estate agencies.
Email: andrew.thailandpropertynews@gmail.com.

3 Comments

  1. IMHO. With the rise of China in the last decade or so there are now probably at least 200 million new middle class people who have lots of cash now and like to buy foreign property to hedge their bets against their own economy.

    Not just in Thailand but every country should only allow each person to own one home.
    Real estate should not be so much an investment vehicle but more of a right for a person the have a roof over their head.

  2. All they need to do is prevent the money laundering and other dirty money and the problem will be solved. But of course that’s asking way too much of Thailand.

  3. I absolutely think foreigners should NOT be able to buy property in Thailand. I have lived in Thailand for many years and in the last couple of years seen mostly Chinese buy . I am from vancouver canada where Chinese have purchased much,and this situation has forced local canadians out of the market . Thais simply can not compete with Asian money. Even the current law which allows a foreigner to buy a condominium Asian use their family members Or make up a company to buy, in some cases 8/ 9 units , much paid in cash ! I love Thailand , respect your laws and love thais . PLEASE do not sell out to the Chinese …

1 Trackback / Pingback

  1. Calls to restrict foreign property purchases in Bangkok-Times of News Thailand

Leave a Reply

Your email address will not be published.


*