Just four days after the introduction of Thailand’s new rental property law, social media users are reporting that rental prices are rising.
We predicted prices would rise, but we did not think it would be so quickly.
S, writing on Facebook, reported a 14 percent, or roughly THB 1,500 per month, rise in his rental price.
S was certainly not alone.
D reported a THB 2,000 rise per month, while M noted a new THB 2,000 common fee charge was being implemented.
M also reported a THB 500 rise on a THB 2,400 per month rental fee.
Most of those who commented about rising rental prices also mentioned reductions in both electricity and water fees in line with those suggested by the Prime Minister’s Office yesterday.
Elsewhere, an informative Facebook post by R indicated the issue that the governing authorities are not giving consistent information to everyone making enquiries.
And legal interpretation, which seems to vary from law firm to law firm, seem to be inconsistent at best.
This means landlords cannot fully understand what the new law means.
Several confirmed sources have suggested a group of more than 200 affected landlords are attempting to bringing a case to Thailand’s Supreme Court with the intention of changing some aspects of the new rental law.
Several landlords have also suggested that are refusing to accept new tenant contracts until the law is clarified, and that itself could lead to a shortage of rental properties and a rise in rental prices.
Above all, the important thing to remember is that this new rental law only applies to landlords with five or more residential properties.
That said, we are aware of two incidences where landlords owning less than five units are unfairly using the law to add new fees and raise rental prices.
We are not lawyers but our considered advice to Thailand renters is to ensure you understand exactly what you are signing in terms of a rental agreement, get a certified English version of your contract and, if possible, try to postpone your rentalal for a month until the new law can be clarified in its entirety.