Residential Supply For New Properties Is Declining
The supply of new residential properties in the greater Bangkok is expected to decrease by 10 per cent for this year compared to last year. The decline will result to less than 100,000 available units and it is the lowest decline it has even seen since the worst flooding that happened in 2011. This is because of the fact that many real estate developers are planning to launch next year instead of the end of this year.
According to the Real Estate Information Center’s director general, Samma Kitsin, this year there will be less than 100,000 new residential units available and this is the lowest since 2011 for the Greater Bangkok area when it comes to supply of new residential properties.
Kitsin said that final quarter of this year will be softer for the property market. They are expecting that mane of the developers will postponed their launch for next year instead of this year.
Back in 2011, the total available units coming from new residential properties have declined by 31 per cent. There were 82,600 units left from the previous number of 2010 which is at 120,200 units. In between 2012 and 2015, the number increased to more than 100,000 units every year. There are 102,600 units in 2012, 130,200 units for 2013, 118,280 units back in 2014 while 2015 showed that there are 104,870 units.
For the first three quarters of 2016, the total number of new residential units that are available in Greater Bangkok is only 70,200 units coming from 313 projects that were launched. This has declined by 8.7 per cent compared to the 76,900 units provided by 318 projects of the same period in 2015.
Of the total number, 37,200 of which are condo units which experienced a decrease of 17 per cent from the previous 44,900 units while the other 33,000 are low-rise properties that also experienced a decline though very slight at 3 per cent.
Despite the decline of the number of new residential properties available in Bangkok, many are still able to easily find condo in Bangkok that is for rent.