Pattaya Condo Market Forecast Report

According to recent research conducted by Colliers International the main concern for the Pattaya condo market for the remainder of 2015 will be “The unit transfer period and the number of unsold units”

Some of the factors contributing to the concerns include:

The low number of units expected to be completed by the end of the year. This is a factor because some developers may postpone or delay their completion dates.

Thailand’s economic situation and some other factors directly affected developers’ confidence. (Another major problem is too much supply in the market and this is affecting the confidence of buyers).

Russians buyers and Thai speculators may not transfer their units when the projects are completed. (The weakening Russian Ruble is the main issue directly affecting Russian buyers).

Anyone familiar with the Pattaya condo market has been keenly aware that there has been an oversupply of condos in the area for a while. This factor has only been exasperated by what seemed to be the launch of a new project every week over the past few years.

Also, the decreasing number of foreign tourists in Pattaya, especially Russians, who are the main buyers in the condominium market, is a main reason for the condominium market slowdown.

The Chinese Market

On a positive note some new Chinese developers are scheduled to launch new condominium projects in Pattaya and especially in Jomtien and Na Jomtien. The number of Chinese tourists has continuously increased in the past one to two years, but the Chinese are still not the main buyers of Pattaya condominium market.

Coastal Real Estate has added multiple Chinese agents over the past year to help accommodate the Chinese buyers.

Pratumnak

Pratumnak has the highest prices in the Pattaya market, as many luxury and high-level condominium projects were launched in the area in 2014 and during the first half of 2015. In addition, some condominium projects in the area also increased their selling prices by around 5 - 10% in the past few months. Some Scandinavian developers still continue to launch small condominium projects in the Pratumnak area.

Jomtien

There are many lower priced condominium projects in the Jomtien area and some are a bit far from the beach, so the average price in the Jomtien area was the lowest in the Pattaya market.

Jomtien has also been one of the best locations for condominium development during the past few years after the official opening of Jomtien Sai 2 Road. This has lead to the availability of many plots of land, which are lower in price than in other locations.

Although there have been many condominiums selling at more than 100,000 Baht per square meter launched in the Na Jomtien area over the past few months, raising the average price in the Na Jomtien area more than in the past few quarters.

Promising Outlook

All is not doom and gloom in the Pattaya market.

Completed and planned infrastructure development projects in Pattaya will be a new factor for the property market in the future. The new ferry pier for the Pattaya – Pranburi route, a Pattaya – Map Ta Phut motorway and a high-speed train line from Bangkok to Rayong, are three projects that will probably be started next year. They will all help Pattaya grow in the future.

If you have any questions or concerns about the Pattaya real estate market please do not hesitate to contact one of our offices.

You can also email us at info@coastalrealestatepattaya.com