Weaker Foreign Currencies Hit Thai Real Estate Market
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Weaker Foreign Currencies Hit Thai Real Estate Market

foreign currencies

It’s time to take advantage of falling exchange rates

The relative strength of the Thai Baht has started to impact the purchase of properties by foreigners in Thailand, according to several real estate brokers.

The headlines over the past year have been filled with the fall in the Russian Ruble (-43% vs THB), which has hurt tourism and foreign real estate markets here, especially in Phuket and Pattaya.

The Euro has fallen almost 17% versus the baht in the past year, and Swedish Krona more than 21%. Robert C. Reynolds, Managing Director of Krabi Consultants, notes the softness in the Euro, Swedish Krona, Norwegian Krona and Australian Dollar have caused Thai property prices to become 20% more expensive for those countries’ investors. “We have seen several foreign investors in commercial properties and small resorts postpone their investments due to their currency weakness.”

While larger Thai families and businesses will ride out the storm as they have in the past, some smaller property owners have started to reduce prices.

This is creating an opportunity for those who have Thai baht, or foreign currencies tied to the U.S. dollar (unchanged over the past year). Investors with Thai Baht , the US Dollar, Hong Kong Dollar, or Chinese Yuan may be able to purchase properties at a 10%-20% discount to their former asking price.

Over the past six months, the team at Thaivisa Property have seen a surge in sellers willing to reduce the sales price of their property due to falling exchange rates with the baht.

Andy Dyett, Managing Director of Hua Hin Property Co. Ltd said: “As a direct result of the current exchange rates, we’ve seen some Scandinavian, Australian and Russian expats massively reduce the price of their houses and condos, in order to try and sell them quickly.

“Of course, I can only really speak with regards to Hua Hin but I don’t think potential buyers realise just how many good deals are around at the moment.”

“The current situation with exchange rates do not spell doom and gloom for everyone and if you’re buying with Baht, US or Hong Kong Dollars and to a lesser extent Pound Sterling, you can end up making huge savings.”

Below we’ve highlighted some the properties in Krabi and Hua Hin that Robert and Andy are referring to and which are currently available at reduced prices.

Reduced property in Krabi

 

2 Rai of land for sale in Krabi

The 2 rai plot is flat and excellent for building a private residence or small project. Located just 10 minutes to Krabi town centre this land plot has been reduced to 2.5m Baht, a reduction of 28 percent.

More information on this listing can be found here.

 

Commercial property for sale in Ao Nang beachfront

This two storey building is located in the centre of the main commercial zone in a high density traffic area. The sales price of this property has been reduced by 28.5 percent compared to the same period last year.

Click here for more information.

 

Shop house for sale in Krabi

Also located on the main beach road in Ao Nang, the price of this property has been reduced from reduced 7m baht to 5.5m baht (21 percent reduction).

For more information on this property click here.

 

3 bed private villa for sale in Ao Nang

This stunning 3 bed, 4 bath pool villa in Ao Nang has recently been completely refurbished and is an excellent investment for the growing rental property market in Krabi, or the perfect holiday home for relaxation.

This property has been reduced from 12.8m baht to 11m baht, a reduction of 14 percent. For more information on this property click here.

 

Reduced property in Hua Hin

 

Stunning Hua Hin pool villa

This property is easily one of the best deals available in Hua Hin currently. Originally for sale at 7,000,000 THB, the Norwegian owner is now willing to accept offers of around 5,500,000 THB.

This is an excellent example of how buyers can take advantage of the current exchange rates to make significant savings on the purchase of property in Thailand. Find out more here.

 

Fully furnished 3 bed pool villa in Hua Hin

This beautiful pool villa is in an excellent countryside location just 10 minutes from the town centre. After being on sale at nearly 6,000,000 THB, the Australian owners are willing to accept 5,000,000 for the prompt sale of this property. Find out more here.

 

A spectacular home at a fantastic price

This property was for sale last year at 35 million Baht.

However, due to a change personal circumstances, the owner will soon be leaving Thailand and in return for a quick sale, is willing to accept a massive reduction in the price of this property.

Today, the owner is willing to accept a deal worth EUR 550,000, which given the current exchange rates works out at around 20.5 million Baht.

Make no mistake this is one of the finest properties for sale in Hua Hin at the moment. Find out more here.

 

 

 

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