|
|
|
 |
| |
|
|
|
|
|
|
|
|
|
|
|
|
INVESTMENT IN THE THAI REAL ESTATE MARKET
|
|
|
|
 Informative Article Summary by Anny Redperz
You want to invest in the Thai property market ?
There are a lot of options to invest in the Thai property market, not only the direct purchase of a property. The are very often options to become a partner for new real estate projects. Many developers need a lot of capital to realize their projects, which they sometimes don't have, because it is nearly impossible for foreign developers to get a mortgage from a bank in Thailand. So they need private investors.
Very often a developer has enough money to purchase a huge plot of land with cash money, but not enough to realize his project.
And exactly because of this reason there are very often excellent opportunities for private investors to participate on the high profits in new developments. There is not only a high return of investment (15 to 30 % within 12 to 15 months or 30 to 50 % within 24 to 30 months), but also an excellent security for the investment, because the developer will agree to register a mortgage on the title deed of the land or even offers to transfer land into the name of the investor as an joint venture. Normally the value of that land is at least the double value compared with the amount invested.
Based on that both parties make an investment agreement. In this it will be agreed, that the investor transfers the land back to the developer, after he has been paid back the invested money plus the agreed interest.
This is a unique chance in Thailand, because you will never have such an option in Europe or the United States, because over there the developer would have the chance to get a much cheaper loan from the bank on his land. But again, this is nearly impossible in Thailand.
However these developers are not interested in a couple of small investors, because it would be to complicated to give each of them security on the land. For this reason the minimum investment is around 300.000 Euros (400.000 USD) and goes up to 5 Million Euros (7 Million USD) or even more for big projects.
If you are interested in such investments we will appreciate to meet with you and explain more detailed your security, your profit and your options.
Of course we are very interested as well to get inquiries from developers who want to find investors. After we have checked the development and the investment option we can offer that to our investors as well.
In the last few years ONE STOP REAL ESTATE has successfully arranged a lot of such investment agreements and joint ventures.
Thailand Property Investment
For a potential purchaser, investment property in Thailand currently offers a good medium to long-term opportunity to invest in an emerging property market. Early investment is of utmost importance to achieve the highest returns, while property prices are at an all-time low.
Thailand boasts a thriving tourist industry with today's above-average figures bringing increasing amounts of visitors to boost the economy and offering excellent buy-to-let opportunities to investors. Low cost airlines are in competition, forcing down the cost of airfares and increasing accessibility to major tourist locations within Thailand.
As the demand for Thai property in the popular areas increases, so will the value of prime property units. We will help you select the best possible investment opportunity and tailor it to your particular needs.
Reasons why property in Thailand is a good investment
- Thailand is the largest growth market in Asia. Some businesses choose Thailand as a regional base from which to keep their employees working all around Asia.
- Thailand has recently attracted significant foreign investment. It has become one of the Asian economic leaders and is one of the fastest-growing economies in the region.
- Once an exotic long haul destination, Thailand is now also a sophisticated tourist destination with a universal appeal.
- For thousands of people who have worked in Asia for many years, Thailand is a very attractive retirement destination, in which the living environment will feel familiar.
- Retirement visas are available for foreigners over 50 years of age.
- Thailand has good schools, an efficient health care system and it is seen as a friendly country in which to live or visit.
- The completion of the Suvarnabhumi-Bangkok International Airport (SBIA) is expected to spur growth in commercial property markets in eastern Bangkok as well as make Thailand even more accessible by air. Thailand is one of the cheapest places to fly to in Asia.
- The country has strong business links with China and has an excellent infrastructure and world-class facilities in many resort towns.
- Property is much cheaper in Thailand than elsewhere and an increase in overseas interest in property purchase has helped to create an economic recovery in Thailand.
- Property investors who bought post 1999 have witnessed impressive capital growth, particularly in major cities.
- Thailand offers beautiful mountains, dense forests and stunning beaches, a tropical climate and cities teeming with culture and colour which draw visitors back each year.
- The relatively undiscovered nature of Thailand means that property prices here remain far below those in the more established European markets, although they are growing quickly and strongly (around 10-15% a year).
- Rental potential is great, due to increased government spending luring growing numbers of tourists.
- Warm weather for winter holidaymakers between November and February.
- No capital gains tax for private investors, and low ongoing taxes.
- Today foreigners are regarded by the government as a big investment opportunity in Thailand.
|
|
|
Edit
| |
|
|
|
|
|
|
|
| |
|
|
|
|
