Bangkok Rentals Expected To Rise

Bangkok Rentals Expected To Rise

Property rentals are expected to raise in the near future and especially two and three bedrooms units preferred by expatriates since demand is overcoming supply in the capital.

In fact, according to property agent CBRE Thailand, 90% of the tenants renting properties at THB20,000 per month in Bangkok are expatriates. In fact, foreigners coming to Thailand for work purpose mostly rent properties. They are usually in the Kingdom for a mission of a few years only and it remains difficult for them to get foreign property mortgages, thus making buying less attractive.

The number of expatriates holding Work Permits has increased to 77,600 in the last quarter of 2014, up by 4% from the previous quarter. They usually live in Sukhumvit 1-63 and 2-42, Sathorn, or even Central Lumpini.

Actually, most new developments in Bangkok provide property buyers with a significant amount of 1 Bedroom or Studio units, ranging usually from 25to 35SQM. However, there is a rising demand for two bedrooms up and expatriates looking to relocate their families sometimes struggle to find the right property.

There are more and more expatriates coming to the city and the demand is about to exceed the supply. Therefore, rentals for two or three bedrooms units are expected to finally increase after being stable for about 25 years.

Property investors should truly consider purchasing bigger units as of now…