Property Financial Measures Finally Approved By Thai Government
Awaited now for months, Thai Government finally approved a series of economical measures to boost the property industry in the country.
As expected, the transfer fees at the Land Department will be cut down to 0.01% from 2% and the mortgages fees from 1% to 0.01%. These measures will be implemented from October 15th until April 2016.
Following those and from January 2016, property buyers purchasing units valued less than 3M Baht will be able to get a 20% tax deduction from the total price.
According to deputy Prime Minister Somkid Jatusripitak and finance minister Apisak Tantivorawong, this will surely help low-income buyers to afford purchasing properties again as the loan rejection rate had reached a terrific 60% lately. In a good economic climate, rates usually do not overcome 20-25% maximum.
However, and in spite of sluggish economy, the demand and sale for high-end condominiums in Bangkok CBD remained very strong in 2015. Both wealthy Thais and foreign investors kept the market strong with luxury condominium projects having successful launches throughout the year.