Speaking to many property investors, as I do. The majority tell me that the aim is to better the bank rate of interest on their savings. Most Banks are only offering around 5% interest on savings in standard accounts or want to lock away your money for long periods of time where you just can't get at it when you need it. Stock market trading is too erratic and long term investments such as pensions are not producing what they should.
More and more people are turning to property investment, looking for a rental return, which will give an 8-10% monthly income return or buying property from the plan to resell once a project is completed to very often make a healthy 15-20% profit in sometimes as short a time as six months to one year.
Using our 3 bedroom design as example and stating fact not fiction.
3 years ago the houses where sold at 6,200,000 Baht. Today they are on the market at 8,000,000 Baht. During the last 3 year period they have been successfully rented out for an average of 60,000 baht per month. Calculating all together, the buyers have made 1,800,000 Baht on the property value and a further 2,160,000 Baht rental income. That's a total of 3,960,000 Baht profit or an amazing 64% over 3 years.
No one can predict the future and whether things will continue to grow at this tremendous rate, but the Thai market despite, the Government changes recently, has not slowed. In fact the opposite is happening and the rate of construction has increased.
If you are a serious investor for property then move now. Waiting will just give someone else the opportunity that you missed.