UA-610852-2 Issue 145|Retire to Pattaya Thailand UA-610852-2

Retire to Pattaya Thailand!

 

Issue 145

Three steps to condo buying in Pattaya

I've written OFTEN about the hazards of farangs investing significant money in Thailand, and one of the most common investments is buying a condominium.

While I still assert it's fraught with risks, more and more condos are being built and selling reasonably well.

Note the large downtown developments behind the Avenue shopping plaza, Second Road, or the recently opened 27-story View Talay 6 on Beach Road.

And I haven't touched on several new developments off Pratamnak Road towards Jomtien, the Bali Hai Pier project, so on.

So with my warnings clearly spelled out, here are three ways to protect yourself: 

1) Don't buy 'off-plan'.

Buying is risky but buying based on a 'picture' and a 'show room' is VERY, VERY risky. While, yes, you'll probably pay more at least you know that you're obtaining something other than vapor.

Ask the 'future' owners at
 Newsletter #129 about their experiences, for instance, and you'll hear tales of millions invested into the developer's promises. Promises that are quickly wearing thin.

And while their are, I'm sure, reputable developers I recommend paying the 'premium' and know what you're getting.

2) When buying, think long-term.

Assuming you have a place in mind, look around you. Do you see vacant lots, undeveloped land? How do you forsee the area changing in the next five to 10 years?

How about the 'proud' owners in View Talay 6 that I mentioned above.

Those that purchased on the Naklua side of building that don't already have a view of the Central shopping mall will in the future be staring at a 22-story Hilton Hotel. So much for their 'beach view' when the property was originally pitched.

And when you need to sell in the years ahead, what makes your place 'unique'? NOT today, as it's brand new, but why does a buyer want your condo in five years? Does it have an OUTSTANDING location? Is it WONDERFULLY decorated?

Or, is it simply a five-year old condo competing with many others--many of which are newer?

3) Spend only as much as you can 'walk away from'.

Can you afford to walk from one, two, three million baht or more and not be devastated?

If not, I would recommend NOT buying.

So many things are in a state of flux with the world economy, Thailand's government, etc,. What IF you you buy today, lose badly tomorrow in a stock market collapse, and simply need cash to live?

Do you want your monies tied-up in a HIGHLY illiquid property in a foreign country?

Or, albeit I hope unlikely, if their is nationalist back-lash against farangs do you want to OWN property here?

Summary

It's easy to buy but tough to sell in Thailand. If you choose to do so, just do it with your eyes WIDE open and be thoroughly prepared.