According to the President and Chief Executive Officer of Siam Cement, Kan Trakulhoon, the Thai government’s real estate stimulus policy will increase the prices of construction materials.
He said the policy, announced yesterday, will benefit both the real estate and construction sectors which are both closely interconnected. However he said it is premature to judge how well the policy will work.
As widely anticipated throughout the property industry, for the next six months real estate transfer fees will be reduced from 2 percent to 0.01 percent, and mortgage fees will be reduced from 1 percent to 0.01 percent.
In addition, households will be able to use 20 percent of their real estate value for individual tax deductions for five years starting on December 31, 2016.
It is understood the reduced fees will only apply to completed homes, or those set for completion within the next six month.
