The low-rise housing boom in Bangkok was one of the most interesting real estate trends to emerge from the COVID-19 pandemic. This type of property became increasingly popular with developers reporting significant sales in this segment. For example, SC Asset set sales records last year thanks to overwhelming demand for low-rise houses in the Thai capital.
Work from home and the “New Normal” led to more people looking to escape the crowded city center for Bangkok’s suburbs. According to SC Asset Head of Marketing Khun Nattagit Khem Sirirat, it was important for homes here to evolve and support changing behaviors.
The developer carried out research that found the majority of its customers were buying a house for living and less interested in the investment outlook. Additionally, SC Asset found end-user demand for low-rise housing in Bangkok to be driven by dynamic customer perspectives.
“Based on the research from TERRA BKK, customers are emphasizing three main points when looking for a home in 2021,” Khun Nattagit stated. “These are space (home space and green space); energy-saving features like heat control system and air ventilation; and, importantly, product and brand quality.”
Preferences were altered by the nationwide lockdown with Khun Nattagit pointing out that how people view their home has dramatically shifted over the past 12 months.
“After COVID-19, people don’t see home as simply a place to stay or where you sleep. Home is everything now,” Khun Nattagit proclaimed.
Demand for low-rise housing in Bangkok remains steady
SC Asset expects demand for low-rise housing in Bangkok to continue its steady growth. COVID-19 had made this type of residence more popular among local buyers, and that isn’t likely to change. That being said, demand could be affected by other issues currently facing the real estate market.
Khun Nattagit acknowledged several areas of concern that could negatively impact demand moving forward. These include inflation, growing household debt, rising land prices and other uncertainties due to the lingering threat of COVID-19. However, there are also many reasons to be optimistic.
“If governments around the world reduce lockdown measures and support normal economic activity along with government policies to support real estate on transfer and mortgage costs reduction, home loans are highly competitive,” Khun Nattagit said. “This makes it more likely to launch special campaigns such as interest reduction and extension of installments. All of these factors should result in the global economy to expand as well.”
