Bangkok condominiums priced between THB 70,000 and THB 99,999 per sqm showed significant growth and commanded the largest market share during the second half of 2015.
Research from real estate firm Plus Property noted average selling price for condominiums throughout Bangkok during the second half of 2015 held steady from the first half of the year, but grew 8 percent compared to the same period in the previous year to stand at THB 101,996 per sqm.
The Sukhumvit area improved the most – by 20 percent to THB 161,055 per sqm. Next best was Rama 3 which showed an increase of 15 percent to THB 115,486 per sqm, while Bang Sue grew 12 percent to THB 88,797 per sqm.
Comparing price segments, the THB 70,000 to THB 99,999 per sqm segment recorded a 34 percent market share, with 26,375 units. In second place was the THB 50,000 to THB 69,999 per sqm segment which posted a 26 percent market share with 19,992 units.
Condominiums priced lower than THB 50,000 per sqm had a market share of 19 percent with 15,247 units, while those priced between THB 100,000 and THB 199,999 per sqm had a market share of 17 percent with 13,348 units. Those priced at more than THB 199,999 per sqm recorded a market share of 4 percent with 3,426 units.
Plus Property reported that, on a whole, both supply and demand declined in almost all price ranges with the exception of those priced at more than THB 199,999 per sqm, where supply grew by 63 percent compared with the same period the previous year. Sales improved by 8 percent despite a decrease compared with the first half of the year.
At the same time, the THB 70,000 to THB 99,999 per sqm sector showed continuous growth in both supply and demand, with a 19 percent increase in supply from the same period during the previous year. This was due to the sales offers from new projects in the outer zone along the new extensions of mass-transit projects. These new developments are high-rises and boast a big number of units.
This, Plus Property noted, followed a trend in demand which rose by 11 percent over the same period in 2014 in accordance with supply development in this price range. It was also supported by the government policy regarding the special loan approval process for housing priced not more than THB 3 million baht. This has resulted in the increased popularity of condominiums locating not far from city centre, and along the commuter mass-transit routes within that price range, in areas such as Ratchadapisek and Outer Sukhumvit.