Thai Border Trade Boom Creates Property Demand

Thailand’s property market is expected grow this year, despite the current political situation. This will be especially apparent in locations with flourishing border trade, reports The Bangkok Post. At present, Thailand maintains 89 border trade spots, including large cities and smaller towns.

Over the years, border trade between Thailand and its neighbours has been rising steadily. In 2013, the value of trade between Thailand and four countries, namely, Myanmar, Laos, Cambodia and Malaysia, amounted to THB 924 billion — up from THB 910 billion in 2012. This growth is attributed to increased free trade and economic promotions in these neighbouring countries, as well as Thailand’s focus on industrial zone development.

As a result of such economic activity, demand for commercial, retail and residential property development is increasing — to serve the needs of locals, workers, tourists and investors. According to a recent survey by Plus Property, developers in many border areas, particularly Chiang Rai, Phitsanulok, Udon Thani and Hat Yai, have focused mostly on condominiums. Other areas not geographically suited for condos, such as in Ubon Ratchathani and Kanchanaburi provinces, have seen the rise of detached houses and townhouses.

Next year’s integration of the ASEAN Economic Community (AEC) is likely to pave the way for Thai developers to further expand their businesses.