Unable to afford properties at large cities in their country, more mainland Chinese are flocking to Thailand to buy real estate there, reported Reuters.
According to Thai developer Sansiri, which plans to open three new offices in China this year in addition to its Beijing branch, home purchases by Chinese buyers in Thailand had increased steadily in the past three years.
“In 2014, they comprised about 15 percent of our foreign buyers. Last year, almost 30 percent.” This year, this group could equal or exceed Hong Kong, which has been its top market for years, said Cobby Leathers, Head of International Business at Thai developer Sansiri.
Similarly, Raimon Land Chief Executive Adrian Lee noted that Chinese buyers now account for 60 percent of the firm’s foreign buyers, up from 20 percent to 30 percent three to five years ago.
In fact, Thailand was ranked third in terms of property purchase inquiries by Chinese during the first half of the year compared to the sixth spot it held last year, shared Operations Chief Sue Jong of Juwai.com.
“We are also seeing a formerly under represented buyer appearing in larger numbers. This is the upper middle-class Chinese buyer who can’t afford property in more expensive countries.”
She added that about 66 percent of Chinese buyers are seeking houses priced up to US$250,000 (S$340,150). The top places to buy in Thailand for this group are Phuket and Pattaya.
According to Shu Feifei, a 33-year-old native of Chengdu who has purchased two properties in Bangkok over the past two years, investing in Thai properties is better than investing in China
“In Thailand, it’s good for foreigners to buy smaller properties, it’s easier to rent out too if they want to rent,” said Shu, who rents out her two houses via Airbnb.
She had also received many enquiries through social media from compatriots who are also interested in buying properties in the Southeast Asian country.
This article was edited by Denise Djong.
