AyG
Crazy Mango Extraordinaire
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Post by AyG on Jan 25, 2019 7:42:42 GMT 7
So, don't count on being able to sell your property in a hurry (or, indeed, ever). Not condos, I know, but in my moobaan perhaps 20% of the properties are unoccupied and up for sale - most for several years.
Personally I don't like property as an investment (unless, perhaps running a property empire of dozens of properties). It's illiquid. The income is unreliable (you may have no tenants for months). (I stayed in a condo in Lat Phrao for six months a few years ago. Perhaps 80% of the units were unoccupied.) The tenants may trash the place. You have to fix problems. All that for perhaps 5-6% per annum? Not worth it in my opinion. Had you invest in the ThaiDEX SET50 ETF 10 years ago you'd have had an annualized return of over 17%. Being a small scale landlord is for chumps, IMHO.
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tbv
Crazy Mango
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Post by tbv on Jan 25, 2019 14:20:23 GMT 7
Thanks for your feedback. I don't even know if i would call our potential purchase an investment. We are living in a condo and need more space. I am retired and i definitely think i can handle one tennant without too much trouble. I do have some money in the Thai stock market, do wish I had more though. I would probably even agree that condos aren't the ideal Thai investments. Personally, I think people either 1) buy condos that are too expensive and then can't sell them (because who are the buyers? that is a small and difficult to reach buyer pool), or they 2) buy condos that are maybe big and a decent spot for them, but nobody else (ie Thais or foreigners) wants to live there. I would actually be surprised if a highly coveted location and reasonably priced condo did not sell easily and appreciate. I consider coveted areas areas where Thai people can easily get to work or school. I have noticed a ton of Thai parents buy their kids condos in my building, and they commute to colleges from there. But I am not speaking from experience and am all ears if you guys feel those are not valid points.
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Post by Fletchsmile on Jan 25, 2019 18:31:33 GMT 7
I think you're right to focus on buying property to buy to live in. We bought a new house and moved into it at the start of last year. We wanted more space, house with a garden, close to the kids school etc. Not to invest. We've just got round to putting our condo on the market recently. First choice would be to sell outright, as my strengths are investing in stock markets etc, rather than property. Second choice is to rent it out. A reasonable rental income would be fine, and diversify our income stream a bit. So is an acceptable choice. Unfortunately there's no real part-exchange market in Thailand. So if you're buying another place - similar to us - then you're right to be flexible. It may take time to sell or rent. I wouldn't have gone out to buy a second condo/ property for investment only, but for us just worked out that way Sounds like you'r similar. BTW if you'd like to buy our condo in Sathorn / Narathiwas area, as your second condo you're welcome. Just PM me
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