Bangkok property prices to rise by 10%

The property market in Bangkok is expected to see property values rise over the next five years, according to the latest consumer survey forecast from DDproperty, a leading online property portal. The survey, conducted in the first half of this year in Bangkok, mainly targeted first-time home buyers and those looking to upgrade to a more luxurious and expensive home. The majority of respondents, or 49%, expect property prices to rise by up to 10% over the next five years, while 14% predict even more than 10% price growth. Despite the optimistic forecast, more than 60% of participants shied away from the idea of expected turbulence in the short term, partly due to economic factors hindering growth. “We see mixed responses in the survey, with people focusing on economic pressures and expressing concerns about Bangkok being an overly expensive market,” said Kamolpat Swaengkit, manager of DDproperty, a subsidiary of Singapore-based PropertyGuru Group. She continued: “But we also see very strong long-term optimism about the Bangkok market, and we attribute this to the fact that urbanisation will continue in Thailand, which will drive demand and ultimately make Bangkok one of the best cities in the region.” The survey found that investors continue to prioritise the local community when considering their property purchases in the capital, with some 94% of respondents citing it as a major factor in their buying decisions. Infrastructure, amenities and price also played a significant role in their buying decisions. The majority would like to see the government take proactive steps to manage the property market, with nearly 60% saying they would like to see authorities address affordability issues. "From a regulatory perspective, we think respondents like things like the first-time buyer program and eliminating home transfers and mortgage payments," Ms. Kamolpat said. "We also think people may be looking for relief from the hassles of getting a mortgage," she added.