Political turmoil seen to cause drop of property market sales in Thailand

THE ONGOING political turmoil in Thailand has not only affected the country’s tourism sector but also the sales of its property market sector.

Atip Bichanond, the president of the Thai Condominium Association revealed he and other property experts in Thailand expect the sales of property sales to drop by 10 percent in 2009.

e believe the property market in Bangkok and its suburbs will decline by more than 10 per cent this year compared with last year”, Atip told reporters.

“Home-buyers are concerned about future earnings, with the country’s GDP expected to decline by more than 6 per cent,” Atip added.

Atip said compared to low-rise residence market, which includes detached houses, double houses and townhouses, because demand among foreign buyers the condominium market will suffer most.

He said the condominium business in the country had been severely affected by the global recession and the local political turmoil.

To withstand the crisis, Atip suggested that property developers revise their business plans and exercise caution when selecting locations for their residential projects, and that they carefully manage their cash.