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Condo price index sees slight decrease
The price index of condominiums for sale in Bangkok and its surroundings in the first quarter of 2021 decreased 0.8 per cent compared to the previous year, the Government Housing Bank’s Real Estate Information Centre (REIC) reported.
“Although condominium prices are contracting slightly compared to 2020, condos in Bangkok have seen their prices increase by 0.2 per cent when compared to the previous quarter,” said REIC acting director-general Wichai Viratakaphan.
“This trend has driven developers to continue launching promotional campaigns until the end of the year to help sell condos in stock,” he said.
Wichai said ownership transfer statistics of condominiums priced at Bt3 million or lower nationwide has decreased by 1.5 per cent year on year, while the transfer statistics of differently priced condos went down by 8.5 per cent year on year.
“This is thanks to the government’s economic stimulus measures to boost the real estate business by lowering property transfer fees and mortgage fees for cheaper condos,” he said.
The measure, which will expire at year-end, cuts property transfer fees from 2 per cent to 0.01 per cent and mortgage fees from 1.0 per cent to 0.01 per cent for buying condominium units priced at Bt3 million or lower.
Regarding promotional benefits offered by condominium developers to prospective buyers in the first quarter of 2021, 46.1 per cent were free gifts (furniture, electrical appliances), 35.1 per cent featured cash discounts and 18.9 per cent were fee waivers upon ownership transfer, the REIC said.
Published : April 22, 2021
By : THE NATION