Condos priced B3-5m still in demand amid small supply

Condos priced between 3-5 million baht were the bestselling segment in Greater Bangkok the first nine months of this year as demand in the affordable market remained strong amid limited supply.

- KANANA KATHARANGSIPORN

Piyaporn Lertwisuttipaiboon, head of research at property consultancy Terra Media and Consulting, said condos in the range of 3-5 million baht represent a mass segment with relatively few new launches but solid demand.

"The absorption rate for condos in this price range has increased every year since 2021, supported by a customer base with stable purchasing power and limited new supply," she said.

"This contrasts with other segments, particularly units priced less than 3 million baht, which have contracted sharply, mainly due to mortgage rejections stemming from high household debt."

Kessara Thanyalakpark, managing director of SET-listed Sena Development, said condos priced around 2 million baht recorded a mortgage rejection rate of about 50% this year.

"Many buyers purchased these units but were unable to complete transfers due to issues flagged by the credit bureau," she said.

"Rather than losing this customer group, we offer rental options, with rent payments counting towards down payments, with rental payment histories used to support mortgage applications."