The Joys and Perils of Property in Thailand

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From Pattaya Mail

Heiner Moessing from Siam Properties was the guest speaker at the September 27 meeting of the Pattaya City Expats Club (PCEC). His topic was The Joys and Perils of Property in Thailand. Heiner has been in real estate nearly all his life. After graduating at Free University Berlin (MBA) he worked for a in their private customer division where he concentrated on property matters.

Heiner noted that the property market in Pattaya is quite different not only from most western countries, but also from other areas of Thailand. This is due to it being a major tourist destination as well as the choice of many retirees for their home in Thailand. One difference he pointed out was that in Pattaya, one can list properties with many agents at the same time, there is no “exclusive listing” by a single real estate agency. Also, in choosing an agent, one needs to find one that actually “listens to you” on the type of property you are seeking, whether to buy or rent, as some agents are known to ignore your wishes and show you properties that are completely different from what you are looking for.

He then proceeded to explain the advantages and disadvantages of condos units as well as houses. The types of ownership structures necessitated by Thai laws that generally prohibit foreigners from owning land and allowing ownership of up to 49% of units in condominiums. This was followed with pictures of properties as he pointed out areas one needs to consider when buying or building such as ceiling height and type, ventilation, and arrangement.

Heiner concluded with things to consider if you want to purchase property as an investment. For example, he said it would be better to invest say 10 million baht in several small condo units versus one single unit or house. He mentioned current market conditions noting that older condo units will often be larger and less expensive than newer units which tend to be the opposite. However, the newer condominium developments will most likely have more amenities in the common areas than older developments.