Property transfer tax reductions have been extended again due to the political unrest in Thailand. The government has said that this would be the last extension but many conveyancers are not so sure. For more than a year the Thai government has reduced property transfer taxes to encourage buying in the domestic market. This has seen the property market stabilize when the remainder of the world went South financially. The reduction of property transfer taxes was only for 1 year in order to boost the economy however this has now been extended three times.
The first was to ensure that the property market was on the up, the second when the market was still not where they wanted it in terms of the volume of property transfer and it was extended by another month. There had also been claims that the volume was so high that government departments could not cope with the backlog considering all the public holidays. When the political unrest broke out more public holidays had been added and now again the date has been extended to June 30th.
Many are hoping that transfer prices would remain where they are as this has encourage buying at the bottom end of the amrket. Reports out of Bangkok reflect that most big investment buyers are still waiting for year end to buy into any high end property. With the high end of the property martket depressed, this is the time according to conveyancers in Thailand to buy. Currently the high end property market is a buyers market with prices slowly falling at developers try and sell the property. Most conveyancers in Thailand agree that the market has never been this soft at the top and have advised clients to view the market as delayed but making this one of the best times to invest before it picks up again after the Thai elections later this year.
If you are looking at buying property or any real estate in Thailand speak to any of our Thai conveyancers at any of our offices in Thailand. With Thai and expat conveyancers we are best able to serve you needs and explain to you the common pitfalls in the Thai property sector.
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