PUBLISHED: 3 Oct 2024 at 08:39
Recent data from the Real Estate Information Center (REIC) reveals a significant uptick in transfers of second-hand condos in the Eastern Economic Corridor (EEC) provinces during the second quarter of 2024. This increase stands in contrast to the performance of new condos and newly-built low-rise homes, especially for units priced below 5 million baht.
The acting assistant director-general of REIC noted that economic challenges have led buyers in Chon Buri, Rayong, and Chachoengsao to lean towards more affordable housing options.
“In a slowing economy, second-hand homes often outperform new properties because of their lower price points and advantageous locations,” she stated.
Second-hand condos have proven to be more desirable than second-hand low-rise houses due to affordability and proximity to employment centers.
REIC reported that 12,033 second-hand residential units were transferred in Chon Buri, Rayong, and Chachoengsao during the second quarter of 2024, totaling a value of 29.5 billion baht. This marks a decline from 12,532 units worth 32.8 billion baht in the same quarter of the previous year.
The sharpest decline was seen in low-rise houses, with transfers falling to 8,390 units valued at 21.1 billion baht, reflecting decreases of 5.2% and 6.3% respectively year-on-year.
Condo transfers experienced a slight drop of 1.2% by unit numbers, down to 3,643 units from 3,686; however, the value of these transfers plummeted by 18.3%, decreasing from 10.2 billion baht to 8.36 billion baht.
This indicates sustained demand shifting focus towards lower-priced options.
In categorical terms, only second-hand condos saw positive movement, rising by 17.7%, while other categories, including new condos, new low-rise houses, and second-hand low-rise houses, faced declines of 14.8%, 6.1%, and 4.5%, respectively.
In terms of pricing, new condo units priced below 1.5 million baht were the sole segment to record a year-on-year increase, with the market for units priced below 1 million baht rising by 35.1% and those priced between 1-1.5 million baht up by 13.9%.
