New trends have been emerging in recent months as noticed by realty experts at NPP Consultants. The new trends have affected the commercial and residential property acquisition markets, directing new markets and more open negotiations and opportunities for developers, landlords and tenants. A new direction in the commercial side has included a shift towards revenue sharing rather than fixed rents protecting both sides while the full return to normal occurs.
Another shift in the market is that hygiene and cleanliness of places has become of upmost importance to all parties. Ensuring that the facilities match the social distancing measures space has become the new luxury.
Commercial businesses have shifted focus to online retail that can continue if a lockdown situation should occur again. The property market has shifted in a different direction.
While the workers of Bangkok have returned, and business levels return to near normal, residential estate is always competitive in Bangkok. The shift has been where people are buying and renting properties in places outside of Bangkok within easy escape of the city. Pattaya and Hua Hin in particular have seen a vast upturn in purchases and rentals throughout this entire situation.
With travel restrictions still ongoing, people are choosing to travel locally rather than internationally, people are opting for large pool villas in seaside resorts as their escape from the city where they can enjoy fresh air, the seaside breeze and most importantly the open spaces.
The global impact of Covid is clear for all to see with over 2.6 billion people still living under some form of lockdown restrictions. As with all crisis and challenging times, businesses are beginning the journey to re-entry as industries adjust to the new normal.
With careers now being adjusted and people working from home as effectively as in the office. Buying items online effectively as going to the shops. Wellness items being offered at home rather than a centers. The new trends will certainly shake up many industries. It is time to adjust or be left behind. With Asia being the earliest effected it has also meant it was the quickest to take action and is leading the way out of the pandemic.
In recent years, Thailand has closed the gap on Malaysia that currently sits in second place in the Asia’s real estate market behind Singapore. With a strong baht and the market opening up to international buyers any moment, Thailand sits in a strong position in order to bounce back. This time has also allowed developers to enhance their properties including with better air filtrations systems and property management. Investors have also utilized the local travel by holding inventory for short term rentals to maximize the potential of their portfolios.
With space being at a premium, the resort towns of Pattaya and Hua Hin have seen an increase in properties coming to the market with many expats returning to their own countries until the full pandemic situation is over.
That being said, the Chinese, Singaporean and Japanese are the first investors expected to return. There are of course still many purchases ongoing with clients completing transactions at a distance and with the large remaining expat community and local purchases.
At NPP Consultants we continue work directly with clients in order to ensure that their requirements are fulfilled. Whatever the situation, there are always opportunities.