LWS expects the launch of new real estate projects in 2024 in the Bangkok metropolitan area. It is likely to grow by 𝟓-𝟏𝟎%, 𝐰𝐡𝐢𝐥𝐞 𝐡𝐨𝐮𝐬𝐢𝐧𝐠 𝐩𝐫𝐢𝐜𝐞𝐬 𝐚𝐫𝐞 𝐥𝐢𝐤𝐞𝐥𝐲 𝐭𝐨 𝐢𝐧𝐜𝐫𝐞𝐚𝐬𝐞 𝐛𝐲 𝐚𝐩𝐩𝐫𝐨𝐱𝐢𝐦𝐚𝐭𝐞𝐥𝐲 𝟓-𝟏𝟎%.
Mr. Praphansak Rakchaiwan, Managing Director of LWS Wisdom and Solution Company Limited (LWS), a real estate research and development company affiliated with L.P.N. Development Public Company Limited, 𝙥𝙧𝙚𝙙𝙞𝙘𝙩𝙨 𝙩𝙝𝙖𝙩 𝙩𝙝𝙚 𝙩𝙧𝙚𝙣𝙙 𝙤𝙛 𝙇𝙖𝙪𝙣𝙘𝙝𝙞𝙣𝙜 𝙖 𝙣𝙚𝙬 𝙧𝙚𝙖𝙡 𝙚𝙨𝙩𝙖𝙩𝙚 𝙥𝙧𝙤𝙟𝙚𝙘𝙩 𝙞𝙣 𝘽𝙖𝙣𝙜𝙠𝙤𝙠 𝙖𝙣𝙙 𝙩𝙝𝙚 𝙨𝙪𝙧𝙧𝙤𝙪𝙣𝙙𝙞𝙣𝙜 𝙖𝙧𝙚𝙖 𝙞𝙣 2024 𝙞𝙨 𝙡𝙞𝙠𝙚𝙡𝙮 𝙩𝙤 𝙜𝙧𝙤𝙬 𝙗𝙮 5-10%.
[PR News] LWS expects 2024 the launch of new real estate projects in the Bangkok metropolitan area. It is likely to grow by 5-10%, while housing prices are likely to increase by approximately 5-10%.
Mr. Praphansak Rakchaiwan, Managing Director of LWS Wisdom and Solution Company Limited (LWS), a real estate research and development company affiliated with L.P.N. Development Public Company Limited, predicts that the trend of Launching a new real estate project in Bangkok and the surrounding area in 2024 is likely to grow by 5-10%.
While the transfer of ownership is likely to be similar to 2023 or grow no more than 5%, depending on the growth rate of the Thai economy in 2024, the buyer’s ability to incur debt. and consideration of housing loans by financial institutions
In making this forecast, LWS has analyzed the possibility of economic and real estate growth in 3 scenarios (3-Scenarios), namely:
1. Best Case
It is a forecast based on the situation of the Thai economy growing at least 3.5-4% according to the predictions of the Bank of Thailand and the National Economic and Social Development Council. The export situation is likely to continue to recover. Public investment can proceed as planned. Especially the digital wallet policy, with a budget of 500,000 million baht, which is expected to be implemented within the second quarter of 2024.
while the tourism sector Domestic consumption and private investment continue to expand. and energy prices stabilized at a level not exceeding $100 per barrel, keeping inflation at a level not exceeding 1.5%.
It will cause the launch of new real estate projects. In the Bangkok metropolitan area in 2024, approximately 110,000-115,000 units, equivalent to a value of approx. 497,000-520,000 million baht, or a growth of approximately 5-10% compared to 2023, where it is estimated that there will be the launch of new projects in the Bangkok metropolitan area, amounting to 106,000 units, worth 474,000 million baht.
It is also expected that the value of transferring ownership of new housing throughout the country in 2024 will be approximately 1.1 trillion baht or a growth of 3% from 2023. It is estimated that there will be a total transfer of ownership throughout the country of approximately 377,382 units, equivalent to the value. Approximately 1.07 trillion baht, an increase of 0.1% from 2022.
2. Normal case (Base Case)
It is a forecast based on the situation of the Thai economy growing approximately 2.5-3% with the export sector recovering. Government investment has been delayed from the plan, especially the digital money distribution project. that may be delayed from the plan that it will be available by May 2024 in the 3rd or 4th quarter of the year.
Meanwhile, the tourism sector, domestic consumption, and private investment continue to expand. and energy prices stabilized at a level not exceeding $100 per barrel, keeping inflation at a level not exceeding 1.5%.
LWS is expected to enable the launch of new real estate projects. In the Bangkok metropolitan area in 2024, approximately 107,000-110,000 units, worth approximately 481,000-497,000 million baht. or grow approximately 3-5% and the rate of ownership transfer will likely be similar to 2023, which is approximately 1.07 trillion baht.
3. Worst Case
It is a forecast based on the situation of the Thai economy growing less than 2.5%, the export sector is stable. Government investment cannot be carried out as planned. Especially the digital money distribution project that may not be able to proceed as planned due to legal restrictions and political issues
Meanwhile, the tourism sector, domestic consumption, and private investment continue to expand. and energy prices rose to more than 100 USD per barrel as a result of the prolonged war situation in both Gaza and Ukraine, causing inflation to exceed 2%.
It will cause the launch of new real estate projects. In the Bangkok metropolitan area in 2024, it decreased to be similar to last year. 2566 or reduced by not less than 5% while the ownership transfer rate tends to be negative year-on-year. 2023 or has a value of less than 1.07 trillion baht.
