At least four new condominium projects in the luxury and super-luxury segments are set to launch in inner-city Bangkok between next month and mid-2025. This increase is driven by strong demand from foreign buyers and a limited supply of high-end properties this year. Developers are eager to capitalize on the opportunity to serve an upscale market that shows no signs of slowing down.
Artitaya Kasemlawan, the head of residential sales and projects at CBRE Thailand, stated that both established developers and newcomers are preparing for upcoming launches. She mentioned, “The residential market has slowed down this year, leading some developers to be cautious about launching new projects. However, not all locations and segments are facing challenges.”
Market recovery anticipated by developers
Developers are optimistic about a market rebound in 2025. Although the overall real estate market has experienced a slowdown this year, specific locations and segments, especially luxury condos, continue to perform well. The expectation of an economic recovery is boosting confidence among developers, encouraging them to move forward with new high-end projects.
Kasemlawan emphasized that demand in the luxury segment remains strong. Sales performance depends on several factors, including prime location, exceptional product offerings, and competitive pricing. Properties that meet these criteria are drawing significant interest from both domestic and international buyers.
Steady demand in luxury segments despite challenges
In the super-luxury category—properties priced at per square meter and above—sales have been strong. In the first half of 2024, 86% of these units were sold. Branded residences performed even better, achieving a 90% sales rate, partly due to the limited supply of such exclusive properties.
“Demand for luxury condos remains strong,” Kasemlawan said. This success highlights the resilience of the high-end market, even in the face of broader economic challenges. Developers are eager to take advantage of this trend by introducing new projects that appeal to discerning buyers looking for premium properties.
Increase in foreign buyers, especially from Taiwan
Foreign demand for luxury condos in Bangkok has shown strong signs of recovery. Between 2022 and the first half of 2024, buyers from Taiwan led the increase in international purchases. In the first half of 2024, foreign buyers accounted for 33% of condo sales, a significant rise from 25% over the previous two years and just 12% during 2020-2021.
Before 2021, Chinese buyers were the primary consumers in this market segment. However, this shift demonstrates that Bangkok’s luxury real estate is becoming increasingly attractive to a more diverse range of international buyers. The growing number of foreign investors reflects their confidence in Bangkok’s property market and its potential for future growth.
Economic factors influence developers’ decisions
Both global and Thai economic conditions influence developers’ decisions to launch new projects. These factors have a greater impact on the high-end and luxury segments than on the super-luxury segment. Buyers in the luxury segment may hesitate to purchase additional homes or investment properties if they lack confidence in the economic outlook.
Kasemlawan observed that buyers in the super-luxury segment are less impacted by economic fluctuations. “They remain unfazed by economic forecasts,” she stated. This resilience positions the super-luxury market as a key focus for developers looking to mitigate risks tied to economic uncertainties.
What this means for foreign real estate investors
For foreigners considering Thai real estate for investment or as a holiday home, the upcoming property launches offer promising opportunities. The strong sales performance in the luxury and super-luxury segments indicates a healthy market with potential for appreciation. Additionally, the growing interest from foreign buyers, particularly from Taiwan, reflects a favorable investment climate.
Investors should take into account several factors when exploring new projects, including location, quality of development, and market demand. With Bangkok’s real estate market set for a rebound and the ongoing appeal of luxury properties, now may be an ideal time to invest.
