Many people in the Pattaya Real Estate market have been citing for the last few years that the Pattaya condo market has been stale for some time, and there are few new developments going up.
Perhaps developers are waiting for existing supply to be absorbed, whilst Chinese buyers have somewhat replaced the Russian market, still sales are stagnant compared to the highs of 2011.
The actual figures for 2016 however are quite revealing. The condominium market has actually been growing fairly briskly, with almost seven and a half thousand units completed and registered during 2015-2016. At the conclusion of 2016, a total of 73,660 units were completed in Pattaya.
For a long time now Jomtien has been the most desired location in Pattaya and the favourite area for condominium developments. And this shows in the figures that it accounts for the highest supply of completed units and all of the areas that make up Pattaya.
Many developers have now decided to restrict new launches in 2016 due to the market slowdown and the glut of unsold units. The total of new units built in 2016 was 1,800 and was the smallest figure for six years.
Factors leading to this were the sluggish domestic economy, and the weak Russian rouble. Although Russian tourist figures were actually up to nearly one million in 2016, which was a 150,000 more than in 2015.
Another big factor to the slowdown in new developments has been the over capacity of already completed unsold units. On average there has been 15,000 new units hitting the market every year, as not all of these have yet to be sold developers remain cautious starting new projects.
Jomtien and Na Jomtien have been the outstanding locations during the last couple of years. This is partly because of the land that has been available in these locations, and that the developers have built budget style projects that can be easily sold.
In the case of Na Jomtien, the availability of beachfront land has been a big boon to the area.
Demand is slowly rising again, especially in the more sought after developments. Developers are focusing on selling their unsold units and are offering some great deals to move stock. And increases in prices have been limited to under 5%.
The average price in all Pattaya locations in 2017 is expected to be the same as 2016 which offers the buyer great value for money.
In conclusion, developers such as the Global Top Group that have projects in the more fashionable areas such as Pattaya City, Jomtien and Na Jomtien, still have relatively high sales figures.
It is still very much a buyers market, and great investments can be made at the moment. There are some good positive upward trends that are pointing towards a slowly recovering market and this is adding to a growth in confidence.