This question is likely on the minds of many who are renting out houses and condos in Bangkok: can they still generate a good profit today? Terrabkk aims to provide some insights on this matter.

          According to a report from Globalpropertyguide, the monthly rental yield for properties in Bangkok stands at 5.13%, which is considered a moderate return. The areas with the highest yields in Bangkok are Sukhumvit and Silom-Sathorn, yielding 5.13% and 4.65% respectively.

          This data indicates that rental properties still offer good returns. However, investors should focus on “location, property prices, and target tenant demographics.” By selecting a prime location with potential, investing in reasonably priced properties, and ensuring there is a sufficient customer base in the area, investors can feel more confident and achieve better returns on their investments.

          A survey conducted by Terrabkk revealed that customer demographics vary by area. For instance, in Sukhumvit 55 or Thonglor, the majority of tenants are expatriates, while in the vicinity of Lat Phrao intersection, the tenant base consists mainly of Thai workers, with only a few foreigners. In the Lasalle area, tenants are primarily professionals working in Sukhumvit. Additionally, there is an interesting segment of student tenants who change every year, contributing to the rental market in Bangkok.

          However, property prices in many areas have risen significantly, increasing costs for investors. Consequently, they must set higher rental prices, which can limit rental yield. As a result, many investors are opting to purchase second-hand properties for rental purposes instead, as they are more affordable than first-hand properties, can be rented out immediately, and the rental prices for similarly sized units in the same area are not vastly different.

Find second-hand properties for investment at the property search tool: https://www.terrabkk.com/help-search