The Real Estate Information Center of the Government Housing Bank (REIC) reports on the overall housing market situation still for sale in the first half of 2024 in two provinces of the West, namely Prachuap Khiri Khan and Phetchaburi, and two provinces of the Central region, namely Phra Nakhon Si Ayutthaya and Saraburi. It was found that the overall housing market in the two western provinces saw a new housing supply increase of 143.7%, with an absorption rate of 4.2%, resulting in a decrease in unsold housing by 18.5%. REIC predicts that in 2024, the West will have 1,695 new housing units entering the market valued at 13.43 billion baht, with 2,227 new units sold valued at 12.66 billion baht, and 4,513 unsold units valued at 24.08 billion baht. Meanwhile, in the Central region, the two provinces saw a decrease in new housing sales by 63.4%, with an absorption rate of 0.8%, leading to a 20.2% increase in unsold units. REIC forecasts that in 2024, the Central region will have 1,926 new housing units entering the market valued at 6.32 billion baht, with 2,389 new units sold valued at 6.23 billion baht, and 7,910 unsold units valued at 24.44 billion baht.

Dr. Vichai Viratakphan, Inspector of the Government Housing Bank and Acting Director of the Real Estate Information Center revealed that a survey of housing projects in the two western provinces in the first half of 2024 found that the available supply for sale was approximately 5,620 units valued at 33.13 billion baht. This includes 2,908 condominium units valued at 17.55 billion baht and 2,712 housing development units valued at 15.58 billion baht. There were 933 new housing units launched in the market valued at 8.35 billion baht, with 1,411 new units sold valued at 9.31 billion baht, resulting in 4,209 unsold units valued at 23.83 billion baht.

“When comparing the housing market of these two provinces, it is found that Prachuap Khiri Khan has the largest market size in all aspects, as evidenced by the number and proportion of all types of housing offered for sale. Prachuap Khiri Khan has 3,165 units for sale valued at 22.53 billion baht, while Phetchaburi has 2,455 units for sale valued at 10.60 billion baht. Prachuap Khiri Khan has launched 195 new housing development units valued at 1.69 billion baht and 669 condominium units valued at 6.42 billion baht. Additionally, Prachuap Khiri Khan has 988 new units sold valued at 7.37 billion baht, with an overall market absorption rate of 5.2% per month, while Phetchaburi has 423 units sold valued at 1.94 billion baht, with an overall market absorption rate of 2.9% per month.”

For the two provinces in the Central region, namely Phra Nakhon Si Ayutthaya and Saraburi, a survey of housing projects in the first half of 2024 found that the available supply for sale was approximately 10,327 units valued at 33.11 billion baht. This includes 1,019 condominium units valued at 1.58 billion baht and 9,308 housing development units valued at 31.53 billion baht. There were 835 new housing units launched in the market valued at 4.13 billion baht, with 514 new units sold valued at 1.52 billion baht, resulting in 9,813 unsold units valued at 31.59 billion baht.

“When comparing the housing market of these two provinces, it is found that Phra Nakhon Si Ayutthaya has the highest number and proportion of all types of housing offered for sale, with 7,883 units valued at 26.02 billion baht, while Saraburi has 2,444 units valued at 7.09 billion baht. Phra Nakhon Si Ayutthaya launched 451 new housing units valued at 2.88 billion baht, while Saraburi launched 384 new housing units valued at 1.25 billion baht. In terms of sales market conditions, Phra Nakhon Si Ayutthaya had the highest number of new units sold at 430 units valued at 1.29 billion baht, with an absorption rate of 0.9% per month, while Saraburi had 84 new units sold valued at 227 million baht, with an absorption rate of 0.6% per month.”

Overall Supply in the Western Region in the first half of 2024 showed a total of 5,620 units for sale valued at 33.13 billion baht, a decrease of 2.2% from the same period last year (YoY), while the value increased by 15.0%. Only 933 new projects entered the market, valued at 8.35 billion baht, an increase of 188.9% from the same period last year (YoY). The number of unsold housing units as of the first half of 2024 was 4,209 units valued at 23.83 billion baht, a decrease of 18.5% in units and 7.8% in value compared to the same period last year (YoY).

The top 5 locations with the highest number of unsold housing units in the two western provinces are: 1) North Cha-am with 1,222 units valued at 5.37 billion baht, 2) Khao Takiab with 761 units valued at 6.67 billion baht, 3) Khao Hin Lek Fai with 527 units valued at 3.10 billion baht, 4) South Cha-am with 511 units valued at 2.31 billion baht, and 5) Thap Tai with 403 units valued at 3.19 billion baht. The price range with the most unsold units is 3.01-5.00 million baht, totaling 1,382 units valued at 5.94 billion baht.

Overall Demand in the Western Region in the first half of 2024 saw 1,411 new housing units sold, an increase of 143.7%, valued at 9.31 billion baht, an increase of 212.7%. This includes 534 housing development units valued at 3.03 billion baht and only 877 condominium units valued at 6.28 billion baht. The top 5 locations with the highest number of new units sold are: 1) Khao Takiab with 586 units valued at 5.10 billion baht, 2) North Cha-am with 226 units valued at 1.14 billion baht, 3) Khao Hin Lek Fai with 154 units valued at 951 million baht, 4) South Cha-am with 132 units valued at 535 million baht, and 5) Thap Tai with 99 units valued at 765 million baht.

Overview of Phetchaburi Province

In the first half of 2024, the surveyed area of Phetchaburi had a total of 2,455 housing units for sale valued at 10.60 billion baht, a decrease of 19.8% and 16.1% respectively. This includes 1,012 housing development units valued at 4.79 billion baht and 1,443 condominium units valued at 5.81 billion baht. In the first half of 2024, there were 69 new housing units launched in the market, a decrease of 56.6%, valued at 237 million baht, a decrease of 45.8%. The number of new housing units sold was 423 units, an increase of 65.9%, valued at 1.94 billion baht, an increase of 81.7%.

When examining the details by area with the highest number of new housing units sold in the first half of 2024, it was found that: 1) North Cha-am with 226 units valued at 1.14 billion baht, 2) South Cha-am with 132 units valued at 535 million baht, and 3) Phetchaburi city with 56 units valued at 240 million baht. It is noteworthy that the North and South Cha-am zones have the highest new housing sales, with absorption rates of 2.6% and 3.4% per month, respectively.

The number of unsold housing units is 2,032, a decrease of 27.6%, valued at 8.66 billion baht, a decrease of 25.1% compared to the same period in 2023 (YoY). The top 3 locations with the highest number of unsold housing units are: 1) North Cha-am with 1,222 units valued at 5.37 billion baht, 2) South Cha-am with 511 units valued at 2.31 billion baht, and 3) Phetchaburi city with 270 units valued at 888 million baht. REIC predicts that in 2024, there will be 368 new housing units entering the market valued at 2.02 billion baht, with 713 new units sold valued at 3.31 billion baht, and 2,188 unsold units valued at 9.61 billion baht.

Overview of Prachuap Khiri Khan Province

In the first half of 2024, the surveyed area of Prachuap Khiri Khan had a total of 3,165 housing units for sale valued at 22.53 billion baht, an increase of 18.1% and 39.3% respectively. This includes 1,700 housing development units valued at 10.79 billion baht and 1,465 condominium units valued at 11.75 billion baht. In the first half of 2024, there were 864 new housing units launched in the market, an increase of 426.8%, valued at 8.11 billion baht, an increase of 492.1%. The number of new housing units sold was 988 units, an increase of 204.9%, valued at 7.37 billion baht, an increase of 285.9%. When examining the details by area with the highest number of new housing units sold in the first half of 2024, it was found that: 1) Khao Takiab with 586 units valued at 5.10 billion baht, 2) Khao Hin Lek Fai with 154 units valued at 951 million baht, 3) Thap Tai with 99 units valued at 765 million baht, 4) Pranburi with 78 units valued at 335 million baht, and 5) Hua Hin with 71 units valued at 213 million baht. It is noteworthy that Khao Takiab and Khao Hin Lek Fai have the highest new housing sales, with absorption rates of 7.3% and 3.8% per month, respectively.

The number of unsold housing units is 2,177, a decrease of 7.6%, valued at 15.17 billion baht, an increase of 6.3% compared to the same period in 2023 (YoY). The top 5 locations with the highest number of unsold housing units are: 1) Khao Takiab with 761 units valued at 6.67 billion baht, 2) Khao Hin Lek Fai with 527 units valued at 3.10 billion baht, 3) Thap Tai with 403 units valued at 3.19 billion baht, 4) Pranburi with 309 units valued at 1.39 billion baht, and 5) Hua Hin with 177 units valued at 818 million baht. REIC predicts that in 2024, there will be 1,326 new housing units entering the market valued at 11.41 billion baht, with 1,514 new units sold valued at 9.35 billion baht, and 2,326 unsold units valued at 14.47 billion baht.

Overall Supply in the Central Region in the first half of 2024 showed a total of 10,327 housing units for sale valued at 33.11 billion baht, an increase of 7.9% from the same period last year (YoY), with the value increasing by 10.8%. Only 835 new projects entered the market, valued at 4.13 billion baht, an increase of 56.4% from the same period last year (YoY). The number of unsold housing units as of the first half of 2024 was 9,813 units valued at 31.59 billion baht, an increase of 20.2% in units and 23.2% in value compared to the same period last year (YoY).

The top 5 locations with the highest number of unsold housing units in the two Central provinces are: 1) Rojana Industrial Estate with 4,497 units valued at 17.47 billion baht, 2) Bang Pa-in Industrial Estate with 1,874 units valued at 4.63 billion baht, 3) Saraburi city with 1,243 units valued at 4.13 billion baht, 4) Wang Noi with 967 units valued at 2.24 billion baht, and 5) Nong Khae with 706 units valued at 1.82 billion baht. The price range with the most unsold units is 2.01-3.00 million baht, totaling 2,936 units valued at 7.67 billion baht.

Overall Demand in the Central Region in the first half of 2024 saw 514 new housing units sold, a decrease of 63.4%, valued at 1.52 billion baht, a decrease of 64.2%. This includes 372 housing development units valued at 1.28 billion baht and only 142 condominium units valued at 240 million baht. The top 5 locations with the highest number of new units sold are: 1) Rojana Industrial Estate with 315 units valued at 984 million baht, 2) Bang Pa-in Industrial Estate with 58 units valued at 128 million baht, 3) Saraburi city with 43 units valued at 148 million baht, 4) Wang Noi with 41 units valued at 113 million baht, and 5) Kaeng Khoi with 21 units valued at 40 million baht.

Overview of Phra Nakhon Si Ayutthaya Province

In the first half of 2024, the surveyed area of Phra Nakhon Si Ayutthaya had a total of 7,883 housing units for sale valued at 26.02 billion baht, an increase of 5.7% and 8.4% respectively. This includes 6,926 housing development units valued at 24.52 billion baht and 957 condominium units valued at 1.50 billion baht. In the first half of 2024, there were 451 new housing units launched in the market, a decrease of 15.5%, valued at 2.88 billion baht, an increase of 104.3%. The number of new housing units sold was 430 units, a decrease of 64.6%, valued at 1.29 billion baht, a decrease of 66.0%. When examining the details by area with the highest number of new housing units sold in the first half of 2024, it was found that: 1) Rojana Industrial Estate with 315 units valued at 984 million baht, 2) Bang Pa-in Industrial Estate with 58 units valued at 128 million baht, and 3) Wang Noi with 41 units valued at 113 million baht. It is noteworthy that Rojana Industrial Estate and Bang Pa-in Industrial Estate have the highest new housing sales, with absorption rates of 1.1% and 0.5% per month, respectively.

The number of unsold housing units is 7,453, an increase of 19.4%, valued at 24.72 billion baht, an increase of 22.4% compared to the same period in 2023 (YoY). The top 3 locations with the highest number of unsold housing units are: 1) Rojana Industrial Estate with 4,497 units valued at 17.47 billion baht, 2) Bang Pa-in Industrial Estate with 1,874 units valued at 4.63 billion baht, and 3) Wang Noi with 967 units valued at 2.24 billion baht. REIC predicts that in 2024, there will be 1,476 new housing units entering the market valued at 4.86 billion baht, with 2,171 new units sold valued at 5.72 billion baht, and 5,822 unsold units valued at 18.47 billion baht.

In summary, the overall housing market in the Central and Western regions in the first half of 2024 shows that both regions are entirely different. The Western region's market has improved, benefiting directly from tourism, as reflected in the new sales figures for condominiums and single houses. However, caution is still needed when adding new supply to areas with a large number of completed unsold units, such as Cha-am, where over a thousand completed condominiums remain unsold. In contrast, the Central region, particularly Phra Nakhon Si Ayutthaya and Saraburi, continues to face weak purchasing power affected by the overall economy and local economic conditions, as the industrial sector in these areas has slowed down, leading to reduced production capacity and business closures, which weakens purchasing power and impacts housing sales in the area, resulting in a slowdown in new sales of housing developments, despite new projects being launched that have not stimulated sales effectively.

“Developers should take advantage of the final quarter of the measures to reduce transfer fees and mortgage registration fees by organizing promotions to stimulate sales of housing priced below 7 million baht to accelerate the clearance of the existing stock of completed unsold housing,” Dr. Vichai concluded.