Home Builder Association Launches Home Building and Materials EXPO 2023 to Boost Purchasing Power in the Second Half of the Year

The Home Builder Association (HBA) is implementing strategies to stimulate purchasing power in the second half of the year, closely monitoring two economic stimulus policies from the new government and the rising interest rate of 2.25%, which signals consumer confidence is slowing down spending. The association is preparing to host the Home Building and Materials EXPO 2023 from September 20 to 24, 2023, to provide opportunities for those wanting to own a home to access quality services under the concept of 'Everything You Need for Home Building.'

Mr. Olar Chanphu, President of the Home Builder Association (HBA), stated that during the first half of the year, the home building business remained sluggish, with most customers delaying their decisions to build due to political factors affecting confidence. Additionally, at the beginning of the year, construction material prices increased by about 0.4%, along with rising labor costs influenced by political campaign policies and an adjustment in the policy interest rate by 0.25% per year to 2.25% from the previous 2.00% per year, which may lead consumers to postpone their home building decisions.

For the second half of the year, the home building business must keep an eye on the new government's economic stimulus policies and their potential positive impact on the overall real estate and home building sectors. It is expected that the overall market for home building, valued at approximately 200 billion baht, may grow slower than previously anticipated.

Currently, over 60% of home construction orders come from Bangkok and its vicinity, with the average home price ranging from 5 to 10 million baht, while homes priced at 2 to 3 million baht continue to see a slowdown.

Meanwhile, the regional market accounts for about 40%, but it presents business opportunities as customers in rural areas tend to hire individuals to build homes and often face issues with substandard work quality or unfinished projects. Therefore, the association aims to increase the number of new members in the regions to raise awareness and access to consumer demand in these areas, as well as to elevate the quality of home construction to a uniform standard, instilling confidence in customers. Currently, the association has 132 member companies, consisting of 75 home building companies and 57 construction material companies. The association is also preparing to propose to the government to reduce taxes by 1% for customers wishing to build their own homes to support the growth of the home building market.

In the final stretch of this year, the association is set to organize the 'Home Building and Materials EXPO 2023' from September 20 to 24, 2023, to stimulate purchasing power under the concept of 'Everything You Need for Home Building.' The event will feature over 1,000 house designs with prices ranging from 1 to 100 million baht, along with special privileges for booking home construction at the event, including a chance to win 15 baht of gold worth over 500,000 baht. Additionally, there will be services for home construction loans available at the event, allowing for 100% financing without any initial payment.

Four financial institutions will participate in providing loan services, including Siam Commercial Bank, Krungsri Bank, Kasikorn Bank, and Krung Thai Bank. Attendees will also find ready-to-move-in properties at special prices from JAM and experts available to provide advice for those planning to build homes on their own land.

Those interested in attending the Home Building and Materials EXPO 2023 from September 20 to 24, 2023, at Impact Hall 6, Muang Thong Thani can register in advance at https://hba-th.org/home_expo2023 to receive the 'e-Book The Best Home Designs 2023' along with discount coupons worth up to 10,000 baht. The e-Book will be available for download starting August 10, 2023.