The Real Estate Information Center (REIC) of the Government Housing Bank (GHB) has revealed that the housing market situation in Q2 of 2025 has improved compared to the previous quarter, as reflected by the increase in property transfers in Q2, which rose from Q1 (QoQ) in both unit numbers and value. The number of units increased by 18.5% and the value increased by 15.7%. Notably, the number of low-rise residential units increased by 24.2% and the value increased by 24.8%. Positive factors include government measures such as reducing transfer and mortgage fees to 0.01% for properties priced below 7 million baht and the temporary relaxation of the Loan-to-Value (LTV) ratio by the Bank of Thailand (BoT), along with an increase in second-hand home transactions. The housing market outlook for Q3 and Q4 is expected to improve, driving the total property transfers for the year 2025 to grow close to last year's figures.

Mr. Kamolphop Veerapala, Managing Director of the Government Housing Bank (GHB) and Acting Director of the Real Estate Information Center (REIC), stated that the government's announcement of measures to stimulate the real estate sector, including the reduction of transfer and mortgage fees to 0.01% for properties priced up to 7 million baht and the temporary relaxation of LTV criteria by the Bank of Thailand (BoT), has resulted in increased demand for property transfers in Q2 compared to Q1 (QoQ) in both unit numbers and value. There were 77,343 units transferred, an increase of 18.5% from the 65,276 units transferred in Q1, with a total value of 210,056 million baht, up 15.7% from the 181,545 million baht in Q1. This includes 53,982 low-rise residential units nationwide, an increase of 24.2% from 43,462 units in Q1, with a value of 156,692 million baht, up 24.8% from 125,557 million baht in Q1. Additionally, there were 23,361 condominium units transferred nationwide, an increase of 7.1% from 21,814 units in Q1, but with a value of 53,364 million baht, down 4.7% from 55,988 million baht in Q1. The decrease in value is attributed to a higher number of high-priced condominium transfers above 7 million baht in the previous quarter.

However, compared to the same period last year (YoY), the total property transfers nationwide in Q2 of 2025 amounted to 77,343 units, a decrease of 10.9%, with a total value of 210,056 million baht, down 13.6%. Low-rise residential units saw 53,982 units transferred, a decrease of 7.7%, with a value of 156,692 million baht, down 9.3%. Condominium units had 23,361 units transferred, a decrease of 17.5%, with a value of 53,364 million baht, down 24.1%. This resulted in a total of 142,619 property transfers nationwide in the first half of 2025, a decrease of 10.7%, with a total value of 391,601 million baht, down 13.3%.

As for foreign ownership of condominiums, Q2 of 2025 saw a decrease from the previous year, with 3,248 units transferred, down 2.2%, and a total value of 12,318 million baht, down 16.9% compared to the same period last year (YoY). Foreign ownership accounted for 13.9% of total transfers, down from 18.0% in the previous quarter, with a value share of 23.1%, down from 29.3%. The top ten countries with the highest value of condominium transfers included China, Myanmar, Russia, Taiwan, France, the United States, the United Kingdom, Germany, India, and Japan. Notably, China has seen a continuous decline in condominium transfers, with 899 units this quarter, down 28.8%, and a value of 3,391 million baht, down 39.4%. It is anticipated that Chinese purchasing power will continue to decline in the second half of 2025, while Myanmar has seen an increase in condominium transfers, with 533 units, up 119.3%, and a value of 1,347 million baht, up 30.9%, likely due to earthquake damage to housing in Myanmar.

Nevertheless, the Thai economy in the second half of 2025 is expected to continue slowing down from the first half, impacted by both direct and indirect effects of U.S. tax measures affecting the income of businesses, employees, and freelancers, leading to a decrease in consumer purchasing power. Meanwhile, investment by housing project developers or new sales projects is expected to decline, and homebuyers are facing challenges in obtaining housing loans. Medium and small real estate developers are experiencing increased liquidity risks, and the number of tourists is expected to decrease compared to last year due to intensified regional competition and border conflicts with Cambodia. Therefore, REIC forecasts that the total property transfers nationwide for 2025 will amount to 343,678 units, a decrease of 1.2% compared to the previous year, which had 347,799 units, with a total value of 964,027 million baht, down 1.7% from 980,648 million baht the previous year.

Regarding housing loans in Q2 of 2025, the total value reached 134,115 million baht, an increase of 22.6% from Q1 (QoQ), which had a value of 109,368 million baht, but a decrease of 6.5% compared to the same period last year, which had a value of 143,409 million baht (YoY). In the first half of 2025, personal housing loans amounted to 243,483 million baht, down 7.9% compared to the same period last year, which had a value of 264,330 million baht. REIC predicts that new housing loans nationwide in 2025 will be approximately 582,800 million baht, similar to the 584,843 million baht in 2024.

In terms of new housing project supply in the Bangkok and surrounding areas, developers launched only 6,165 units in this quarter, the lowest number since quarterly data collection began in Q1 of 2022. Compared to the same period last year (YoY), new housing launches overall in this quarter decreased by 64.6%, marking a continuous decline over six quarters, with low-rise housing launches down 59.7% and condominium launches down 70.4%. In the first half of 2025, a total of 17,988 new projects were launched, down 46.9% from the same period last year (YoY), with low-rise housing down 58.1% and condominiums down 34.1%. REIC expects that for the entire year of 2025, there will be 52,000 new housing projects launched in the Bangkok and surrounding areas, a decrease of 17.2% from 2024, approaching the levels seen in 2021 during the COVID-19 pandemic, with an estimated value of new housing projects around 390,000 million baht, down 22.2% from 2024.