Chinese and Taiwanese investors agree about Thai property


There are not a lot of things China and Taiwan agree upon. And while Beijing and Taipei may not see eye-to-eye, Chinese and Taiwanese investors do share some common ground. For example, they both agree real estate in Thailand is a good investment.

China’s interest in Thailand property has been prevalent for a while now with last year’s stock market crash seeing investors turn to international real estate as the preferred vehicle to park Renminbi. Even as the Chinese government aims to curb outbound capital flows, the number of mainland buyers scooping up property in countries such as Thailand isn’t likely to diminish in the near future.

Now it looks as if Taiwanese investors are following suit, purchasing properties throughout Southeast Asia. Thailand in particular is an attractive investment destination because of higher yields and impressive tourism numbers that continue to grow.

And while domestic real estate transactions were at a record low in Taiwan last year, an end-of-year report from Chinatrust Real Estate, a Taiwanese real estate company, showed the number of transactions closed in ASEAN countries increased by 43 percent from 2015 to 2016.

One of the reasons for the increase in Taiwanese investment activity in Thailand is due to the New Southbound Policy that made it easier for companies and individuals to invest in several Southeast Asian countries.


Chinese property investors flock to Thailand

Meanwhile, buyers from China are expected to continue their Thailand buying spree in 2017. In addition to purchasing real estate for investment purposes, a growing number of mainland buyers are acquiring vacation homes in Thailand thanks to the country’s lifestyle and the ease of travelling between the two locations.

Real estate in places like Bangkok, Pattaya and Phuket will remain popular with mainland buyers thanks to relatively low prices in Thailand when compared to the skyrocketing prices in first and second tier cities across China.

New home prices in China have rose for 19 straight months. This unprecedented increase caused numerous local and city governments in China to roll out cooling measures and buying restrictions recently to help reign in home prices.