Since the Belt and Road Initiative (BRI) was initially proposed, it has received positive recognition by the international community. The positive effects in the Asia-Pacific region have become increasingly prominent, especially in the field of overseas investment, as countries involved in the BRI have become much more attractive in the eyes of investors. Among these countries, Thailand’s real estate market has become extremely popular, attracting the attention of global investors.
Overseas home buyers are full of confidence
Political stability is still very important to buyers. Thailand is the second largest economy in Southeast Asia and the ASEAN Center, while the political environment is relatively stable. China’s BRI initiative has brought great opportunities for countries included to develop their economies. The Thai government has also expressed it’s full support for the BRI. With China’s development of infrastructure in Asia and the long-standing relationship between China and Thailand, many Chinese buyers are full of confidence when investing in Thailand.
The political system of Thailand is a constitutional monarchy. Standard & Poor’s sovereign credit rating gives Thailand a rating of A- and a stable rating outlook. The accelerated entry of Chinese investors into the Thai market is due to the welcoming attitude of the Thai government, the strong tourism market and superior investment potential.
Rich return on investment in different places
China’s new middle class is flooding into global real estate, and Thailand, as a global tourist destination, has a great appeal to these buyers, with a large number of assets available. Compared with the increasingly stringent housing purchase policies of cities such as Beijing, Shanghai, Guangzhou and Shenzhen, Thailand’s policies are becoming more attractive, with multiple avenues for ownership.
The continued attention of foreign investors will make the demand for real estate in Thailand even higher in the future. To give an example, among the foreigners holding a work permit in Bangkok Thailand, the Chinese rank second with 13%, after only Japan. Investors in Hong Kong and Singapore were once the main overseas buyers in Bangkok, and now more buyers from mainland China and Taiwan are flooding into the country.
Thailand’s tourism resources are very rich – the unique temples, white beaches, clear waters and low living costs bring the advantages and attract many tourists. In 2016, Thailand received 8.77 million Chinese tourists, bringing in 8.56 billion THB to the country. For investors, Thailand’s holiday villas and apartments, hotels, timeshare properties and other development projects are attractive propositions.