Coronavirus: as Omicron rages, Chinese buyers offer hope to Thailand’s property market

Real estate firms in the country have seen a slight uptick in remote purchases by Chinese clients, providing a balm for the pandemic-hit sector

But analysts say developers, who have turned to tech to attract buyers, may need to wait longer for a rebound amid China’s slowing economy and its zero Covid strategy

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A property agent looks through the window inside a luxury condo building in Thon Buri, Bangkok. Photo: Reuters

Published: 10:30am, 27 Dec 2021

With the Omicron variant of Covid-19 forcing Thailand to once again tighten entry rules for foreign visitors, real estate firms in the kingdom are relying on remote purchases by Chinese buyers to prop up the pandemic-battered market.

Before the virus emerged, Thailand was the largest destination for the Chinese people looking for overseas property as an investment or a sun-kissed second home.

In 2019, 13,232 condominiums were sold to foreign buyers, of which 55 per cent were Chinese, according to the Real Estate Information Centre.

But since early 2020 they have remained inside their country’s Covid-19 cocoon as the Chinese government showed no signs of easing its tough quarantine rules for returning nationals.

Despite the tight restrictions on overseas travel, agents across Thailand’s three biggest markets – Pattaya’s Chonburi, Phuket and Bangkok – said interest has returned from mainland customers, who viewed properties virtually or bought through local brokers and affiliates that manage assets on their behalf.

Sales worth around US$350 million were made in the first half of this year alone to Chinese buyers, official data showed, nearly two-thirds of the total sold to foreigners.