Deputy Prime Minister and Finance Minister Kittiratt Na-Ranong insists that he has yet to see signs of a housing bubble, while acknowledging that the state's 2-trillion-baht infrastructure spending plan will drive a property boom.
Buyers hunt for bargains during the Houseand CondoFair at Queen Sirikit National Convention Center. The residential property fair, organised by the Thai Real Estate Association, the Housing Business Association and the Thai Condominium Association, ends on Sunday. TAWEECHAI TAWATPAKORN
The strong property market is fuelled by real demand and a provincial market growing from a low base, Mr Kittiratt said yesterday at the House and Condo Fair in Bangkok.
"We have seen no property bubble after receiving data from related agencies," he said.
The Real Estate Information Center this week reported 29% of available condo units in Greater Bangkok remained for sale at the end of 2012 _ 40,740 units worth 129 billion baht out of 142,052 units worth 468 billion baht that were marketed.
The number of remaining units in the low-rise segment totalled 67,282, worth a combined 313 billion baht at the end of last year.
Mr Kittiratt said a key area of concern in the property sector is a labour shortage that finance and labour ministers are tackling.
In his view, the property market is performing well and will enjoy more growth from the government's nationwide investment in infrastructure.
"Wider transport networks will reduce the gap not only between high-income and low-income earners but also between people in the central and remote areas," said Mr Kittiratt.
"Prime locations will disperse into many more areas, not just specific locations."
Condos remained the big draw at the fair's opening yesterday, with more booths and teasing promotions than for low-rise housing. The magic number in wide use at the fair is 999 _ as in campaigns offering a down payment of 999 baht when buying a condo unit priced about 1.4 million baht. Some projects offer a payment of 999 baht for unit booking, with discounts from 60,000 baht. Other enticements include giveaways of popular gadgets such as the Samsung Galaxy S4 and iPad Mini.
The fair is taking place at Queen Sirikit National Convention Center. Organisers expect 4 billion baht in sales for the four days ending on Sunday.