Condos getting smaller

Condo size shrinking to affordable 30-26 square meters but slight oversupply so its a buyer's market with low prices now.

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Economics
PROPERTY

Condo launches outpace broader housing market

2/10/2012
Kanana Katharangsiporn

The number of newly launched condominium units in Greater Bangkok was almost twice that of single houses and townhouses in the first nine months of the year.

But Samma Kitsin, director-general of the Real Estate Information Center (REIC), said the condominium segment has experienced a slight oversupply in upper Sukhumvit and on Ratchadaphisek Road.

Some 9,000 to 10,000 condo units were launched in the first nine months on upper Sukhumvit Road, but sales were slow.

"Developers are unhappy with the situation, but buyers are happy as they have greater choices with competitive prices and attractive campaigns," said Mr Samma.

He said newly launched condos on Ratchadaphisek Road in Huai Khwang, Chatuchak and Din Daeng districts are facing similar conditions but with slightly better sales.

The REIC said the number of newly launched condo units in Greater Bangkok rose by 42% year-on-year in the first nine months to 46,000, while the number of single homes and townhouses fell by 29% to 24,000.

Of the 46,000 condo units newly launched, 29,000 (63%) were smaller than 30 square metres.

Land prices soared and construction costs rose.

Some 18,000 units were smaller than 26 sq m, while 11,000 were between 26 and 30 sq m.

Mr Samma said developers are making unit sizes smaller to keep condos affordable.

Condos remain popular in Greater Bangkok. The segment showed the only growth in transferred units out of the entire residential market.

During the first seven months, condominium transfers rose by 7%, while single-house transfers fell by 12% and townhouse transfers by 16.

(Source: Bangkok Post, Economics, PROPERTY, Condo launches outpace broader housing market, 2/10/2012, Kanana Katharangsiporn, link) 


Real Estate Vocabulary 

real estate - property in the form of land or buildings and the business of buying and selling them อสังหาริมทรัพย์, ที่ดินและสิ่งปลูกสร้าง (See Wikipedia)  

property - assets which includes: 1. land and buildings; 2. things owned by a person (possessions) ทรัพย์สิน
real property -  อสังหาริมทรัพย์

segment - 1. same as "market segment"; 2. a part of something ตอน ส่วนต่างๆของสังคม
market segment - a group of possible customers who are similar in income, age, habits (See Wikipedia)

apartment - a set of rooms for living in that are part of a large apartment building with many apartments (See Wikipedia)

condominium - apartments each with a different owner in an apartment building (See Wikipedia)
condominium segment

single houses - the usual house; what we normally think of as a "house" บ้าน
townhouse - a house that shares walls with the other houses next to it; houses built right next to each other with no room around the house (See Wikipedia)

unit - one piece of built real estate such as an apartment, an office unit, a building unit, a house unit, etc 
condominium units

launch - begin เริ่ม start เริ่มต้นดำเนินการ
condo launch - when a condo project is started; when a company starts selling units in the building
newly launched condominium units

current - now
trend - something that is increasing (happening more, becoming more popular)  แนวโน้ม
current trend  

urban - in the city
urban living

current trend of urban living

broad - wide กว้าง
broader - wider; including more things; a bigger category
the broader housing market - the market that includes all housing, nto just single houses but also condos and townhouses 

outpace - go faster than others
Condo launches outpace broader housing market

oversupply - too much of a good on the market, supply of the good is greater than demand forcing down prices   การมีสินค้าล้นตลาด
experienced oversupply

slight - a little bit, not much
experienced a slight oversupply
the condominium segment has experienced a slight oversupply

The number of newly launched condominium units in Greater Bangkok was almost twice that of single houses and townhouses in the first nine months of the year.But Samma Kitsin, director-general of the Real Estate Information Center (REIC), said the condominium segment has experienced a slight oversupply in upper Sukhumvit and on Ratchadaphisek Road. Some 9,000 to 10,000 condo units were launched in the first nine months on upper Sukhumvit Road, but sales were slow.

developers - real estate developers; companies that build buildings: condos, office buildings, factories, industrial estates, etc ..

competitive - involving competition มีการแข่งขัน
competitive prices - lower prices (because sellers are competing to sell when there is oversupply) 

attractive - worth having or doing น่าสนใจ
campaigns - a long series of events staged to achieve a goal or to promote something such as a "marketing campaign"
attractive campaigns

Greater Bangkok - the city of Bangkok and the area surrounding Bangkok also such as Nonthaburi and Samut Prakan

year-on-year - this year compared to the same period last year
rose by 42% year-on-year in the first nine months

Developers are unhappy with the situation, but buyers are happy as they have greater choices with competitive prices and attractive campaigns," said Mr Samma. He said newly launched condos on Ratchadaphisek Road in Huai Khwang, Chatuchak and Din Daeng districts are facing similar conditions but with slightly better sales.  The REIC said the number of newly launched condo units in Greater Bangkok rose by 42% year-on-year in the first nine months to 46,000, while the number of single homes and townhouses fell by 29% to 24,000. Of the 46,000 condo units newly launched, 29,000 (63%) were smaller than 30 square metres.

soar - increase by large amount very quickly
land prices soared

construction - the work of building or making something, especially buildings, bridges, etc. การก่อสร้าง
construction costs
construction costs rose

affordable - not too expensive, does not cost too much, so you are able to buy ไม่แพง
keep affordable - prevent from becoming expensive (not affordable)
making unit sizes smaller to keep condos affordable

Land prices soared and construction costs rose.  Some 18,000 units were smaller than 26 sq m, while 11,000 were between 26 and 30 sq m. Mr Samma said developers are making unit sizes smaller to keep condos affordable.

transfer - 1. changing ownership of property; 2. to pass money, shares, property, etc from one owner to another โอน
transferred units

condominium transfers - changing the ownership of a condo from one person to another
condominium transfers rose by 7%
single-house transfers fell by 12%

residence (noun) - houses and apartments where people live rather than factories or offices where people work
residential (noun) - houses for families to live in (not businesses) บริเวณที่พักอาศัย
the entire residential market

Condos remain popular in Greater Bangkok. The segment showed the only growth in transferred units out of the entire residential market. During the first seven months, condominium transfers rose by 7%, while single-house transfers fell by 12% and townhouse transfers by 16.