BANGKOK, Thailand – Thailand’s property market remains fragile despite an increase in residential transfers during the first half of 2026, with industry leaders saying the pace of recovery will depend heavily on economic conditions, mortgage approvals and renewed buyer confidence.
The outlook was discussed during a “Thailand Property Outlook 2027” panel held at a press conference for the 50th Home and Condo Expo, scheduled for October 29 to November 1, 2026. The three presidents of Thailand’s leading property associations outlined the challenges facing the sector and possible measures to support demand.
Suntorn Sathaporn, president of the Housing Business Association, cited Real Estate Information Center (REIC) figures showing that 167,665 residential units were transferred nationwide in the first half of 2026, up 17.6% year-on-year. The total value rose 9.8% to 429.839 billion baht, reflecting support from government measures.
However, he said the market remained vulnerable. Buyers had rushed to complete transfers before June 30 amid uncertainty over the extension of reduced transfer fees of 0.01% and relaxed loan-to-value (LTV) rules. Household debt, stricter mortgage assessments and rising construction costs continue to weigh on demand.
In Bangkok and surrounding provinces, condominiums are recovering faster than landed housing, Suntorn said. Second-hand homes have also gained market share, accounting for about two-thirds of the market as consumers seek more affordable options.
He proposed five areas for government action: improving access to mortgages for people with freelance and other non-traditional income; continuing support for energy-efficient homes and green financing; incorporating water-management measures into urban planning; reviewing laws and taxation relating to foreign property rights; and amending the Land Allocation Act to allow housing estate juristic entities to help resolve community issues.
Pitiphat Preedanon, president of the Thai Condominium Association, said condominium transfers had increased by 19.5% compared with the same period last year. Developers were still cautious about launching new projects but had begun introducing more developments in the third quarter as demand showed signs of returning.
Location and price remain decisive factors for buyers. Pitiphat also noted that condominiums may offer practical advantages in flood-prone areas, depending on their location and design, while their smaller land footprints can make flood-protection measures easier to manage than in large housing estates.
He called on the Finance Ministry to revive the first-home policy, arguing that it could help younger buyers enter the market and address mortgage rejection rates that have exceeded 50%. He said many people still want to own homes but cannot secure financing, rather than preferring to rent.
Pornnarit Chuanchaisit, president of the Thai Real Estate Association, said access to finance was a greater obstacle than flooding. While natural disasters influence where people choose to live, he noted that buyers often return to familiar locations because flooding affects many areas and relocating away from Bangkok is not a realistic option for most.
He said tight lending conditions and interest-rate pressures were undermining purchasing power and confidence among both consumers and financial institutions. Although developers were gradually launching new projects, successful transfers would depend on whether Thailand’s economy and financial conditions improved.
Pornnarit expects the market to expand gradually in 2027, rather than rebound sharply, with performance varying by location. He identified housing for older people, wellness-oriented real estate and more affordable homes for lower-income households as potential growth areas.
Despite the continuing challenges, the association leaders said demand for housing remained, with the market’s recovery depending on whether prospective buyers could obtain financing and regain confidence in the economy.
