Types of Investment Property in Thailand

An investment property is real estate bought to make money, either by renting it out, selling it later for a profit, or both. These types of property investments in Thailand can be short-term, where you might renovate and sell quickly for a profit, or long-term, aiming to grow and preserve wealth.

Thailand is becoming a popular choice for global investors. The country has one of the top 25 largest economies in the world and has seen strong growth over the past few decades. Bangkok, the capital, is a lively city with over 10 million people and was the most visited city in the world before COVID-19. Its affordability and improving infrastructure make it a great option for serious property investors.

Learn about the four popular types of investment properties in Thailand.

What is an Investment Property in Thailand?

An investment property in Thailand is real estate bought to make money. This can be done in a few ways:

• Rental Income: Renting out the property to tenants.
• Future Resale: Buying a property, holding onto it, and selling it later for a higher price.
• Combination of Both: Renting out the property and then selling it later for a profit.

Investment properties can be short-term, where you might buy, renovate, and sell quickly, or long-term, where you hold onto the property to build and maintain wealth over time. Thailand, especially cities like Bangkok, is a popular choice for investors due to its strong economy, growing infrastructure, and vibrant tourism industry.

Why Should You Invest in Thailand?

Strong Economy

Thailand has one of the top 25 largest economies in the world. Over the past few decades, it has shown impressive growth, making it an attractive place for investors.

Growing Tourism

Before COVID-19, Bangkok was the most visited city in the world. With the tourism sector recovering, there are many opportunities for investment, especially in hospitality and related industries.

Affordable Living Costs

Thailand offers a high standard of living at a lower cost compared to many Western countries. This affordability makes it appealing for expatriates and retirees, boosting the rental property market.

Strategic Location

Thailand’s location in Southeast Asia makes it a hub for trade and business. It has strong connections with neighbouring countries, providing a gateway to the broader Asian market.

Improving Infrastructure

Thailand is continually improving its infrastructure, with new highways, railways, and public transport systems being developed. This makes travel and logistics easier, benefiting businesses and increasing property values.

Diverse Investment Opportunities

Thailand offers a wide range of investment opportunities, from real estate (residential, commercial, and industrial) to the stock market and businesses in various sectors like tourism, agriculture, and manufacturing.

Government Support

The Thai government actively encourages foreign investment through incentives, tax benefits, and support programs. This creates a favourable environment for investors looking to enter the market through ourvillas.

Quality of Life

Thailand is known for its rich culture, beautiful landscapes, and friendly people. The quality of life is high, with excellent healthcare and education systems, making it an attractive place for long-term investments and living.

Common Types of Investment Property

Here are four common types of investment property in Thailand. 

Serviced Apartment Buildings for Sale

Serviced apartment buildings are the first type of investment property. These buildings are owned by one company or person who manages all common areas. This makes them different from condominiums, where each unit can be owned by different people. 

Serviced apartment buildings can range from small buildings with 10-20 units to large towers with 300 units. They often provide reliable long-term income and usually require less initial investment than hotels or office buildings. Managed by property companies, they are popular among expatriates due to the high quality of service. This makes them a good investment not only in Bangkok but also in other areas with many expatriates, like Phuket, Pattaya, and Rayong.

Office Buildings for Sale in Bangkok

Bangkok is a large and vibrant city, and now is a great time to invest in office buildings here. There are many office buildings for sale in the city. Tenants today look for buildings with strong green credentials and well-configured spaces. 

They also prefer buildings accessible by BTS and MRT, and as these rail networks expand, more office buildings near stations become available. With growing passenger numbers on both BTS and MRT, office buildings near these stations are in high demand and are excellent long-term investments.

Shophouses for Sale in Bangkok

Shophouses are another type of property investment. These are low-rise buildings, usually two to five storeys, with a business on the ground floor. Shophouses are common in Bangkok and are important to daily life in the city. 

They include businesses like convenience stores, medical clinics, small offices, language schools, and restaurants. Their adaptability makes shophouses one of the most popular investment properties in Bangkok.

Land with Building for Sale in Bangkok

Land with a building is a common investment property in Bangkok. Investors often want properties that can generate income immediately, and land with a building allows for this. Due to the scarcity of land, buying land in Bangkok can be a great investment. Many plots come with existing buildings, such as houses, restaurants, showrooms, or warehouses. 

These buildings can be old, new, or even unfinished. The variety of buildings on such plots makes them flexible investments, usable for residential or commercial purposes. However, foreigners can only own up to 49% of the freehold title in land. For residential buildings, the longest lease is 30 years, and for commercial properties, lease terms range from 30 to 50 years.

Frequently Asked Questions