June 1, 2022
South-East Asia is one of the fast-growing parts of the world. The countries of SE Asia have growing economies that are doing well. This has led to the growth of businesses with foreign companies entering the market. The result is a real estate market that is doing very well.
We look at real estate property trends in this part of the world. If investing in this part of the world interests you, then our guide will help you. We tell you all you want to know about real estate trends in South East Asia.
1) Urbanization is fueling real estate growth
The countries of South East Asia are rapidly urbanizing. Most of these countries like Thailand and Vietnam have had predominantly rural economies. Over the past few decades, the countries have urbanized quickly. Cities are growing fast, and this urbanization has led to the demand for housing.
South East Asia has seen strong demand for urban housing. This has led to a steep growth in real estate. While many parts of the world have seen an increase in suburban and coastal properties, SE Asia is tilting towards urban real estate. Homebuyers are looking to buy not just first homes but even second homes in these countries. This is a trend likely to continue in the next few decades.
2) Focus on multi-generation property purchases
The people of Asia are mostly family-oriented. Most families have two or three generations living together. This has led to the growth of multi-generation properties. People buy properties that can be used not just by them but by the generations to come. There is a greater demand for large homes and luxurious homes.
Even small families are looking for larger homes. They want to have sufficient living space to be able to expand. People are thinking from the point of view of the future and want homes that would serve their future needs. The trend is in favour of larger units for purchase.
3) Prices are still in the contraction mode
Except in Singapore, the real estate market prices are still in the contraction mode in SE Asia. Due to the pandemic, the market prices had dropped drastically. They have not yet picked up. Prices remain low and in some countries, recovery is on. This presents a good opportunity for real estate buyers. You can buy now when the prices or low and prices will appreciate in a couple of years.
4) Holiday homes are growing in demand
With economic prosperity, people are looking to buy additional homes. Many high net worth individuals are interested in holiday homes. These homes located near beaches or mountains would be great to stay in during holidays. With remote work becoming popular, people can even stay there anytime during the year. This has led to an increased demand for holiday homes.Now that you know about the real estate trends in South East Asia, it is time to think of investing. There are different properties like Jalan Tembusu residences that would be worth investing in. These investments would fetch you good returns over time.