For landlords, a question, buying a condo in Hua Hin

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migrant
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For landlords, a question, buying a condo in Hua Hin

Post by migrant » Sat May 05, 2018 8:03 am

We live in Bang Saphan, 2 hours south.

Am thinking, since we go to HH/ Cha Am monthly that it may make economic sense to buy a small home/condo.

Being finance minded I would list the rental also for short term.

Question for those that do

If we buy a 2 bd, 2 bath place within, say 5 km of the beach/ busy areas, what have any of you experienced found to be average rental income?

Factoring our usage in I would like to get around 5% return.

Am I in a pipe dream :rasta: ?

Thanks!

Thanks!
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Re: For landlords - a question

Post by migrant » Sat May 05, 2018 8:06 am

Another thought occured. Being 2 hours away I don't want to always run up to open, and close, the rental after use. Is there services that do that? If so, what costs?

Thank!
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Re: For landlords - a question

Post by T.O.M. » Sat May 05, 2018 9:30 am

With such short rentals....less than a month at a time...Airbnb is your only option. And since their customers only stay a very short time, you need to clean between customers, check in/check out and refill stock. And if you check the location of Airbnb's rentals, they are all located very close to town center, since their customers normally don't have transportation. Your 4 million will not buy you a 2 bed/2 bath close enough to the town center to be attractive for Airbnb's clients.
May I suggest another solution......Buy property/infrastructure funds for your 4M......Personal favorite is JASIF (goggle it) returns 7.9-8 % yearly...paid out quarterly and is tax free. And use the profit to rent from Airbnb... :D

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Re: For landlords, a question, buying a condo in Hua Hin

Post by Nereus » Sat May 05, 2018 10:30 am

You would be buying yourself a bunch of headaches if my experience is anything to go by!

A house: Security is the first problem. Kamoys soon get to know which house is empty, even if it is on a gated estate.
Damage costs: seems to be never ending! Some "guests" treat a rental like a stolen car!
Insurance: can open up a can of worms with this.
Pool: most "guests" prefer a swimming pool, more costs regardless of the house being occupied or not. May not be a problem if a communal pool, but then you will have common fee costs.

Condo: much more secure, but all of the other points are pretty much the same. In addition, more and more Juristics are banning the short term rental of units. And with the current "government" hell bent on changing every rule they can dream up, it may not be too long before it becomes illegal. Even as it is, it is a very grey area.

Yes, there are endless "services" that offer to manage property, at a price! But you as owner will be at the bottom of the list when you need to use it yourself. :cheers:
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Re: For landlords, a question, buying a condo in Hua Hin

Post by buksida » Sat May 05, 2018 10:37 am

Add to that list that there are literally hundreds of empty condos for rent in Hua Hin - the market is absolutely saturated with them, so you will have no end of competition.
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Re: For landlords, a question, buying a condo in Hua Hin

Post by migrant » Sat May 05, 2018 2:36 pm

Thanks guys. I've had rentals and they have always been a headache! You have confirmed for me. If we buy it would be for our use, not rented!
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