NPAs an attractive alternative to new residences: KTB
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EVEN IF THE property market is affected by an economic slowdown, non-performing assets (NPAs) can be sold thanks to their varied locations and attractive prices, said Suchart Dechittirat, assistant vice president of Krungthai Bank.
He said the real-estate sector was being affected by slowing economic growth and the reduced supply of new units. Moreover, the labour shortage and higher prices of construction materials were pushing up the prices of new residential projects.
The new projects that are in high demand are condominiums near Bangkok’s mass-transit routes and, upcountry, those in border provinces as the Asean Economic Community approaches (AEC), he said.
NPAs are unlike new projects because their prices are lower and construction is complete.
Moreover, they can be found in many areas, so buyers can choose those that fit in with their objectives.
Suchart said KTB had sold Bt5 billion worth of NPAs in the first six months, and expected to sell another Bt5 billion worth in the second half as buyers take advantage of special interest rates and other advantages.
