(Bloomberg) — Thailand’s government unveiled a slew of new measures including reduction in property registration and transfer fees to revive the nation’s residential real estate market.
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The Cabinet approved a proposal to increase the threshold for lower transaction fees for houses and condominiums priced up to 7 million baht ($191,330), according to a government statement Tuesday. Currently, only residential properties valued at a maximum of 3 million baht are eligible for a cut in registration fee to 0.01% from 2% that was first announced in 2022.
The government will also extend a reduction in mortgage fees to properties valued up to 7 million baht. The Cabinet also approved tax incentives for individuals who build their own houses and raised the threshold of value of properties developed by companies that are eligible for Board of Investment’s tax incentive to 1.5 million baht from 1 million baht.
Srettha’s administration will lose about 1.99 billion baht of fees per month from the fresh incentives for the industry which will last until Dec. 31, according to the statement.
The state-owned Government Housing Bank will also extend an additional 20 billion baht of new mortgage loans at lower interest rates for low-income borrowers to buy new houses, the government said.
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