Welcome to exotiq

April-June 2012 

With a busy tourist season in Thailand drawing to a close the main holiday destinations in the Kingdom are reporting a welcome return to 100% occupancy. The headlines are no longer about floods in Bangkok, but about floods of tourists, particularly from Asia and Russia, arriving in their thousands for some winter sun. No one is complaining about the volume but the champagne corks aren’t popping quite yet as canny tourists don't seem to be splashing out on additional spending, such as on souvenirs, food and drinks. The tail end of the high season in Thailand usually generates a lot of activity for real estate agents and this year is no exception as our offices have conducted a record number of site inspections during the first quarter of 2012 as holidaymakers realize how easy it is to invest.

With Bali’s increase of almost 10% in direct foreign arrivals in 2011 and the targeted increase of another 10% in 2012 coupled with growing domestic tourism to the island, one thing is certain - get used to permanent traffic jams or start walking! Infrastructural relief is on the way but it will take two to three years until the new roads and underpasses will have an effect. What to do? Follow the Singapore model and slam a massive tax on all that moves on wheels thus reducing the number of vehicles to a bearable number? Or just wait and see what happens? Whilst the latter is the most likely scenario, the question is how will all this impact the property markets? We believe that we are already experiencing a shift in demand from Western to Asian, particularly Indonesian buyers. This trend will continue and affect the property market, which will continue to grow albeit with a more Asian touch and feel.

Growth is growth and Exotiq is adding to its list of destinations in 2012 by re-opening the Exotiq Property offices in Koh Samui and Lombok. Koh Samui is Thailand’s third largest island and offers some great value property investment opportunities whilst Lombok is benefitting hugely from infrastructure development, not least the new international airport, and we are looking forward to what exciting opportunities the market holds there. See our Lombok story on page 38 and then read on to hear about how George Clooney is checking in on the Sudanese warlords and take a trip to East Java to the sulfur mines. And why not check out some our portfolio of great tropical properties along the way.

 
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As the world's property values continue their downward spiral as a result of the global financial crisis, Southeast Asia's resort markets continue to buck the trend with increasing demand for a piece of the tropical real estate action. In Bali and Indonesia that demand is stronger than ever, while it growing steadily in Thailand as it starts to put its political instability behind it. Indonesian and Thailand real estate are buoyant cash market with very few mortgages and financing options available, which means no risk of foreclosure or unnecessary fire sales. This has created a solid platform that leads to continued appreciation in financial investment.

For a full comprehensive list of the many hundreds of exotiq property listings please visit www.exotiqproperty.com

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