Could Trump’s win affect Thailand’s real estate?
Could Trump’s win affect Thailand’s real estate?
An expert at JLL thinks not – phew. However, not all Asian markets will be so lucky
As stunning as the results of the US elections are, they have no dramatic consequences to property investment in Thailand, at least in the short term, according to Jones Lang LaSalle. The Thai baht, after all, is not pegged to the US dollar, unlike markets such as Hong Kong.
However, Andrew Gulbrandson, head of research and consulting at the property consultancy, leaves room for contingencies, given Trump’s protectionist campaign promises and flip-flopping stances. “Demand for real estate in all markets is highly dependent upon macro-economic conditions,” he said in a statement.
More: 5 ways a Trump presidency could impact Asia
“As such, it will be important to keep a close eye on how policies and programs enacted by the new US administration impact global markets, particularly in the case of China, which is one of Thailand’s major trading partners and a growing source of real estate investment into Thailand,” he added.
Should the US greenback chart a downward trajectory akin to the UK sterling after the similarly isolationism-fueled Brexit vote, Thai property investors would likely ramp up outbound investments. Gulbrandson sees an uptick in interest in US real estate in the first quarter of 2017 when the new president will lay bare his policy directions.
Read next: Donald Trump: ‘I am hard to please and pleased when I am’
Source: Property Report