In Q4 2019, the condominium market continued to be weakened with a slow sales rate and a decline in number of newly launched units. As for the entire year of 2019, the total number of newly launched units was decreased by 16% Y-o-Y. Developers have become more cautious when launching new projects in this market situation. We have seen developers relaunching projects with adjusted pricing, while others closed their sales gallery in some projects and delayed launches until the market show sign of recovery. We expect to see more development revisions and discounts from projects in terms of product, pricing, and target buyers to survive the competition from new projects which focus more on affordability.
After receiving negative feedbacks from developers, the Bank of Thailand has stated that the LTV regulation could be revised to be less restrictive to cope with the current market situation. In a slow market, the current LTV restriction which was intended to reduce speculative demand as buyers will have to put in more down payment, seemed to dampen the market even further.