As usual, the New Year brings new aspirations and expectations for the future. And as always there’ll be new issues and problems to deal with, too.

This year it would be easy to concentrate on the problems and potential negative issues which continue to dominate headlines around the world. However, this would be mainly going over the same old ground and add fuel to the fire for those who enjoy looking at the dark side of everything.

We should, perhaps, think more about the positives and what there is to look forward to in the year ahead. We could also consider the facts and their actual affect on life on Samui, rather than dwell on what ‘may, or may not’ happen.

The global economic crisis has resulted in part from a lack of confidence, which is generated by negative media coverage and general scaremongering. So let’s take a more positive view of the New Year and start things off with a smile.

 It would be wrong to make any promises that everything will be OK. But it’s worth taking note that confidence in the real-estate industry at the moment is relatively high. This was demonstrated at the recent launch party of the legal firm DFDL Crawshaws.

The merger between DFDL Mekong and Crawshaws has come about for two reasons. Firstly, the workload at Crawshaws, which is almost entirely real-estate related, has been growing at such a rate that the company felt it would become very difficult to continue without a massive expansion or merger. Secondly, DFDL Mekong, a long established and highly respected international law firm was extremely keen to enter the Samui market. 

Both of these factors suggest that business on Samui isn’t too bad. A high turnout for the launch event saw industry leaders and representatives from the majority of the island’s real-estate community. And the atmosphere was somewhat surprisingly optimistic that the future is actually looking quite good. The general opinion was that the island’s performance would be stronger than in most places and certainly not as bad as some forecasters would have you believe.

This next 12 months may well be challenging. But at the start of the last two years the future also looked daunting. The fact is that 2008 was an improvement on the previous year in many ways. For instance, established real-estate agents such as Koh Samui Land & Homes undoubtedly benefited from improved confidence in the market. In fact, the company sold three times more houses last year than in 2007. Other companies have continued to perform well, too, not just in sales of properties but also in property rentals.

Of course, when there’s less money available for investments it certainly helps if the properties on sale are actually completed and that the companies involved have some previous visible background and experience here on Samui; or if the company is a well-known international brand name.
Times have changed from three or four years ago when it seemed that every other company on the island was an agent or developer. Numbers of real-estate companies reached ridiculously high levels with many companies simply trying to cash in on the market; relying on pre-construction sales to build homes. Now the choice of agents and developers has reached a more appropriate number for the island’s size and development potential. There are still plenty of options available, but many of the remaining companies have some real substance and longevity in the Samui market. This rightly breeds customer confidence.

Looking to the future, most new companies entering the real-estate industry will be recognisable international brands or those set up by individuals with a proven track record on the island.

In 2009, Samui will be hitting the headlines for many positive reasons, none more so than the release of a number of high-profile residential properties which will ensure that the island maintains its position as a property hotspot.

Another overriding opinion of industry insiders is that this year will see many people looking for somewhere safe to invest what money they have left. It’s hard to think of a more solid investment than land or property. And what’s become apparent in recent times is that it’s better to invest in emerging markets, such as Samui. Being an international tourist destination is another added bonus when considering where to invest and it seems that Samui will be in a very strong position to capture some of this market.

There’s also the fact that fuel prices have come down considerably leading to reduced flight surcharges. And increased competition amongst hotels, especially after the cancellations following from the airports closures, will hopefully make a stay here more affordable and therefore encourage more visitors.

Many people will have learnt harsh lessons and 2009 is likely to be a year where fewer risks are taken. But investments will be made if the risk is viable. Stocks and shares have proven that it’s possible to lose everything overnight. Land and property should never suffer the same consequences; value and prices may fall, in some areas in the short term, but only in most extreme case would they ever lose all of their value.

Another strong attraction to buying property on Samui in 2009 is the outstanding opportunity to get a bargain. Certain offshore effects of the economic problem and the ongoing political issues have put some sellers in a difficult position. For a while, at least, industry insiders believe that potential buyers will benefit from reduced prices and increased bargaining power on some properties. In fact, there are already people with knowledge of the island looking for such reductions in order to invest now and benefit in a year or two years time by selling the properties when prices have risen.

A newly-formed government always suggests increased stability, regardless of who they are or how long they last. In the past few years the real-estate market in Thailand has benefited whenever a new government has taken their position.

And, finally, for those that live and work here, it could always be worse. We should be happy with what we have and be looking forward to another year of good weather, good food and continuing to live the Samui lifestyle with smug smiles of satisfaction.

 

* Samui Property offers impartial, objective news articles, stories, legal advice & information, zone maps, photos, classified adverts and features about real estate, property, villas, developments, homes, house and land for sale and other real estate related items on Koh Samui.

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