How is the credit crunch affecting you in Thailand?

Unless one has cash to buy property, then I reckon one should fasten their seat belts for the rough ride. It is now affecting quite a few banks etc in the UK similar to the US. My mortgage is up for renewal soon like many others I suspect and this morning the bank I mortgage with has withdrawn quite a few of its products, namely mortgages in the region of 6%, 2-year deals that sort of thing. The result being one has to choose a variable rate of 7.5%. This is happening in the UK, the US has its own way of dealing with things, but probably on the same lines, Europe I suspect is doing the same thing. All causing problems in the mortgage market. Now unless one has cash to pay for property, then it is going to be a rough ride for property. Why have I posted this on the Thailand board because ultimately it will affect people who want to buy in any country for that matter, who want to get a mortgage to buy it. I suspect a lot of people who buy 2nd homes will have an element of cash to put forward, but it is affecting prices already. It is predicted to get worse, which in turn will affect property prices - well that has already happened in the UK - a newly built flat in Ipswich (have you heard of that town heheheh) was on the market for ┬г268,000 but was auctioned off for ┬г133,000, an extreme case, but you get the picture.

There you go you have it. However, predictions of this credit crunch are that it will go on for at least till around November of this year, which is when the US elections take place. I tell you Bush has a lot to answer for - no, I'm not blaming him, and strangely enough it all started "apparently" when the Clinton regime was in power - we are all living in the land of "credit".

This credit crunch is also affecting credit cards and such like. It is affecting any way you can borrow money.

Will it be over with in a couple of years!!

... the disingenuous title, there's nothing in this thread that warrants it remaining in the Thailand forum

... the disingenuous title, there's nothing in this thread that warrants it remaining in the Thailand forum

My aim was to inform people of the possible fallout of the credit crunch in Thailand. One cannot get away from the fact that it started in the US and then Europe, and ultimately I wondered if it is affecting SE Asia, specifically Thailand, as that is the country I am interested in.

My aim was to inform people of the possible fallout of the credit crunch in Thailand.On the basis of that self-serving argument, we should have discussions on the outcome of the US elections in this Forum as they will undoubtedly affect Thailand's foreign affairs, the free trade agreement negotiations etc. etc.

My aim was to inform people of the possible fallout of the credit crunch in Thailand.On the basis of that self-serving argument, we should have discussions on the outcome of the US elections in this Forum as they will undoubtedly affect Thailand's foreign affairs, the free trade agreement negotiations etc. etc.

Hmmm...a full stop at the end of your post, homi? You must be slipping or not paying your scriptwriters enough. ;)

And "etc" with a full stop is so very American.

On the basis of that self-serving argument, we should have discussions on the outcome of the US elections in this Forum as they will undoubtedly affect Thailand's foreign affairs, the free trade agreement negotiations etc. etc.

A lot of arguments on here are self-serving Hom with a view of interest to others which refer to Thailand. Based on your philosophy, we could be be talking about the sex industry which is exported to the west, or Mars bars which are made in Australia which are exported to Thailand. I think your reading too much into Hom but keep drinking the coffee!!

I think your reading too much into Hom but keep drinking the coffee!!
The poor old sod would be far better advised to start re-taking his medication !

[bedbugy1-old]

what credit crunch
the a t m still works

what credit crunch
the a t m still works

well, not for long, especially if you pay your credit card up at the end of the month!!

[bedbugy1-old]

what a credit card only for fools
i have a debit card

If I had not bought property in Pattaya several years ago, I would probably not be able to afford to do so now. This would have put a big dent in my ability to retire fairly comfortably in Pattaya.

Most of us retiring here have to bring in the entire amount from our home country. My pension is about 30% less than I thought it would be with the baht so strong.

I have friends that unfortunately were actually living on credit that can not afford to come to Thailand this year and probably not next. They had borrowed on property equity to pay off credit cards and car payments. Then they built up credit card debt and purchased new cars and used some of this money for their vacations to Thailand. BANG! Low interest adjustable on mortages hit at the same time property values dived.

It surprises me to read that some may think this has no effect on Thailand.

If I had not bought property in Pattaya several years ago, I would probably not be able to afford to do so now. This would have put a big dent in my ability to retire fairly comfortably in Pattaya.

Most of us retiring here have to bring in the entire amount from our home country. My pension is about 30% less than I thought it would be with the baht so strong.

I have friends that unfortunately were actually living on credit that can not afford to come to Thailand this year and probably not next. They had borrowed on property equity to pay off credit cards and car payments. Then they built up credit card debt and purchased new cars and used some of this money for their vacations to Thailand. BANG! Low interest adjustable on mortages hit at the same time property values dived.

It surprises me to read that some may think this has no effect on Thailand.


Hi,

It sure does have an impact on Thailand, especially the European and American tourists.

It is interesting also to read about the ways in which people fund their second/holiday homes. For sure, this will have a major effect on condo purchases!

I don''t care where the thread belongs and in which forum, good points raised.[ self interest!]

For me the prices of airline tickets are getting to be scary
I am flying business class on Thai out of New York This is a $ 5600.00 ticket. Thank god for miles.
Last December my premium economy ticket was $ 1450. I looked on the sight today it is over $2000
It looks like i will be coming over 2 time a year instead of 3 time a year.
That with the Baht around 31 it is definitely effecting my travel

... a little negative here, let's lighten the load a little - this time next year, things will seem a lot rosier, I'm sure. There is money about, lots of it, apparently, and the banks are holding on to it and that's for sure, until the this whole mess has been cleared in about a year's time - that is not me talking, but senior economists. The only reason I brought this subject up is that my bank was reminding me that my 3 year deal was coming to an end and that there were very little options to go over to, apart from a variable rate mortgage. All this cheap money is "out of the window" for the time being, but I'm sure it will return, but with caution.

For certain what is currently happening, as has been said before, the Americans are not visiting Thailand in droves, if the pound continues its way south, that will happen also to the Brits. However, the Euro is very powerful at the moment, so there is still room for the Germans etc to visit Thailand, and the Chinese, Russians etc. It's time to learn a new language!!!

[colmx]

My Mortgage rate is the same now as it was this time last year
It is with an Irish bank and my Rate is 0.5% above the European Central Bank rate = 4.75%

It doesn't show any immediate signs of going up - in fact the ECB rate will go down if anything...

Think the current credit crunch only affects people from the US or those in the UK with poor credit history or risky profiles who have to deal with subprime lenders

Things never been better for us in the eurozone....

[Brad the Impala]

My Mortgage rate is the same now as it was this time last year
It is with an Irish bank and my Rate is 0.5% above the European Central Bank rate = 4.75%

It doesn't show any immediate signs of going up - in fact the ECB rate will go down if anything...

Think the current credit crunch only affects people from the US or those in the UK with poor credit history or risky profiles who have to deal with subprime lenders

Things never been better for us in the eurozone....

The problem is that UK refused to join the Eurozone, or the Schengen agreement, and the former is certainly biting the UK now, as the ┬г slides, except against the US$. The arrogance of us Brits!

[jimnbkk]

For me the prices of airline tickets are getting to be scary
I am flying business class on Thai out of New York This is a $ 5600.00 ticket. Thank god for miles.
Last December my premium economy ticket was $ 1450. I looked on the sight today it is over $2000
It looks like i will be coming over 2 time a year instead of 3 time a year.
That with the Baht around 31 it is definitely effecting my travel

I'm coming on United out of Dulles on 30 April. Economy Plus ticket was $1137. (I can't afford them high-class tickets like that there skeet-fella).

This ticket is for less than 30 days. For some reason, if u stay more than 30 days, the ticket price goes up. So, I'm coming in Oct for 60 days, and using miles to pay for it. (Total cost $42)

The business class ticket is with my miles so all i payed was the tax.
Are you going to have 1 or 2 stops.
I have gotten used to that direct flight .
I don"t mind paying a little more for that one.
I am not sure the economy plus on United is as nice as the Thai flight.
The last time i was on Untied the seat was the same as economy but you had like 4 more inches of leg room
Where on the Thai flight the seat is bigger and wider that economy ant he pitch is better
The entertainment is great about 30 movies to watch
I am going to be spoiled my next trip but i am afraid i will be back in premium economy in December