New homes in Bangkok are becoming too expensive for local buyers, according to the latest market review by CBRE. Also, due to general difficulties experienced by developers trying to acquire land, most new build properties are one-bedroom units only.

CBRE reports that there have been significant price rises of around 13% for the handful of developments that are considered to be prime Bangkok. As a result of this the price for rented properties are also increasing as those who cannot afford to buy look for rentals.

The total completed supply in downtown Bangkok reached 95,042 units, up from 93,593 units, a 1.5% increase in the second quarter compared with the first, and an annual increase of 6.8%.

The CBRE survey also predicts that while the occupancy rate has increased for new built property, it will decrease in older buildings as tenants prefer to rent units in new buildings.

The Pathumwan area of Bangkok has the highest average occupancy of 80.5% while the Outer Sukhumvit area achieved the lowest at 54.9%.

The current average price for new-build property in Bangkok reached Baht 143,590sqm (£2,900sqm) in the second quarter of 2012.