Tuesday, 22 April 2014

Household Bills in Thailand (Rent)

This is a two part post which covers the cost of renting a house or apartment and paying for utilities in Thailand

I've heard many an argument in my time about the cost of living in Thailand. The truth is that cost of living depends entirely on your lifestyle and the things you choose to spend your money on. If your the type of person who enjoys wearing designer clothes and eating lavish meals in upmarket restaurants then the cost of living is likely to be very similar to that of most countries. I think one of the main reason Thailand is so affordable is that the 'big ticket' expenses are REALLY cheap.

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Part Two (Renting Accommodation)

In Part One of this post we talked about the typical costs of utilities such as electricity, water and the internet in Thailand.

The vast majority of foreigners in Thailand rent their accommodation from a private landlord. There are specific laws relating to the ownership of land which prevent foreigners from easily purchasing properties in the kingdom. There are ways to purchase property but most people will simply choose to rent especially in the beginning of their stay. 

The cost of renting accommodation in Thailand can either be really cheap or really expensive depending on a number of factors. Accommodation situated in tourist resorts or 'farang' ghettos will typically command a higher monthly rental then areas which are populated by local Thai people. There are some truly stunning apartments and houses for rent in Bangkok which would rival anything in the west and are available at a fraction of the cost. Once you leave the big city and enter the provinces your accommodation options start to become more limited and it is important to realise that some sacrifices may have to be made. 

When I first moved to the south of Thailand I rented a newly refurbished 'thai style' apartment close to the centre of the city. A 'thai style' apartment simply means that it's a single room with an en suite bathroom much like you would find in a hotel. This means that there is NO kitchen and the area that you use for eating, working, exercising etc will also be the area that you sleep. 

(My first apartment in Thailand)

I really liked my first apartment it was simple, clean and close to everywhere I needed to get too. The apartment cost 3,000 baht per month (£60) and included free wifi and the use of a very basic shared kitchen area. The balcony was absolutely huge and perfect for enjoying a cold beer at the end of a long day. The apartment also had air conditioning which was very important to me at that time because I was not fully acclimatised to Thailand's climate. The first sacrifice that I had to make was that this apartment didn't have hot water but I can honestly say that you soon forget about it because the water is always at least lukewarm because the sun heats the pipes. I have never had hot water during my time in Thailand but I do still enjoy having a hot shower when I go to hotels.

I would recommend these little 'thai style' apartments to anyone who is still finding their feet in the country and perhaps doesn't know how long they will be staying. These apartments always come with basic furniture e.g. bed, cupboard, desk etc so there is no need to invest in household appliances although some investment can make your stay a little more enjoyable.

I lived in my apartment very happily for six months and other then the occasional argument with the landlord over the electricity bills I have absolutely no complaints about my time there. As much as I liked my apartment it was very much like living in a hotel room, which long term isn't really feasible. Once I decided that I would like to stay here longer I became anxious to have a bit more space particularly as the room was becoming very small for all the 'things' I had acquired.  

Finding a comfortable apartment in Thailand is easy but finding a house with enough western amenities for a basic level of comfort can be difficult. I think the process would be close to impossible without the use of someone who speaks Thai because there doesn't seem to be any form of estate agents to help you with the process. I imagine that in Bangkok it would be possible to hire an estate agent but in the provinces word of mouth is key. I looked at quite a few houses and some of them were absolutely shocking with concrete floors, 20ft sheer drops from the stairs and electricity wiring that would scare you to death. 

I certainly was realistic in my expectations and went in with only a few basic requirements.

  1. The house must be tiled and generally clean
  2. The house must have working electricity and consistent running water
  3. The house must have a western toilet*
  4. The house must be in an area which can receive broadband internet

* I will always stand by my requirement of a western toilet but it is easy to purchase one for about 1000 baht (manual flush) and I am sure that the owner would be happy for you to make the 'upgrade' if you needed it.  

With the help of my work colleagues I was extremely lucky to find a house which is very close to my school and fitted all four of my main requirements, and the best thing of all was the price. 

(The living area and bedroom of my house)

My house is a two floored terraced house with two bedrooms and two bathrooms and it is absolutely huge. The living area is nearly double the size of my previous apartment and my bedroom is about the same size. The house has a kitchen area and even has a covered drive to park the bike safely. The house is extremely clean and had only recently been retiled prior to me moving in.

When I moved into my apartment I made my first sacrifice of no hot water and have honestly not missed it once. This sacrifice to move into this huge but cheap house was to be far greater, I would be giving up air conditioning. (I will write a full article about my experiences of living without air conditioning in one of the hottest countries on earth in the future). I have obviously had to make adjustments and while it's perhaps not as 'comfortable' then if I had air conditioning I feel that the positives outweigh the negatives. The truth is that if I were to rent this same property but it had two or three air conditioning units the price would probably double and thats before electricity consumption is taken into consideration. 

(Garage Area)

The cost of renting this house is 3,500 baht (£70) per month. Let's put that into context for a minute I used to pay 3000 baht (£60) per month for my old apartment which is about half the size of the living area in my new house. I think the lesson to be learnt from this is that if you are prepared to alter your expectations slightly then you can get a lot for your money. I think that an apartment is a better option for people who intend to only stay for a short amount and don't want to invest in household items which they will inevitably have to sell for a loss when they leave. 

The one downside to renting a house is that they typically come with no furniture whatsoever. It is possible to rent fully furnished houses but these tend to be VERY expensive. I was shown a fully furnished two bedroom house with modern amenities but the price was 12,000 baht per month. If you rent a house in Thailand with no furniture you will obviously need to make these purchases yourself. The good news is that furniture is quite reasonably priced. When I moved into this house the 'big ticket' items I purchased were

  • Bed (7,000 baht) including mattress
  • Fridge (5000 baht)
  • Sofa (3000 baht)
  • Various Tables (2000 baht) 

You can see that the process quickly becomes expensive which is why I would only recommend renting one of these unfurnished houses if you plan on staying here mid to long term. A two bedroom house can obviously be shared by two people which would cut these costs in half. I have lived with a couple of different people during my time here but now find it more comfortable to live alone and this still works out at a lot cheaper then my old apartment. Rent is payed monthly to the landlord and there is the usual two month deposit required at the beginning of the rental period. My landlord lives in a different province so I simply pay him via bank transfer each month. This suites me because I don't like the pressure of having to tidy in anticipation for his arrival. 

The costs described in this article relate to renting accommodation in the city of Trang. I know for a fact that if you rent outside of the city perhaps in one of the small towns in the province then the costs are even lower but the choices available will obviously be far fewer. I think the costs described here are fairly indicative of all of the southern provinces with the obvious exception of Phuket.

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