Realty World Alliance (RWA), a leading property broker, is due to be the second firm to provide a home-swapping scheme, following the first, BCP Housing, the biggest listings holder for homes built by property developer Land & Houses.

Home-swapping schemes are designed to help a homeowner buy a new home more easily, while a property developer can sell an increased number of homes and financial institutions can lend more mortgages.

The broker will help home-owners sell their property, while securing them the home they

want and arranging a mortgage to provide the extra cash they may need.

"The company hopes to launch the home-swapping service in the third quarter," said an RWA senior manager.

BCP Housing launched its scheme early last month and claims it is enjoying favourable feedback.

BCP managing director Somsak Chutisilp said there have been about 16 homeowners interested in the home-swapping service, of which 11 are ready to sell their homes. One transaction has been completed and more are expected, he said.

Under the home-swapping service provided by BCP Housing, any homeowner can sell their home through the company and exchange it for a new home in a Wang Thong Group housing project.

Meanwhile, the homeowners will receive a mortgage from Siam Commercial Bank.

Somsak said for the initial stage there were now two property developers, Wang Thong Group and NC Housing, joining the scheme.

The RWA source said its home-swapping scheme would be different from BCP Housing, although it would follow the same concept with participation from property developers, mortgage lenders and property brokers.

RWA expects two property developers and a commercial bank to join its home-swapping scheme.

Somsak said the company's sales in the first two months were better than those of last year, growing by 30 to 40 per cent year on year, due mainly to a drive from home fairs. Sales started to slow in March because of political tensions, he said.

Currently, BCP has 1, 300 property listings worth Bt8.9 billion, half of which are detached

houses.

Last year, BCP posted Bt1.07 billion in sales, up 20 per cent from 2004 and this year the company expects to generate Bt1.2 billion in sales, although the political turmoil might force it to lower its target.

RWA claimed it had been only marginally affected by the political crisis in the first quarter. The company expects Bt3 billion in sales this year, up from Bt2.04 billion last year. It has about 3,200 property listings, 25 per cent of which are detached houses.

The home market, excluding new builds, was valued at Bt70 billion last year, up 10 per cent on 2004, and RWA expects the market's value this year to jump to Bt84 billion. 

Sasithorn Ongdee

The Nation