Consumer confidence rather than mortgage rejections is the biggest obstacle for the residential market, as more homebuyers have cancelled their purchases despite securing financing, according to SET-listed Sena Development.
Managing director Kessara Thanyalakpark said so-called "self-rejection" now accounts for around 50% of all failed property transfers, overtaking bank loan rejections, which represent 40%, while conventional buyer cancellations make up the remaining 10%.
"Unlike in the past, many buyers are cancelling purchases after viewing completed units, even though more than 90% of these homes are ready to move into and some buyers have already obtained mortgage approval," she said.
The trend reflects weak consumer confidence rather than financing constraints, as buyers are increasingly concerned about economic uncertainty and their long-term financial security, said Ms Kessara.
Many customers are worried about job stability, their ability to service a 30-year mortgage or changes in household finances, including co-borrowers withdrawing shortly before transfer, she noted.
"This phenomenon poses broader risks to the property sector because failed transfers reduce developers' cash flow, potentially affecting payments to contractors, suppliers and financial institutions," said Ms Kessara.
To address the issue, Sena revised some conditions of its rent-to-own programme Livnex, which allows buyers to live in a home and make monthly payments for up to three years before deciding whether to complete the purchase.
Originally designed for customers unable to obtain mortgages, the programme has been expanded to include buyers who remain uncertain about committing to homeownership amid economic volatility.
Monthly payments are set at levels comparable to rental costs, while instalments are deducted from the property's principal value. Buyers who decide not to proceed after three years can exit without penalties.
She said the scheme helps customers establish a stronger credit record while locking in current home prices. By the end of the three-year period, accumulated payments can reduce the effective purchase price by roughly 9%.
"We believe this approach is more effective than offering discounts because it directly addresses buyers' concerns rather than simply lowering prices," said Ms Kessara.
Since launching nearly three years ago, Livnex has accumulated 900-980 customers in its portfolio. A total of 187 buyers have successfully completed home transfers, while about 100 customers have exited the scheme.
This year marks the first batch of contracts to mature, with roughly 80 customers becoming eligible for unit transfers. Sena expects 400-500 units worth roughly 1 billion baht to be transferred to buyers by the end of the year.
"One remaining challenge is some participants maintained perfect payment records with us, but still failed to qualify for bank mortgages because their debt service ratio exceeds lending limits," she said.
The developer is working with banks to encourage greater recognition of customers' repayment history. When financing remains unavailable, eligible participants may extend the programme to a fourth year.
Given the uncertain market, Sena will continue to suspend new project launches this year and next, prioritising inventory management and financial strength.
The company holds 98 projects, including more than 10 billion baht worth of completed inventory and a 40-billion-baht development pipeline, sufficient to support annual sales of around 7 billion baht for five years.
"We aim to reduce our debt-to-equity ratio to 1 time from 1.2-1.3 times, and cut outstanding debentures from 10 billion baht to 6 billion, while expanding recurring income from green energy, electric vehicles, leasing and services," said Ms Kessara.
In the first quarter of 2026, revenue from the company's green business rose to 13% of total revenue from 4% a year earlier, while recurring income from rental and service businesses increased to 21% from 10%. The share of revenue generated from residential property development declined to 62% from 78%.
Rather than reducing headcount, Sena will continue to retrain employees, while strengthening asset management capabilities as completed inventory remains in stock for longer periods, she noted.
