As far as investing goes the highest priority is intrinsic market stability and tenacity against external economic fluctuations. Phuket ticks all of the right boxes on that score. The island has developed its appeal for investors by having gone through the notorious Asian economic crisis in the late 1990’s and come out of it relatively unscathed. Such effects as it endured were rather superficial.
Property values in Phuket remained strong throughout that troublesome economic episode, despite the fact that Thailand property prices in general were going through a momentous downswing. Even after the tragic 2004 Indian Ocean tsunami, which caused the loss of thousands of lives and billions in damages, following an initial, rather swift shock, property prices have continued to rise roughly 20% per year for the last five years.
The Islands has developed its appeal for investors by having gone through the notorious Asian economic crisis in the late 1990’s and come out of it relatively unscathed.
It is expected that Phuket property prices should remain on a rising trend at a similar growth rate, if not higher, well into the foreseeable future. Also factored into Phuket property market strength is the governments retirement visa program that came into effect during the last decade, which made possible the issuance of permanent residence visas for foreigners over 50 years of age, even if they are still working in their home countries. The enacted law has opened up Thailands welcome door to retirees from Europe and North America, As a result, it has generated a massive influx of property demand from buyers around the globe.
One the rental side of the scale, it is predicted that returns will also remain on an upswing, Rental condominiums and villas should keep enjoying constant high demand as more retirees from Europe flock to Southeast Asian countries for more affordable retirement and high living standards, Incidentally, as Phuket is now one of the world’s top destinations, more vacationers are visiting the island and some are opting for the privacy of a rental property over a hotel room, especially among upper-end vacationers. With the annual visitor arrival number at around 5 million and forecast to keep growing steadily, there is definitely more room for holiday rental demand to grow.
Compared to Europe and America, or even other established Asian cities the region like Singapore and Hong Kong, Phuket presents a more sensible option for retirees and vacationers due to the lower costs of property and living. Most prominently, what Phuket has – tropical landscapes to die for, year-round warm weather and plenty of outdoors activities to keep anyone out of the daily doldrums – no other city in the region can match. It all leads to only one conclusion – demand for property and real estate market growth in Phuket are not going to slow down any time soon. Beyond doubt, Phuket has become one of the worlds leading and most stable property markets.