Phuket is not only the top visited destination for tourists in Thailand. It is also one of the best places for investors like yourself to put your money into. Because investment is a decision that requires careful consideration, let us walk you through why investing in Phuket is a great idea.
Phuket is a Good Business Hub
Right now, Phuket is silent as the country is under a lockdown. However, if you’ve stayed on the island before during your Thailand family vacation trips, you’ll know that Phuket is a major hub that you can do business in. There’s no shortage as to what you can sell or offer as a service to your fellow expats here in Thailand’s major island paradise.
Of course, if you’re going to be a businessman in Phuket, you’re going to need a roof over your head. In other words, you need a residential property like a Phuket villa to live in as your second home. Better yet, you could earn money from your property as well by subleasing it to a fellow expatriate if you’re not in Thailand most of the time.
With the demand for real estate expected to go up again by the time Thailand reopens for tourism in October, you’ll need to look at your options as early as now.
Low Property Rates
Its location in Southeast Asia ensures that Phuket, as well as all of Thailand, will offer lower and more affordable property rates for foreign investors.
Let’s compare Phuket to one of the most expensive cities to live in the world – New York. According to the website Properstar, Phuket’s properties are, at an average, valued at more than half of what real estate properties are in the Big Apple.
Additional comparisons from the website indicate that Phuket is lower than major European cities like Liverpool (25.28%) and Cologne (29.10%), and is also lower than that of Adelaide in Australia with 32.98% difference.
Properties in Thailand’s capital city Bangkok is also nearly 17% more expensive than options in Phuket.
Long Term Stability
When it comes to dealing with foreigners, Phuket’s real estate market exclusively deals in cash. Foreigners are, frankly speaking, high-risk borrowers. Thus, it only makes sense that, in order to ensure the stability of the market and prevent a mortgage crisis similar to 2008, foreigners are barred from purchasing properties through credit.
This reality makes sure that Phuket real estate properties are a long term investment. You can see value returning from your investment over a long period of time without worrying about bubbles popping and causing a worldwide crisis.
Early Bird Catches the Worm
Just like all forms of investment, putting money into real estate must be timely if you want to get more value of the purchase. The earlier you invest, the lower the investment value you have to cash in. When the value of the property increases over time, your returns would be higher than those who invested a bit later than you did.
If you’re thinking about long-term residence in Thailand, make sure that you have a non-immigrant visa with long-term validity. It’s time to think about the Thailand Elite visa application, which has a five-year validity and up to a year-long stay in the country without the exit requirements of regular tourist visas.