Rental Yields, Capital Gains, and Buyer Trends in 2025

Phuket’s property market has continued its upward trend, driven by
international demand, limited supply, and strong tourism fundamentals.

Rental Yields

Typical rental yields:

• Condominiums: 5 to 7 percent
• Resort-managed condos: 7 to 12 percent
• Villa rentals: 8 to 14 percent

Turn-key villas and hotel-managed units consistently outperform because of:

• Higher nightly rates
• Better guest experience
• Stronger occupancy

Capital Gain Trends

Over the last 20 years, Phuket land prices have increased by over 600 percent,
averaging around 10 percent per year.

Villa and resort-style apartments (hotel rooms) in high demand areas like Bang
Tao, Cherng Talay, Rawai, Kata, and Surin continue to appreciate due to:

• Limited building land
• Ongoing infrastructure development
• Strong foreign buyer demand
• Rising construction costs

Buyer Segments Driving the Market

• Cashflow investors
• Capital gain long-horizon investors
• Lifestyle relocators
• Holiday home buyers
• Retirees
• Digital nomads

Each group contributes to a dynamic, resilient market with strong upside
potential.