Authored by the expert who managed and guided the team behind the Thailand Property Pack
Everything you need to know before buying real estate is included in our Thailand Property Pack
Thailand's property market in late 2025 shows stabilizing prices after recent volatility, with strong fundamentals supporting investor confidence.
Bangkok leads with luxury condo prices reaching THB 300,000 per sqm, while secondary cities like Chiang Mai and Pattaya offer attractive entry points with yields of 6-8%. Foreign buyers, particularly from China and Myanmar, continue driving 29% of transaction value despite baht strength challenges.
If you want to go deeper, you can check our pack of documents related to the real estate market in Thailand, based on reliable facts and data, not opinions or rumors.
Property prices across Thailand's major cities are stabilizing with Bangkok leading at THB 120,000-300,000 per sqm, while provincial markets offer better value and yields.
Foreign demand remains strong at 18% of condo transfers, with China dominating purchases despite baht strength creating affordability challenges for some buyers.
| City | Average Condo Price (THB/sqm) | Rental Yield Range | Foreign Buyer Activity | Market Outlook |
|---|---|---|---|---|
| Bangkok | 120,000-300,000 | 5.5%-8.5% | High (CBD focus) | Stable growth |
| Chiang Mai | 48,000-115,000 | 4%-7% | Moderate (expat driven) | Steady demand |
| Phuket | 150,000-180,000 | 6%-8%+ | Very High (tourism/investment) | Strong appreciation |
| Pattaya | 80,000-120,000 | 6%-8% | High (investor friendly) | Mild appreciation |
| Secondary Cities | 35,000-70,000 | 7%-10% | Emerging interest | Value opportunity |
Fact-checked and reviewed by our local expert
Attaya Suriyawonghae 🇹🇭
Real Estate Broker, Zest Real Estate
What are current property prices in Bangkok, Chiang Mai, Phuket and Pattaya?
Property prices across Thailand's major cities are showing different patterns as of September 2025.
Bangkok leads with the highest prices, where new condos average THB 120,000-150,000 per sqm in suburban areas and reach THB 242,000 per sqm in the central business district. Luxury projects now surpass THB 300,000 per sqm, with two-bedroom CBD condos costing around THB 11 million.
Chiang Mai offers more affordable options with condos ranging THB 48,000-115,000 per sqm and houses averaging THB 25,000-43,000 per sqm. Prime locations like Nimman and the Old City command the highest premiums within these ranges.
Phuket targets the luxury segment with sea-view condos fetching THB 150,000-180,000 per sqm, while two-bedroom units are listed around USD 296,134. Detached villas still offer relatively good value compared to condos.
Pattaya presents competitive pricing with villas ranging USD 150,000-250,000 and condos from USD 69,305 for studios up to USD 178,311 for two-bedroom units.
What rental yields can investors expect in Thailand's main cities?
Rental yields in Thailand's major cities remain attractive for investors, ranging between 5% and 8% depending on location and property type.
| City | Typical Gross Yield | Prime/Resort Areas | Best Performing Segments |
|---|---|---|---|
| Bangkok | 5.5%-8.5% | 4%-7% | Studios and suburban 1-bedroom units |
| Chiang Mai | 4%-7% | 5%-7% | Long-term expat and retiree rentals |
| Phuket | 6%-8%+ (short-term) | 3%-5% (luxury) | Tourist areas with short-term rentals |
| Pattaya | 6%-8% (Jomtien) | 4%-7% elsewhere | Properties near beaches and entertainment |
| Secondary Cities | 7%-10% | 6%-8% | University towns and emerging destinations |
Which nationalities are driving foreign buyer demand in Thailand?
Foreign buyers account for 18% of condo unit transfers and 29% of total transaction value in Q1 2025.
Chinese investors dominate the market with 38% of foreign purchases, focusing on both luxury and mid-market segments across all major cities. Myanmar buyers represent 11% of foreign transactions, while Russian investors hold 7% market share, particularly active in Phuket and Pattaya resort areas.
Taiwan, France, the United States, United Kingdom, and Germany round out the top purchasing nationalities. Emerging buyer groups from other Asian countries and European nations are increasingly active in Phuket and Chiang Mai markets.
The demand pattern shows Chinese buyers preferring Bangkok luxury condos and Phuket sea-view properties, while Myanmar investors focus on mid-market Bangkok units. Russian buyers concentrate on Phuket and Pattaya vacation properties and rental investments.
It's something we develop in our Thailand property pack.
How is the Thai baht affecting property costs for overseas buyers?
The strong Thai baht is creating significant headwinds for foreign property buyers as of September 2025.
Japanese buyers face the biggest impact, with property costs rising nearly 30% in yen terms since 2021 due to the yen's weakness against the baht. This has dramatically reduced Japanese buyer activity in what was previously a strong market segment.
Dollar and euro buyers find Thai real estate less of a bargain compared to previous years, though properties remain attractive relative to home country prices. The baht strength is shifting foreign demand toward lower-priced segments and secondary cities where better value can be found.
Buyers from countries with weaker currencies against the baht are particularly affected, leading to a rotation in foreign buyer composition toward those with stronger home currencies or existing baht holdings.
Currency hedging strategies and timing purchases during baht weakness windows have become more important considerations for international investors.
Don't lose money on your property in Thailand
100% of people who have lost money there have spent less than 1 hour researching the market. We have reviewed everything there is to know. Grab our guide now.
What government policies are shaping Thailand's housing market this year?
Several government policies are actively influencing Thailand's residential property market in 2025.
The government has implemented stimulus measures including reduced transfer fees and 100% loan-to-value mortgage offers on properties under THB 7 million to boost local buyer activity. These measures are particularly targeting first-time homebuyers and mid-market segments.
Foreign ownership regulations remain unchanged with the 49% foreign quota for condominiums still in effect, though legislative proposals to raise this to 75% and allow longer lease terms are under consideration but not yet passed.
New construction standards following recent seismic activity are being implemented, potentially adding 8-15% to construction costs but improving building safety and long-term value protection.
Foreigners continue to face restrictions on direct land ownership, with long-term leases (30 years, sometimes stackable) remaining the primary route for landed property acquisition.
How many new projects are launching and in which regions?
New residential project launches are concentrated in Bangkok and major tourist destinations as of September 2025.
Bangkok saw 27 new residential projects totaling 1,927 units worth THB 31 billion launched in May alone, with developers focusing on detached homes and affordable condos to meet local demand. The capital continues to attract the largest share of new development due to population density and economic activity.
Provincial markets including Phuket, Pattaya, and Chiang Mai are experiencing moderate new condo launches specifically targeting the rental and foreign investment markets. These projects often feature resort-style amenities and short-term rental capabilities.
Secondary cities are seeing emerging development activity as developers seek value opportunities and target growing expat communities, particularly in university towns and emerging tourist destinations.
The development pipeline shows continued emphasis on condo projects over landed houses, reflecting land scarcity in prime urban areas and foreign buyer preferences.
What are current occupancy rates for condos and serviced apartments?
Occupancy rates across Thailand's major urban areas show strong performance in prime locations as of September 2025.
Bangkok and Phuket prime areas maintain occupancy rates of 85-90% for quality serviced apartments, reflecting strong demand from business travelers, expats, and short-term residents. Secondary locations within these cities show somewhat lower occupancy but remain stable.
Chiang Mai and Pattaya demonstrate stable long-term occupancy supported by expat communities and digital nomads who prefer longer-term arrangements. The growing remote work trend is particularly benefiting these markets.
Tourist-focused serviced apartments in resort areas achieve higher occupancy during peak seasons but experience seasonal variations that affect annual averages.
Quality and location remain the primary drivers of occupancy success, with well-managed properties in prime locations significantly outperforming average market metrics.
How quickly are properties selling and what's the typical market time?
Property sales velocity varies significantly by market segment and location across Thailand.
Mid-market condos show slow absorption rates of less than 8% per month, indicating a buyer's market with extended decision timeframes. These properties typically remain on the market for 6-12 months depending on pricing and location.
Luxury segments and prime locations see faster turnover, with some new launches achieving 30%+ sales rates within the first few months of marketing. Premium properties in Bangkok CBD and Phuket beachfront locations move most quickly.
Price-competitive properties and those offering strong rental yields attract faster buyer interest, particularly from investors seeking immediate income generation.
The overall market shows a bifurcation between premium properties that sell quickly at full price and mid-market units that require more time and often price adjustments to attract buyers.
We did some research and made this infographic to help you quickly compare rental yields of the major cities in Thailand versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.
Which infrastructure projects will impact property values?
Major infrastructure developments across Thailand are creating significant property value opportunities.
1. **Mass Transit Expansions**: BTS and MRT extensions in Bangkok, particularly to Rama 9 and On Nut areas, are raising property values near new stations by 15-25%. Properties within 500 meters of new stations show the strongest appreciation.2. **Light Rail Projects**: Chiang Mai's planned light rail and improved transit connections are boosting property interest in previously less accessible areas of the city.3. **Airport Expansions**: Major upgrades to Phuket International Airport, U-Tapao Airport near Pattaya, and Chiang Mai Airport are increasing accessibility and supporting mid to long-term residential value growth.4. **Highway Improvements**: New expressway connections and highway upgrades are making previously remote areas more accessible, creating new development opportunities.5. **Smart City Initiatives**: Government investment in digital infrastructure and smart city development is attracting tech workers and supporting residential demand in participating cities.How do current mortgage rates compare to recent years?
Mortgage lending conditions in Thailand have evolved significantly compared to the past two years.
Interest rates remain relatively steady compared to 2023 levels as the Bank of Thailand maintains its policy rate, but banks have become more selective in their lending criteria. Lenders now enforce stricter debt-to-income ratios and require larger down payments for many borrowers.
The lending environment became notably harder from late 2023, but recent government stimulus including loan-to-value relaxation and transfer fee reductions is helping select market segments access financing more easily.
Foreign buyers continue to face limited mortgage options, with most requiring substantial down payments of 50-70% and demonstrating strong income sources from their home countries.
Local buyers benefit from government-backed programs offering favorable terms on properties under THB 7 million, making homeownership more accessible for first-time buyers and middle-income families.
What are resale trends for condos versus houses across provinces?
Resale market performance shows clear differences between property types and locations across Thailand.
Bangkok condos demonstrate modest annual appreciation of 2-4% except for luxury projects which command premium resale values. The large supply of similar units in many developments creates competitive resale conditions.
Landed houses show stronger appreciation of 4-7% where land is scarce, particularly in established neighborhoods with good infrastructure access. New construction increasingly focuses on earthquake resistance, adding value to newer builds.
Chiang Mai houses maintain flat pricing but underlying land values are appreciating rapidly, especially in central districts where development opportunities are limited.
Provincial markets generally favor houses over condos for resale appreciation, as land scarcity and local buyer preferences support house values more strongly than condo investments.
It's something we develop in our Thailand property pack.
How are tourism and visa policies affecting rental demand?
Tourism recovery and favorable visa policies are driving strong rental demand across Thailand's major markets.
Tourism is approaching pre-pandemic levels with projections of 40+ million arrivals in 2025, creating robust short-term rental demand especially in Phuket, Pattaya, and Chiang Mai. This recovery is supporting rental yields of 8-10% in some prime tourist-focused projects.
Visa-free entry for 93 countries is supporting strong foreign renter pools, particularly benefiting long-term rental markets as retirees and digital nomads choose Thailand for extended stays. This policy change has notably increased occupancy rates in expatriate-preferred neighborhoods.
The combination of tourism recovery and visa liberalization is creating dual demand streams - short-term vacation rentals and long-term expat housing - providing investors with flexible rental strategies depending on property type and location.
Digital nomad visas and retirement visa programs continue attracting international residents who prefer quality rental accommodations over property ownership, supporting steady rental income for investors.
It's something we develop in our Thailand property pack.
Conclusion
This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.
Thailand's property market in September 2025 presents a landscape of opportunity and caution for potential investors and residents.
While price stabilization and strong rental yields offer attractive fundamentals, the strong baht and selective lending environment require careful consideration of timing and financing strategies for international buyers.
Sources
- Bangkok Post - Thai property market reaches bottom in August
- Agent Condo - Bangkok property prices 2025 outlook
- BambooRoutes - Chiang Mai Property Market
- Phuket Buy House - Property prices 2025
- Pattaya Property - Property prices by area
- Fazwaz - Rental yields in Thailand's real estate
- Global Property Guide - Thailand rental yields
- Bangkok Post - Foreign demand trends
- RE/MAX Thailand Market Report 2025
- Mercury Estate - Baht impact on real estate investments