Authored by the expert who managed and guided the team behind the Thailand Property Pack
Yes, the analysis of Phuket's property market is included in our pack
Phuket behaves like several rental markets stitched together, each with its own yield profile depending on whether you're looking at the luxury west coast, tourism hotspots, or local-demand neighborhoods.
We constantly update this blog post so the numbers you see here reflect the latest data available as of early 2026.
And if you're planning to buy a property in this place, you may want to download our pack covering the real estate market in Phuket.
Fact-checked and reviewed by our local expert
Attaya Suriyawonghae 🇹🇭
Real Estate Broker, Zest Real Estate
What are the rental yields in Phuket as of 2026?
What's the average gross rental yield in Phuket as of 2026?
As of early 2026, the estimated average gross rental yield across all residential property types in Phuket sits at around 6.8%, which is what a typical landlord can expect before deducting any operating expenses.
Most standard residential properties in Phuket fall within a gross yield range of 5.5% to 8.5%, with the lower end reflecting premium lifestyle locations like Laguna and the upper end representing practical, year-round demand areas like Kathu or Phuket Town.
Compared to broader Thailand benchmarks, Phuket's average gross yield remains attractive because the island benefits from strong tourism flows and a sizable expat population that keeps rental demand elevated throughout the year.
The single most important factor shaping gross yields in Phuket right now is micro-location, as the gap between luxury west coast pricing and practical local-demand zones creates dramatic differences in what rents can realistically achieve relative to purchase prices.
What's the average net rental yield in Phuket as of 2026?
As of early 2026, the estimated average net rental yield in Phuket across all property types is approximately 4.8%, which is what remains after accounting for vacancy, maintenance, management fees, and taxes.
The typical gap between gross and net yields in Phuket runs around 2 percentage points, meaning landlords should expect to lose roughly a quarter to a third of their gross rental income to operating costs.
The expense category that most significantly reduces gross yield in Phuket is the vacancy and turnover buffer, which commonly represents 1 to 2 months of lost rent per year, especially in areas with strong seasonal demand patterns like Patong or Kamala.
Realistic net yields for most investment properties in Phuket fall between 3.8% and 6.2%, with the range driven by how well you manage maintenance costs, how much vacancy you experience, and whether you use professional property management.
By the way, you will find much more detailed rent ranges in our property pack covering the real estate market in Phuket.
We made this infographic to show you how property prices in Thailand compare to other big cities across the region. It breaks down the average price per square meter in city centers, so you can see how cities stack up. It’s an easy way to spot where you might get the best value for your money. We hope you like it.
What yield is considered "good" in Phuket in 2026?
In early 2026, a gross rental yield of around 6% to 8% is generally considered "good" by investors looking at Phuket residential property, as this range offers a solid balance between rental income and manageable risk.
The threshold that separates average-performing properties from high-performing ones in Phuket typically falls around 8% gross, and anything above that level usually requires either sharp buying, an unusually strong micro-location, or more hands-on rental operations like mid-term lets.
How much do yields vary by neighborhood in Phuket as of 2026?
As of early 2026, the spread in gross rental yields between the highest-yield and lowest-yield neighborhoods in Phuket commonly reaches 2 to 5 percentage points, which is a significant gap for investors to navigate.
The neighborhoods that typically deliver the highest rental yields in Phuket are practical, year-round demand zones like Phuket Town, Kathu, Wichit, and Chalong, where local professionals, families, and long-stay expats create steady tenant pools.
Conversely, the lowest-yield areas tend to be premium luxury locations like Laguna, Bang Tao's prime pockets, Layan, Naithon, and Cape Yamu, where high property prices are simply not matched by proportionally higher rents.
The main reason yields vary so much across Phuket neighborhoods is that capital values in lifestyle and luxury zones get bid up by amenity premiums and land scarcity, while long-term rents have natural ceilings set by what tenants can actually afford to pay.
By the way, we've written a blog article detailing what are the current best areas to invest in property in Phuket.
How much do yields vary by property type in Phuket as of 2026?
As of early 2026, gross rental yields in Phuket range from around 4.5% to 9% depending on property type, with condos and townhouses generally clustering at the higher end and large villas showing the widest variation.
Smaller condos and compact townhouses currently deliver the highest average gross rental yields in Phuket, typically ranging from 6% to 9%, because they have lower maintenance costs and appeal to a broader pool of tenants.
Large villas tend to deliver the lowest and most unpredictable gross yields in Phuket, often falling between 4.5% and 8%, since pool upkeep, garden maintenance, and a narrower tenant market can compress returns significantly.
The key reason yields differ between property types in Phuket is that purchase prices scale up faster than achievable rents as properties get larger, so the math simply favors smaller, more efficient units for yield-focused investors.
By the way, you might want to read the following:
- What rental yields can you expect for an apartment in Phuket?
- What rental yields can you expect for a villa in Phuket?
- What rental yields can you expect for a condo in Phuket?
What's the typical vacancy rate in Phuket as of 2026?
As of early 2026, the estimated average residential vacancy rate for long-term rentals across Phuket sits between 7% and 10%, which translates to roughly one month empty per year for most properties.
Vacancy rates across Phuket neighborhoods range from as low as 4% in stable local-demand areas like Phuket Town and Kathu to as high as 14% in highly seasonal or ultra-luxury pockets with smaller tenant pools.
The main factor currently driving vacancy rates in Phuket is seasonality, as the island's tourism-linked economy means some beachfront areas experience pronounced high and low seasons that affect how quickly units re-let.
Compared to Thailand's national averages, Phuket's vacancy rates are slightly elevated because the island has substantial new supply coming online and a rental market that depends more heavily on transient expat and tourist-linked demand.
Finally please note that you will have all the indicators you need in our property pack covering the real estate market in Phuket.
What's the rent-to-price ratio in Phuket as of 2026?
As of early 2026, the average monthly rent-to-price ratio in Phuket sits at approximately 0.57%, meaning landlords typically collect around 0.57% of their property's purchase price each month in rent.
A monthly rent-to-price ratio above 0.5% is generally considered favorable for buy-to-let investors in Phuket, and this ratio connects directly to gross yield since multiplying it by 12 gives you the annual gross yield percentage.
Phuket's rent-to-price ratio compares favorably to many Southeast Asian resort destinations, though it falls below what you might find in less tourism-dependent Thai cities where property prices have not been bid up by lifestyle demand.
We have made this infographic to give you a quick and clear snapshot of the property market in Thailand. It highlights key facts like rental prices, yields, and property costs both in city centers and outside, so you can easily compare opportunities. We’ve done some research and also included useful insights about the country’s economy, like GDP, population, and interest rates, to help you understand the bigger picture.
Which neighborhoods and micro-areas in Phuket give the best yields as of 2026?
Where are the highest-yield areas in Phuket as of 2026?
As of early 2026, the top three highest-yield neighborhoods in Phuket are Phuket Town (including Old Town, Ratsada, and Wichit), Kathu, and Chalong, all of which benefit from strong year-round local and expat tenant demand.
These high-yield areas in Phuket typically deliver gross rental yields ranging from 6.5% to 9%, with Kathu and Phuket Town often reaching the upper end thanks to proximity to jobs, hospitals, schools, and universities.
The main characteristic these high-yield Phuket neighborhoods share is that they serve practical, everyday needs rather than tourism or lifestyle amenities, which keeps purchase prices reasonable while maintaining steady rental demand throughout the year.
You'll find a much more detailed analysis of the areas with high profitability potential in our property pack covering the real estate market in Phuket.
Where are the lowest-yield areas in Phuket as of 2026?
As of early 2026, the three lowest-yield neighborhoods in Phuket are Laguna and Bang Tao's prime sections, Layan and Naithon, and Cape Yamu, all of which are characterized by luxury positioning and limited land availability.
These low-yield Phuket areas typically deliver gross rental yields ranging from just 3% to 6%, which reflects the premium pricing that lifestyle buyers are willing to pay for beach access, resort amenities, and sea views.
The main reason yields are compressed in these Phuket neighborhoods is that property prices get bid up by capital appreciation expectations and lifestyle value, while long-term rents cannot rise proportionally because tenants have budget limits regardless of how nice the view is.
Buying a property in a low-yield area is one of the mistakes we cover in our list of risks and pitfalls people face when buying property in Phuket.
Which areas have the lowest vacancy in Phuket as of 2026?
As of early 2026, the three neighborhoods with the lowest residential vacancy rates in Phuket are Phuket Town and Wichit, Kathu, and Chalong, all of which benefit from stable, non-seasonal tenant demand tied to local employment.
These low-vacancy Phuket areas typically see vacancy rates between 4% and 8%, which means landlords can expect their properties to sit empty for less than one month per year on average.
The main demand driver keeping vacancy low in these Phuket areas is the concentration of local employment, schools, hospitals, and everyday services, which creates a pool of tenants who need housing regardless of tourist seasons.
The trade-off investors typically face when targeting these low-vacancy areas is that rental rates tend to be lower than in premium beach locations, so while you have more consistent occupancy, your absolute rental income per month may be more modest.
Which areas have the most renter demand in Phuket right now?
The three neighborhoods currently experiencing the strongest renter demand in Phuket are Rawai and Nai Harn for long-stay expats, Cherng Talay and Bang Tao for lifestyle renters, and Phuket Town for local professionals and families.
The type of renter driving most demand in these Phuket areas varies by location: remote workers and retirees dominate in Rawai, young professionals and digital nomads favor the Cherng Talay area, while Thai families and hospital workers fill units in Phuket Town.
In these high-demand Phuket neighborhoods, well-priced rental listings typically get filled within 2 to 4 weeks, though premium units in Cherng Talay can lease even faster during high season when demand peaks.
If you want to optimize your cashflow, you can read our complete guide on how to buy and rent out in Phuket.
Which upcoming projects could boost rents and rental yields in Phuket as of 2026?
As of early 2026, the top infrastructure projects expected to boost rents in Phuket are the Phuket Airport capacity expansion by AOT, ongoing road improvements in central corridors, and phased public transit development that will eventually improve island connectivity.
The Phuket neighborhoods most likely to benefit from these projects include Mai Khao, Nai Yang, and Thalang near the airport expansion, plus west coast areas like Cherng Talay that will see improved access once transit corridors are upgraded.
Investors might realistically expect rent increases of 5% to 15% in well-positioned corridors once these projects are completed, though the mass transit timeline remains politically staged so it is wise to focus on areas already benefiting from initial road improvements rather than pricing in full tram completion.
You'll find our latest property market analysis about Phuket here.
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What property type should I buy for renting in Phuket as of 2026?
Between studios and larger units in Phuket, which performs best in 2026?
As of early 2026, studios and one-bedroom units generally outperform larger units in Phuket in terms of rental yield and occupancy, mainly because they attract the widest pool of tenants including singles, couples, and remote workers.
Studios and one-bedrooms in Phuket typically deliver gross yields of 6.5% to 8.5% (around THB 8,000 to 25,000 per month, or USD 230 to 720, or EUR 210 to 660), while larger two or three-bedroom units often fall into the 5% to 7% range because their higher purchase prices are not matched by proportionally higher rents.
The main factor explaining this performance gap in Phuket is that purchase prices scale up faster than achievable rents as unit size increases, so you pay more per square meter but cannot charge proportionally more rent to tenants.
However, larger units can be the better investment choice in Phuket if you target family renters near international schools or long-stay expats in areas like Chalong and Kathu, where two or three-bedroom houses fill a specific demand gap that smaller units cannot serve.
What property types are in most demand in Phuket as of 2026?
As of early 2026, the most in-demand property type for renters in Phuket is the one-bedroom condo in lifestyle hubs like Cherng Talay and Rawai, which appeals to the island's large population of remote workers and long-stay expats.
The top three property types ranked by current tenant demand in Phuket are one-bedroom condos in lifestyle areas, two to three-bedroom houses or townhouses near schools and services, and compact villas in established expat neighborhoods like Rawai and Chalong.
The primary trend driving this demand pattern in Phuket is the island's growing population of digital nomads and semi-retired expats who want affordable, low-maintenance units with access to cafes, coworking spaces, and beaches.
One property type currently underperforming in demand in Phuket is the large luxury villa in ultra-premium locations like Cape Yamu, where the tenant pool is very narrow and units can sit vacant for extended periods between high-net-worth renters.
What unit size has the best yield per m² in Phuket as of 2026?
As of early 2026, the unit size range that delivers the best gross rental yield per square meter in Phuket is typically 30 to 50 square meters, which corresponds to studio and one-bedroom layouts in well-located condos.
These optimal-sized units in Phuket typically achieve gross yields of around 7% to 8.5% per square meter (with monthly rents of approximately THB 300 to 500 per sqm, or USD 8.50 to 14.50, or EUR 7.80 to 13.30 per sqm).
The main reason smaller units outperform on yield per square meter in Phuket is that tenants pay a premium for well-located, functional space rather than extra rooms, while larger units spread their rent across more square meters and dilute the per-meter return.
By the way, we also have a blog article detailing whether owning an Airbnb rental is profitable in Phuket.
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.
What costs cut my net yield in Phuket as of 2026?
What are typical property taxes and recurring local fees in Phuket as of 2026?
As of early 2026, the annual property tax for a typical rental apartment in Phuket is usually quite modest, often ranging from THB 2,000 to 10,000 per year (around USD 55 to 290, or EUR 50 to 265), depending on the government-appraised value and use classification.
Beyond property tax, Phuket landlords must budget for recurring common-area fees in condos (typically THB 30 to 80 per square meter per month, or USD 0.85 to 2.30, or EUR 0.80 to 2.10) and estate maintenance fees for villa communities, which can add THB 3,000 to 15,000 monthly.
These taxes and recurring fees typically represent around 0.5% to 1.5% of gross rental income in Phuket, making them a smaller drag on net yield compared to vacancy and maintenance costs, which usually have a bigger impact.
By the way, we cover all the hidden fees and taxes in our property pack covering the real estate market in Phuket.
What insurance, maintenance, and annual repair costs should landlords budget in Phuket right now?
Annual landlord insurance for a typical rental property in Phuket costs approximately THB 5,000 to 15,000 per year (around USD 145 to 430, or EUR 130 to 400), covering basic building and contents protection.
The recommended annual maintenance and repair budget in Phuket is around 0.5% to 1% of property value for condos (THB 25,000 to 100,000, or USD 720 to 2,900, or EUR 660 to 2,650) and 1% to 2% for villas with pools and gardens, which require more upkeep.
The repair expense that most commonly catches Phuket landlords off guard is air conditioning maintenance and replacement, as the island's heat, humidity, and salt air (especially near the coast) cause AC units to degrade faster than in inland locations.
The total combined annual cost Phuket landlords should realistically budget for insurance, maintenance, and repairs ranges from THB 30,000 to 150,000 (around USD 860 to 4,300, or EUR 790 to 3,970) depending on property type and condition.
Which utilities do landlords typically pay, and what do they cost in Phuket right now?
For standard 12-month leases in Phuket, tenants typically pay electricity and water directly, while landlords usually cover common-area fees, building insurance, and sometimes internet if marketing an "all-inclusive" furnished rental.
When Phuket landlords do cover utilities in mid-term or serviced rentals, the estimated monthly cost runs around THB 2,500 to 6,000 (approximately USD 70 to 170, or EUR 65 to 160) for a typical one-bedroom unit, with electricity being the largest component due to air conditioning usage.
What does full-service property management cost, including leasing, in Phuket as of 2026?
As of early 2026, full-service property management in Phuket typically costs 8% to 12% of collected rent (around THB 1,500 to 5,000 per month, or USD 43 to 145, or EUR 40 to 130 for a typical rental), with higher percentages for more hands-on or mid-term rental arrangements.
The typical leasing or tenant-placement fee in Phuket is around one month's rent for a 12-month lease (THB 15,000 to 40,000, or USD 430 to 1,150, or EUR 400 to 1,060 for a typical unit), with smaller fees commonly charged for lease renewals.
What's a realistic vacancy buffer in Phuket as of 2026?
As of early 2026, Phuket landlords should set aside approximately 8% to 12% of annual rental income as a vacancy buffer, which accounts for the time between tenants and any seasonal demand fluctuations on the island.
This buffer translates to roughly 4 to 6 weeks of vacancy per year for most Phuket rental properties, though well-located units in practical demand zones like Kathu or Phuket Town may experience as little as 2 to 3 weeks empty annually.
Buying real estate in Phuket can be risky
An increasing number of foreign investors are showing interest. However, 90% of them will make mistakes. Avoid the pitfalls with our comprehensive guide.
What sources have we used to write this blog article?
Whether it's in our blog articles or the market analyses included in our property pack about Phuket, we always rely on the strongest methodology we can and we don't throw out numbers at random.
We also aim to be fully transparent, so below we've listed the authoritative sources we used, and explained how we used them and the methods behind our estimates.
| Source | Why it's authoritative | How we used it |
|---|---|---|
| Bank of Thailand (BOT) RPPI Data | It's Thailand's central bank, and it publishes official housing price indices with a clearly stated methodology. | We used it to anchor how Thailand-wide and "South region" housing prices were moving into late 2025. We used that as a reality-check so our Phuket yield estimates don't assume prices are flat when the broader index shows movement. |
| BOT RPPI Technical Paper | It's the official technical note explaining exactly how BOT builds its house price indices. | We used it to explain what "quality-adjusted" price indices mean and why we trust them for trend context. We also used it to avoid mixing incomparable price series when triangulating Phuket prices. |
| C9 Hotelworks Phuket Property Market Update (May 2025) | C9 Hotelworks is a long-established hospitality-and-real-estate research firm that publishes data-led Phuket market reports. | We used it for Phuket-specific price indicators like condo and landed median price per sqm and for the island's supply mix by submarket. We used those price benchmarks as the "P" in rent divided by price yield calculations across neighborhoods. |
| CBRE Thailand Phuket Overall Figures H1 2025 | CBRE is a global real estate consultancy with a large Thailand research team and consistent market coverage. | We used it to ground the market narrative including launch activity, where supply is concentrated, and tourism and airport flows. We used it to sanity-check that our yield ranges match a market where demand drivers are still strong. |
| Knight Frank Thailand Phuket Villa and Condominium Market 2024 Year-End | Knight Frank is a major global consultancy and its Thailand research team publishes structured, survey-based reports. | We used it to identify the common property types and the specific Phuket micro-areas that dominate demand. We used its area list to make neighborhood yield examples concrete rather than generic. |
| Bangkok Post "Phuket posts over 10% rental yield" | It's a major national newspaper, and here it clearly frames yield claims tied to the market boom and professional commentary. | We used it to benchmark what the market claims at the high end, often including short-stay style income. We then adjusted to a more typical long-term landlord view to produce a realistic blended yield range for residential rentals. |
| Thailand Fiscal Policy Office Land and Buildings Tax Act | It's a government fiscal authority hosting the English text and translation of the actual tax law. | We used it to describe what property tax exists in Thailand and why it's usually a smaller line item than maintenance or vacancy for landlords. We used it as the legal base when estimating ongoing local tax drag on net yields. |
| Thailand.go.th 2023-2026 Appraisal Values Note | It's an official government portal that explains how appraisal values feed into fees and the land and building tax base. | We used it to explain in plain language why assessed and appraisal values matter for taxes and transfer fees. We used it to keep our annual tax estimates consistent with how Thailand actually calculates the base. |
| Thailand Revenue Department Personal Income Tax | It's the official tax authority website explaining filing obligations and taxpayer rules. | We used it to explain that rental income is taxed under Thailand's personal income tax system. We used it to keep the net yield section honest because taxes can vary a lot by owner situation. |
| PEA (Provincial Electricity Authority) Ft Tariff Page | It's the official electricity utility for most provinces, and it publishes the Ft periods including January to April 2026. | We used it to describe how Thailand electricity bills move over time, which is important if landlords include utilities. We used it to set a realistic utilities risk note for furnished rentals where owners sometimes cover some bills. |
| PWA (Provincial Waterworks Authority) Tariff Table | It's the official water utility and this page includes the Phuket branch tariff table. | We used it to show that water is usually a smaller bill than electricity but still predictable and tariff-based. We used it to estimate monthly utility pass-throughs when landlords pay utilities in short or mid-term rentals. |
| PWA English Tariff Table | Same utility, just the English access path that helps non-Thai readers verify the tariff structure. | We used it as a second verification route so readers can cross-check the tariff categories more easily. We used it to support the utilities section without relying on informal blogs. |
| Bangkok Post "AOT eyes Phuket airport upgrade" | It's a major national newspaper reporting on Airports of Thailand's planned capacity expansion. | We used it to explain why certain airport-access corridors like north and central west can see durable rental demand. We used it to support the upcoming projects discussion tied to real transport capacity rather than hype. |
| The Phuket News Mass Transit Update | It's a long-running local newspaper that frequently covers Phuket infrastructure policy and timelines. | We used it to flag that transit plans are still politically and operationally staged, so you should not price-in tram upside everywhere today. We used it to narrow project uplift to micro-areas that benefit earlier from upgraded bus and transit corridors. |
| Fresh Property Agency Commission Rates | It's a local brokerage resource that documents standard commission and fee structures in Thailand. | We used it to benchmark typical letting fees and management costs that Phuket landlords face. We used it to ensure our net yield deductions reflect actual market practice rather than guesswork. |
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