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SUMMARY
Yes. Phuket rents are finally starting to cool, but the shift is showing up first as slower rent growth, more landlord competition and better tenant bargaining power rather than a broad island-wide fall in rents.
The clearest recent demand data does not show tenants disappearing. Median renter budgets moved from THB33,000 in December 2025 to THB38,000 in May 2026, even after slipping from an April high of THB40,000.
The more important change is on the supply side. Tourism has flattened, condo completions are continuing, delayed handovers are still coming, and tenants in the main rental areas can now compare hundreds of competing properties at once.
Low season is making that competition more visible, but it does not explain everything. Phuket has always been seasonal; what is different now is that the seasonal drop in enquiries is landing on a much larger stock of available homes.
Bang Tao and Cherngtalay show the tension best. Choeng Thale has the deepest rental demand on the island, yet it also has roughly 1,600 visible rental listings and hundreds of similar condos competing for the same tenant.
Rawai looks firmer because its rental market contains far more houses and pool villas. It still has heavy advertised supply, but the stock is less interchangeable than a wall of one-bedroom investment condos.
Patong is useful as a mature-market benchmark. Its rents remain high by Thai standards, but dense condo, hotel and serviced-apartment supply has long limited the kind of scarcity premium seen in newer lifestyle hubs.
Affordability is becoming a real ceiling. Nearly 58% of the observed rental enquiries were below THB40,000 a month, while a current Choeng Thale one-bedroom averages roughly THB42,000 and a two-bedroom about THB90,000.
Villas are holding up better than standard condos because families needing three or four bedrooms, a pool, schools and a practical long-stay location have fewer close substitutes. The most exposed stock is the generic investor condo that looks almost identical to dozens of nearby listings.
The easiest phase of Phuket's rental boom is over. Prime homes can still command strong rents, but the record development wave is still feeding new rental supply, and landlords increasingly have to justify the price rather than assume another increase will clear.
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Are Phuket rents actually starting to fall?
Phuket rents are starting to cool, but we still cannot say that rents are broadly falling across the island today.
The strongest demand dataset we found covers 39,042 Phuket rental enquiries across the FazWaz network from December 2025 through May 2026. Median renter budgets moved from THB33,000 in December to THB30,000 in January and February, then rose to THB35,000 in March and THB40,000 in April before slipping to THB38,000 in May.
That last drop deserves attention, although THB38,000 was still about 15% above December and 27% above the January-February low. The broad rental market entered the low season with tenants still willing to spend considerably more than a few months earlier.
What has changed lately is the amount of competition between landlords. Current listing inventories are large in the main rental areas, tourism has stopped accelerating, and another wave of completed condos is reaching the market. Those pressures are showing up first in particular condo-heavy locations rather than in one clean island-wide rental index.
For now, “cooling” describes Phuket better than “falling.”
| Period | Median renter budget | Change | Read |
|---|---|---|---|
| December 2025 | THB33,000 | — | Elevated starting point |
| January 2026 | THB30,000 | -9% | Seasonal drop |
| February 2026 | THB30,000 | 0% | Low holds |
| March 2026 | THB35,000 | +17% | Rebound |
| April 2026 | THB40,000 | +14% | Six-month high |
| May 2026 | THB38,000 | -5% | Softer, but still high |
Why are people suddenly talking about Phuket rents cooling?
Phuket rents are facing a very different backdrop now because tourism has flattened just as more homes are becoming available.
CBRE's latest half-year Phuket figures show airport passenger arrivals at 4.39 million, down 1.4% from 4.46 million a year earlier. Hotel occupancy also slipped by 0.8 percentage points, while average daily hotel rates increased only 0.9%.
None of those changes points to a tourism crisis. They do tell us that the huge demand tailwind landlords enjoyed after reopening has weakened considerably. Visitor growth can no longer be relied on to absorb almost any amount of new accommodation at a higher price.
Meanwhile, developers are still delivering property. CBRE counted 1,196 new condo completions during the first half of 2026. Only three projects finished during the period because several handovers were delayed, which means some of the expected supply pressure has simply moved further down the road. New condo launches also jumped 44.8% compared with the previous half-year.
Colliers reached a similar conclusion in its latest Phuket residential study. Condo supply remains highly competitive after the 2023-2024 development rebound, with pressure particularly obvious for projects that look much like dozens of nearby alternatives.
That combination has made the rental-cooling question much harder to dismiss.
| Latest Phuket indicator | Change | What we see |
|---|---|---|
| Airport passenger arrivals | -1.4% YoY | Tourism has flattened |
| Hotel occupancy | -0.8 pp YoY | Less accommodation pressure |
| Hotel ADR | +0.9% YoY | Almost no pricing acceleration |
| H1 condo completions | 1,196 units | More rentable stock |
| New condo launches | +44.8% vs previous half | Pipeline remains active |
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Could this just be Phuket's normal low season?
Phuket's low season explains part of the softer rental market, but the growing stock of competing homes makes the current slowdown harder to dismiss as pure seasonality.
Rental enquiries fell sharply after the winter peak. FazWaz recorded 9,720 enquiries in January, compared with 4,614 in April and 4,624 in May. Phuket has always had a seasonal rental cycle, so that decline by itself tells us very little about where rents go next.
The bigger question is what landlords face when demand falls seasonally. During a shortage, even a quiet season can leave tenants chasing limited stock. Today, many Phuket renters can scroll through hundreds of competing options in the same neighborhood.
Choeng Thale currently has about 1,600 properties advertised for rent on FazWaz. Rawai has more than 1,000 and Patong more than 400. Portal inventory is imperfect because listings can overlap, remain online after availability changes or cover different lease types. Still, those numbers show how much choice has returned to the market.
So yes, seasonality is part of it. But it is landing on top of a market that already has much more competing stock. The real test comes with the next high season: if inventories stay large and landlords struggle to restore previous asking rents, the cooling starts to look structural.
Are Bang Tao and Cherngtalay rents finally cooling?
Bang Tao and Cherngtalay are starting to cool at the condo end of the market, even though this remains Phuket's strongest rental location.
Choeng Thale generated 6,628 rental enquiries in the FazWaz dataset, the highest total of any Phuket subdistrict and nearly 30% more than second-placed Rawai. Demand here is unquestionably deep.
Prices also remain high. Current FazWaz listings put average rents at roughly THB42,000 for one-bedroom properties, THB90,000 for two bedrooms and THB149,000 for three bedrooms. Across all property types, the median sits above THB80,000 because expensive houses and villas pull the market upward.
The interesting change is in apartments and condos. Current FazWaz inventory includes roughly 850 condos, apartments and penthouses for rent in Choeng Thale, with a median around THB50,500. More than 400 are one-bedroom units. Nearly 300 are two-bedroom units. A tenant looking for a standard modern condo around Bang Tao now has a lot to compare.
That is where landlord pricing power is getting tested first. A new one-bedroom condo competing against hundreds of similar units has less room to push another 10% rent increase, especially once tenants are willing to move a few minutes inland.
Large houses remain much harder to replace. Current three-bedroom Choeng Thale rents average around THB149,000, and four-bedroom rents are around THB260,000. Families choosing the area for schools, Laguna, Boat Avenue and long-stay convenience do not have the same flexibility as a single renter choosing between 40-square-metre condos.
The first real cooling in Bang Tao is showing up inside the most interchangeable part of the market.
| Choeng Thale rental type | Current average/median | Approx. visible stock | Current read |
|---|---|---|---|
| Studio | THB33,000-34,000 | 100+ | Lots of alternatives |
| 1 bedroom | ~THB42,000 | 440+ | Highly competitive |
| 2 bedrooms | ~THB90,000 | 390+ | Expensive, broad choice |
| 3 bedrooms | ~THB149,000 | 340+ | Strong family demand |
| All rental properties | ~THB81,000 median | ~1,600 | High-priced mixed market |
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Are Rawai rents cooling too?
Rawai rents currently look sticky rather than weak, although tenants have far more choice than the headline prices suggest.
FazWaz currently shows just over 1,000 Rawai properties available for rent. The overall median asking rent is around THB76,000, while average one-bedroom rents sit near THB36,000, two-bedrooms around THB72,000 and three-bedrooms around THB134,000.
The huge gap between the one-bedroom average and the overall median comes from Rawai's mix of condos, houses and pool villas. About 685 houses alone are currently listed, and their median asking rent is around THB120,000.
Rawai also remains one of Phuket's deepest long-stay markets. The recent FazWaz enquiry study recorded 5,108 rental enquiries there, second only to Choeng Thale. C9 Hotelworks has repeatedly identified Rawai among the island's three most important rental areas.
That demand base is helping landlords hold prices. At the same time, having more than 1,000 advertised rentals gives tenants room to reject properties that are badly priced, poorly furnished or too far from where they want to live.
Rawai looks more like a market where landlords have to work harder to hold the same rent. Not a collapse, just more competition.
Is Patong getting cheaper now?
Patong rents are broadly stable today, and Patong gives us one of the clearest examples of how different Phuket's submarkets have become.
Current FazWaz data puts Patong's median monthly rent around THB35,300. Studios average roughly THB28,000, one-bedroom properties THB33,000 and two-bedrooms about THB58,000.
Those prices are much lower than Choeng Thale despite Patong's tourism profile. A typical one-bedroom is roughly THB9,000 cheaper, and the overall Patong median is less than half the mixed-property median in Choeng Thale.
Patong has hundreds of rental listings, dense condo stock and an enormous hotel and serviced-apartment sector. Landlords have lived with heavy accommodation competition for years, so the area never developed quite the same scarcity premium as newer lifestyle hubs around Bang Tao.
For someone asking whether Phuket rents are finally cooling, Patong is useful mainly as a benchmark. It shows what a more mature and competitive accommodation market can look like once supply becomes abundant: rents can stay high by Thai standards without climbing endlessly.
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Do Phuket tenants finally have more bargaining power?
Phuket tenants have more bargaining power now, especially when renting ordinary condos rather than scarce villas.
Current supply is the biggest reason. A renter can choose among roughly 1,600 properties in Choeng Thale, more than 1,000 in Rawai and more than 400 in Patong on FazWaz alone. Even after allowing for imperfect portal data, that is enough choice to make ambitious landlords compete.
The renter mix helps too. FazWaz recorded a median rental budget of THB35,000, with 11,396 enquiries below THB20,000 and another 11,328 between THB20,000 and THB40,000. Nearly 23,000 of the 39,042 enquiries therefore came from renters trying to stay below THB40,000.
Many new west-coast condos already sit above that comfort zone. Choeng Thale one-bedrooms currently average roughly THB42,000. Two-bedrooms are around THB90,000. Owners cannot assume that every new tenant searching in Bang Tao will simply stretch the budget.
Renters who can compromise slightly on building age, walking distance to the beach or exact location now have much more leverage than they had during the post-pandemic shortage.
| Monthly rental budget | Enquiries | Share of known demand | What it means |
|---|---|---|---|
| Under THB20,000 | 11,396 | ~29% | Huge price-sensitive segment |
| THB20,000-40,000 | 11,328 | ~29% | Core mass market |
| THB40,000-75,000 | 8,098 | ~21% | Strong middle tier |
| THB75,000-150,000 | 4,990 | ~13% | Smaller affluent segment |
| Above THB150,000 | 2,848 | ~7% | Genuine luxury niche |
Is Phuket rental demand actually getting weak?
Phuket rental demand is still very strong, so weak demand cannot explain the cooling on its own.
Across 54,628 property enquiries tracked by FazWaz's platform network, 39,042 were rental enquiries. Rentals represented 71% of all Phuket property demand, or roughly 2.5 rental enquiries for every purchase enquiry.
Condos and apartments attracted 20,882 rental enquiries. Houses and villas drew another 14,946. One-bedroom homes alone accounted for 12,562 enquiries, making them the single most searched-for size.
Demand also came from 141 countries, with 62% of all property enquiries originating outside Thailand. Phuket therefore does not depend on one narrow tenant pool.
More recent residential-market data also argues against a sudden collapse in interest in the island. REIC reported that Phuket recorded the strongest growth in residential transfer value among Thailand's major markets in the first quarter of 2026, up 34.9% year on year. Sales and rentals are different markets, but that level of capital activity would be hard to reconcile with a story in which foreigners were suddenly abandoning Phuket.
The cooling we see now comes largely from supply catching up with strong demand. That distinction is crucial for what happens next.
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Have Phuket rents simply become too expensive?
Phuket rents have reached a level where affordability is starting to put a ceiling on further increases, particularly around Bang Tao.
The mismatch is easy to see. The median rental budget across FazWaz's 39,042 enquiries was THB35,000 a month. Yet a current one-bedroom rental in Choeng Thale averages about THB42,000, while two-bedrooms average close to THB90,000.
Rawai sits closer to what renters actually search for. Its current one-bedroom average is around THB36,000. Patong is cheaper at roughly THB33,000.
Location explains some of the gap. Choeng Thale attracts wealthier renters, newer developments and people specifically willing to pay for the Laguna-Bang Tao lifestyle. But even a premium market eventually runs into the size of its target audience.
FazWaz's enquiry distribution shows that almost 58% of rental demand was below THB40,000. Only around 7% sat above THB150,000.
Another broad surge in rents gets progressively harder from here. Phuket can support plenty of expensive homes, but the pool of tenants gets much thinner every time landlords move up another price bracket.
Are Phuket villas cooling as fast as condos?
Phuket villas are holding up better than standard condos in the rental market, especially where families need three or four bedrooms for a long stay.
C9 Hotelworks found a clear difference in how the two products are used. In its Phuket rental study, 63% of condo rental stock leaned toward shorter stays, while 52% of landed-property rentals were geared toward long-term leases. Three- and four-bedroom houses dominated the villa market.
Current portal data still supports that split. Choeng Thale three-bedroom properties average around THB149,000 and four-bedrooms around THB260,000. Rawai three-bedrooms average roughly THB134,000.
Families cannot substitute these properties as easily as condo tenants can. Someone needing three bedrooms, a private pool, space for children and a convenient school run has a much narrower shortlist than someone choosing among one-bedroom units near Bang Tao.
The sales market is much shakier. Phuket accumulated a large pipeline of villas after developers rushed into the boom, and Colliers now describes the market as more selective. That could eventually spill into rentals if owners who cannot sell start leasing instead.
We do not see enough evidence yet to say that this has pushed villa rents materially lower. Condo landlords are feeling the pressure first.
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Will all these new Phuket condos eventually push rents lower?
The condo pipeline is the strongest reason to expect more rental cooling from here, particularly in areas where hundreds of similar investor units are completing at once.
Phuket went through an extraordinary development wave. Colliers counted 14,718 condo units launched across 56 projects in 2024 alone, taking the island's condominium inventory to roughly 37,500 units at that point.
The pace has moderated, although development remains heavy. Colliers now expects roughly 6,000 to 8,000 new condo units in 2026 after nearly 25,000 units were launched during the previous two-year surge.
CBRE counted another 1,196 completions in the first half of 2026. More importantly, several projects failed to complete on schedule. Those delayed units have not disappeared. They will reach owners later, and some portion will then enter the rental market.
There is usually a lag between a condo launch and rental competition. The building has to finish, transfer to buyers, be furnished and finally appear on rental portals. The record launch years are therefore still feeding today's rental supply.
As seen above, Phuket already has large visible inventories before every delayed project has handed over. That is why we think condo rent growth has probably peaked in the most heavily supplied districts.
| Supply measure | Scale | Rental impact |
|---|---|---|
| Condo launches in 2024 | 14,718 units | Record wave entering pipeline |
| Approx. condo inventory after 2024 | 37,500 units | Much larger competitive base |
| Expected 2026 new supply | 6,000-8,000 units | Still substantial |
| H1 2026 completions | 1,196 units | Immediate new stock |
| H1 launch growth | +44.8% vs H2 2025 | Developers are still adding projects |
Can tourism keep Phuket rents high anyway?
Tourism should keep a floor under Phuket rents, but current visitor growth looks too weak to absorb unlimited new supply without landlords competing on price.
CBRE's latest numbers put Phuket airport arrivals down 1.4% year on year. Hotel occupancy slipped 0.8 percentage points and hotel room rates rose just 0.9%.
Those are flat-market numbers rather than boom-market numbers.
Phuket still receives millions of visitors and remains one of Asia's biggest resort markets. A dramatic rental crash would require a much deeper tourism shock than anything visible currently.
The problem is simple enough. If accommodation demand grows by little or nothing while thousands of new homes appear, each extra property has to win its tenant from somewhere else.
Hotel performance gives us a useful comparison because hotels and residential rentals compete for different stays but draw on the same broad visitor economy. When even professional hotels struggle to push occupancy and rates much higher, expecting every investment condo to keep raising rents becomes difficult.
Tourism can keep Phuket expensive. It cannot guarantee effortless rent growth from here.
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Could short-term rentals make the long-term market even softer?
Phuket's long-term rental market could get more competitive if condo owners increasingly switch away from short stays.
C9 Hotelworks found that 63% of condo rental inventory in its Phuket study was oriented toward short-term rentals. Long-term one-bedroom condo rents averaged THB22,541, compared with THB26,616 for shorter leases.
Owners naturally prefer the higher gross rate when occupancy and operating costs make it worthwhile. The calculation changes when short-term pricing weakens, bookings become less predictable or regulation becomes harder to ignore.
Thailand has also stepped up enforcement against unlicensed condo stays shorter than 30 days. C9 specifically flagged increasing fines and scrutiny of platforms and condominium juristic offices.
That gives long-term tenants another possible source of supply. New condo completions add fresh rental properties, while some existing owners can move units from nightly or weekly rentals toward six- or twelve-month contracts.
We would not assume a mass conversion. Successful holiday rentals in prime locations can still earn far more than conventional leases. But even a modest shift matters when long-term condo inventories are already crowded.
Why haven't Phuket rents fallen much more?
Phuket rents remain expensive because the island now supports a much larger long-stay residential market than it did before the post-pandemic boom.
The scale of rental enquiries makes that hard to dispute. FazWaz recorded 39,042 rental enquiries in six months across 1,258 tracked Phuket projects. Choeng Thale alone generated 6,628, Rawai 5,108, and meaningful demand also appeared in Patong, Kathu, Chalong, Wichit, Kamala and Si Sunthon.
The type of demand also looks residential rather than purely touristic. One-bedroom condos lead the market, but three-bedroom homes generated 7,794 enquiries and two-bedrooms another 8,790. Si Sunthon was particularly family-heavy, with three-bedroom homes representing a large share of local enquiries.
C9's rental research points the same way. Long-term leases account for a substantial share of Phuket's landed-property market, with Russian, British and American renters among the most prominent foreign groups.
So today's oversupply debate starts from a high demand base. More homes are competing for tenants, but Phuket has also accumulated far more people who want to live on the island for months or years.
That is why the first adjustment can be pretty boring: slower rent growth, better tenant choice, more negotiation. You do not need spectacular rent cuts for the market to have changed.
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Which Phuket rentals are most at risk now?
The most vulnerable Phuket rentals today are ordinary investor condos asking premium rents in areas where tenants can choose from hundreds of similar units.
Choeng Thale is the clearest example. It has Phuket's highest rental enquiry volume, but it also has around 850 condo, apartment and penthouse listings on FazWaz right now. More than half are studios or one-bedroom units.
That is a tough environment for a generic product. A small condo several minutes inland, without a distinctive view, unusually large layout or strong management, is competing primarily on price and condition.
The same problem appears wherever developers cluster around the same buyer thesis: build compact investment units, sell them to investors and expect the tourist or expat market to absorb them at premium rents.
Properties with genuine scarcity have more protection. Beach access, large layouts, established Laguna positioning, proximity to international schools, strong property management and well-designed family villas are harder for a renter to replace.
The exposed stock is easy to recognize now: the landlord still thinks the location creates scarcity, while the tenant can see fifty comparable options on the same screen.
So, are Phuket rents finally starting to cool?
Yes. Phuket rents are finally cooling, although the evidence today points to slower growth and more tenant bargaining power rather than a broad fall in rents.
The post-pandemic rental squeeze has clearly lost some force. Phuket airport arrivals are slightly lower year on year, hotel occupancy has softened, condo completions continue, and the record development wave is still feeding new rental supply. Current listings give tenants hundreds of choices in Choeng Thale, Rawai and Patong.
Demand remains strong enough to stop us going further. The largest recent enquiry dataset still showed a THB38,000 median rental budget in May, above the THB33,000 recorded in December. Rentals made up 71% of all property enquiries, and Choeng Thale alone attracted more than 6,600 prospective tenants.
The part of the market that looks closest to a real correction is the standardized condo segment in heavily developed locations. Bang Tao and Cherngtalay have enormous demand, but they also have enormous incoming competition. Owners of ordinary one-bedroom investment units increasingly have to earn the tenant rather than simply name a higher rent.
Villas are proving more resilient, particularly good family homes in the areas where international residents want to live. Rawai also remains surprisingly firm despite its large advertised inventory.
The answer is clearer now: the Phuket rental boom has passed its easiest phase. Rents can stay expensive, and prime properties can still do very well, but the days when almost every landlord could push the asking price higher simply because Phuket was short of housing are fading.
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OUR METHODOLOGY
This analysis tests whether Phuket rents are genuinely starting to cool or whether the softer readings are mostly normal seasonality. Because there is no single island-wide rental index that answers that cleanly, we broke the question into the parts that actually change landlord pricing power: renter demand and budgets, live rental supply, asking rents, seasonality, tourism, property type and the flow of new residential completions.
The main demand anchor is the recent FazWaz network dataset covering 39,042 Phuket rental enquiries from December 2025 through May 2026. We used it to track renter budgets, enquiry volumes, bedroom preferences and the strongest submarkets. Enquiries tell us what renters are actively searching for and willing to consider; they are not treated as signed leases or achieved rents.
Live FazWaz listings were used to measure current asking rents and the amount of visible choice in Choeng Thale, Rawai and Patong. We use portal inventory as a measure of competitive intensity, not as an exact vacancy count, because listings can overlap, remain online after availability changes or mix different lease terms.
We kept condos and villas separate where the market behaves differently. Standard one-bedroom investment units are much easier for tenants to substitute, while larger family homes can retain pricing power because school access, space, pools and location narrow the realistic alternatives.
For the wider market backdrop, we used CBRE's H1 2026 Phuket figures for airport arrivals, hotel occupancy, hotel ADR, condo completions and new launches. Colliers' Phuket residential research was used to understand the scale of the 2023-2024 development surge, the current condo pipeline and where supply competition is becoming most obvious.
C9 Hotelworks was used for the short-stay versus long-stay split, landed-property rental structure, key rental areas and the changing regulatory pressure around unlicensed stays below 30 days. REIC's Q1 2026 residential transfer data was used only as a broader cross-check on whether interest in Phuket property had suddenly collapsed; it was not treated as direct rental evidence.
We gave the most weight to conclusions supported by several different types of evidence at once. A one-month fall in renter budgets, a large portal inventory or a flat hotel reading can each be noisy on their own. When softer tourism, heavy visible supply, condo completions, affordability pressure and more tenant choice all point in the same direction, the cooling call becomes much stronger.
Key sources used for this analysis include C9 Hotelworks on FazWaz's Phuket property-demand dataset, FazWaz's Phuket rental market, FazWaz's Choeng Thale rental market, FazWaz's Rawai rental market, FazWaz's Patong rental market, CBRE's Phuket Overall Figures H1 2026, Colliers' Phuket Residential Report 2025-2026, Colliers' Phuket Residential Market 2024 research, C9 Hotelworks' Phuket Property Market Update, REIC's Q1 2026 residential market data, and C9 Hotelworks' 2026 Phuket Hotel & Tourism Update.
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