This article on the Phuket property market appears in the Dot Property Thailand Real Estate Outlook 2021. You can read the report right here!
The Phuket property market was hit hard by the COVID-19 pandemic. With 30 million fewer tourists arriving in Thailand in 2020, the key driver of the island’s real estate sector vanished almost overnight. Despite this, developer Botanica Luxury is confident it’s a matter of when and not if these buyers return.
“We firmly believe clients who have been waiting for Thailand to reopen are going to return quickly. The market will gradually return to normal within six months to a year,” Khun Attasit Intarachooti, Botanica Luxury CEO, noted. “We do not expect fast sales as we saw in the past, but we do expect people to come down to Phuket as they search for an investment and holiday home.”
Botanica did see more buyers from Bangkok last year and the developer expects this trend to continue in 2021. One reason for this is the increased adoption of work from home that has provided Bangkokians with the ability to move away from the city. Meanwhile, increased awareness of wellbeing has made villas and other low-density developments more appealing.
“The idea of work from home has made people realize that we actually can work from anywhere with an internet connection, so you might not need to stay in the capital like Bangkok anymore. This benefits places like Phuket,” Khun Attasit pointed out. “I also believe that COVID-19 has affected how people choose their residences. Many clients are now looking for low-rise residential or single houses.”
The Phuket property market may face more challenges in 2021. However, Khun Attasit noted that Thailand’s response to the COVID-19 pandemic may actually help the real estate sector in the long term.
“The fact that Thailand reacted quite fast to the situation has also helped improve the country’s perception in the eyes of overseas clients. Customers believe that Thailand is a safe play to both live and invest,” Khun Attasit concluded.
For more insights, be sure to read the Dot Property Thailand Real Estate Outlook 2021!