Phuket property a better investment than property in Bali, experts say
At a meeting organised by the Phuket Chapter of the American Chamber of Commerce (AMCHAM) on the 29th April, property experts convened to discuss current market trends and what the future holds for some of Asia’s key property markets; Phuket, Bali, Koh Samui, Pattaya and Hua Hin.
The event was held at Laguna Phuket and attended by over one hundred and forty companies from across Thailand and the region. Delegates included property developers, real estate agents, hotel representatives and the media.
Members were also able to share their thoughts on what the future holds for real estate in Asia and most notably, Phuket.
Whilst speaking about Phuket, the panel of AMCHAM member experts concluded that although the Island is not yet back to its boom years before the economic downturn in 2007, the Phuket property market is showing good signs of improvement.
The panel also agreed that property in Phuket currently offers investors better prospects than competing markets throughout the region, such as Bali, Koh Samui and Pattaya.
Although most of the speakers have vested interests in the property markets of Phuket and Thailand, statistics were offered up that showed property investment in Phuket‘s main competitor Bali was only around half the current total for Phuket.
A good location with ocean views was sited as the key factor for successful property investment in Phuket. Build quality was also thought to be very important.
Most experts agreed that the Phuket real estate market is now maturing, with the re-sale property sector becoming well established over the past few years.
“Following the global financial crisis we have seen a large increase in demand for re-sale property in Phuket and throughout Thailand. This is a direct result of property investors seeking a safer alternative to buying off-plan. Although we are now seeing renewed interest in off-plan projects, in my opinion we will continue to see this trend for the next few years until property investors in Thailand are willing to accept greater levels of risks in exchange for higher returns.” commented Adam Smith, market analyst for Ocean Villas Group.
Senior Vice President for Jones Lang LaSalle Hotels, Andrew Langdon was involved in the sale of Phuket hotels; Dusit Thani Laguna Phuket and Laguna Beach Resort Phuket. Langdon spoke about the state of the hotel industry in Thailand:
“Phuket and Bangkok are driving the Thai hotel market and Chiang Mai is no longer a player,” he said. “Since 2009, when Thailand hit its lowest ever hotel occupancy levels, rates have been steadily rising year on year. Well located resorts in Thailand in established resort destinations such as Phuket and Koh Samui continue to attract serious investor interest,” he added.
Phuket Ocean Villas
Article source… blog.phuketoceanvillas.com/phuket-property-a-better-inves…
Rebecca Smith is a real estate journalist with more than 15 years experience. She is currently the sales director for Phuket Ocean Villas (www.phuketoceanvillas.com) who specialise in luxury ocean view property in Phuket, Thailand.
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