Real estate developers are shifting their focus to tourist hotspots such as Phuket, Pattaya, and Hua Hin, where demand remains strong from both tourists and investors with high purchasing power.
Meanwhile, Bangkok’s real estate market is slowing down, prompting developers to launch new projects at the highest rate in 15 years.
As Bangkok’s property market experiences a noticeable slowdown, major developers are increasingly targeting key tourist destinations like Phuket, Pattaya, Hua Hin, and Koh Samui, which continue to attract strong demand from both tourists and investors.
Phuket, in particular, has become a major investment hub, driven by robust purchasing power from both Thai and foreign buyers. This has led to the highest number of new real estate project launches in 15 years.
Phuket leads the boom
According to research from Colliers Thailand, led by Phattarachai Thaweewong, Director of Research and Communications, Phuket welcomed over 14 million tourists in 2024, generating revenue of up to 400 billion baht. This has fuelled a rapid expansion in the local property market.
The strongest demand comes from investors from Russia, Australia, India, China, and Kazakhstan, who are keen on purchasing both individual units and entire buildings. Many developers are experiencing continuous sales growth, with some struggling to keep up with construction demand.
Leading real estate companies such as Origin Property, Supalai, Sansiri, AssetWise, Botanica Luxury Phuket, and Boat Development Co., Ltd. are all actively launching new projects in Phuket. This has resulted in more than 140 new condominium and vacation home developments with a total investment value of 158.6 billion baht.
In 2024, the condominium market saw the launch of 14,718 new units across 54 projects, with a total investment of 102 billion baht—the highest in 15 years. The most sought-after locations include Bang Tao, Cherng Talay, Kata, and Phuket City, where developers are competing for prime spots.
Colliers Thailand predicts that the condominium market in Phuket will continue to grow in 2025, though new supply may slightly decrease to between 8,000 and 10,000 units.
Over the past two years, more than 20,000 new units have entered the market—a substantial figure—with strong demand driven primarily by Russian buyers. Additionally, an increasing number of Bangkok-based developers are expected to enter the Phuket market.
The luxury villa market in Phuket remains in high demand among both Thai and foreign high-net-worth individuals due to its strong investment returns. Developers are focusing on high-end projects, particularly in exclusive locations with sea views and privacy, such as Bang Tao, Layan, Kamala, and Rawai. These areas are particularly attractive to international investors looking for long-term residences and investment properties.
Colliers Thailand forecasts that the overall property market in Phuket will remain robust throughout 2025, particularly in the luxury segment and the growing long-term rental market. This presents a key opportunity for developers looking to expand their international client base and enhance the value of their projects.
Pattaya and Hua Hin emerging as key investment zones
Beyond Phuket, Pattaya and the Cha-Am–Hua Hin–Pranburi corridor are also drawing increased interest from developers. Pattaya, in particular, is benefiting from major infrastructure projects such as the high-speed rail linking three airports and the Eastern Economic Corridor (EEC) development. These factors are driving growth in both the condominium and vacation home markets.
In 2024, Chonburi province saw 20 new condominium projects launched, totalling 10,443 units with a combined investment of 40.86 billion baht. Of these, Pattaya accounted for 13 projects with 7,897 units, representing an investment of 36 billion baht.
This surge in supply marks the highest number of new condominium launches in Pattaya in five years.
By the end of 2024, approximately 47,800 condominium units were available for sale in Pattaya, with 36,471 units already sold, representing a sales rate of 76.29%. The remaining 11,329 units account for 23.71% of the total supply.
Meanwhile, the Cha-Am–Hua Hin–Pranburi area is becoming increasingly popular among buyers seeking vacation homes near Bangkok. This market is particularly appealing to those looking for long-term residences or rental investment opportunities, with steady growth projected.
In 2024, three new condominium projects were launched in Hua Hin, Cha-Am, and Pranburi, totalling 753 units with a combined investment of 6.46 billion baht. All these projects are located along the beachfront in Hua Hin, which remains the most sought-after area in the region.
Looking ahead to 2025, the Hua Hin, Cha-Am, and Pranburi condominium market is expected to see continued investment, with more than 1,000 new units in the pipeline. Most of these projects will be developed by major players already established in the area.
There is also a possibility that leasehold condominium projects may emerge in the future, as beachfront land in Hua Hin, Cha-Am, and Pranburi is becoming increasingly scarce and expensive.