Buyers from Asia were more active in the Phuket condominium market during the second quarter of this year, according to research published by CBRE Thailand earlier this month.
In its Phuket Residential Market Report, the agency noted that the resort condominium market on the island showed an on-going preference by buyers for smaller units. Sales were best in luxury projects, it said.
Demand from Asian buyers including Thais, Singaporeans, Hong Kong and Mainland Chinese increased from last year. Laguna Resorts & Hotels reported more Asian buyers in recent years, driven by the middle class looking for vacation homes and investment.
In 2012, European buyers accounted for 70 percent of its customers, and now more than half of buyers at its Laguna Shores development are Asians.
The West Coast of Phuket continued to be the most popular location for condominiums and apartments, particularly the North West Coast including Patong. Properties that offer sea views, easy access to the beach and a variety of entertainment options nearby are the most popular among buyers. Distance from the airport is also further value consideration.
Within the villa market it was the entry-level segment that once again demonstrated the strongest performance with about 60 percent of the total sales value. There were no luxury villa sales on the island during Q2, according to CBRE Thailand.
The number of villa sales by total value decreased by 5 percent year-on-year during the quarter, and there were also no new villa projects completed.
The disclosed nationalities of villa buyers in Q2 2013 included Chinese (PRC), Hong Kong, Singaporean, British, Italian, German and Russian. These buyers mainly focused on affordable villas.
The West Coast of Phuket has long been the most sought-after area for villa developments with 53 percent of total completed villa supply. The central area is the most popular location within the West Coast zone.
CBRE Thailand said: “Overall, we see a continued and steady demand for the villa market in entry-level and mid-range segments in the second half of 2013. Demand will focus on cheaper villas. There was very limited demand in the high-end and luxury segments.”
Read the full report here:
Andrew Batt, International Group Editor of PropertyGuru Group, wrote
this story. To contact him about this or other stories email andrew@propertyguru.com.sg
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