Although the real estate market remains sluggish due to the third wave of COVID-19 in Thailand, CBRE, a leading global real estate consultancy, has found that there is still an active market for transactions, particularly among high-end clients who have been increasingly inquiring about luxury villas since the fourth quarter of 2020. This interest comes from both domestic and international clients, as the supply of high-end villas remains limited due to developers delaying new project launches and the scarcity of suitable land for developing luxury villas. Additionally, the government's recent measures for the Phuket Sandbox pilot project, set to begin in July, may play a significant role in helping Phuket recover by the end of 2021.

Ms. Prakaisri Meeshuasar, Head of the Vacation Home Sales Department at CBRE Phuket stated, “The increasing demand for luxury villas comes from two main groups:
- The first group consists of high-net-worth international buyers from countries like Singapore, Hong Kong, and mainland China, who are looking for second homes or retirement residences in tropical areas after the pandemic. This group is already familiar with Phuket's natural attractions and market.
- The second group includes domestic buyers, both Thai and foreign, seeking luxury vacation homes for personal use and investment purposes.




As the Phuket market unexpectedly shifts into a buyer's market, it has prompted high-net-worth individuals (HNWIs) to seek long-term real estate investments that offer value, with Phuket being a market of interest for foreign investors for decades.”

CBRE's Research Department reports that the curfew and other restrictions during the first half of 2020 impacted some ongoing construction projects, resulting in only five villas being completed in the second half of 2020, bringing the total number of villas in the Phuket market to nearly 4,300. For the luxury villa market, priced over 90 million baht each, the research department found that by the end of the fourth quarter of 2020, there were 320 luxury villas, with only seven expected to be completed in 2021 and no new supply anticipated in 2022. This data clearly indicates that the supply of luxury villas in Phuket will be extremely limited in the coming years, and suitable land for developing the highest-end luxury villas is becoming increasingly scarce.


Phuket remains one of Thailand's top destinations for both tourism and those seeking vacation homes, as the villa market in Thailand can cater to everyone's lifestyle, depending on individual budgets and location preferences. CBRE believes that if tourists return due to government assistance measures allowing vaccinated foreign tourists to travel to Phuket without quarantine, along with successful vaccine distribution and ongoing efforts to keep the third wave of the outbreak under control, the luxury villa market in Phuket will begin to recover by the end of this year. This presents a great opportunity for buyers looking for a second home or income-generating property, as the current Phuket villa market still offers good supply, flexible pricing, and diverse options that may not be available once the market returns to normal.