Phuket Real Estate in 2026: Where the Market Is in the Cycle
Phuket stopped being just a “two-week winter getaway” long ago. For many, it has become a working location, a base for winter stays, and an investment tool. Phuket’s real estate market lives through the same four phases as any other market, but with an added layer of strong seasonality and dependence on tourism.
In 2026, investors are focused on one key question: how to buy a villa in Phuket with income potential without overpaying for a pretty picture, and what will happen to the resort property cycle in the coming years.
1. How the resort real estate cycle works
The basic investment cycle is the same:
- Recovery
- Expansion
- Euphoria
- Recession
But on top of that, there are:
- seasonal peaks and drops in occupancy
- the impact of air connectivity
- sensitivity to global tourism
After COVID, Phuket went through:
- a harsh recession with closed borders
- a sharp recovery in demand
- a wave of active expansion, when dozens of new projects were launched
The market is now gradually emerging from the post-crisis wave and stabilising. This is closer to the mid-expansion phase, with elements of local euphoria in certain areas.
2. Phuket in 2026: where we are in the cycle
Signs that investors see in Phuket today:
- high occupancy of villas and apartments during the high season
- significant rental growth compared to the pre-COVID period
- active construction of new residential complexes and condos
- marketing of “last beachfront plots”
At the same time:
- the island’s infrastructure continues to develop
- the tourist flow has diversified by country
- interest in long-term winter stays is growing
This is a classic picture of sustainable expansion. There is growth potential, but in some locations it is already necessary to be cautious about promises of “guaranteed 10–12% annual returns”.
3. Property formats: villas, condos, and hotel schemes
3.1. Income-generating villas in Phuket
For investors from Russia and the CIS, this format is the most intuitive: your own home by the sea plus rental income.
Pros:
- high potential returns with proper management
- the ability to combine personal use with rentals
- good liquidity in popular areas
Cons:
- higher entry cost compared to apartments
- maintenance expenses
- dependence on a professional management company
Critical points:
- choosing locations with stable short-term rental demand
- calculating seasonality and realistic average annual returns
- clearly understanding who will manage the property and how
3.2. Condos and apartments
A more affordable entry ticket:
- lower purchase price
- simpler management
- flexibility for both short-term and long-term rentals
For many investors in 2026, a condo in Phuket is a first step, a way to test the market and understand the specifics of the Asian direction with a smaller budget.
4. How to apply the cycle to Phuket in 2026
4.1. What makes sense to do in the expansion phase
If the Phuket market is in a phase of sustainable expansion, a rational strategy is to:
- enter quality projects in strong locations
- avoid dubious “super-guarantees” of returns
- focus on average market returns rather than extreme figures
- look not only at the first year, but 5–7 years ahead
A key criterion is: what will remain of the property if, in a few years, the global economy enters a recession and tourist flows temporarily decline. A villa or condo in a developed area will weather a downturn far more easily than “projects in the middle of nowhere”.
4.2. Combining with other countries
Phuket works perfectly as part of a “backup airfields” strategy:
- European and Middle Eastern destinations are going through their own political and economic cycles
- Asia offers a different climate, different seasonality, and a different risk structure
- owning property in Phuket allows you to balance between regions
In a portfolio that includes Turkey (early recovery), Dubai (late expansion), and Phuket (resort expansion), risks are distributed far more effectively than in a single country.
5. How RestProperty helps you work with Phuket
RestProperty entered international markets not as a random “project reseller”, but as a company that has already gone through several cycles in Turkey and understands how markets behave over the long term.
In Phuket, we:
- select projects with sound legal structures and clear ownership models
- carefully evaluate management companies and their real track records
- calculate not only “guaranteed income”, but also scenarios without guarantees
- help clients combine Phuket property with real estate in Turkey or Dubai within a single strategy
It’s important that RestProperty:
- was founded in 2003
- has international experience and partners in Asia
- builds long-term relationships with clients, not just “one-off deals”
For those considering Phuket:
- you can start with a consultation and return calculation
- compare villas and condos based on your budget and time horizon
- see how the property fits into your overall overseas real estate investment strategy for 2026
6. Conclusion: when Phuket makes sense in a portfolio
In 2026, Phuket is attractive to investors who:
- want to diversify their portfolio towards Asia
- are prepared for resort cyclicality and seasonality
- choose clear, high-quality projects with strong management
- look 5–7 years ahead, not for “quick seasonal profits”
The right question here is not “how many percent are they promising me”, but “what will happen to this property and location when the cycle phase changes”. If that answer satisfies you, Phuket becomes not just a beautiful place, but a strong element of your international strategy.
