Investing in holiday homes?

I am thinking to purchase a holiday home in either Phuket or Koh Samui. I feel the prices there are quite reasonable now and obviously there are many things to consider before buying a holiday home which is 2 hours away by air.


Can anyone here share their experience of buying holiday homes as investment too? What do you think, Phuket or Koh Samui, and why?


What are the pros and cons of owning a holiday home? Will it be difficult to sell in the future? Any good development in those islands? Thanks for sharing!

I would strongly recommend against buying a property for rent in Thailand. I know people who have done so and every one of them have lived to regret this purchase. Some have bought in Phuket, some in Samui and some in Hua Hin and all have told me that it is very difficult to make money renting to vacationers.


The problem is there is huge oversupply in all main tourist centres and the best you can do is 30% occupancy at best because of this. Remember you have all the outgoings to run the place each month so your return is next to nothing.


One of our friends, he and his wife bought the property in Hua Hin, and he said it sounded like a good idea to being with but then what they found is they didnt go all that often and for what it was costing them to keep the place (they were not making a profit after all costs were factored in) they could stay in the Four Seasons for 3 weeks a year for less!!!


Our friend with the phuket place has had it for 3 years and similarly it is not making any money, his comment recently was the other problem is that because he has sunk so much money into this mistake you feel that every single holiday you have to go stay at the villa. They are needless to say tired of going to phuket every single holiday.



Then dont forget that owning landed property in thailand is not legal. You cannot legally own a house/villa. The agents will tell you they have safe ways to get around this but I have a friend who works for Baker Mackenzie in bangkok and he is adamant that no matter how its structured you could possibly lose your investment because the title is not kosher.


My advice would be to use your money for something else and instead rent whenever you are going to thailand. Buying is a black sinkhole

Innocence - thanks a lot for this. I was worrying pretty much the same thing because agents would tell you anything to get you to buy. I guess I will not consider this option for the moment. Tks again.