Why invest in Koh Samui?

Koh Samui is, today, a truly international destination with visitors and investors from around the world. The British and Hong Kong expats represent the largest number of property buyers. However, Nordic nationals plus an increasing numbers of Russians and Hungarians are also investing. The number of older more affluent visitors coming to Samui is also increasing rapidly. The island now boasts top class hotels, resorts, restaurants, an 18 hole championship golf, and has developed into an truly up-market holiday destination. The number of visitors from Asian countries is also increasing due to improved air links. You can already fly direct to Samui from Hong Kong, Singapore and Kuala Lumpur. This transformation into an up-market, international holiday destination is reflected in the real estate market where prices have risen dramatically, and at increasing rate, over the last few years.

The island is also unusual in that it offers the amenities of a developed destination, yet still retains the feel of a romantic tropical island, unlike Phuket, which is linked to the mainland by bridge. Samui provides luxury, modern living in a romantic island setting. Various laws also exist in Koh Samui which have had a very positive effect on constraining over development. For example, buildings cannot generally exceed 12 meters in hight, which has saved the island from a high rise skyline, again, unlike Phuket.

The island has also been given special development status by the Thai government, which will lead to more investment in infrastructure. Better infrastructure, such as schools, hospitals and transport links, along with along with leisure facilities, such as golf courses and cinemas, make this a viable and appealing place to live semi-permanently. This is reflected in the increasing number of expatriates, generally affluent in nature, which has a very positive impact on property prices.

From an investment standpoint, Samui also remains fairly cheap compared to the likes of Spain and Portugal – traditionally the most popular place for European buyers. This value is even more apparent when you compare Samui to Hong Kong and Singapore, where land is especially expensive.

One of the main driving factors behind the islands property market is its value, compared to other holiday destinations, combined with the potential from rental income. It is estimated that on Samui, investors can be looking at yields 8-10% per year, whereas many other alternative destinations offer 4-6%, mainly due to rapid price increases.

The fact that Samui is now an international destination also means that the property prices are less vulnerable to slumps in any single market. For example, unlike Bangkok, would be largely unimpacted by a downturn in Thai house prices, unless it affected international buyers.

In all these ways, Samui has a great deal going for it just in terms of financial fundamentals while a maturing market means that property investing here no longer involves the same level of risk as a few years ago.

For more information about investment visit Koh Samui Property.

Whether you are buying or selling Scottsdale homes, our purpose is to advise and assist our clients so that they can define their personal lifestyle by finding the unique home that is just right!

Justin Daniel Lee is a professional Montgomery County, Maryland Realtor who brings an interesting and very useful skillset to the real estate market.

The most useful Austin real estate website in the area, with advanced search technologies that allow you to view listings in the Austin MLS, or to ensure your own home is sold in reasonable time and for top dollar.

Eric Bramlett specializes in Austin Texas real estate and homes for sale in Texas.