Buy-to-let in Thailand
Tourists are visiting Thailand in ever increasing numbers. 32.4 million people visited the country in 2016, representing an almost 11% growth in the tourism and travel industry, and the sector appears set to grow at an average rate of 6.5% per year, establishing it as the 10th fastest in the world for tourism.
This astounding growth has spurred investors to snap up some of the many developments that are popping up to meet the demand. Property prices are still low and interest still high, especially in places like the island paradise of Koh Samui.
When considering your buy-to-let strategy, you’ll need to decide whether to opt for a short-term or long-term approach with your rentals. There’s a peak season of November to February, where you’re likely to make the most income, so one optimal strategy would be to rent out more expensive, short-term periods during these months, then rent out cheaper long-term durations during the off-season. If you’re tackling other demographics besides tourists, this may or may not apply, and you could be working long-term tenants all year round.
This isn’t a simple matter of how long or short you choose to rent out your unit. You’ll also have to consider the maintenance cost of your property while no one is using it.
Whatever you choose, purchasing property and renting it out is definitely a lucrative market in Thailand, and the returns are going to be well worth the investment. Just what these returns are will be dependent on how you handle the market and the information you uncover when you do your research.