Primary or secondary real estate market in Phuket – what to choose?

Consider today the features of acquiring housing in the primary and secondary market of Phuket.

The resort real estate market in Phuket is now at the very beginning of its development. Housing for sale for foreigners began to be built around the beginning of the 2000s. Therefore, the secondary market is not yet so large and does not have a long history.

Housing prices are steadily rising year after year as the amount of suitable land for building is limited. Most of the land on the island belongs to national parks or is covered by mountains where construction is prohibited. High-rise buildings are also prohibited. In the secondary market, there are sometimes “urgent sales” when someone needs money. But even in the primary market, developers periodically arrange promotions, offering very pleasant conditions and prices. The main task is to find such offers!

It is very difficult for a foreigner to get a mortgage in Thailand. But when buying real estate in the primary market, developers give installments for the period of construction of the facility. Construction can take 2-3 years in time and you can pay for housing in accordance with the stages of construction. Sometimes developers, at the end of construction, have unsold apartments, which can also be purchased in installments, for 1 year, for example. Moreover, when paying 50% of the cost, you can already live in it or rent an apartment and pay the remaining amount with rental income.

When buying an apartment or villa on the secondary market, as a rule, you need to pay the entire amount to the seller immediately.

When buying on the primary market, the transaction process is quite simple in the developer’s office. A transaction in the secondary market is more expensive and more complicated. You will need to pay a lawyer to draw up a contract, check the object and register the property.

Also, do not forget about the condition of housing. On the primary it is new, the building itself, appliances and furniture are under warranty. Additional investments are not required. In the secondary market, housing, depending on its age and intensity of operation, may require repair, replacement or cleaning of air conditioners and other equipment. Humid, hot climate gives its results, so you need to be prepared for expenses, sometimes significant ones. In addition, the previous owner may be associated with the developer or management company, various obligations from which you will not be able to get out. Be sure to understand under what conditions the previous owner bought the apartment.

So the land near the sea is getting smaller and real estate prices are steadily rising. Contact us – we will help you to invest money profitably and acquire something worthwhile!