The Chinese are crucial for Phuket in the fourth quarter.

Sales of condominiums depend on the continental market. Tourists enjoy their time on Karon Beach. Mr. Nattha points out that the condominium market in Phuket reached a record in sales volume last year.

The fourth quarter will be a key period for assessing the number of tourists from China, as August is expected to see the highest number of new property listings on the island in its history. Natttha Kaphana, managing director of the consulting firm Knight Frank Thailand, noted that Chinese tour operators typically come to Phuket in August to explore accommodation options and inspect tourism products in anticipation of the Golden Week in October. "The arrival of Chinese tourist agents next month will indicate how actively tourists from mainland China will visit Phuket in the fourth quarter," he explained.

Their return will have a huge impact on the condominium market, as Chinese buyers often rank among the top foreign investors. According to data from the Real Estate Information Center, Chinese and Russian buyers led among foreign markets in the number of condominium title transfers from 2018 to 2023.

It is expected that in 2023, the Phuket condominium market will see a record increase in new properties, amounting to around5739“units,” added Mr. Nattah. “The return of Chinese clients will play an important role in absorbing this offer.”

He also noted that the condominium market in Phuket is showing stable demand and a strong recovery since 2022, reaching peak sales volumes last year.

Knight Frank Thailand specialists report that the highest number of new condominiums was completed in Phuket in 2019, totaling4828units, which exceeds the figures of 2018 by88%when it was built2563The main drivers of this growth were buyers and developers from China.

Last year, the market rebounded sharply, resulting in the launch of4081a unit, which is a significant increase from1619units in 2020, when there were no launches in 2021 and941unit in 2022.

The sales volumes of condominiums on the island amounted to3892units last year, which is almost five times higher than the data from 2022. The highest number of launches last year occurred in:

• Bang Tao —46%
• Layan —25%
• Nai Khan —14%

Layan and Bang Tao became the leaders in the number of new condominiums sold last year, with1385and849the units respectively, next comes Nai Khan with524units. Sales in other areas did not exceed260objects.

“After the influx of Russians in 2022, the market is expecting a new wave from Chinese buyers,” noted Mr. Nattha. However, he added that Chinese buyers have not fully recovered from economic difficulties and the strict government policies on money transfer controls, which is prompting them to seek alternative options for financial transactions.

Mr. Nattha, a native of Phuket, emphasized that the Chinese play an important role in the condominium market, as they often visit the island throughout the year, unlike Europeans who mainly come during the high season, while tourists from the Middle East and India prefer the rainy season.

“The number of European visitors and real estate buyers in Phuket is decreasing as they perceive this market as crowded and mainstream, unlike its previous reputation as a luxury destination. They are looking for privacy and exclusivity,” he noted.

Phuket continues to show stable growth compared to other destinations, as evidenced by high hotel occupancy rates, where room prices have been higher by20-30%Compared to 2019, Mr. Nattha added.