Despite being hit by the tsunami in 2004, Phuket land prices have more than tripled in a decade. Land price increases average about 14% a year from 2004 to 2014, according to the Agency for Real Estate Affairs (AREA), a centre of real estate research and valuation. Prices on the western coast are, however, much more expensive than plots on other sides of the island, mainly due to more spectacular views and beaches.
These days, a three-bedroom villa along the western stretch costs about THB 20 million on average, compared with an average of about THB 12 million for a comparable villa in the south of the island. Not surprisingly, land costs – and thus development expenses — in the northwest and west have increased considerably.
The Phuket Gazette reports that, in recent years, developers and island residents have increasingly migrated to the southern portion of the island, notably Chalong, Rawai and Nai Harn. The benefits are lower costs of development and housing, a peaceful environment and the beautiful Nai Harn Beach, as well as the great variety of restaurants, bars and markets. Moreover, Phuket Town is conveniently only 20 minutes’ away by car.