Koh Samui is one of the world's top beach locations; frequently featuring in many top ten "must see destinations' lists. The Island enjoys an extremely favourable year round climate, with only a short rainy season, as apposed to many of the other Thai beach locations, where rainy seasons can last up to 3 months. It also boasts its very own international airport.
These are just some of the reasons why Koh Samui has long been a popular property investment location for the savvy investor.
Where does most of the investment in Koh Samui come from?
Foreign investment has traditionally come from European countries, such as Germany, The Netherlands and the UK, as well as Russia. There has, however, in recent years, been a surge in interest from Asia and the Middle East, from countries such as Korea, China, Vietnam, Singapore and the UAE. This is, in part attributed to higher levels of disposable income and low cost, direct flight to the island.
Financing a property in Koh Samui
The vast majority of properties sold are sold for cash, as local finance is next to impossible to obtain. This has insulated Koh Samui somewhat from the global property crash of late 2008, and the market was quick to recover, although there was a slowdown in late 2010 due to the unstable political situation.
In recent years the Thai Baht has strengthened against currencies such as the dollar and Euro. This has led developers to drop their prices by as much as 20% to offset this change.
Popular spots and up and coming locations
Chaweng, on the East coast, with it's sprawling white sandy beach, is by far the most popular spot on the island, attracting luxury hotels, bars and restaurants. This are continues to attract large amounts of tourists annually, even despite the recent political unrest, which was mainly focused in the capital, Bangkok. There is a shortage of development land here, and properties are sold at a premium.
The north and southwest of the island has some of the biggest plots of land available, some of the largest private homes can be found here. This is certainly an area to look out for.
Thailand, and especially Koh Samui continue to attract many visitors from around the world, and property investment here could prove to be an exciting opportunity for the right investor.