Earlier this week, I contacted a co-agent in Bo Phut to help source a finished 3-bed pool villa for a client. The budget was around 11.7 million baht (roughly $360,000). His reply was immediate:
“There’s nothing like that finished available in that part of the island at that price. Nobody’s selling.”
Despite signs of tightening liquidity in the resale market, especially for company-held villas, asking prices haven’t come down. In fact, sellers in prime areas like Bo Phut and Choeng Mon are holding firm. Here’s why:
Rental Demand Is Driving Holding Confidence
The main reason prices remain stable is the strength of the rental market. Koh Samui’s tourism recovery has been solid, and that demand is feeding directly into both short-term and long-term villa rentals.
According to the same co-agent, long-term monthly rental rates for mid-range pool villas in Bo Phut have nearly doubled compared to a few years ago. Villas that previously fetched 60,000 to 70,000 baht per month are now letting for 100,000 to 120,000 baht on 6- to 12-month contracts.
Given those yields, it’s no surprise many villa owners are holding firm. Gross returns of 8–12% from long-term tenants alone are often enough to justify waiting for improved resale liquidity or a more favourable regulatory climate.
Ocean 180: A Case Study in Capital Appreciation
Ocean 180 in Bo Phut offers a clear example of how values have moved. When the project launched off-plan around five years ago, pricing for completed villas started in the 12–13 million baht range. Recent resale listings in the same development are now priced around 20 million baht.
That’s an increase of roughly 50% in capital value over five years, and it doesn’t include the rental income generated along the way. Before the pandemic, some villas in Ocean 180 were achieving close to 10% net annual return through short-term holiday lets alone.
What we’re seeing isn’t just price stability. In prime areas like Bo Phut, prices are continuing to rise. The age-old rule of location, location, location still applies, but in Samui’s villa market, that location also needs to be backed by contemporary architecture and unobstructed sea views. These are the non-negotiables driving buyer interest, and the projects that combine them continue to see appreciation, not discounting, even in a quieter transaction environment.
No Forced Sellers, No Discounts
Unlike primary home markets, where price corrections often follow shifts in credit or employment, Koh Samui villa sales are largely driven by foreign, cash-based buyers. That insulates it from forced selling pressure.
Even among owners using Thai company structures, most have no debt servicing costs. If liquidity dries up temporarily, they rent. If regulations shift, they wait. And with net rental returns now outperforming many passive investment options, few see urgency in exiting.
In that sense, this is not a distressed market, it’s a holding market.
Prices Supported by Income, Not Volume
The current phase in Koh Samui isn’t about surging prices or rising volumes. It’s about stability. Sellers are holding out because rental income provides real cash flow, and because long-term capital appreciation, as seen in projects like Ocean 180, reinforces confidence.
Until something materially shifts on the demand side or within Thailand’s regulatory environment, the most likely outcome is continued price stability, even with current low levels of liquidity.
