Phuket and Mallorca are two of the world’s leading resort destinations for luxury lifestyle and investment properties. Both Phuket and Mallorca have a rich architectural heritage, with traditional styles that have evolved uniquely in each destination. However, contemporary architecture has gained widespread popularity, and high-net-worth investors are increasingly drawn to cutting-edge designs that blend luxury, functionality, and seamless indoor-outdoor living. In this article, we compare two market-leading contemporary villas, one in Phuket and one in Mallorca, examining their features, ownership structures, market dynamics, and investment considerations.
Villa Mayavee, Phuket
Located in the prestigious Millionaire’s Mile, home to numerous luxury properties and just a 30-minute drive from Phuket International Airport, Villa Mayavee is a contemporary architectural masterpiece offering an unparalleled luxury living experience. Spanning a 3,100 square meter oceanfront plot with a 2,400 square meter built-up area, the villa showcases Zen-inspired modern design with expansive glass facades, high-end stone finishes, and handcrafted wood details. Designed for both privacy and entertainment, the villa includes a private master suite with its own 15-meter infinity pool, an independent guest wing with three luxurious suites, and an extravagant 21-meter main infinity pool overlooking the Andaman Sea. Additional amenities include a state-of-the-art kitchen, multiple open-plan living areas, a gym, a sauna, and expansive terraces capturing panoramic sunset views.
Explore more luxury Phuket villas for sale in our exclusive portfolio, featuring the finest oceanfront estates and contemporary residences in prime locations across the island.
Contemporary Sol de Mallorca Villa
Situated in the prestigious Sol de Mallorca, this five-bedroom, seven-bathroom contemporary villa redefines luxury with direct sea access and a stunning coastal setting. The villa occupies a prime 2,142 square meter plot with 1,014 square meters of living space across multiple levels. Featuring floor-to-ceiling glass walls, expansive open-plan interiors, and seamless indoor-outdoor integration, the residence is designed to maximize natural light and breathtaking Mediterranean views. The property boasts a private swimming pool, extensive sun terraces, underfloor heating, and a fireplace for year-round comfort. Additional luxury features include an elevator for multi-level access, a six-car secure garage, and a secluded landscaped garden.
For more exclusive listings, explore our full collection of luxury villas for sale in Mallorca, showcasing the finest estates across the island.
Property Features Comparison
| Feature | Villa Mayavee (Phuket) | Contemporary Sol de Mallorca Villa |
|---|---|---|
| Bedrooms | 4 | 5 |
| Bathrooms | 6 | 7 |
| Plot Size | 3,100 sqm | 2,142 sqm |
| Built-up Area | 2,400 sqm | 1,014 sqm |
| Swimming Pools | 2 (21m & 15m) | 1 large pool (67.5 sqm) |
| Architecture | Zen-inspired, ultra-modern | Contemporary luxury |
| Notable Features | Private master suite, guest wing, gym, sauna, state-of-the-art kitchens | Direct sea access, elevator, underfloor heating, 6-car garage |
Market Comparison: Phuket vs. Mallorca
Phuket’s property market remained stable during the COVID-19 pandemic, with prices not experiencing a significant decline. However, sales stagnated due to travel restrictions, limiting foreign investment activity. Once restrictions were lifted, the market rebounded rapidly. Phuket’s real estate market experienced a strong post-pandemic recovery, with villa sales surging as travel restrictions eased. In 2022, 149 villas were sold, surpassing the pre-pandemic level of 131 in 2019 and marking a 338 percent increase from 2021 (Source: Bangkok Post. By 2023, sales continued to accelerate, with CBRE reporting a record 400 resort villa transactions, quadrupling the annual average. The condominium market also rebounded significantly, with 1,966 condo transfers recorded in 2022, up from 1,425 in both 2021 and 2020.
Mallorca’s property market demonstrated resilience during the COVID-19 pandemic, experiencing only minor fluctuations rather than a significant decline. Pre-pandemic, prices steadily increased from €2,534/m² in March 2018 to around €3,056/m² by November 2019. During the height of the pandemic, prices remained stable, with March 2020 showing €3,061/m² and December 2020 at €3,091/m². By December 2021, prices had risen further to €3,291/m², reflecting a steady recovery. The post-pandemic market saw a significant surge, reaching €3,488/m² by July 2022, as international travel fully reopened. This stability suggests that Mallorca’s luxury real estate sector is underpinned by strong long-term demand rather than short-term volatility. (Source: Idealista)
Both Phuket and Mallorca boast resilient and thriving real estate markets, but they operate under different economic structures:
- Phuket: Primarily a cash-driven market with minimal reliance on lending. The lack of mortgage dependency protects it from financial volatility, ensuring long-term stability. The market is fueled by tourism-driven demand, and many buyers are high-net-worth individuals from Asia, Europe, and Russia.
- Mallorca: A leverage-based market where financing plays a significant role. Mortgage availability and interest rates influence market trends, creating occasional fluctuations. However, Mallorca remains one of Europe’s most sought-after destinations, offering strong long-term appreciation.
Despite their differences, both markets have rebounded strongly post-COVID, demonstrating continued investor confidence and desirability.
Legal Ownership & Investment Considerations
Mallorca (Spain)
Overseas buyers in Mallorca benefit from direct freehold ownership, allowing them to register property in their own name. This provides a clear and transparent ownership structure, which can simplify future resale. However, corporate ownership structures are sometimes used in the luxury segment for tax efficiency.
Phuket (Thailand)
Foreigners cannot directly own land in Thailand, but they can acquire freehold ownership through a Thai limited company. This requires:
- A legally compliant company which has been set up in order to generate income and not be purely holding vehicle for the freehold land.
- Compliance with Thai corporate laws, ensuring at least 51 percent Thai shareholding. The Thai shareholders need to have an interest in the company cannot be purely nominees.
- Some high-net-worth buyers use offshore companies as the foreign shareholding for tax efficiency.
The government of Thailand has recently made concerted efforts to fully enforce the Thai law concerning the use of companies by foreigners to hold the freehold of villas and land – it is now crucial to ensure corporate structures are fully compliant. However, when handled correctly, these structures remain a feasible and well-established method for luxury property ownership.
Closing Costs: Mallorca vs. Phuket
- Mallorca: Buyers should factor in closing costs of around 13 percent, including transfer taxes, legal fees, and notary fees.
- Phuket: Closing costs are lower, typically anything up to 6 percent of the declared property value (excluding lawyers fees). However, corporate setup fees may add additional expenses.
Key Takeaways
More Property for Your Money in Phuket – Buyers generally receive larger villas and plot sizes in Phuket for the same investment compared to Mallorca. This is due to differences in land values and development costs.
Higher Closing Costs in Mallorca – Government taxes and fees in Mallorca (around 13 percent) are higher compared to Phuket (up to 6 percent), excluding legal fees.
Simpler Ownership Structure in Mallorca – Freehold can be registered directly in the buyer’s name, while Phuket requires a corporate structure. However, for high-net-worth buyers, corporate ownership is common practice.
Both markets are robust, stable and driven by international tourism:
- Phuket offers a cash-driven market with long-term stability with little leverage as foreign buyers are unable to obtain mortgages for property in Thailand.
- Mallorca has a strong overseas demand and long-term appreciation. Mortgages are available to foreign investors.
Ultimately, it’s about personal preference. Both destinations offer world-class properties in breathtaking locations, making the choice a matter of lifestyle choice rather than purely financial factors. While Phuket offers larger properties for the same price tag, and a lower transfer fees and taxes, Mallorca provides a cleaner, freehold ownership structure. In the super-luxury sector, high-net-worth investors are well-acquainted with corporate ownership models, making both markets viable choices.
