Samui and Phangan boom as 61bn-baht property investment hub

The property markets on Koh Samui and Koh Phangan are entering a major turning point, shifting from tourism destinations into Thailand’s new “Investment Hub” after receiving continuous support from foreign investment and rising purchasing power among international investors.

This has driven strong growth in both the residential market and land prices over the past one to two years.

Phattarachai Taweewong, Director of Research and Communications at Colliers Thailand, said the current growth direction of Samui and Phangan resembles the expansion of Phuket’s property market around five years ago.

However, the islands still have one major advantage: land prices remain significantly lower than in Phuket. This means the area is still in the early stage of its growth cycle and has strong potential for further expansion in the future.

Over the past two years, land prices on Koh Samui and Koh Phangan have risen sharply, reflecting demand from both Thai and foreign investors. Buyers are particularly interested in holiday homes, long-term investment assets and leasehold ownership structures.

Rising demand has pushed land prices higher in several locations, while many investors increasingly view Samui and Phangan as emerging markets with the potential to generate higher returns than fully developed markets.

Data from the first quarter of 2026 showed that the residential market on Koh Samui and Koh Phangan had a total of 154 projects currently for sale, comprising around 2,860 units, with a combined investment value of more than 61.14 billion baht.

Although supply has continued to increase, many projects — especially holiday homes and condominiums in high-potential locations — have been able to sell out quickly.

This reflects still-strong purchasing power, with foreign investors forming the main customer group. The popularity of leasehold ownership has also made foreign buyers a clear force shaping the direction of the property market in the area.

Another important signal of the market’s potential is the accumulation of land by major property developers from Bangkok and other regions as they prepare to launch new projects in the future.

This is especially true in the condominium market, where supply remains relatively limited compared with demand, resulting in a high absorption rate.

That has encouraged more developers to move into the market. In 2026, several major developers — including Supalai, Ornsirin Holding and a number of listed companies — are expected to continue launching new projects in the area to compete for market share in this fast-growing segment.

Although the overall market remains on an upward trend, Colliers warned that the success of future projects will not depend on market momentum alone.

Developers must place strong emphasis on careful verification of land title documents and selecting locations with clear demand. Location quality, buyer structure, pricing level and product suitability will be key indicators of long-term competitiveness.

The inflow of foreign capital, the expansion of quality projects and the arrival of major developers are transforming Samui and Phangan from “world-class tourism islands” into a new property investment hub for Thailand.

If this trend continues, the area could become another international property market with growth potential comparable to Phuket in the future.