Samui Properties
Although restrictive laws still mean that legal ownership of property is quite complex in Thailand, investors on Koh Samui have long been confident that the advantages exceed the risks. Long term renewable leases are now a commonly accepted option for home buyers, while steady growth, combined with what many see as the perfect lifestyle, guarantee the island's enduring appeal as an enticing, safe and profitable place to buy property.
When Samui first became internationally known as a major holiday destination, newly built properties - standing alone as well as others located within larger developments, drew high levels of demand from around the world. Monied investors took advantage of low priced land and labour to build a wide range of properties in various locations around the island. These were then offered to investors at prices well below the market rate and the island's spiraling reputation as a natural escape, combined with its constantly growing reputation as an top class tourist destination meant the natural, tropical scenery soon became peppered with private residences and multi-use residential projects.
New homes quickly appeared next to the best beaches, others perched on the coastal hillsides, and some were even hidden in the island's forested interior. Most of the properties were built or bought by foreign investors, and this continuous investment soon caused a significant rise in property prices. The people who originally built or purchased properties in the best locations on Koh Samui saw fast and impressive returns on their investments, but the fast pace of development gradually cooled the market, creating a more long term investment landscape that still exists today.
When the the global economic slowdown reduces investment levels, the island's property market also dropped off, which saw prices evening out as the supply of properties gradually began to equal demand. This obviously caused a significant reduction in the number of property sales overall, but also leveled the playing field in terms of prices and the quality of facilities on offer to buyers. Committed, well funded developers and individuals saw the calmer market as an opportunity to raise their game. This eventually resulted in significant improvements in the quality of construction, as well as the introduction of structural guarantees and assurances that were previously only common in more developed property markets.
As the overall standards of quality and luxury have improved on Samui, so have the expectations of investors and visitors, especially with more people purchasing homes as a holiday or retirement haven rather than simply to realise a return on their investment. The trend towards a more sophisticated market place, prompted the local government to apply for better funding from Bangkok, which means the island's infrastructure has followed suit. Improved roads, street lighting, drainage and basic amenities are already in place in most parts of the island making daily life much more convenient for both international and local residents than it was a few years ago. Such upgrades have also drawn a significant increase in corporate investment, both in the hospitality and residential sectors, with well known brand names now offering the very best in design, comfort and service to those in search of high end amenities.
Many of the large scale investors currently entering the island's property market are building developments that combine resort amenities with private residences aimed at high net worth individuals. The number of exclusive private villas has also increased dramatically, to the point where new luxury residential areas have developed in some of Samui's more remote and therefore beautiful locations. Koh Samui continues to offer buyers a wide range of attractive investment opportunities that blend an indulgent lifestyle with a beneficial long term investment.
Obviously, island rules, regulations and legal procedures can differ considerably from those that are standard in place like Europe and the United States. Potential property buyers should therefore seek the services of a reputable agent such as EP Samui before entering into a purchasing agreement. Professional staff are then on hand to offer valuable and practical help and guide investors through what can still be quite a complex purchase process.
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