Comparing the real estate performance of three tourist cities, "Chiang Mai-Phuket-Samui," which are attracting foreign investment.

The housing market in major tourist cities is showing signs of adjustment, reflecting real purchasing power. Chiang Mai is relying on overseas portfolios to drive growth in the condominium market, while Phuket and Koh Samui are experiencing a slowdown in new supply, rushing to clear existing stock and stockpile demand from wealthy foreigners as a mitigation measure.

August 8, 2569 — Mr. Arkadej Udomsirithamrong, Deputy Chief Executive Officer, Ornsirin Holding Company Limited (Public Company) ORN revealed an overview and direction of the real estate business in the country's major tourist cities, stating that it is facing significant changes in consumer behavior and economic conditions. This forces developers to urgently adjust their strategies and diversify risk outside of Bangkok and other tight major cities, moving to strategic locations with high potential and benefiting from foreign purchasing power.

Chiang Mai sees a broad recovery in Q1/2569: Foreign-owned condominiums surge 41.9%.

The housing market in Chiang Mai province began showing significant signs of recovery in the first quarter of 2026, with the total value of property transfers across all categories reaching 7,344 million baht, a 5.4% increase compared to the same period last year (YoY). This was broken down into 5,751 million baht for low-rise properties (a 1.2% YoY growth) and 1,592 million baht for condominiums (a significant 24.1% YoY growth). This marks two consecutive quarters of growth since the fourth quarter of 2025, when growth was 20.9% YoY.

A key driver of the Chiang Mai condominium market is demand from foreigners. Data from the first quarter of 2026 shows that 199 units were transferred to foreigners, valued at 566 million baht. This represents a 17.8% growth in the number of units and a significant 41.9% increase in value compared to the first quarter of 2025, which saw a value of 399 million baht.

A deeper dive into the top 10 nationalities with the highest number of condominium transfers in Chiang Mai reveals that China ranks first with 92 units, valued at 264 million baht (average price of 2.9 million baht per unit). Second is the United States with 21 units, valued at 61 million baht. Third is Myanmar with 17 units, valued at 35 million baht, followed by Taiwan with 10 units, valued at 23 million baht, and finally the Netherlands with 8 units, valued at 22 million baht. The 6th to 10th positions are held by Israel (7 units), South Korea (6 units), the United Kingdom (5 units), Singapore (4 units), and Canada (4 units), respectively.

“The real estate market in tourist cities like Chiang Mai has significantly benefited from the recovery of the tourism sector, the transient population, and long-stay residents, especially foreign customers from Myanmar, China, and Europe, who continue to have a strong demand for properties,” Mr. Arkadech stated.

Phuket accelerates inventory clearance: New supply slows but foreign transfers total 2,435 million baht.

Turning to the Andaman region, specifically Phuket, the real estate market in the second half of 2025 (H2-2568) saw total property transfers valued at 5,365 million baht, a decrease of 9.0% year-on-year. This was broken down into 2,744 million baht for low-rise properties (a decrease of 9.9% year-on-year) and 2,621 million baht for condominiums (a decrease of 7.9% year-on-year). Meanwhile, new supply contracted significantly to 50,171 million baht, down from 105,921 million baht in H2-2024. Similarly, new sales declined to 29,013 million baht from 96,178 million baht. As a result, the remaining supply accumulated to 193,741 million baht.

However, Phuket maintained its third-place position in the country in terms of foreign condominium transfer value in Q1 2026 (after Bangkok with 6,138 million baht and Chonburi with 3,147 million baht), with 420 units, representing 13.0% of the country's total and a transfer value of 2,435 million baht, accounting for 18.1% of the total foreign transfer value nationwide.

The growing interest in the Phuket market has led Orasirin Holding Public Company Limited to expand its business base into the South. Mr. Arkadech pointed out that the "ARISE VIBE PHUKET" condominium project has achieved rapid pre-sales exceeding 70%, reflecting strong demand from foreign investors seeking to invest in and reside in a high-potential location.

Koh Samui ranks number one among emerging destinations: Transfer value grows against the trend by 4.8%.

For real estate on Koh Samui, it's considered a Blue Ocean location with value growth that defies many other areas. In the second half of 2025 (H2-2568), Koh Samui had a total property transfer value of 1,945 million baht, growing 4.8% YoY. This was divided into 1,512 million baht for low-rise properties (a decrease of 4.4% YoY), but condominiums saw a dramatic increase of 59.1% YoY, reaching 431 million baht (compared to 271 million baht in H2-2024).

In terms of new project launches (New Supply), H2-2025 was valued at 2,055 million baht, while new sales totaled 1,654 million baht. The remaining supply stood at 10,738 million baht, which is considered a level of supply that the market can gradually absorb.

The potential of Koh Samui has led Orasirin to prepare for the launch of "THE ATRA SAMUI," a luxury low-rise condominium project valued at 770 million baht, targeting global investors. This is part of a plan to launch four new projects totaling 3,158 million baht in the second half of the year.

“Koh Samui is a blue ocean market that is still in its early stages of expansion and has significant growth potential. Foreign customers from Myanmar, China, and Russia in these tourist destinations show confidence by making down payments as high as 30-50%,” said Mr. Arkadech.

Nationwide overview: Resale homes account for 67% of the market, with the high-end market (prices exceeding 7 million baht) slowing down.

Considering the overall picture of residential property transfers across the country in the first quarter of 2026, the total number was 72,583 units, growing by 11.2% YoY (divided into 48,746 units of low-rise housing, an increase of 12.2% YoY, and 23,837 units of condominiums, an increase of 9.3% YoY).

The nationwide property transfer structure, broken down by type of housing, reveals that "second-hand homes" constitute a large portion, accounting for 67% (48,446 units, a 13.8% YoY increase), while "new homes" account for 33% (24,137 units, a 6.2% YoY increase). Looking at price levels, the group priced under 7.00 million baht saw a 12.7% YoY increase in total transfers (new homes grew 8.7%, second-hand homes grew 14.7%). Conversely, the group priced above 7.00 million baht experienced a system-wide decline of 14.8% YoY (new homes decreased by 14.1%, second-hand homes decreased by 16.1%), reflecting tighter purchasing power in this price range.

For the overall picture of condominium ownership transfers to foreigners nationwide in the first quarter of 2026, there were 3,241 units (a decrease of 17.3% YoY), with a value of 13,464 million baht (a decrease of 17.9% YoY). The top three nationalities with the highest transfer values ​​were: 1st place, "China," 3,493 million baht (25.9%); 2nd place, "Russia," 1,665 million baht (12.4%, a growth of 68.7% YoY); and 3rd place, "Myanmar," 968 million baht (7.2%).

The market correction in the three major tourist cities – Chiang Mai, Phuket, and Samui – clearly reflects that developers who want to survive financial volatility must focus on products that meet real demand and be able to attract financially ready foreign investment to compensate for the decline in the domestic market in a timely manner.