2 Beds Townhouses For Sale in Phuket

Townhouse for Sale in Phuket: Market Overview and Area Guide

Phuket’s real estate market is experiencing robust growth, and townhouses have become an attractive segment for both local and foreign investors. This comprehensive guide provides an in-depth analysis of Phuket’s townhouse market – from overall trends and investment potential to detailed area-based insights. Written in a formal, investor-savvy tone, the article focuses exclusively on townhouses (terraced or “townhome” properties) and examines how each key area of Phuket is performing in this sector.

Phuket Townhouse Market Overview

Supply, Demand, and Pricing: Townhouses are a common sight across Phuket, found in suburban communities and along major roads. They cater to a broad market – from affordable units aimed at local first-time buyers to upscale residences targeting international purchasers. On the affordable end, typical new townhouses in Phuket start as low as ฿3–4 million for basic two-story homes geared toward the domestic market. In fact, the majority of new townhouses fall in the ฿2–5 million price bracket, reflecting strong local demand for mid-range housing. At the same time, there is a growing selection of luxury townhomes built with foreign buyers in mind – featuring modern designs, sea views, and premium locations – which can command prices up to ฿30–40 million in prime coastal areas. Overall, the median sales price for a townhouse in Phuket hovers around ฿5 million, but actual values vary significantly by location and property specifications.

Buyer Demand Trends: Demand for Phuket property has surged beyond pre-pandemic levels, driven by both domestic buyers and overseas investors. Notably, Russians have become dominant foreign buyers on the island, accounting for about 70% of foreign purchases in 2023, a trend expected to continue. Chinese buyers are also returning to the market, alongside steady interest from European investors seeking holiday homes. This international influx complements sustained local demand; Phuket’s growing population and prosperous Thai middle class have fueled the development of numerous townhouse projects catering to Thai families. According to market surveys, Phuket had roughly 100 active townhouse projects with 10,000 units by early 2024, and most of those units have already been absorbed by buyers – indicating healthy demand. Market observers note that 63% of all units sold in 2023–24 across Phuket were priced at ฿8 million or below, underscoring buyers’ focus on affordable and mid-range properties (a segment where townhouses are well-represented).

Supply and Developments: New supply of townhouses is concentrated in specific districts. Northern Phuket (Thalang District) has seen the highest volume of residential development, capturing about half of all new housing units on the island – particularly in areas like Bang Tao and its surroundings. Mueang District (which includes Phuket Town, Chalong, Rawai, etc.) also hosts many projects, while Kathu District (Patong and Kathu areas) has comparatively fewer new builds due to limited land and a mature market. Overdevelopment of shophouse-style townhomes in years past led to some vacancies, but this has been partially alleviated by new commercial tenants (for example, many empty shophouses were recently occupied by emerging businesses such as wellness clinics and specialty shops). Overall, around 403 townhouses are listed for sale on the market currently, indicating ample choice for buyers, though the high absorption rate suggests that quality units in good locations do not remain unsold for long.

Investment Potential and Yields: Townhouses in Phuket offer compelling investment potential, balancing the advantages of landed property with relatively accessible pricing. Rental yields are healthy by international standards – gross yields of 5% to 8% annually are commonly projected for Phuket residential investments, depending on location and rental strategy. Properties in prime tourist areas (e.g. near popular beaches or nightlife) can achieve the higher end of that range or beyond, especially if rented short-term to vacationers, while townhouses in local residential areas tend to yield closer to mid-single-digit returns from long-term tenancies. Investors are also eyeing capital appreciation: Phuket’s real estate values are forecasted to grow 5–7% per year in the mid-term, spurred by infrastructure upgrades and the island’s enduring appeal. Indeed, new infrastructure projects – such as the planned expansion of Phuket International Airport and improved road networks – are expected to boost property values by an estimated 10–15% over the next few years. Townhouses stand to benefit from these gains, particularly those in locations poised for better connectivity or enhanced amenities. It’s worth noting that about two-thirds of Phuket’s real estate investment (by value) is currently funneled into vacation-oriented properties for foreigners, while only one-third targets regular local housing. Townhouses straddle this divide: the lower-cost units largely serve local needs, whereas upscale townhomes in resort areas form part of the “vacation home” investment category sought by overseas buyers.

Foreign Ownership Considerations: International investors should be aware of Thailand’s property ownership laws. Foreigners cannot own land outright in their name, which means a townhouse (being a landed property) cannot be owned freehold by a foreign individual. However, foreigners can hold the structure itself and have usage rights through mechanisms like long-term leaseholds (typically 30 years, renewable) or by purchasing via a Thai company structure. In practice, many foreign investors acquire townhouses on a leasehold basis or in the name of a Thai spouse or company, while others opt for condominium units (where foreign freehold ownership is permitted) if they prefer outright ownership. Despite these legal nuances, Phuket’s market remains very accessible to foreign capital – it’s routine for developments to offer 30-year renewable leases on townhomes for international buyers, and strong demand from foreigners continues to shape the upper end of the townhouse market. As always, professional legal advice is recommended to navigate ownership structures, but the key takeaway is that investing in a Phuket townhouse is feasible and common for foreigners (through leases or corporate entities), allowing them to participate in the island’s booming property sector.

With the overall market context set, let’s delve into area-by-area analysis. Phuket is a diverse island with each locale offering a unique mix of lifestyle, infrastructure, and investment profile. Below, we examine several key areas for townhouses, including Phuket Town, Kathu/Patong, Chalong, Rawai/Nai Harn, Kamala/Surin, and Bang Tao/Laguna. For each, we highlight the local market conditions, typical pricing, demand drivers, and nearby amenities or developments that add value to townhouse investments there.

Phuket Town – Urban Convenience and Cultural Charm

Phuket Town (Phuket City) is the administrative and economic center of the island, known for its historic Old Town and urban conveniences. The townhouse market in Phuket Town is characterized by relatively affordable prices and steady local demand. Many townhouses here are two- or three-story terraced homes in Thai residential neighborhoods on the outskirts of the city center. It’s not uncommon to find units starting around ฿3–4 million for older or modest homes in Phuket Town’s suburbs, making this area a popular entry point for young families and local professionals. The median prices in town are lower than in the tourist coastal areas, reflecting the primarily local buyer base. Townhouses in residential estates near Phuket Town often range roughly ฿3–8 million depending on age, size, and location. Notably, some of the island’s earliest townhouse developments were built around the city, so there is a mix of decades-old rowhouses (which may be ripe for renovation) and newer townhome projects offering modern designs at mid-range prices.

Buyer Profile & Demand: Demand in Phuket Town is driven largely by long-term residents – Thai government officers, business owners, and expats working in Phuket who need year-round housing. The area’s appeal lies in convenience: living in town means easy access to workplaces, schools, shopping, and hospitals. Unlike the resort areas, Phuket Town is not dependent on tourist inflows, so the housing market tends to be more stable and less seasonal. Rental demand for townhouses here comes from local families and expatriates who prefer an urban living environment. While rents (and thus rental yields) in Phuket Town are modest compared to beachfront areas, investors can still expect stable returns in the ~5% range from long-term rentals, backed by a consistent pool of tenants such as teachers, hospital staff, and office workers. Additionally, Phuket Town has seen a cultural revival that boosts its real estate desirability – the beautifully preserved Sino-Portuguese shophouses in Old Town now host trendy cafes, boutiques, and art galleries, drawing in a creative expat community and entrepreneurs. Some investors purchase heritage shophouse-style townhouses in Old Town (Talat Yai and Talat Nuea areas) to convert into boutique hotels, cafes, or offices. These heritage properties can be quite expensive relative to typical townhouses (often exceeding ฿10–15 million for a well-located, restored shophouse) due to their commercial potential and historical value.

Infrastructure and Amenities: Phuket Town offers robust infrastructure that underpins its property market. The city is home to the island’s top hospitals (Bangkok Hospital Phuket, Mission Hospital, Vachira Hospital), several shopping centers (Central Festival and Central Floresta mega-malls are technically just across the border in Kathu District but essentially serve Phuket Town), and numerous educational institutions. Government offices and corporate headquarters for Phuket are mostly in town, providing ample employment opportunities. For townhouse owners, this means everything is within reach – from fresh markets and supermarkets to cinemas, international schools, and dining options spanning local street food to fine restaurants. The local government has also invested in improving Phuket Town’s liveability, with projects like public parks, upgraded roads, and new underpasses to ease traffic congestion on major junctions. Notably, the Phuket Smart Bus and local transit routes connect Phuket Town to other parts of the island, and a proposed light rail line is planned to terminate in Phuket City in the future, which would further enhance connectivity (linking the city to the airport and southern beaches if the project materializes by the 2030s). While Phuket Town lacks beaches, it compensates with culture and convenience. The Old Town district is a tourist attraction in its own right – with the Sunday night market and restored historical architecture – adding a unique charm that can increase property values in those quarters. In summary, Phuket Town is a highly practical location for townhouse investment if the goal is steady long-term growth and rental occupancy from year-round residents. Prices are lower than coastal areas, yet the upside includes future infrastructure developments and the city’s growing status as a cultural and commercial hub of southern Thailand.

Kathu & Patong – Central Accessibility and Tourist Hotspot

Kathu is a district in central Phuket that spans from the island’s interior to the west coast, encompassing both the Kathu sub-district (a largely local residential area between Phuket Town and Patong) and the world-famous Patong Beach. Together, Kathu and Patong present a diverse picture for townhouse investors, combining the advantages of central accessibility with the high-energy tourism of Patong.

Townhouse Market and Pricing: In inland Kathu (outside of Patong), townhouses are primarily found in local residential developments and mixed communities. These are popular among Thais and expats who work in either Phuket Town or Patong, since Kathu is geographically in between – living here offers a short commute to both the city and the beach. Typical townhouses in Kathu might be priced around ฿4–7 million for a 2–3 bedroom unit in a well-kept estate. Some older or smaller townhomes can be found under ฿4 million, especially if they are simple Thai-style townhouses along the main roads. On the higher end, Kathu has a few upscale townhouse projects (for example, near the Loch Palm and Red Mountain golf courses) which feature modern designs, golf course views, or larger floor plans; these can command ฿8–12 million. Kathu’s appeal is its value for money – buyers get more space or a small garden at a given price point than they would in the more touristy locales.

Moving to Patong, the scene changes: Patong is Phuket’s prime tourist hub, famous for its beach, shopping, and nightlife. Land is scarce and costly in Patong, so standalone townhome developments are limited. However, there do exist rows of townhouses and shophouses tucked in Patong’s side streets (for instance, in Nanai Road area, and behind the main beach road). These units often serve dual purposes – some are residential, while others have been converted into guesthouses, hostels, restaurants or offices. Pricing in Patong for townhouses tends to be higher due to the commercial potential. A basic 2-3 story townhouse in Patong might range from ฿6–10 million, and if it’s very close to the beach or on a prime commercial street, the price can escalate significantly (a shophouse on Bangla Road or beachfront road can exceed ฿20–30 million purely for its business location value). Investors interested in Patong townhouses should distinguish whether the property is intended for private residential use or for generating business income. On average, a standard residential-style townhouse slightly outside the busiest core of Patong can be found in the mid-single-digit millions baht, whereas anything in the heart of the tourist district comes at a premium.

Rental Demand and Yields: The Kathu-Patong area offers two different rental markets. In Kathu (inland), rental demand comes from local families, university students (as Kathu hosts a campus of Prince of Songkla University), and expats working nearby or in the adjacent Phuket Town. Rental yields here are solid but unremarkable – one might expect around 4–6% annual gross yield from a Kathu townhouse, since the tenant base is price-sensitive (being locals or long-term residents). Occupancy, however, is generally consistent year-round due to the steady population. Patong, on the other hand, has the potential for much higher yields but with caveats. Thanks to Patong’s status as a tourism capital, a townhouse there could be rented short-term to tourists (e.g., as a holiday let or through platforms like Airbnb) at high nightly rates. This can push gross yields into double digits in peak season. Some owners operate townhomes as mini guesthouses or holiday rentals, capitalizing on Patong’s nearly 8 million annual tourists. However, short-term rentals in Thailand come with legal and management complexities (strictly speaking, renting out private houses for under 30 days requires a hotel license). Alternatively, townhouses in Patong can be leased to businesses (restaurants, shops, etc.), providing rental income linked to commercial leases. Those investors who secure reliable commercial tenants can see very attractive long-term returns. Overall, Patong offers high-risk, high-reward potential: when tourism is booming, returns are excellent; but during downturns (such as the recent pandemic), properties reliant on tourists can see prolonged vacancies. In contrast, Kathu provides lower volatility and stable occupancy, though without the extreme peaks in rental income.

Local Infrastructure and Developments: Kathu and Patong benefit from significant infrastructure and upcoming projects. Patong is well-developed, with major shopping centers (Jungceylon Shopping Mall and the newer Central Patong), countless restaurants and entertainment venues, international clinics, and of course the famous Patong Beach with its water sports and seaside activities. For residents of a Patong townhouse, this means being in walking distance to a vibrant array of amenities. Kathu’s interior, while quieter, is not lacking either: it has the Central Festival/Floresta malls and Bangkok Hospital just a short drive away (toward Phuket Town), plus local supermarkets, the Kathu Fresh Market, and leisure attractions like the Phuket Cable Ski & Water Park and the Tiger Kingdom. One of Phuket’s largest golf clusters is in Kathu – the scenic Loch Palm and Red Mountain golf courses – which adds recreational value and has spurred some higher-end housing nearby. Importantly, major infrastructure is on the way. A planned Kathu-Patong Expressway (tunnel) has been approved to improve the connectivity between Patong and the rest of Phuket. Commonly referred to as the “Patong Tunnel”, this project (budgeted around ฿14–16 billion) will create a 3.9 km expressway including a 1.85 km tunnel through the mountain. Construction is expected to commence by 2025–2026 and complete by 2029, which would drastically cut travel times between Patong and Phuket Town/the airport. Investors anticipate that easier access will further boost Patong property values in the long run, as one perennial drawback – road congestion on the hilly current route – will be addressed. Additionally, Phuket’s light rail project, if it proceeds, will have a station in Kathu and ultimately connect to Patong via feeder systems (though the rail’s timeline is uncertain). Beyond transit, Kathu benefits from proximity to international schools (Kajonkiet International School and others are in the broader area) and medical facilities. All these factors make Kathu & Patong a strategically important area: Kathu offers convenience and value, while Patong offers unmatched tourist activity, and together they ensure townhouses here remain in high demand for various uses.

Chalong – Marine Hub with Local Lifestyle

Chalong is a prominent residential area in the southern part of Phuket, positioned on the east coast of the island. Centered around Chalong Bay and its iconic pier, this area serves as a marine transportation hub and a gateway to many neighboring islands. Chalong has a distinctly local-meets-expat vibe – it’s not as tourist-saturated as the west coast beaches, yet it’s very popular among expatriates living in Phuket. The townhouse market in Chalong has grown steadily, offering relatively affordable homes with a convenient location for those who want to be close to both city amenities and the leisure options of the south.

Market Characteristics and Pricing: Townhouses in Chalong are typically found in small estates or lining side streets off the main Chaofa East and Chaofa West Roads (the two major roads that run north-south through Chalong). Many of these properties are owned or occupied by families and long-term foreign residents. Price-wise, Chalong’s townhouses tend to be in the low-to-mid range for Phuket. A standard two-story, 2–3 bedroom townhouse in Chalong might cost around ฿3.5–6 million depending on age and proximity to main roads. Newer or larger townhomes with 3+ bedrooms, modern fittings, or those in gated communities can be in the ฿6–9 million range. There are also occasional bargains – older townhomes in need of renovation can list for as low as ~฿2.5–3 million, reflecting the primarily local market. Overall, Chalong provides good value: buyers can find spacious townhouses at a fraction of the price of similar-sized properties in the west coast areas. Because Chalong is not a primary tourist destination (the bay’s shore is used for piers and boating, not swimming beaches), land values remain more moderate, which is reflected in townhouse pricing.

Demand and Rental Market: Chalong draws a mix of Thai and foreign buyers who appreciate its centrality in the south. From Chalong, one can drive to Phuket Town in 15–20 minutes, to Kata/Karon beaches in about 10 minutes, or to Rawai/Nai Harn in 10–15 minutes. This makes it a strategic home base. The presence of international schools (for example, BCIS and Lighthouse International School are in the Chalong area) and medical facilities (Dibuk Hospital and Phuket International Hospital are within reach) adds to its appeal for families. The rental market in Chalong is buoyant, particularly for long-term rentals. Many expats who work remotely or engage in the local dive industry (Chalong Pier is the main departure point for scuba diving excursions) choose to rent in this area. Additionally, Chalong has become famous for its “Soi Ta-Iad” fitness street, a road lined with Muay Thai training camps, gyms, and health cafés that attracts fitness enthusiasts from around the world. These visitors often stay for training periods of 1–3 months and seek nearby accommodations. As a result, some townhouses in Chalong are rented on a monthly basis to Muay Thai trainees or wellness tourists. Such niche demand can provide landlords with flexible rental strategies: one can do medium-term rentals at higher monthly rates (catering to rotating expat trainees), or traditional year-long leases to residents. Expected rental yields in Chalong are in the range of 5%–6%, given the reasonable property prices and steady demand. The tenant profile is more stable (long-stay) than transient holidaymakers, which means less vacancy risk. It’s also worth noting that Chalong’s expat community is quite sizable, so word-of-mouth and local networks often ensure townhouses do not stay vacant for long if priced correctly.

Infrastructure and Lifestyle: Infrastructure in Chalong has improved significantly in recent years. A major boost was the completion of the Chalong Underpass in 2019 – a tunnel that bypasses the previously congested Chalong Circle (the roundabout junction connecting Chalong with Rawai, Kata, and Phuket Town). This infrastructure upgrade dramatically eased traffic snarls and made commuting through Chalong much faster, benefiting residents and raising property attractiveness. The Chalong Pier is a vital piece of infrastructure as well: it’s the largest deep-water jetty in Phuket, meaning residents have unparalleled access to boating and island-hopping activities. Many yacht charters, fishing trips, and ferries to islands like Phi Phi depart from here, making Chalong ideal for those who enjoy a boating lifestyle. In terms of amenities, Chalong has everything for day-to-day living: supermarkets (Tesco Lotus Park, Makro, and Villa Market are in the vicinity), hardware and furniture stores, and a variety of restaurants (from local Thai eateries to international cuisine catering to the expat palate). One of Phuket’s most revered cultural sites, Wat Chalong (Chalong Temple), is located here – a beautiful Buddhist temple that attracts many visitors and adds cultural significance to the area. Chalong is also adjacent to Rawai and Kata, meaning leisure options like beaches (Kata Beach, Nai Harn Beach) and dining in Rawai’s seafood market are a short drive away. Importantly, Chalong stands to benefit from future infrastructure: the proposed Phuket Light Rail’s Phase 1 is planned to terminate at Chalong circle, connecting it directly to the Phuket International Airport and Phuket Town. While this project’s timeline has been pushed back, if it comes to fruition it would be a game-changer for Chalong’s connectivity.

In summary, Chalong offers a balanced lifestyle – it’s not as sleepy as Rawai, nor as frenetic as Patong. For townhouse investors, Chalong represents a solid location with affordable entry prices, a dependable rental pool (from both expats and locals), and the promise of continued growth as Phuket’s southern hub for marine and wellness activities.

Rawai & Nai Harn – Expat Haven in the South

On the southern tip of Phuket lie the neighboring areas of Rawai and Nai Harn, often mentioned together for their close proximity and complementary characteristics. Rawai is a coastal village known for its expat community and laid-back atmosphere, while Nai Harn (just west of Rawai) is home to one of Phuket’s most beautiful beaches and a tranquil residential enclave. Together, Rawai and Nai Harn form a highly desirable locality for those seeking a relaxed tropical lifestyle – which directly influences the type of townhouses found here and their market dynamics.

Townhouse Characteristics and Prices: Rawai and Nai Harn are predominantly low-rise, residential zones (with building height restrictions near the coast), so townhouses and villas are more common here than high-rise condos. Townhouses in this area range from simple Thai-style rowhouses on interior streets to modern townhome units in small developments catering to foreigners. Pricing in Rawai/Nai Harn remains relatively moderate compared to Phuket’s west coast tourist centers. A typical 2-bedroom townhouse in Rawai might be listed around ฿4–6 million, and a 3-bedroom around ฿6–9 million, depending on exact location and property age. There are several recently built townhouse projects in Rawai targeting expat buyers; these often feature contemporary designs (sometimes with a small plunge pool or rooftop terrace) and are priced in the ฿8–12 million range for a spacious 3-bedroom unit. Conversely, older townhouses or those primarily aimed at the local market can still be found under ฿4 million, offering value opportunities for renovation or entry-level investment. Nai Harn, being more upscale due to its beach prestige, can see slightly higher prices – e.g., a modern townhouse near Nai Harn Lake or within a mile of the beach could be around ฿10–15 million, especially if it’s part of a boutique development with security or a shared pool. However, many Nai Harn properties are villas; townhouses here tend to be limited in number, so they often get similar interest as Rawai. Overall, Rawai/Nai Harn townhouses occupy the middle segment of Phuket’s price spectrum: generally more affordable than Bang Tao or Kamala, yet offering a higher standard of living and environment than the urban center, which appeals strongly to foreign residents.

Who’s Buying and Renting: Rawai and Nai Harn are favorites among expatriates and retirees. The community here is well-established – you’ll find a cosmopolitan mix of long-term residents from Europe, Russia, Australia, and beyond, many of whom have chosen the area for its peaceful seaside charm. These buyers often look for homes to live in (owner-occupiers), meaning the resale market for townhouses might involve selling to another expat/family rather than speculators. For investors, the tenant profile is equally expat-heavy. Rawai doesn’t have the booming tourist rental scene like Patong or Kata; instead, it’s known for attracting long-term renters – people who might stay for 6 months, a year, or multiple years. This includes digital nomads (drawn by the scenery and slower pace), retirees on yearly visas, and families (there are a few international schools and kindergartens in the south, and the environment is kid-friendly). The Issara Real Estate agency notes that Rawai and Nai Harn feature affordable townhouses with proximity to international schools and local markets, which underpins their family appeal. Indeed, within a short radius are schools like ISP (International School of Phuket) and Palm House School, as well as many nurseries – making it practical for those with children. Additionally, Rawai is known for its Muay Thai and wellness scene (along Soi Ta-Iad and elsewhere), so some health-conscious expats base themselves here. Rental yields in Rawai/Nai Harn for townhouses are typically around 5% give or take. Because purchase prices are reasonable, even relatively low monthly rents can produce decent yield percentages. For instance, a ฿6 million townhouse could rent for roughly ฿30,000–35,000 per month on a long-term lease to an expat family, which is about 6–7% gross yield. There is also a growing segment of semi-tourism rental: during high season, some owners rent out townhomes short-term to vacationers (especially units near Nai Harn Beach, since Nai Harn is a popular but not overdeveloped holiday spot). Holiday rentals can command high weekly rates here due to limited supply of accommodations in the immediate area; however, the volume of tourists in Rawai/Nai Harn is smaller and more seasonal compared to the main west coast beaches.

Local Lifestyle and Infrastructure: Rawai offers a distinctly laid-back coastal lifestyle. It’s not a swimming beach (the shoreline at Rawai Beach is used mostly for mooring long-tail boats and for its famous seafood market), but the views of the offshore islands and the casuarina-lined promenade give it a rustic charm. A highlight is the Rawai Seafood Market – a daily market where one can buy fresh catch and have it cooked at adjacent restaurants – this has become both a tourist attraction and a beloved local institution. The lifestyle drawcards of Rawai/Nai Harn include their natural beauty and recreational spots. Nai Harn Beach, in particular, is a gem: a powdery white sand beach flanked by green hills, consistently rated among Phuket’s top beaches. It is free of large hotels, making it uncrowded and clean, ideal for families and those who value serenity. Adjacent is Nai Harn Lake and park, popular for jogging, cycling, and community events. Promthep Cape, Phuket’s famous sunset viewpoint, is also in Rawai – a short drive from most townhouses, providing a stunning outing on any evening. For everyday infrastructure, Rawai has you covered with several supermarkets (Makro and Tesco Rawai for instance), convenience stores, pharmacies, and international eateries. There’s a large expat-oriented fresh market (Villa Market and Macro in Chalong are also a quick drive away). In recent years, Rawai has seen more cafes, co-working spaces, and wellness centers sprout up, reflecting the tastes of its international community. As for connectivity, while Rawai is at the far end of the island, the improved road network (notably the Chalong underpass reducing travel time northward) makes it reasonably accessible. A drive from Rawai to the main Central Festival mall is about 30-40 minutes. Public transport is limited (mainly local songthaews), but the area is car- and motorbike-friendly.

One can say Rawai/Nai Harn combine “luxury with relaxation”. They may not have glitzy developments or mega-projects, but that’s precisely their appeal – the ambiance is residential and tranquil. For investors, this means property here is bought for lifestyle as much as for profit. Townhouses in Rawai might not appreciate as explosively as those in rapidly developing areas, but they have shown steady appreciation in line with Phuket’s overall growth, and they provide a product that will always be in demand: a comfortable home in a peaceful beachside community. Given Phuket’s trajectory as a preferred location for retirees and long-stay foreigners (thanks to new long-term visa options and the island’s push to be a livable “Workation” destination), Rawai and Nai Harn’s popularity is likely to endure, supporting townhouse values in the long term.

Kamala & Surin – Upscale Coastal Living and Holiday Appeal

Located along Phuket’s central west coast, Kamala and Surin are two adjacent beach areas known for their upscale ambiance and scenic beauty. Kamala Beach is a curving bay north of Patong, while Surin Beach lies just further north. Both areas have transformed over the past decade into stylish, slower-paced alternatives to Patong – attracting high-end developments, luxury resorts, and affluent second-home buyers. For townhouse investors, Kamala and Surin offer exposure to a premium resort environment where demand is driven by lifestyle and holiday rentals.

Pricing and Property Types: The townhouse market in Kamala and Surin is smaller in scale compared to other areas (these locales have more villas and condos overall), but there are a few notable townhome projects and more traditional Thai townhouses in the village centers. Kamala, in particular, has seen some new townhome developments aimed at foreign buyers. These tend to emphasize modern design with luxury touches to fit the surroundings. A contemporary 2-3 bedroom townhouse in a Kamala gated community might be priced around ฿8–15 million, depending on its size and proximity to the beach. For example, projects like PP Grand Kamala (a townhouse development in Kamala) offer 2-bedroom townhomes of ~120–155 sqm that have been marketed in the mid-single-digit millions THB (e.g., ~฿5–6 million range). This indicates that while Kamala has upscale products, there are also mid-range opportunities. Surin, being a highly prestigious address with multi-million-dollar villas on the hills, has fewer townhouses available; any that exist or come up for sale can be priced on the higher side, often ฿10+ million, simply because of the land value in Surin. There have been instances of small townhouse clusters or duplex homes near Surin Beach targeting luxury buyers (sometimes branded as “villas” but essentially attached homes). Those can range widely in price, occasionally reaching ฿20 million or more if they offer panoramic sea views or are part of a five-star resort development. It’s worth mentioning that in Kamala/Surin, if a property is being sold as a “holiday home” with sea view or in a managed resort estate, prices can escalate beyond typical townhouse levels – blurring the line between a townhouse and a villa in pricing. However, in the general sense, one can still find non-sea-view townhouses in Kamala village at more modest prices (there are local rowhouses inland that might go for ฿4–5 million, usually older and occupied by locals). Thus the price spectrum is broad here, but the trend skews towards higher-end.

Appeal and Rental Potential: Kamala and Surin are ideal for those seeking stylish living near Phuket’s most stunning beaches. The buyer profile in these areas often includes international investors looking for a holiday retreat or a rental property that appeals to upscale tourists. Kamala, in particular, gained fame with the development of the MontAzure mixed-use project (featuring luxury condos, a lifestyle mall, and high-end villas) and the presence of the famed Café del Mar beach club. Surin has long been associated with luxury – Amanpuri (the first Aman resort) put Surin on the map decades ago, and the beach was once lined with trendy beach clubs (now removed to preserve nature) which cemented its chic reputation. For townhouses, this means that any available unit can leverage the area’s image to attract tenants. Holiday rental demand in Kamala/Surin is strong but targeted: tourists here are often families, couples, or retirees seeking a quiet and upscale vacation away from the Patong crowds. They might stay for a week or a month, preferring a home-like setting. A well-appointed townhouse with modern amenities can be very attractive to this segment, offering more space than a hotel room and a more private experience. Rental yields for short-term holiday lets can be high in peak season; for instance, a townhouse that might normally rent for ฿50,000 per month long-term could fetch that amount per week during Christmas/New Year weeks from vacationers. However, occupancy is seasonal – during low season months, demand drops significantly. On an annualized basis, investors might see yields in the 5–6% range here if they mix high-season short lets and low-season long lets, which is still solid given the high property values. Another aspect is that some buyers purchase townhouses here for personal use (as a vacation home) rather than pure investment, so the resale market might depend on finding like-minded lifestyle buyers. TheIssara Real Estate commentary highlights that Kamala & Surin are “perfect for holiday homes or rentals”, underlining that dual-use nature.

Lifestyle and Infrastructure: The lifestyle in Kamala and Surin is one of relaxed luxury. Kamala Beach is a draw for its calm waters (especially in dry season) and family-friendly atmosphere; it’s home to expat residents and some long-stay retirees as well. The town of Kamala has developed to support its community: there are now minimalls, a Big C supermarket, local markets, and numerous restaurants (ranging from local Thai food to western cafés and fine dining in the resorts). A unique attraction in Kamala is Phuket FantaSea (a long-running cultural theme park with evening shows) and the newly opened Carnival Magic show, adding entertainment options and bringing visitors to the area at night. Surin Beach, meanwhile, is a smaller community – its main allure is the beach itself, which is one of Phuket’s most picturesque with emerald water and powder sand. After the clearing of commercial venues from Surin beachfront (as part of a government push to keep beaches public and natural), the area remains quieter, with luxury hotels set just back from the shore. There’s a park and open space near the beach now, and a few upscale restaurants and shops in the vicinity. For daily needs, residents of Surin often go to nearby Cherng Talay (5-10 minutes away) where large groceries and shops are located. In terms of connectivity, Kamala and Surin are about 25-35 km from Phuket International Airport (roughly a 40-50 minute drive). The main road linking them to Patong (south) and to Bang Tao/Laguna (north) is a winding coastal road that is adequately maintained and offers spectacular views. While there’s no major infrastructure project specific to Kamala/Surin announced, they indirectly benefit from overall improvements in the island’s transport network and the growth of the nearby Laguna area’s facilities. Notably, the presence of upscale hospitality (for example, Twinpalms Surin, InterContinental Phuket in Kamala, and numerous luxury villas) ensures that local authorities keep the area well-maintained and secure, which in turn supports property values.

In conclusion, Kamala and Surin represent the high-quality resort lifestyle. Townhouse investors here are essentially buying into a premier location that will attract a discerning clientele. The areas remain relatively low-density and exclusive, a factor that bodes well for long-term value as Phuket’s more crowded spots continue to densify. As long as Phuket remains a coveted holiday destination, Kamala and Surin should continue to be “perfect for holiday homes or rentals”, offering both enjoyment and investment returns.

Bang Tao & Laguna (Cherng Talay) – Luxury Resort Community with Strong Growth

On Phuket’s northwest coast, the Bang Tao area – including the Laguna Phuket resort complex and the surrounding Cherng Talay sub-district – has emerged as one of the island’s most desirable locales for property investment. Known for its long 8-kilometer Bang Tao Beach, world-class resorts, golf course, and upscale residential communities, this area blends tropical luxury with modern convenience. For townhouses, Bang Tao (and the adjacent “Laguna” gated estates within it) offers some of Phuket’s most upscale townhome options in a thriving, internationally-oriented community.

Market Overview and Prices: The Laguna Phuket integrated resort (developed around a former tin mine turned network of lakes) was one of the first in Asia and set the tone for high-end development in Bang Tao. Within and around Laguna, several townhouse projects have been developed to cater to both investors and residents who want a foothold in this prestigious area. A prominent example is Laguna Park, a residential enclave of townhomes and villas inside Laguna. Units in Laguna Park, which typically feature 2-3 stories, modern interiors, and access to Laguna facilities, have been sold in price ranges roughly from ฿5–6 million up to ฿15–20 million depending on size and whether the unit has been upgraded. Earlier phases had entry prices under ฿10 million for townhouses, but values have appreciated. In fact, the median list price in Laguna Park is reported around ฿11.6 million, reflecting how sought-after these properties are. A new phase, Laguna Park 2, launched units starting around ฿13–16 million for standard townhomes, showing that new supply is firmly in the eight-figure range. Outside of Laguna Park, Bang Tao and Cherng Talay host other luxury townhome developments. Many of these are boutique projects (with 5-20 units) emphasizing stylish design, privacy, and often a private pool or garden per townhome. Price points for such projects often fall in the ฿10–20 million bracket as well. There are also local Thai townhouse rows in Cherng Talay (further inland from the beach) that can be cheaper – perhaps in the ฿4–8 million range – but the trend in Bang Tao is heavily towards upscale. Overall, Bang Tao/Laguna can be considered a top-tier price zone for townhouses in Phuket, comparable to or exceeding Kamala/Surin, and certainly above Phuket Town or Chalong in cost. Investors here are buying not just a property, but entry into a luxury community with extensive amenities.

Demand Drivers and Rental Yields: Bang Tao’s popularity has skyrocketed, particularly among expats and affluent foreign buyers. It’s often cited as a favorite of those from Europe, Russia, and East Asia who are looking for either a second home or a rental investment in Phuket. One reason is the holistic lifestyle on offer: townhouses in Bang Tao & Laguna provide easy access to golf courses, beach clubs, and five-star resorts. For instance, a resident could be steps away from an 18-hole golf course (Laguna Golf Phuket), enjoy membership at a beach club on Bang Tao Beach (like Xana or Catch Beach Club), and dine at five-star hotel restaurants in the vicinity. This all-in-one resort lifestyle attracts long-term tenants willing to pay premium rents. Many multinational companies or NGOs place their staff in Laguna-area housing for postings in Phuket. Additionally, Bang Tao has a strong holiday rental market: being near the beach and amenities, townhouses here are extremely attractive to families or groups of travelers seeking a self-catering vacation. A townhouse can be marketed as a “private pool villa” if it has a pool or as a luxury townhome within a resort, easily commanding high nightly rates in peak season. It’s not uncommon to see guaranteed rental return offers in this area, given developers know investors are yield-focused. Some luxury developers have offered guaranteed returns of 5-7% for a few years on new townhomes, indicating confidence in rental potential (some villa projects even advertise up to 10-15% for short-term rental schemes, though those figures are optimistic). Realistically, investors can expect rental yields around 5–8% in Bang Tao, with the higher end achievable if actively renting short-term to tourists in high season (or via rental management programs). Another demand factor is the presence of Phuket’s largest expatriate community in Cherng Talay/Bang Tao – many expats working remotely or running businesses in Phuket choose this area for its quality of life. This means there is solid demand for long-term rentals; for example, a well-furnished 3-bedroom townhouse in Laguna could rent long-term for ฿70,000–฿100,000 per month, depending on the property, which translates to healthy yields on a capital value of ~฿12–15 million.

Infrastructure and Development: Bang Tao and Cherng Talay have undergone rapid infrastructure development to keep up with their popularity. One anchor is the Boat Avenue retail and dining complex – a stylish outdoor shopping area with restaurants, bars, boutiques, and a Villa Market grocery store – which serves as the social hub for expats. Adjacent to it is Porto de Phuket, a modern open-air mall by Central Group, offering additional retail and eateries. These provide for virtually all daily needs and entertainment without leaving the area. Moreover, the Blue Tree Phuket water park and recreation complex opened in Cherng Talay, featuring a large lagoon, water slides, kid’s park, beach club, and restaurants; it has become a major family attraction and adds value for property owners nearby. From an accessibility standpoint, Bang Tao is about a 25-minute drive to Phuket International Airport, making it convenient for international travelers and jet-setters who come and go. The road network in the area is continually improving – new widened roads and intersections have been built to handle traffic from the growing residential estates. Security and public services are also strong, partly due to the influence of Laguna (which has its own security patrols and management that often cooperate with local authorities to maintain the locale). An interesting aspect of Bang Tao/Cherng Talay is the international school presence: the United World College Thailand (UWC) international school campus is about 15 minutes away in Thalang, and other schools like Blue Tree’s preschool and frontline international kindergartens are around, making the area very suitable for families. Healthcare access is improving too; while major hospitals are in Phuket Town, there are clinics and plans for more medical facilities to cater to the expat population here.

Finally, Bang Tao is part of the greater Cherng Talay area which merges into Layan and Nai Thon to the north. It’s worth noting that neighboring Layan & Nai Thon offer tranquil neighborhoods with modern townhouses near the beach, blending luxury with relaxation. These slightly further north areas are the next frontier – very peaceful, with a few high-end projects (including townhomes) taking shape, often at price points a bit lower than Bang Tao proper, but likely to grow as infrastructure extends. Bang Tao will likely benefit from any future projects as well, like the mooted second airport terminal in Phang Nga or improved highways, since it’s on the northern side of the island.

In essence, Bang Tao/Laguna is a powerhouse of Phuket’s real estate. Townhouses here are positioned for both high lifestyle value and strong investment returns. The combination of luxury amenities, a thriving community, and continuous development makes it a top choice for investors who want an asset that can generate income and also serve as a premium holiday home. The area’s momentum shows little sign of slowing, with new phases and projects launching to meet demand. Owning a townhouse in Bang Tao is not just owning a piece of property – it’s buying into Phuket’s luxury lifestyle and its upward trajectory as a global resort destination.

Comparative Townhouse Prices by Area

To summarize the pricing landscape, the table below compares typical price ranges for townhouses in Phuket’s key areas. These ranges are in Thai Baht (฿) and reflect mid-2020s market values for standard townhouse units (2-3 bedrooms). Actual prices can vary based on property specifics, but this gives a comparative snapshot:

※ Arrows (↗️) indicate general price trend from low-end basic units to higher-end or new units in that area.

As shown, most townhouses in Phuket fall into the multi-million baht range, with the majority under ฿10 million. The location heavily influences pricing, where inland and town areas remain more affordable, whereas resort and beach-proximate areas command higher figures. It’s also evident that each area serves a different segment of the market – from Phuket Town’s local vibe to Laguna’s luxury enclave.

Conclusion: Investment Outlook for Phuket Townhouses

Phuket’s townhouse market offers a compelling proposition for investors and homebuyers alike. These properties bridge the gap between condominium convenience and villa-style living, often providing spacious multi-story layouts at a fraction of the cost of standalone houses. In Phuket, townhouses benefit from a multi-faceted demand: they are sought by local families, expatriate residents, and even holiday-makers in certain locales, giving owners flexibility in usage.

From an investment standpoint, the outlook is positive. The island’s economy is robustly recovering on the back of resurgent tourism (over 8 million visitors in 2023) and increasing long-term foreign residents. Phuket remains on track for further growth – infrastructure projects like the airport expansion, new roads (e.g., Patong Tunnel), and possibly a light rail system all signal a commitment to supporting development and connectivity. These improvements are expected to bolster real estate values across the island in the coming years. Townhouses, being a significant part of Phuket’s housing supply (with roughly 10,000 units in active projects), will naturally ride this upward trend. In addition, with rental yields projected in the 5–8% range and many areas experiencing high occupancy rates, the cash-flow aspect of owning a Phuket townhouse is attractive.

Investors should tailor their strategy to the area: a townhouse in a central locale like Kathu or Chalong might be ideal for long-term rentals to locals/expats (providing steady income and low vacancy), whereas a townhouse in Bang Tao or Kamala could focus on short-term holiday rentals for higher peak returns. Diversification within Phuket is also possible – some seasoned investors hold multiple townhouses in different districts to balance risk and seasonality.

It is also important to navigate the legal framework prudently. Given that foreigners cannot own land directly, engaging a knowledgeable property lawyer to set up leasehold agreements or other compliant ownership structures is advisable. Fortunately, Phuket has a well-established system for foreign investment in property, and most developers and agencies are experienced in assisting overseas buyers with the process.

In conclusion, Phuket’s townhouses represent purely informational and strategic value in an investor’s portfolio. They offer a blend of capital appreciation potential (driven by Phuket’s rising prominence and infrastructure upgrades) and immediate rental returns (fueled by strong demand in both residential and tourism sectors). Moreover, they come with the intangible benefit of a tropical lifestyle – an aspect that increasingly factors into investment decisions as many buyers seek not just financial returns but also a quality-of-life upgrade. With diligent research and area selection, investing in a townhouse for sale in Phuket can be a rewarding venture, aligning with both the island’s growth story and the investor’s personal goals. Phuket’s property market is dynamic, but with the insights provided in this guide, investors can approach it with confidence and a clear strategic