Any financial adviser worth his or her salt will always recommend that you shouldn’t put all of your eggs in one financial basket but there is one thing that you definitely need to invest in and it is property. If there is one thing that we’re definitely running out of all over the world, it is space and investing in real estate is one of the best ways to accumulate wealth and to make sure that you have a strong financial future. The prices of property have been rising steadily over the past number of decades and it is showing no signs of slowing down at all.
This is why you need to look into the opportunity to buy luxury villa in Phuket because this is a destination that is incredibly popular and only a certain amount of villas can be built before there’s no space left to build others. Once that happens, you can be pretty sure that the prices of these properties will increase drastically overnight and you will be glad that you made an investment in one of them. If you are quite new to the market then the following are some top tips that will help you when looking to buy real estate in Thailand for investment purposes.
- Understand the local market – You may think that every real estate market is the same but every country is different and you need to be aware of that. It would make sense to come to Phuket first to enjoy a vacation and to have a look at the local economy and see how it is performing. Have a look at the various developments that are happening all around and always take into consideration supply and demand. Look into the rental rates that you can get for the times that you are not there and this will hopefully allow you to make a more informed decision.
- Understand your investment goals – You need to think to yourself why you want to invest in this particular market and figure out if it’s to make money in the short term or to hold onto the property over the long term. You also need to figure out if you want the property to be rented out when you are not using it so that the mortgage payments can be easily covered. This will help you to make better decisions when it comes to selecting the property that you want and the financing that you want to use.
- Always stick with residential properties – There is a reason why you are advised to start off with buying a luxury villa first and it is because a villa is not a complicated property and due to the fact that it is located on a beautiful island, you will have absolutely no problem renting it out and this will provide you with a very steady cash flow every single month. If this is your first foray into the property market, it’s important that you start small, get yourself some experience and maybe invest some of that rental income into buying another villa on the island.
- Always do a property inspection – When you compare the prices of property in Thailand to the prices of property in the United Kingdom for example, there really is no comparison. You might get a little bit excited when you hear how affordable they are and you may be tempted to put down a deposit or to pay for the property right away so that you don’t miss out. You need to slow down a little and to get the property inspected first so that there are no hidden costs or repairs that you will have to pay for by yourself further down the line. If the inspection does find things that are issues then you may be able to negotiate a much better price.
Always remember that there are always hidden costs when it comes to owning property and especially one that is overseas. You’re going to need to engage with an estate agent to make sure that rental payments are received on time and are deposited into your bank account.
