It’s not just a holiday anymore. With 60% of new luxury purchases driven by long-stay residents, Phuket is evolving into Southeast Asia’s premier international community.
Real estate is pushing Phuket beyond just a seasonal holiday spot.

For decades, the Phuket property market followed a simple rhythm: high season booms and low season lulls. That rhythm is dead. In its place is a year-round economy driven by a new demographic—the "Global Citizen."

Thanks to a maturing infrastructure and a shift in global work culture, Phuket is no longer just a place to vacation; it is a place to live. From tech entrepreneurs in Cherng Talay to families near the British International School, the island is transforming from a tourist destination into a sophisticated, multi-cultural world community.

Here is how real estate is fueling this evolution in 2026.

1. The Shift to "Primary Residence" Buying

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The most profound structural change in the market is the intent of the buyer. Pre-2020, 80% of transactions were pure investment or holiday homes. Today, industry data suggests a massive pivot.

• The "Work-From-Phuket" Class: With digital nomad visas and the Long-Term Resident (LTR) visa scheme, professionals are swapping city condos in Singapore or Hong Kong for pool villas in Thalang.
• The Data: In some luxury segments, foreign buyers now account for nearly 60% of transactions, but crucially, many are end-users. They aren't just looking for 7% rental yields; they are looking for home offices, fiber-optic internet, and pet-friendly gardens.

2. The "International School" Effect

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You cannot build a "world community" without world-class education. Phuket’s international school sector is booming, acting as a major anchor for high-net-worth families.

• Growth: Schools like British International School Phuket (BISP) are expanding their primary programs for the 2025/2026 academic year to meet surging demand.
• The "School Run" Economy: Real estate zones around these schools (like Koh Kaew near BISP or Kathu near HeadStart) are seeing property values decouple from tourism trends. These homes are rented by families on 3-year contracts, offering investors stability that beachfront condos cannot match.

3. Infrastructure Catching Up to Demand

A "World Community" needs more than just beaches; it needs connectivity.

• Airport Expansion: Phase 2 of the Phuket International Airport expansion is underway, targeting a capacity of 18 million passengers annually by 2029. This is critical for supporting a year-round residential population.
• Smart City Initiatives: From the new "Smart Bus" networks to the Phuket Smart City data platform, the island is slowly adopting the urban tech layers needed to support a modern workforce.

4. The Risks of Success: Balancing Growth and Authenticity

Becoming a global hotspot comes with growing pains. The rapid influx of capital has led to valid concerns about "over-tourism" and environmental strain.

• The Challenge: Waste management and water supply are currently being tested by the growing population. The "Smart City" roadmap includes new incinerators and water infrastructure, but pace is key.
• Preservation: As prices rise, there is a risk of pricing out locals. Sustainable development isn't just a buzzword here; it's the only way to ensure Phuket remains "Phuket" and doesn't become just another generic resort city.

Conclusion: A New Asset Class

For investors, the message is clear: Stop looking at Phuket solely through the lens of tourism statistics.

The smartest money today is betting on the residential shift. It's betting on the villa near the international school, the condo with the co-working space, and the wellness-integrated community. Phuket isn't just recovering; it is maturing. And for the long-term investor, that is a far more valuable proposition.

Invest where the real growth is. The market is moving from short-term holiday rentals to long-term residential stability. Secure an asset that appeals to Phuket’s fastest-growing demographic: the Global Citizen. Contact us today for a consultation on Phuket’s best residential neighborhoods.