Phuket Rental Yield by District 2026: Complete Comparison
<div className="tldr"> **TL;DR:** Phuket's best rental yields: Patong 8–14% (short-term), Bang Tao 6.5–9%, Kamala 5.5–8%. Surin has the lowest yield (4–6%) but highest capital appreciation (+12–16%/yr). Island-wide average: 6–7% with professional management. Short-term rental outperforms long-term by 1.5–3x. </div>Rental Yield by District: Summary Table
| District | Short-Term Yield | Long-Term Yield | Capital Growth |
|---|---|---|---|
| Patong | 8–14% | 6–8% | +5–7%/yr |
| Bang Tao / Laguna | 6.5–9% | 5–6.5% | +8–12%/yr |
| Kamala | 5.5–8% | 5–6.5% | +7–9%/yr |
| Kata / Karon | 6–8% | 5–6% | +6–8%/yr |
| Rawai / Nai Harn | 5.5–7.5% | 5–6.5% | +9–11%/yr |
| Surin | 4–6% | 3.5–5% | +12–16%/yr |
| Cherng Talay | 5–7% | 4.5–6% | +7–10%/yr |
Yields are gross before management fees. Typical management fee: 20–25% of revenue.
Short-Term vs Long-Term Rental: Which Pays More?
Short-Term Rental (Airbnb, Booking, Agoda)
Who it's for: Investors focused on maximizing monthly cash flow.
Key requirements:
- Hotel license (or rental program through a licensed management company)
- Professional photos, dynamic pricing, guest reviews
- Property management company (typical cost: 20–25% of revenue)
Occupancy benchmarks:
- High season (November–April): 85–95%
- Low season (May–October): 40–60%
- Annual average with professional management: 65–75%
Long-Term Rental (6–12 month leases)
Who it's for: Passive investors who want stability over maximized returns.
Tenants: Expats, remote workers, families on extended stays, hotel/resort staff.
Advantages:
- No management company needed (or lower fee)
- No hotel license requirement
- Stable monthly income, low vacancy risk
- No cleaning/turnover costs
Typical rates by property type:
| Property | Avg Monthly Rate |
|---|---|
| Studio condo (30–40 sqm) | ฿15,000–25,000 |
| 1BR condo (50–65 sqm) | ฿25,000–45,000 |
| 2BR condo (80–100 sqm) | ฿40,000–70,000 |
| 3BR villa with pool | ฿45,000–90,000 |
| 4BR luxury villa | ฿80,000–200,000 |
The Patong Rental Formula
Patong's superior short-term yield comes from one structural advantage: year-round tourism density.
While Bang Tao sees seasonal peaks and troughs, Patong's 3.5km beach hosts 35,000+ visitors per day in peak season, dropping to 8,000–12,000 in low season. That floor still supports profitable short-term rentals.
Example calculation — 1BR Patong:
- Purchase price: ฿3.5M
- Nightly rate: ฿2,500
- Annual bookings at 70% occupancy: 255 nights
- Gross revenue: ฿637,500
- Net after 25% management fee: ฿478,125
- Yield: 13.7%/year
- Plus capital appreciation ~6%: total return ≈ 19–20%
The Surin Paradox: Low Yield, High Return
Surin's 4–6% rental yield looks weak. But combine it with +12–16% annual capital appreciation, and the 10-year total return often exceeds Patong's.
| Metric | Patong 1BR (฿3.5M) | Surin 1BR (฿8M) |
|---|---|---|
| Annual yield | 13.7% | 5% |
| Annual capital growth | 6% | 14% |
| Total annual return | ~19.7% | ~19% |
| After 10 years (asset value) | ฿6.3M | ฿29.7M |
The difference: Patong gives you cash now. Surin builds wealth over time. The math converges at 10 years, then Surin wins decisively.
Tools to Calculate Your Return
kaio.ASIA provides a free ROI Calculator that models:
- Net yield after management fees and taxes
- Capital appreciation projections by district
- Breakeven timeline
- 5 and 10-year total return scenarios
FAQ
Which Phuket district has the highest rental yield? Patong. Short-term (Airbnb) yield: 8–14% with professional management and dynamic pricing. Second highest: Bang Tao/Laguna at 6.5–9%. The gap reflects Patong's 35,000+ daily tourists vs Bang Tao's more seasonal premium visitor base.
What is the average rental yield in Phuket? Island-wide average: 6–7% for short-term rental with professional management. Long-term rental (6–12 month leases) averages 5–6%. Surin is the lowest at 4–6% (compensated by +12–16% capital appreciation per year).
Is short-term or long-term rental better in Phuket? Short-term rental (Airbnb/Booking) typically yields 1.5–3x more than long-term, but requires professional management, hotel license, and active pricing strategy. Long-term rental is more passive but lower yield. Most investors use short-term for maximum return.
How much can I earn renting out a condo in Phuket? Example: 1BR condo in Patong at ฿3.5M. Short-term rental at ฿2,500/night × 240 nights/year = ฿600,000 gross. After 25% management fee: ฿450,000 net. Yield: ~12.9%/year. Full calculations available in kaio.ASIA ROI calculator.