Thailand has seen a large number of overseas visitors, with 20,335,107 tourists visiting between January 1 and July 31, 2024. This increase in tourism has generated around ฿ 957.31 billion ($28.52 billion), providing significant benefits to Thai entrepreneurs. The rise in tourist numbers can be attributed to various factors, including the relaxation of travel restrictions and the appeal of Thailand’s diverse attractions. For property buyers and owners, this increase in tourism means there is a higher demand for rental properties and increased real estate investments, especially in popular tourist destinations.
China and Malaysia driving growth in Thailand
The top source markets for foreign tourists to Thailand are China, with 4,065,109 arrivals, followed by Malaysia (2,837,922), India (1,186,288), South Korea (1,073,792), and Russia (996,990). This diverse influx of tourists shows Thailand’s broad appeal and its ability to attract visitors from around the world. For real estate investors, these figures indicate a strong and diverse market demand. Properties that cater to the preferences of these tourists, from luxury accommodations to budget-friendly options, are likely to benefit from the steady flow of international visitors.
Impact of school holidays on arrivals
The recent surge in tourist arrivals has been partly due to school holidays in both short-haul markets, such as South Korea, Japan, and Taiwan, and long-haul markets in Europe and the Middle East. From July 22 to 28, Thailand experienced 716,631 foreign arrivals, averaging 102,376 people per day, representing a 1.04% increase from the previous week.
This pattern highlights the significance of seasonal factors in tourism and their direct impact on the real estate market. Property owners can expect higher occupancy rates during these peak periods, leading to opportunities for short-term rental income and increased property values.
The Thai government aims at 36.7 million foreign tourists
The Thai government predicts that foreign arrivals will remain at similar levels in the coming weeks. This is supported by the ongoing summer holidays in Europe, as well as the continued easing of travel measures and an increase in flight availability. The government aims to attract 36.7 million foreign visitors in 2024, which is approaching the pre-pandemic record of nearly 40 million in 2019.
For property investors, this positive outlook presents a promising opportunity to capitalize on the growing demand for accommodation and related services. As Thailand continues to recover and become a top tourist destination, the real estate market is poised for growth, making it an attractive prospect for both local and international investors.
