Renting in Phuket: how to count income honestly
Real income from a Phuket condo depends on the property, management and occupancy — and is calculated per property, not from a brochure. Brochure figures (“up to 15%”) are usually gross and in ideal conditions. We break down what real income is made of and how to count it honestly.
Updated 11 July 2026 · 6 min read · BURO Phuket
- Look at net, not gross, and calculate per property, not from a brochure: the real figure depends on rates, occupancy and costs.
- Always look at net, not gross: deduct common fee, management, utilities, vacancy, repairs and taxes from income.
- Trust “10–15%” and “guaranteed yield” only after checking real rates, occupancy and the guarantee’s terms.
Gross vs net: the key difference
Gross yield is the annual rent divided by the property price, before costs. That’s the figure ads like to show. Net yield is what’s left after all expenses — and that’s what reflects the real return on your money.
A realistic net for good condos in strong locations is calculated from the actual rates and occupancy of the specific unit, not from a developer forecast. Some projects and seasons run higher — but that needs confirming with figures, not a brochure.
What’s deducted from rental income
To get net, deduct from gross rent: common fee and sinking fund, utilities, the management commission, cleaning and consumables, periodic repairs and furniture replacement, marketing, taxes and — crucially — vacancy periods between tenants.
Vacancy is the most underrated line. Year-round 100% occupancy doesn’t exist: in the low season a property can sit empty for weeks. So an honest model always assumes realistic occupancy, not 365 days a year.
Short-term vs long-term letting
Short-term (nightly, to tourists) earns more in high season but needs active management and depends heavily on occupancy and seasonality. Long-term (monthly) is calmer and steadier but usually lower-yielding.
Important for your ROI math: nightly letting (under 30 days) in a condominium is effectively illegal in Thailand — it counts as hotel activity, for which a condo unit has no licence (Land Department ruling, court practice). Penalties are significant. You can’t legally offer short stays in a condo, so high “tourist” yield promises should be recalculated on a legal model: 30-day-plus rentals, or projects with a hotel licence / developer rental programme.
The choice depends on the property and your involvement. For a remote investor a management company is often easier — it handles marketing, check-in, cleaning, payments and reporting; its commission also needs to be in the model.
Which properties and areas let best
Properties near the beach, cafés, restaurants and shops work best: that’s a tourist’s first criterion. A pool, gym, design, view and a good layout all add value. Strong rental locations in Phuket are Bang Tao, Laguna, Kamala, Rawai and Nai Harn.
For long-term letting, schools, shops, roads and everyday convenience matter most — not just beach proximity. Full breakdown in the areas guide.
Guaranteed yield: how to read it
A “guaranteed 7% yield” is a contract term, not a law of nature. In such programmes read carefully: the guarantee period, the percentage, what’s included, what costs are deducted and whether the owner can use the property themselves. Treat 10–15% promises with caution — they must be backed by real rates, occupancy and local competition.
Our approach is to model a conservative net scenario on a specific project’s actual data. If the figure is still attractive after an honest calculation — it’s a good property.
Frequently asked
What is the real rental yield in Phuket?
Real income depends on the property, management and season. We calculate net from the actual rental rates and costs of the specific unit, not from a brochure forecast. Don’t trust a “typical yield” quoted without the math.
Which is better: short-term or long-term letting?
Short-term earns more in high season but needs active management and depends on occupancy. Long-term is calmer and steadier but usually lower-yielding. The choice depends on the property and your involvement.
Should I trust 10–15% yield promises?
Treat such figures with caution. High yields are possible but must be backed by real rates, occupancy, costs and competition. Model net income on a conservative scenario, not the gross figure from an ad.
Who will manage the unit after purchase?
Options: the project’s management company, an external rental-management firm, or self-management. For a foreign investor a management company is often easier — it handles marketing, check-in, cleaning, payments and reporting for a commission you should build into the model.
More answers in the full 90-question FAQ.
Projects with strong rental potential
For any of them we’ll send a conservative net-yield calculation: actual rates, seasonal occupancy and all costs.
A net-yield calculation for your property
We’ll send a net model for your chosen project: real rental rates, occupancy and costs — no sugar-coating. Free, on WhatsApp.