Studio vs 1-Bedroom in Phuket: Which Earns More? Investment Comparison
Studios yield 9-12% gross in Phuket, but 1BR condos outperform on net income, resale value, and tenant quality. Data-driven comparison for 2026 investors.
Studio vs 1-Bedroom in Phuket: Which Earns More? Investment Comparison
In Phuket, studios generate higher gross yields (9-12% vs 7-10% for 1BR) but 1-bedroom condos outperform on net income, resale value, and long-term tenant quality. For most foreign investors with $120,000+, the 1BR delivers superior risk-adjusted returns; studios make sense only at entry-level budgets under $100,000.
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Side-by-Side Comparison
The core question every Phuket investor faces is whether to maximise gross yield percentage or total net income. The answer depends entirely on your budget, hold period, and exit strategy.
| Factor | Studio (24-35 sqm) | 1-Bedroom (35-65 sqm) |
|---|---|---|
| Entry price range | $60,000 - $100,000 | $100,000 - $200,000 |
| Gross yield | 9-12% | 7-10% |
| Nightly rate (peak) | $60-$150 | $100-$280 |
| Annual occupancy | 72-85% | 74-85% |
| Typical tenant | Solo traveller, couple | Couples, professionals, longer stays |
| Resale demand | Moderate | Strong |
| Management fee | 15-25% of revenue | 15-25% of revenue |
| Net yield (after costs) | 6-8% | 5-7% |
| Capital appreciation | Moderate | Strong |
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Yield Analysis: Gross vs Net
The gross yield gap between studios and 1BRs narrows significantly once you factor in management costs, maintenance, and vacancy. Here is a realistic net income model at $100,000 investment:
Studio at $80,000 in Bang Tao:
- Annual gross revenue: $8,500 (at 10.6% gross yield)
- Management fee (20%): -$1,700
- Utilities and maintenance: -$2,400/year
- Net income: approximately $4,400/year (5.5% net yield)
1BR at $140,000 in Bang Tao:
- Annual gross revenue: $13,500 (at 9.6% gross yield)
- Management fee (20%): -$2,700
- Utilities and maintenance: -$3,000/year
- Net income: approximately $7,800/year (5.6% net yield)
The net yield percentages are nearly identical — but the 1BR generates almost double the absolute cash flow. For investors building passive income, absolute dollar amount matters more than percentage.
Occupancy Data by Unit Type
One crucial insight overlooked by many investors: studios and 1BRs achieve similar occupancy rates, but studios are harder to fill during low season because they attract only solo or couple travellers.
| Unit Type | High Season Occupancy | Low Season Occupancy | Annual Blended |
|---|---|---|---|
| Studio | 88-95% | 45-60% | 72-78% |
| 1BR (sea view) | 88-95% | 55-70% | 75-82% |
| 1BR (garden/pool view) | 82-92% | 50-65% | 72-78% |
| 2BR | 80-90% | 45-60% | 68-76% |
The 1BR’s broader tenant base — couples, business travellers, digital nomads, and even solo travellers who want more space — keeps it competitive across seasons. Studios can struggle in June-September when the tourist mix skews toward budget backpackers who prefer hostels over condos.
Resale Market Comparison
This is where the 1BR advantage becomes most clear. In Phuket’s secondary market, 1BR units sell faster and at higher price-per-sqm premiums than studios, particularly in the $130,000-$200,000 range targeted by European and Australian buyers.
Studios in established projects like Arcadia Beach Resort or The Base resell competitively, but the buyer pool is narrower. The typical studio buyer is another income-focused investor — which creates price competition. The 1BR buyer pool includes lifestyle purchasers, retirees, part-time residents, and investors, creating broader demand and firmer prices.
Capital appreciation comparison (2021-2025 data, Bang Tao zone):
- Studios: +18-25% over 4 years
- 1BR condos: +22-35% over 4 years
- 2BR condos: +20-30% over 4 years
Tenant Type Analysis
The quality and duration of tenancy significantly affects your management headache and unit wear.
Studio tenants: Predominantly solo travellers, couples on short breaks (2-5 nights), and budget-conscious digital nomads. High turnover means more cleaning costs, more wear on furniture, and more management attention. Average booking length: 4-7 nights.
1BR tenants: Couples, longer-stay expats (1-4 weeks), corporate travellers, and retirees testing the market. Better care of property, longer average stays (8-14 nights), higher nightly spend on ancillary services. Management companies report 30-40% fewer maintenance calls on 1BR units per year versus comparable studios.
When Studio Wins
Studios make the most sense in these specific scenarios:
- Entry-level budget under $90,000 — the only way to access prime zones like Bang Tao or Kamala is through a studio
- Maximum yield percentage is the priority — if you need every percentage point of gross return
- You’re buying in a project with strong short-term management (like Banyan Tree managed pools) where occupancy is structurally supported
- You plan to hold under 5 years and prioritise income over capital growth
When 1BR Wins
1BRs outperform studios in these circumstances:
- Budget of $120,000+ — where you can afford a good 1BR in a prime location
- You want balanced income + capital appreciation — the 1BR delivers both
- You plan to use the property personally — a 1BR is dramatically more liveable than a studio for 2-3 week stays
- You’re targeting a longer hold (7-10+ years) — capital growth compounds in your favour
- You’re comparing projects with hotel-licensed rental pools — where the rate differential between studio and 1BR is clearest
Project-Specific Examples
To make this concrete, here is how the unit types perform in real projects:
Laguna Shores (Bang Tao):
- Studio (30 sqm): approx $90,000, yield 9.5%
- 1BR (52 sqm): approx $155,000, yield 8.5%
- Resale premium for 1BR: approximately 15% above cost after 3 years
Absolute Twin Sands (Surin):
- Studio: approx $75,000, yield 10%
- 1BR sea view: approx $145,000, yield 9%
- Sea view 1BR shows strongest resale performance of any unit type in this project
Rawai VIP Villas area condos:
- Studio: from $60,000, yield 8-9%
- 1BR: from $95,000, yield 8-9%
- Lower price point makes the yield advantage of studios negligible
The Verdict
For investors with a budget of $100,000 to $180,000, the 1BR condo in Bang Tao, Kamala, or Surin is the default recommendation. It delivers competitive yield, stronger capital appreciation, broader tenant appeal, and better personal usability.
Studios remain relevant for entry-level investors, those prioritising maximum gross yield percentage, or buyers in projects where the management infrastructure is strong enough to overcome the seasonal occupancy gap.
The worst mistake is buying a studio assuming it will generate 12% yield year-round. Realistic blended occupancy and proper cost accounting brings any unit type to 5-7% net — and the 1BR simply does this at a higher absolute dollar amount.
Frequently Asked Questions
Studios yield 9-12% gross versus 7-10% for 1BR, but on a net basis after management and maintenance, the gap narrows to roughly 0.5-1%. The 1BR generates more total cash income despite the slightly lower percentage.
Entry-level 1BR condos in Bang Tao start around $120,000-$140,000 in leasehold projects within managed rental pools. Freehold 1BR units typically start at $150,000-$180,000 depending on the project.
1BR condos resell faster and at better premiums. The buyer pool includes both investors and lifestyle buyers, creating more competition and firmer prices. Studios have a narrower investor-only secondary market.
Yes, but personal use in a studio for more than 2-3 weeks becomes uncomfortable. Most part-time lifestyle buyers prefer 1BR units for this reason. A 1BR gives you comfortable personal stays while maintaining strong rental performance during absence.
Patong and Bang Tao deliver the highest studio yields due to consistent tourist demand. Patong peaks at 9-12% gross yield for studios, while Bang Tao offers 9-11% with the added benefit of the Laguna lifestyle complex supporting off-season occupancy.
Management fees (15-25% of gross revenue) impact both unit types equally in percentage terms, but hurt studios more in absolute terms because their lower nightly rate means less revenue buffer. On a $100 studio night vs a $180 1BR night, the same 20% fee leaves very different residuals.
Read Also
- Real Income Potential for Phuket Condos
- Best Phuket Condos for Rental Income
- What Makes a Property Easy to Rent in Phuket
- Condo vs Villa Occupancy in Phuket
- Investor Mistakes With Rental Assumptions
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MORE Group Editorial
Phuket Real Estate Experts
The MORE Group team has helped 500+ European and American buyers purchase property in Thailand. We provide legal support, 0% commission, and on-the-ground expertise since 2018.
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