Affordable properties in the popular Thai resort of Phuket are expected to sell well this year, according to a report by CBRE. However, it found that the luxury end of the market is proving to be less popular.

The latest market research shows that in the third quarter of 2012 the average asking price was THB 75.3m (£1.54m) for a villa and for apartments it was THB 14.24 million (£291,000).

The report from CBRE also shows that the number of completed villas as of the end of the third quarter was 2,781 units and 76% of villas completed, under construction, and planned, have been sold.

The report stated: ‘Overall, we believe that the outlook for the villa market will remain positive. Demand will continue for affordable villas, especially entry level (£100-300,000) and mid-range (£300-700,000) segments.’

Analysts expect that there will be more foreign buyers this year and point out that whatever their nationality buyers prefer completed developments with completed units. Indeed, completed developments outperform those under construction at 87% sold compared to 45% respectively.

The CBRE report concludes: ‘The buyer profile is unlikely to change too much but we expect more purchases by Asians, including Hong Kong Chinese and Singaporeans, the British, Russians and some other European buyers.’