Since the start of Russia’s war on Ukraine in February 2022, an increasing number of wealthy Russians have been visiting and moving to Thailand to escape the possibility of conscription and the economic distress brought by the war.
One Thai publication even dubbed the surge of Russian visitors an “invasion”.
The Kingdom of Thailand has been a popular destination for Russians looking for a new life as they search for a safe haven to escape the challenges back home. The surge in Russian immigration has been so massive that, combined with growing interest from crypto investors and others, property sales have skyrocketed, particularly in the resort island of Phuket.
The mass exodus from Russia is a result of President Vladimir Putin’s call for the first wartime mobilization in Moscow since World War II. This announcement has caused many Russians to seek a more secure future away from the country.
In the year since the invasion, tens of thousands of Russians have come to Thailand seeking a new home. According to data from Phuket International Airport, between November 2022 and January 2023, more than 233,000 Russians arrived in Phuket, making them the largest group of visitors in the area.
Russians are attracted to Phuket’s warm tropical climate and picturesque beaches, which offer them refuge from the cold Russian winters. Phuket has long been a popular destination for Russians looking for a vacation, but since the conflict began, there has been a surge in property sales as many Russians see it as a safe haven for their future.
Real estate agents in Phuket report that many Russians are buying off-plan condos for half a million dollars or more, primarily to facilitate their relocation or provide a landing pad for a future time when they may feel forced to leave their homeland. Luxury condos that were once available to rent for around $1,000 a month can now go for three times that amount, and extravagant villas that were on the market for $6,000 or more are booked out up to a year in advance.
The influx of wealthy Russians into the area has driven prices up to record levels. In 2022, Russians purchased almost 40% of all condominiums sold to foreigners in Phuket, amounting to $25 million in sales.
Chinese nationals who have also been making moves to Thailand are the next largest group of buyers. While the largest group of foreign buyers nationally, the Chinese spend significantly less in Phuket, according to the Thai Real Estate Information Center (REIC).
While money is not a problem for many Russians looking to settle in Phuket, obtaining long-term residency rights can be challenging in Thailand. To stay on the island, Russian arrivals require homes, schools, jobs, and visas, which take time to obtain. However, many newcomers are willing to pay for the process. There are also property ownership visas known as the Thailand Elite Card allowing a long-term stay for a family for approximately $25,000.
The influx of Russians into Thailand is not without its challenges. Al Jazeera reports on complaints from local tourism businesses about Russians allegedly taking local jobs, with Russian taxi drivers shuttling their compatriots around the island and leading tour groups around Phuket’s historic Old Town. Some local tourism operators complained to Al Jazeera about Russians cutting into locals’ livelihoods.
With Russia’s war on Ukraine in full swing causing issues at home, it’s not surprising that some Russians would seek to escape the Russian regime and seek refuge in Thailand, particularly in the resort island of Phuket. The influx of Russians has driven property sales to record levels, causing prices to skyrocket. Many Russians are purchasing off-plan condos and villas to provide a landing pad for a future time when they may feel forced to leave their homeland. This all bodes well as the Thai real estate market plots its 2023 recovery.
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