Eastern Coast of Thailand Breaks Decades-Long Dominance of the Capital
Chonburi Province recorded 42% of all condominium transactions with foreign buyers in the nine months of 2025, overtaking Bangkok with its 37.5% for the first time. The Real Estate Information Center (REIC) under the state-owned Government Housing Bank reported 10,703 units sold worth 52.3 billion baht for January-September 2025. Growth amounted to 38% compared to the same period of the previous year. Chinese buyers purchased 4,991 apartments, accounting for 46.6% of all foreign transactions totaling 24.7 billion baht.
The figures reflect a structural shift in Thailand's real estate market. Bangkok held the lead in foreign investment volume for decades thanks to its capital status and transport hub. Chonburi includes Pattaya, Si Racha, Bang Saen and industrial zones of the Eastern Economic Corridor (EEC). The province gained advantage through a combination of tourism infrastructure, manufacturing clusters and direct rail connections to Suvarnabhumi and U-Tapao airports.
Structure of Foreign Demand: Who's Buying and Where
Chinese investors maintained leadership among foreign buyers. Of the 4,991 units purchased, a significant portion went to Chonburi and Bangkok. Russian buyers took second place, although REIC did not disclose exact transaction numbers by nationality after the Chinese. According to Land Office registration records, the average transaction price for Chinese buyers was approximately 4.95 million baht per unit.
The geography of purchases was distributed as follows:
| Region | Market Share | Key Locations |
|---|---|---|
| Chonburi | 42.0% | Pattaya, Si Racha, Bang Saen, EEC industrial zones |
| Bangkok | 37.5% | Sukhumvit, Silom, Ratchada, Rama 9 |
| Other | 20.5% | Phuket, Samui, Chiang Mai, Hua Hin |
Vichai Viratkapan, Acting Director of REIC, noted dual buyer motivation: investment for rental income and acquisition of a second home for personal use. Data shows that investment purchases with expectations of short-term tourist rental income predominate in Chonburi, while Bangkok has a higher share of purchases for long-term expat residence.
Why Chonburi Overtook the Capital: Five Structural Factors
The first factor is entry price. Average cost of a condominium in Pattaya on the secondary market in 2025 was 3.8-4.2 million baht for a two-bedroom apartment of 50-60 m² in mid-segment projects. Similar property in Bangkok on the BTS line costs 6.5-8 million baht. The 40-50% difference is critical for the mass segment of Chinese and Russian investors.
The second factor is rental yield. Gross yield in Chonburi Province reached 5.51% in the first quarter of 2026, according to the real estate market report. Projects with professional management in Pattaya show 6-8% annually with year-round occupancy. Bangkok gives 4-5% due to higher purchase prices with comparable rental rates.
The third factor is Eastern Economic Corridor infrastructure. The government invested 1.5 trillion baht in EEC development since 2017. The Bangkok-Pattaya-U-Tapao high-speed railway will reduce travel time to 45 minutes by 2028. U-Tapao Airport received international hub status with capacity of 60 million passengers per year. Industrial zones in Si Racha and Rayong attracted electric vehicle, electronics and biotechnology production, creating demand for housing for highly paid specialists.
The fourth factor is tourist traffic. Pattaya received 8.2 million foreign tourists in the nine months of 2025, 28% higher than 2024. Chinese tourists accounted for 35% of the flow, Russians 18%. Declining aviation fuel prices in the first half of 2025 stimulated Western tourism growth, improving short-term rental prospects.
The fifth factor is foreign ownership quota. Thai legislation limits the foreign share to 49% of total condominium area. In new Chonburi projects, quota often remains available, while in popular Bangkok areas (Thonglor, Phrom Phong, Asok) it is exhausted. Buyers are forced to either overpay for rare available units or register Thai quota through a company or leasehold, which reduces liquidity on resale.
Government Market Support: Fee Reduction to 0.01% Extended Until June 2027
The Thai government on June 30, 2026 extended the registration fee reduction program for Thai citizens for another year. The measure is valid until June 30, 2027 after publication in the Royal Gazette. The transfer fee and mortgage registration fee reduced from 2% and 1% respectively to 0.01% for properties valued up to 7 million baht.
Program conditions:
| Parameter | Requirement |
|---|---|
| Buyer | Thai citizen, individual |
| Property type | House, condominium, commercial building (new or secondary) |
| Price limit | Up to 7 million baht (per contract or Land Office valuation, whichever is higher) |
| Mortgage limit | Up to 7 million baht per contract |
| Fee rate | 0.01% instead of 2% (transfer) and 1% (mortgage) |
The program does not apply directly to foreign buyers. It stimulates Thai quota, reducing pressure on foreign quota. The Ministry of Finance positions the measure as support for middle-class housing affordability. Banks tightened mortgage requirements in 2025, leading to increased rejections and return of reserved units to the market. Extending the benefit until mid-2027 gives buyers time to complete transactions.
For the Chonburi market, this means stabilization of Thai quota and reduction in cancelled bookings. Developers gain more certainty on transaction closing timelines. Foreign buyers indirectly benefit from improved overall market liquidity.
Prospects for Quota Changes: Discussion of Increase to 75%
In 2025-2026, parliament is discussing a proposal to raise the foreign ownership limit from 49% to 75% for projects in Eastern Economic Corridor zones. Additionally, extension of leasehold term from 30 to 99 years is being considered. As of August 2026, the bill has not been passed. The Ministry of Finance supports the initiative as a way to attract foreign investment to EEC.
If changes take effect, Chonburi Province will gain additional competitive advantage. Developers will be able to sell a larger share of units to foreigners at premium prices. Buyers will have more choice in new projects without needing to structure transactions through a Thai company.
CBRE Thailand analysts warn that raising the quota may lead to a short-term price spike in popular Pattaya and Si Racha locations due to increased demand. The long-term effect depends on the speed of new project launches and the market's ability to absorb additional supply.
What This Means for Buyers in Pattaya
REIC data confirms the fundamental attractiveness of Chonburi for foreign investors. The province's transaction volume leadership reflects real demand, not a speculative bubble. For Russian or Chinese buyers, this means three practical conclusions.
First: the Pattaya market is in low season until November 2026, but pre-booking data for high season shows demand recovery from Western tourists. Purchasing in summer 2026 provides opportunity to negotiate 5-7% discount from listed price, especially with European owners needing liquidity, or with developers who have accumulated cancelled bookings after mortgage rejections.
Second: checking foreign quota availability has become a critical first step. In popular projects on Pratumnak Hill, Wongamat and Jomtien, quota is often exhausted. Request written confirmation of remaining quota with date from the condominium's juristic person before depositing. Check the financial condition of the sinking fund-a cheap apartment in a building with depleted fund and deferred maintenance will cost more during ownership.
Third: funds transfer from abroad in foreign currency is mandatory for ownership registration. A bank in Thailand will issue a Foreign Exchange Transaction (FET) form for amounts from 50,000 USD and equivalent. Conversion must occur at a Thai bank, not in the country of origin. The Land Office requires FET when registering foreign quota. Without this document, the transaction will be registered as Thai quota, requiring company formation or leasehold arrangement.
The period from reservation to ownership transfer in the secondary market takes four to eight weeks. Physical presence is required only for Land Office registration, but a notarized power of attorney can be issued to a representative. Hire an independent Thai real estate lawyer to review the sale and purchase agreement before signing, rather than relying on the seller's or developer's lawyer.
Forecast Until End of 2026: Consolidation and Selective Growth
The Chonburi condominium market is going through a consolidation phase after rapid growth in 2023-2024. Overall decline in foreign demand in the first half of 2025 created pressure on prices and liquidity. The current situation is characterized by "flight to quality"-buyers choosing projects with strong management, complete infrastructure and proven rental history.
Positive factors for the second half of 2026: recovery of Western tourist flow due to reduced airfare costs, extension of preferential fees for Thai buyers until mid-2027, possible adoption of law to increase quota to 75% in EEC zones. These catalysts may stabilize the market by the fourth quarter of 2026.
Negative risks: China's economic slowdown affects purchasing power of the main investor group, tightening of Thai bank mortgage standards continues to generate cancelled bookings, excess supply in certain Pattaya micro-districts (especially in Jomtien) creates competition for tenants.
For investors, the current moment represents a window of opportunity. The buyer's negotiating position is stronger than it was in 2023-2024. Focus on liquid locations (Pratumnak, Wongamat, central Pattaya), projects with professional rental management and units within foreign quota minimizes risks and maximizes value growth potential when the market recovers in 2027.
