Can Investors Still Make Money In The Jomtien/pattaya Real Estate Market Even During A Downturn ?

The theory is as follows:

a) Price difference between foreign quota units and Thai quota units

Current Thai laws and regulations limit the proportion that foreigners may own (freehold) in any condominium to 49%, measured by floor space. As a result, in certain beach resorts popular with foreigners (such as Pattaya/Jomtien), units under the foreign quota of up to 49% trade at a premium when compared to the Thai quota of no less than 51%, whereby the spread between the two currently ranges between 20% and 35%.

Condominiums with less than 49% foreign occupation

In certain condominiums, however, the Thai quota is actually significantly more than 51%, theoretically allowing for Thai owned units to be sold to foreigners, so realizing the premium. These are usually older buildings. Monetizing upon this opportunity involves building a relationship with the juristic person of the condominium as this juristic person is in charge of keeping the administration of the foreign/Thai quota and the of these records with the Land Office.

c) Re-registration

Theoretically, the juristic person cannot refuse the re-registration of a Thai owned unit into a foreign owned unit, in case the total foreign ownership will remain under 49%. In practice, however, some sort of accommodation with the juristic person will need to be made as this "foreigner premium" is well known.

Has anyone tried this route ? Please let me have your views ….