Can foreigners buy property in Thailand? The complete guide

Yes, foreigners can legally buy property in Thailand, but not every type in the same way. You can own a condominium unit freehold in your own name, provided the building's foreign quota is not full and the money comes from abroad, whereas land cannot be registered in a foreigner's name, so a house or villa is usually bought as a building you own on land held under a registered lease of up to 30 years. Holding land through a Thai company is only lawful with genuine Thai shareholders: nominee arrangements are illegal.

Fivestars has helped foreign buyers since 2006, from our office in Sathorn, Bangkok, and our branches in Koh Samui, Phuket and Hua Hin; our founder, Fabrice Lore, has lived in Thailand since 1996. We are an estate agency, not lawyers, so have every point below checked by an independent Thai lawyer who acts only for you.

What a foreigner can own

Buying a condo in your own name

A condominium is the simplest route to ownership. Under the Condominium Act of 1979, you can hold a unit freehold, on its own title deed in your name, without living in Thailand. The limit is collective: foreigners together may own no more than 49% of the total floor area of all the units in a building, counted in floor area rather than in number of units.

Before reserving, ask the juristic person (the owners' body that manages the building) for a letter confirming that foreign quota is available for your unit. This applies to all condominiums for sale across Thailand, from Bangkok condos for sale to resort properties.

The money must come from abroad

The Land Office registers a freehold unit in a foreigner's name only with proof that the price was brought into Thailand in foreign currency. You send the funds in your own currency from an account abroad to a Thai bank, which converts them into baht and issues a Foreign Exchange Transaction form (FET form) or, for smaller amounts, a credit advice. Ask your bank to state the purpose as the purchase of a condominium unit, and keep every document for transfer day.

Houses and villas: the land question

Under the Land Code, a foreigner cannot own land in Thailand, resident or not. You can, however, own a building separately from the land it stands on, whether you build it or buy it. That is why foreign buyers of houses and villas for sale in Thailand, from houses for sale in Hua Hin to villas on the islands, combine ownership of the house with a registered right over the plot.

The 30-year registered lease

Thai law caps a lease at 30 years, and any lease longer than three years must be registered at the Land Office, otherwise it can only be enforced for three years. Once registered, the lease is recorded on the title deed and binds the landowner, and any later buyer of the land, for the full term.

Contracts often add options to renew for further 30-year periods, hence the familiar "30 + 30 + 30". Treat them with caution: a renewal is a contractual promise, not a registered right, each new period must be registered again, and enforcing it against heirs or a new owner can be difficult. Base your decision, and your price, on the first 30 years.

Superficies and usufruct

Two other rights can be registered on the title deed for up to 30 years or for life: a right of superficies, to own buildings on someone else's land, and a usufruct, to use the land and take its income. Both protect your occupation, but neither makes you the owner of the land.

Buying through a Thai spouse

A Thai spouse can buy land in their own name, but at the Land Office the foreign spouse signs a declaration that the money is the Thai spouse's personal property and that they claim no share in the land. The land is then legally your spouse's, including after a separation.

The Thai company route and its limits

A Thai limited company can own land if it is genuinely Thai: foreigners hold no more than 49% of the shares, the Thai shareholders are real investors using their own money, and the company runs a genuine business, with audited accounts and annual tax returns.

Nominee structures, in which Thai shareholders hold shares on paper for a foreigner who provides the money and controls the company, are illegal. That includes the old advice that preference shares let a 49% foreign shareholder control a company holding a house. It breaches the Land Code and the Foreign Business Act, exposes the foreigner and the Thai nominees to criminal penalties, and the land can be ordered sold. Walk away from anyone who proposes it.

Other routes you may hear about

The Treaty of Amity between Thailand and the United States does not cover land ownership, so it gives US citizens no right to own land. The Land Code exception for a small residential plot after a large qualifying investment, with ministerial approval, is narrow and rarely used.

Financing your purchase

Thai banks rarely lend to foreigners, so many buyers pay cash. Banks that do lend usually expect one of the following:

• a work permit and a stable Thai income for at least three years;
• Thai permanent residence, which brings more options on less strict terms;
• a Thai spouse as borrower, with you as guarantor, in which case the property is your spouse's.

Alternatives are a loan or remortgage in your home country, a foreign bank in the region with its own eligibility rules, or a developer's instalment plan for an off-plan unit. Whatever the source, a freehold condo must still be paid with funds remitted from abroad.

Due diligence before you commit

Have the legal status and history of the property checked by your own lawyer, not the seller's or the developer's, before you are bound to buy.

The title deed

• Chanote (Nor Sor 4 Jor): full title with precisely surveyed boundaries, the safest document.
• Nor Sor 3 Gor: confirmed right of use with surveyed boundaries; can be sold, leased and mortgaged.
• Nor Sor 3: less precise boundaries; a sale requires a public notice period.
• Possession or land reform documents (such as Sor Kor 1 or Sor Por Kor 4-01): avoid, as they cannot be validly sold or leased like titled land.

Your lawyer should confirm at the Land Office that the seller is the registered owner and that there is no mortgage, existing lease or other encumbrance, then check road access, zoning and building permits. If you are considering villas for sale in Phuket or property for sale on Koh Samui, note that hillside and beachfront plots face local building restrictions.

Condominium checks

Ask the juristic person for the quota letter, the building rules, the common area fees and the sinking fund; its letter confirming that the unit has no unpaid fees is required for the transfer. Ask residents about construction quality and maintenance.

Off-plan projects

Construction quality varies, so study the developer's finished projects and check that it owns the land and holds the building permit. The contract should tie payments to construction stages, set a completion date with penalties for delay, and say what happens if the foreign quota is full at completion.

The deposit and the sale and purchase agreement

A deposit takes the property off the market while due diligence is done and the sale and purchase agreement is drawn up. On a resale it is usually 5% to 10% of the price; developers often ask for more, sometimes 10% to 30% in booking fee and down payment before construction instalments. The deposit is deducted from the price at transfer.

The agreement sets the price, payment schedule, transfer date, inclusions and who pays which fees and taxes. It must say what happens to the deposit: normally the seller keeps it if you default and refunds it if the seller defaults. Get these terms in writing before paying, and have your lawyer check that the Thai and English versions match.

Buying step by step

1. Choose the structure with your lawyer and set a budget that includes transfer costs.
2. Reserve the property with a deposit under a written reservation agreement.
3. Carry out due diligence: title, seller, permits and, for a condo, quota and fees.
4. Sign the sale and purchase agreement.
5. Transfer the funds from abroad and collect the FET form or credit advice.
6. Complete at the Land Office, in person or by power of attorney: fees, taxes and the balance are paid, and the title or lease is registered.
7. After the transfer, set up utilities, register with the juristic person or estate management, arrange insurance and make a Thai will.

Transfer costs and taxes

Fees and taxes are paid at the Land Office on transfer day, based on the official appraised value, often below the sale price, or on the higher of the two:

• Transfer fee: 2% of the appraised value.
• Specific business tax: 3.3% of the higher of the two, typically when the seller has owned the property for less than five years, unless an exemption applies (for example, the seller's name in the house registration for at least one year).
• Stamp duty: 0.5% of the higher of the two, only when specific business tax does not apply.
• Withholding tax: the seller's income tax, deducted at transfer. For an individual it depends on the appraised value and years of ownership; for a company it is 1% of the higher of the two.

The split between buyer and seller is negotiable. Sharing the transfer fee and leaving the taxes to the seller is common, but write the split into the agreement. Registering a lease costs 1% of the total rent for the whole term, plus 0.1% stamp duty.

Yearly costs

The old claim that Thailand has no property tax is out of date. Since 2020, the Land and Building Tax Act has applied to owners of land, houses and condominium units, foreigners included, at low rates for residential use, billed yearly by the local authority. Add common area or estate fees, the one-off sinking fund for a condo, utilities and insurance. Rental income is taxable, and letting for less than 30 days generally requires a hotel licence.

Plan your succession with a Thai will

Without a will, your heirs generally need a Thai court to appoint an administrator of the estate before the Land Office will transfer the property. A Thai will covering your Thai assets, properly witnessed and naming an executor, makes this much simpler. Keep your home-country will for other assets, and make sure neither document revokes the other.

A foreign heir inheriting a condo must meet the conditions for foreign ownership or may have to sell within a set period, a foreign heir generally cannot keep land, and a usufruct ends on the holder's death. What happens to a lease when the tenant dies depends on the contract, so ask your lawyer to address succession explicitly.

Common traps to avoid

• Using a nominee company to "own" a villa: it is illegal, and the land can be lost.
• Pricing a leasehold as if the renewal options were guaranteed.
• Buying land in a Thai partner's name and assuming it is yours.
• Relying on the seller's or the developer's lawyer instead of your own.

Frequently asked questions

Can a foreigner own land in Thailand?

No, not in their own name. A foreigner can own a house as a building and a condominium unit freehold, but land is held through a registered lease, a superficies or usufruct, a Thai spouse who becomes the owner, or a genuine Thai company.

Is a 30-year lease really renewable to 90 years?

Only the first 30 years are secured by registration. Renewal options are promises by the landowner that must be registered again each time and can be hard to enforce against heirs or a new owner.

Does buying property give me a visa or residence in Thailand?

No. Owning property does not by itself give you a visa, residence or the right to work. You can, however, buy a freehold condo without being resident, provided the money comes from abroad.

Can a foreigner get a mortgage in Thailand?

It is possible but difficult. Thai banks usually require a work permit and stable Thai income, permanent residence, or a Thai spouse as borrower. Many buyers pay cash or borrow in their home country.

Who pays the transfer fees and taxes?

Buyer and seller agree on it. The transfer fee is 2% of the appraised value, specific business tax 3.3% (or stamp duty of 0.5% when it does not apply), and withholding tax is due on the seller's side.