Update log
- 3 November 2026: Added the statute box with Thai, English and French text and checked the page against the official text
What changed: Transfer and mortgage registration fees are cut to 0.01% on qualifying residential property where both the sale price and the appraised value are 7 million baht or less per contract (above that, the full fee applies). The standard rates are 2% transfer and 1% mortgage.
Effective: 1 July 2026 to 30 June 2027, under two Ministry of Interior announcements published in the Royal Gazette on 1 July 2026.
Who it affects: Individual Thai nationals only. Both announcements require the buyer to be a Thai national, so a foreign buyer registering under the foreign quota pays the standard 2% transfer fee.
Houses are usually held through a structure rather than owned, as explained in our guide to buying property in Thailand.
What to do now: If you are a foreign buyer, budget the full 2%. The reduction still matters to you on resale, because a Thai buyer purchasing from you before 30 June 2027 may qualify.
Last verified: 1 August 2026 against the two Ministry of Interior announcements published in the Royal Gazette on 1 July 2026.
Table of Contents
Last reviewed: 16 September 2026. The legal statements on this page were read in Thai against the Sap Ing Sith Act B.E. 2562 (sections 3, 4, 11 and 12), the Civil and Commercial Code (section 146 on a building put up on another person’s land, section 540 on the 30-year lease and its renewal, section 1097 on the two-person minimum for a limited company, sections 1410 and 1411 on superficies, section 1418 on usufruct), the Foreign Business Act B.E. 2542 (sections 4 and 36) and Central Registrar Order 2/2569. The fee reduction in the box above was verified separately on 1 August 2026. Not verified, because they are market figures or practice rather than law: the property prices, which date from 2021; the date the two-person rule took effect; Land Office practice on superficies over existing buildings; and whether a lease clause passing the lease to your heirs will be enforced. Re-checked on 5 October 2026: section 540 re-read in Thai with Supreme Court decision 4655/2566 (read to the disposition) and Central Registrar Order 2/2569 clauses 2 and 3 from the filed Gazette copy; the lease renewal lines no longer say renewals can simply be added, and the advice to lend a Thai partner the money for their shares was replaced (it is what Order 2/2569 checks), with a note that preferred shares do not cure a nominee holding under section 36 of the Foreign Business Act. Still unverified: as listed above, plus the fee box (last verified 1 August 2026).
Buying a house in Thailand could be a good investment there are risks to consider. Thailand is a popular place for tourists and expats. Many people want to buy property there. This is especially true in tourist spots like Bangkok, Phuket, and Chiang Mai.
One benefit of investing in property in Thailand is that the Thai government supports foreign investment. As a foreigner, you are allowed to own a condo in Thailand. The process for buying a condominium is relatively straightforward. However, if you want to buy a house in Thailand, especially land, you may need to set up a Thai company. You could also enter into a long-term lease agreement in Thailand. Usufruct rights are also popular in Thailand and there are others legal protections. A new right since 2019 is called Sap Ing Sith rights. We suggest you to consult a law firm with experience about real estate before signing any agreement.
Another advantage of buying a house in Thailand is the relatively low prices compared to other countries. You can find many types of properties. There are budget-friendly condos and luxury villas. It all depends on your budget and preferences. It’s important to do your research and work with a reputable real estate agent to find the right property for you.
Thailand Property Prices
Thailand property prices vary depending on the location and type of property. In 2021, property prices in Bangkok range from about 80,000 THB per square meter for condos in the suburbs. In prime areas like Sathorn and Sukhumvit, luxury condos cost more than 300,000 THB per square meter. In popular tourist spots like Phuket and Chiang Mai, condos cost about 50,000 THB per square meter. Luxury villas can cost several million dollars.
It’s important to know that property prices in Thailand can change. So, make sure to research and invest wisely. Working with a good real estate agent can help you understand the market. They can help you find a property that fits your budget and needs. Buying a house in Thailand is normally an important investment. Be careful and use reputable companies, agents and lawyers.
Buying a house in Thailand
Buying property in Thailand as a foreigner is not straightforward and you will need guidance. As previously mentioned, foreigners can own a condominium, even a house, but normally they can’t own land. Since 2019 it has been possible to acquire a Sap Ing Sith, a registered right to use land, or a condominium unit, for up to 30 years (sections 3 and 4 of the Sap Ing Sith Act B.E. 2562). The holder has the rights, duties and liabilities of an owner, but it is not ownership: recovering the property and stopping interference remain the owner’s rights, and buildings revert to the owner at the end unless agreed otherwise (section 11). The Act has no renewal mechanism, so going past 30 years needs a new grant and a new registration.
Before buying a property, it’s important to do your due diligence. Use real estate agency and lawyers that you trust and have a good reputation. Have an attorney review any legal documents before signing.
Taxes and other fees
There are also various taxes and fees associated with buying property in Thailand, including transfer fees, stamp duty, and income tax. The transfer fee is normally 2% of the appraised value, cut to 0.01% until 30 June 2027 on qualifying residential property where the buyer is an individual Thai national and both the sale price and the appraised value are 7 million baht or less per contract. Foreign buyers do not qualify and should budget the full 2%. These costs can vary depending on the value of the property and other factors. Working with a real estate agent and attorney can help you budget for these costs and avoid any surprises.
It’s also important to consider the potential risks associated with property investment in Thailand. For example, property values can change. There is no guarantee that you will sell your property for a profit later. There are legal and regulatory risks to think about. These include changes to Thai property laws and limits on foreign ownership.
In conclusion, buying a house in Thailand can be a smart investment for expats and tourists. However, it is important to research and work with trusted professionals to reduce risk. Thailand is a great place for property investment. There are many properties to choose from. Government policies also support foreign investment.
Thailand is one of the most beautiful places to consider after you retire. It is perfect if you want a relaxed life. You can find properties in Thailand. However, before getting one, you need to know the rules and guidelines. Foreigners are normally forbidden to own Land in Thailand but there are ways to protect your asset should you wish to live here. Buying a house in Thailand is possible.
In Thailand, you will find a lot of ventures; especially real estate is something what everyone wants to go for. However, to own an asset for yourself in Thailand certain rules are put in front of you, and you have to abide by them.
The law behind this page
English
Section 540
An ordinary fixed-term lease of immovable property is limited to 30 years. Section 540 permits renewal for up to 30 years from renewal. A lease made for a longer term is reduced to 30 years.
Full text
The duration of a hire of immovable property cannot exceed thirty years. If it is made for a longer period, such period shall be reduced to thirty years. The aforesaid period may be renewed, but it must not exceed thirty years from the time of renewal.
ThaiLawOnline translation
Section 1410
Superficies is the registered right to own buildings, structures, or plantations on another's land, separately from the land itself.
Full text
The owner of a piece of land may create a right of superficies in favour of another person by giving him the right to own, upon or under the land, buildings, structures or plantations.
ThaiLawOnline translation
Section 146
Full text
Things temporarily fixed to land or to a building do not become component parts of the land or building. The same rule applies to a building or other structure which, in the exercise of a right over another person's land, has been fixed to the land by the person who has such right.
ThaiLawOnline translation
Section 4 Sap Ing Sith Act B.E. 2562
Full text
An owner of immovable property who wishes to create a Sap Ing Sith shall file an application with the competent official and present the land title deed or the condominium unit title deed, as the case may be. A Sap Ing Sith may have a term not exceeding 30 years. A Sap Ing Sith may not be created over only part of the immovable property under a land title deed or condominium unit title deed. A Sap Ing Sith over immovable property that is mortgaged, used as security under the law on business security, or subject to any right registered on the land title deed or condominium unit title deed may be created only with the written consent of the mortgagee, the security receiver or the holder of that right, as the case may be.
ThaiLawOnline translation
Section 11 Sap Ing Sith Act B.E. 2562
Full text
The Sap Ing Sith holder has rights, duties and liabilities in the immovable property over which the Sap Ing Sith was created as if the holder were its owner, except that the right to follow and recover the immovable property from a person not entitled to detain it, and the right to prevent others from unlawfully interfering with it, remain the rights of the owner, and the holder must notify the owner of any such event immediately. Ownership of a building or structure that the Sap Ing Sith holder altered, extended or newly built on the immovable property passes to the owner of the immovable property when the Sap Ing Sith ends, unless the owner and the holder agree otherwise. Paragraph two does not apply to acts done to a condominium unit under the law on condominiums.
ThaiLawOnline translation
Section 1411
Full text
Unless otherwise provided in the act creating it, the right of superficies is transferable and transmissible by way of inheritance.
ThaiLawOnline translation
Section 36 Foreign Business Act B.E. 2542
Full text
A person of Thai nationality or a juristic person that is not an alien under this Act who assists or supports, or joins in operating, a business of an alien that is a business specified in the Lists annexed to this Act, where that alien has not been permitted to operate that business, or who joins in operating a business of an alien while representing it as being their business alone, or who holds shares on behalf of an alien in a partnership, limited company or any juristic person so that the alien may operate a business by evading or violating the provisions of this Act, and likewise an alien who consents to a person of Thai nationality or a juristic person that is not an alien under this Act doing such an act, shall be liable to imprisonment not exceeding 3 years, or a fine from 100,000 baht to 1,000,000 baht, or both, and the court shall order the assistance or support to cease, or the joint operation of the business to cease, or the shareholding or partnership to cease, as the case may be. A person who fails to comply with the court's order shall be liable to a fine of 10,000 baht to 50,000 baht per day for as long as the violation continues.
ThaiLawOnline translation
Section 1418
A usufruct may be created for a fixed period or for the life of the usufructuary. If no period is fixed, it is presumed to be for the usufructuary's life. Where a period is fixed, Section 1403 paragraph 3 applies, so it cannot exceed thirty years, though it may be renewed. A usufruct comes to an end on the death of the usufructuary and does not pass to heirs.
Full text
A usufruct may be created either for a period of time or for the life of the usufructuary. If no period has been fixed, it is presumed that the usufruct is for the life of the usufructuary. If a period has been fixed, the provisions of Section 1403 paragraph three apply mutatis mutandis. If the usufructuary dies, the usufruct always comes to an end.
ThaiLawOnline translation
ไทย
มาตรา 540
ข้อความเต็ม
อันอสังหาริมทรัพย์ ท่านห้ามมิให้เช่ากันเป็นกำหนดเวลาเกินกว่าสามสิบปี ถ้าได้ทำสัญญากันไว้เป็นกำหนดเวลานานกว่านั้น ท่านก็ให้ลดลงมาเป็นสามสิบปีอนึ่ง กำหนดเวลาเช่าดังกล่าวมานี้ เมื่อสิ้นลงแล้วจะต่อสัญญาอีกก็ได้ แต่ต้องอย่าให้เกินสามสิบปีนับแต่วันต่อสัญญา
ตรงตามข้อความในราชกิจจานุเบกษา / สำนักงานคณะกรรมการกฤษฎีกา (Verbatim from the Royal Gazette / Office of the Council of State)
มาตรา 1410
ข้อความเต็ม
เจ้าของที่ดินอาจก่อให้เกิดสิทธิเหนือพื้นดินเป็นคุณแก่บุคคลอื่น โดยให้บุคคลนั้นมีสิทธิเป็นเจ้าของโรงเรือน สิ่งปลูกสร้าง หรือสิ่งเพาะปลูก บนดินหรือใต้ดินนั้น
ตรงตามข้อความในราชกิจจานุเบกษา / สำนักงานคณะกรรมการกฤษฎีกา (Verbatim from the Royal Gazette / Office of the Council of State)
มาตรา 146
ข้อความเต็ม
ทรัพย์ซึ่งติดกับที่ดินหรือติดกับโรงเรือนเพียงชั่วคราวไม่ถือว่าเป็นส่วนควบกับที่ดินหรือโรงเรือนนั้น ความข้อนี้ให้ใช้บังคับแก่โรงเรือนหรือสิ่งปลูกสร้างอย่างอื่น ซึ่งผู้มีสิทธิในที่ดินของผู้อื่นใช้สิทธินั้นปลูกสร้างไว้ในที่ดินนั้นด้วย
ตรงตามข้อความในราชกิจจานุเบกษา / สำนักงานคณะกรรมการกฤษฎีกา (Verbatim from the Royal Gazette / Office of the Council of State)
มาตรา 4 พระราชบัญญัติทรัพย์อิงสิทธิ พ.ศ. 2562
ข้อความเต็ม
เจ้าของอสังหาริมทรัพย์ผู้ใดประสงค์จะก่อตั้งทรัพย์อิงสิทธิ ให้ยื่นคำขอต่อพนักงานเจ้าหน้าที่พร้อมกับแสดงโฉนดที่ดินหรือหนังสือกรรมสิทธิ์ห้องชุด แล้วแต่กรณี ทรัพย์อิงสิทธิมีกำหนดเวลาได้ไม่เกินสามสิบปี การก่อตั้งทรัพย์อิงสิทธิเฉพาะบางส่วนในอสังหาริมทรัพย์ตามโฉนดที่ดินหรือหนังสือกรรมสิทธิ์ห้องชุดจะกระทำมิได้ การก่อตั้งทรัพย์อิงสิทธิในอสังหาริมทรัพย์ที่มีการจำนองหรือการใช้เป็นหลักประกันตามกฎหมายว่าด้วยหลักประกันทางธุรกิจ หรือมีสิทธิใด ๆ ที่จดทะเบียนอยู่ในโฉนดที่ดินหรือหนังสือกรรมสิทธิ์ห้องชุด ให้กระทำได้เมื่อได้รับความยินยอมเป็นหนังสือจากผู้รับจำนองหรือผู้รับหลักประกัน หรือผู้มีสิทธินั้น แล้วแต่กรณี
ตรงตามข้อความในราชกิจจานุเบกษา / สำนักงานคณะกรรมการกฤษฎีกา (Verbatim from the Royal Gazette / Office of the Council of State)
มาตรา 11 พระราชบัญญัติทรัพย์อิงสิทธิ พ.ศ. 2562
ข้อความเต็ม
ผู้ทรงทรัพย์อิงสิทธิมีสิทธิ หน้าที่ และความรับผิดในอสังหาริมทรัพย์ที่ก่อตั้งทรัพย์อิงสิทธิเสมือนหนึ่งเป็นเจ้าของอสังหาริมทรัพย์ เว้นแต่สิทธิติดตามและเอาคืนซึ่งอสังหาริมทรัพย์จากบุคคลผู้ไม่มีสิทธิจะยึดถือไว้ และสิทธิขัดขวางมิให้ผู้อื่นสอดเข้าเกี่ยวข้องกับอสังหาริมทรัพย์นั้นโดยมิชอบด้วยกฎหมาย ให้ยังคงเป็นสิทธิของเจ้าของอสังหาริมทรัพย์โดยผู้ทรงทรัพย์อิงสิทธิต้องแจ้งเหตุดังกล่าวให้เจ้าของอสังหาริมทรัพย์ทราบโดยพลัน ให้กรรมสิทธิ์ในโรงเรือนหรือสิ่งปลูกสร้างที่ผู้ทรงทรัพย์อิงสิทธิดัดแปลง ต่อเติม หรือสร้างขึ้นใหม่ในอสังหาริมทรัพย์ ตกเป็นของเจ้าของอสังหาริมทรัพย์เมื่อทรัพย์อิงสิทธิระงับลง เว้นแต่เจ้าของอสังหาริมทรัพย์และผู้ทรงทรัพย์อิงสิทธิจะตกลงเป็นอย่างอื่น ความในวรรคสองมิให้ใช้บังคับกับการกระทำต่อห้องชุดตามกฎหมายว่าด้วยอาคารชุด
ตรงตามข้อความในราชกิจจานุเบกษา / สำนักงานคณะกรรมการกฤษฎีกา (Verbatim from the Royal Gazette / Office of the Council of State)
มาตรา 1411
ข้อความเต็ม
ถ้ามิได้กำหนดไว้เป็นอย่างอื่นในนิติกรรมอันก่อให้เกิดสิทธิเหนือพื้นดินไซร้ ท่านว่าสิทธินั้นอาจโอนได้และรับมรดกกันได้
ตรงตามข้อความในราชกิจจานุเบกษา / สำนักงานคณะกรรมการกฤษฎีกา (Verbatim from the Royal Gazette / Office of the Council of State)
มาตรา 36 พระราชบัญญัติการประกอบธุรกิจของคนต่างด้าว พ.ศ. 2542
ข้อความเต็ม
ผู้มีสัญชาติไทยหรือนิติบุคคลที่มิใช่คนต่างด้าวตามพระราชบัญญัตินี้ ให้ความช่วยเหลือหรือสนับสนุนหรือร่วมประกอบธุรกิจของคนต่างด้าว อันเป็นธุรกิจที่กำหนดไว้ในบัญชีท้ายพระราชบัญญัตินี้ โดยคนต่างด้าวนั้นมิได้รับอนุญาตให้ประกอบธุรกิจดังกล่าว หรือร่วมประกอบธุรกิจของคนต่างด้าวโดยแสดงออกว่าเป็นธุรกิจของตนแต่ผู้เดียวหรือถือหุ้นแทนคนต่างด้าวในห้างหุ้นส่วนหรือบริษัทจำกัด หรือนิติบุคคลใด ๆ เพื่อให้คนต่างด้าวประกอบธุรกิจโดยหลีกเลี่ยงหรือฝ่าฝืนบทบัญญัติแห่งพระราชบัญญัตินี้ รวมทั้งคนต่างด้าวซึ่งยินยอมให้ผู้มีสัญชาติไทยหรือนิติบุคคลที่มิใช่คนต่างด้าวตามพระราชบัญญัตินี้กระทำการดังกล่าว ต้องระวางโทษจำคุกไม่เกินสามปี หรือปรับตั้งแต่หนึ่งแสนบาทถึงหนึ่งล้านบาท หรือทั้งจำทั้งปรับ และให้ศาลสั่งให้เลิกการให้ความช่วยเหลือหรือสนับสนุน หรือสั่งให้เลิกการร่วมประกอบธุรกิจ หรือสั่งให้เลิกการถือหุ้น หรือการเป็นหุ้นส่วนนั้นเสีย แล้วแต่กรณี หากฝ่าฝืนไม่ปฏิบัติตามคำสั่งศาลต้องระวางโทษปรับวันละหนึ่งหมื่นบาทถึงห้าหมื่นบาทตลอดเวลาที่ยังฝ่าฝืนอยู่
ตรงตามข้อความในราชกิจจานุเบกษา / สำนักงานคณะกรรมการกฤษฎีกา (Verbatim from the Royal Gazette / Office of the Council of State)
มาตรา 1418
ข้อความเต็ม
สิทธิเก็บกินนั้น จะก่อให้เกิดโดยมีกำหนดเวลา หรือตลอดชีวิตแห่งผู้ทรงสิทธิก็ได้ ถ้าไม่มีกำหนดเวลา ท่านให้สันนิษฐานไว้ก่อนว่าสิทธิเก็บกินมีอยู่ตลอดชีวิตผู้ทรงสิทธิ ถ้ามีกำหนดเวลา ท่านให้นำบทบัญญัติมาตรา ๑๔๐๓ วรรค ๓ มาใช้บังคับโดยอนุโลม ถ้าผู้ทรงสิทธิเก็บกินถึงแก่ความตาย ท่านว่าสิทธินั้นย่อมสิ้นไปเสมอ
ข้อความจากฐานข้อมูลประมวลกฎหมายของเรา โปรดตรวจสอบกับข้อความทางการ (Thai text from our annotated code. Check it against the official text.)
Français
Article 540
La durée du bail immobilier ne peut excéder 30 ans ; une durée supérieure est ramenée à 30 ans. À son terme, le bail peut être renouvelé, sans dépasser 30 ans à compter du renouvellement.
résumé non officiel
Article 1410
Le propriétaire d'un terrain peut créer au profit d'autrui un droit de superficie, donnant à cette personne la propriété de bâtiments, constructions ou plantations sur ou sous le sol.
résumé non officiel
Article 146
Les biens fixés temporairement au terrain ou à un bâtiment n'en sont pas des parties composantes; il en va de même des bâtiments ou constructions élevés sur le terrain d'autrui par celui qui exerce un droit sur ce terrain.
résumé non officiel
Article 4 Sap Ing Sith Act B.E. 2562
Le propriétaire dépose sa demande avec le titre auprès de l'agent compétent. La durée n'excède pas 30 ans. La création ne peut porter sur une partie seulement de l'immeuble. Si l'immeuble est hypothéqué, grevé d'une sûreté ou d'un droit enregistré, le consentement écrit du titulaire est requis.
résumé non officiel
Article 11 Sap Ing Sith Act B.E. 2562
Le titulaire a les droits, devoirs et responsabilités d'un propriétaire, sauf la revendication et l'action contre les immixtions illégales, réservées au propriétaire, qu'il doit aviser immédiatement. Sauf accord contraire, les constructions reviennent au propriétaire à l'extinction, excepté pour les lots de copropriété.
résumé non officiel
Article 1411
Sauf stipulation contraire de l'acte constitutif, le droit de superficie est cessible et transmissible par succession.
résumé non officiel
Article 36 Foreign Business Act B.E. 2542
Le Thaïlandais ou la personne morale non étrangère, prête-nom ou aidant un étranger non autorisé pour une activité des listes, et l'étranger consentant, encourent jusqu'à 3 ans de prison et/ou 100 000 à 1 000 000 bahts. Cessation ordonnée, sous peine de 10 000 à 50 000 bahts par jour.
résumé non officiel
Article 1418
L'usufruit est constitué à terme ou à vie. Sans terme, il est présumé viager. Avec terme, l'article 1403, alinéa 3, s'applique par analogie. Il s'éteint toujours au décès de l'usufruitier.
résumé non officiel
Supreme Court decisions
- 4655/2566 (2023): A 30+30+30 Lease Paid Up Front: the Renewal Promise Is Void, the First 30 Years Stand
- 6763/2541 (1998): A Promise to Renew a Lease Is a Personal Right and Does Not Bind a Later Transferee of the Land
- 8015/2551 (2008): An Unregistered Superficies Still Binds the Parties Who Signed It: Just Not Third Parties
- 17923/2557 (2014): Lease That Was Really a Sale: Foreign Buyers Cannot Compel Transfer to a Nominee Company
Sources
- Civil and Commercial Code, Office of the Council of State, retrieved 31 October 2026
- Sap Ing Sith Act B.E. 2562, retrieved 31 October 2026
- Foreign Business Act B.E. 2542, retrieved 31 October 2026
- deka.supremecourt.or.th, Supreme Court of Thailand decisions database (copy held in our library), retrieved 19 February 2026
6 Tricks to Protect your Investment
1) Thai Limited Company for Buying a House in Thailand
Since February 2023, only two shareholders are required to setup a Thai limited Company (It was 3 minimum before). Under the business Act, if your company has 50% or more foreign shares, it’s considered a foreign entity. In practice, this means your company will need more licenses and permits to operate and that could be expensive.
You should also know that it’s forbidden in Thailand to use Thai people as “nominees” into your company. However, many Law firms in Thailand will offer to find you Thai people for your company.
The company route costs more. You will spend money to set up a company. You also need to do accounting each year. Many documents have to be filed. But it’s one of the only way to really own a property and be able to sell it should you wish. If you want to do business in Thailand and buy property, find a trustworthy Thai partner. This can be a good option for you.
If you don’t have a Thai partner, most law firms will ask the Thai shareholders to sign documents. They may need to sign power of attorney or share transfer agreements. This allows you, as the company director, to transfer shares as you wish. But like we stated before, that is an illegal practice, even if commonly used in Thailand.
Consult our section on Thai limited Company. Again be careful: having a nominee into your company is illegal. A company with a genuine Thai partner who invests their own money is lawful. Lending your Thai partner the money for their shares is exactly what the registrar now screens for: as the next paragraph explains, each Thai shareholder of such a company must show bank statements proving they paid for their own shares. Preferred shares can lawfully give a minority shareholder more votes per share, but they do not cure a nominee: if the Thai shareholders in fact hold their shares for you, it is still an offence under section 36 of the Foreign Business Act.
Two rules apply to any of these structures. Holding shares on behalf of a foreigner so that the foreigner can do business in avoidance or breach of the Foreign Business Act is an offence under its section 36, both for the Thai who holds them and for the foreigner who allows it. And since 1 August 2026, Central Registrar Order 2/2569 requires each Thai shareholder of a new company with a foreign shareholding under 50 per cent, or with a foreign director, to file three months of their own bank statements showing they paid for their shares, and giving the registrar false information is an offence under sections 137 and 267 of the Penal Code. See our guide to the 2026 nominee crackdown.
2) Leasehold (or rental contract called “hire of property”)
Because many foreigners are afraid to use nominees, they can buy a house in Thailand under a leasehold structure. A lease agreement in Thailand lasts for a maximum of 30 years. It can be renewed once it expires, by a new registered lease of up to 30 years (section 540); a renewal fixed in advance to take the lease past 30 years was held void by the Supreme Court in decision 4655/2566. A lease can include a clause passing it to your heirs, but whether a court will enforce that clause is not settled. So, you will also have the choice to pass on your property to your successor.
Do understand: You are NOT buying a house in Thailand. You are RENTING a house.
Since real estate investments usually involve large amounts of money, it’s wise to find a reputable law firm. Think that your contract should be bilingual so you can understand what you sign. (English and Thai) and it should be explained to you. If your lease is only in Thai, you won’t know what you sign and you might have surprises one day.
Clauses about heirs, a promise to renew and future changes in ownership law can be written into your lease agreement, but they bind only as far as the law allows: a promise to renew does not extend the registered term. A good idea is to add superficies rights to a lease agreement especially is on an undeveloped land.
Building permit under a foreigner’s name
Another way for a foreigner to own a house is to rent the land. They can then get a building permit in their name. A house built by someone exercising a right over another person’s land, such as a registered lease or superficies, does not become part of the land (section 146 of the Civil and Commercial Code). The building permit in your name is evidence that you built it, which matters when you sell. It is not a title deed. Remember that some marital rules do apply if you are legally married.
3) Superficies Rights in Thailand
With these rights, the ‘superficiary’ owns the buildings, structures or plantations on or under the land, but not the land itself (section 1410). Some Land Departments will refuse to register that right if constructions already exist on the land. Unless the grant provides otherwise, superficies are also transferable and transmissible to your heirs (section 1411), just like a well drafted lease agreement.
4) Usufruct
A usufruct in Thailand is different from a lease but there are similarities. It can be granted for a fixed term of up to 30 years or for the holder’s lifetime, and it always ends when the holder dies (sections 1418 and 1403 of the Civil and Commercial Code). It is often a very good idea for mixed couples that want to retired in Thailand. The foreigner will be protected by usufruct and the price to complete that step really not expensive. You should ask a law firm to create a proper usufruct agreement. The forms from the land department are not the best. Usufruct rights come from Roman Law. They are real rights, which are the best rights you can have on a property.
5) Loan and mortgage
Some clients decide to make a loan agreement with a Thai person to protect their investment. They register a mortgage as collateral to ensure the loan is paid back, just like banks do. It is important to understand that there not a best way to protect your rights. Sure, fully owning a condominium is great. But for some people, they prefer buying a house, having some land, they being restricted to a condo.
6) Sap Ing Sith rights
We would like to refer you to this article to understand what are Sap Ing Sith. This could be the proper way for you to protect your investment. You still do not buy the land. You buy a right to use the land and the house for up to 30 years, which you can sell, mortgage and leave to your heirs within that term (section 12 of the Act). There is no statutory extension: continuing past the term needs a new grant from the owner. It is the best way according to us for buying a villa or a property in this country. The more you invest, the more you want strong legal protections. This is strong. Nothing, and I do not joke, nothing beats a sap ing sith for buying a house in Thailand.
Other considerations to think about when buying a property in Thailand
Before making any decision regarding your house , the first step you should take is to fix up a limited budget for yourself. Otherwise you will end up spending a lot of unnecessary expenses. The costs of material you will need to complete your house may vary from day to day.
Maintaining a budget will definitely help you.It is normally always more expensive than we imagined. If you see that your budget framework is not what it is supposed to be, then you may cut down some aspects. Budget should not be the factor that should oppose you from getting the comfort of your new house in Thailand. Take a wise decision according to what fits you before embarking upon buying a house in Thailand.
Do not sign any contract before having seen a reputable lawyers that speaks your language
Often, people buy a house, sign a contract and then see a lawyer after to protect their purchase. That is a mistake because the sale agreement is already signed. Law firms dealing with properties can easily verify your contract. They might even be able to negotiate with the builder, developer, or owner. But that should be done before any signatures.
Professionals contracts will explain the quality of materials and the delays of construction. They will add warranties, permits and licenses and obligations of each parties. Remember that you must agree on many aspects, not only the price. Who will pay taxes and transfer fees? What about utilities? This should also be decided before any signature.
If you need to pay a deposit to hold a plot or property, make sure it is refundable. This way, if you can’t agree on the final sale terms later, you can get your money back. Conditions about payments will vary a lot from one developer to another. Don’t be afraid to “shop around” for your property and visit different developments. In cases where large amounts are involved, due diligence should be made.
Due diligence is a kind of investigation about the property. You want to be sure that all documents, requirements, people involved won’t make any problems. A construction agreement can be separated from a sale agreement. Some developers in touristic areas will often use that method to lower taxes.
- DD Property is probably one of the best website about properties in Thailand.
- FazWaz (another popular website)
Frequently Asked Questions
Can a foreigner buy a house in Thailand?
A foreigner can own the house structure itself but generally cannot own the land beneath it. Common solutions are a registered long-term lease or holding the land through a Thai company.
Can foreigners own land in Thailand?
As a general rule no. Land ownership is reserved for Thai nationals, with only very limited exceptions such as certain large BOI-approved investments.
How can a foreigner secure the land under a house?
Options include a registered lease (commonly up to 30 years), a usufruct, a superficies, or holding the land through a properly structured Thai company.
What due diligence should I do before buying a house in Thailand?
Verify the title deed, check for mortgages or encumbrances, confirm zoning and building permits, and have any lease or company structure reviewed by a lawyer.
What taxes and fees apply when buying a house in Thailand?
Expect a transfer fee, stamp duty or specific business tax, and withholding tax, which buyer and seller usually share by agreement.
Buying a house means dealing with the land underneath it. If you would rather own outright, compare the condo route: condo lawyer in Thailand.
Thai Law Updates, free by email
Plain-English updates on Thai law changes that affect foreigners: property, visas, marriage, business and wills. One short email a month from a firm practicing since 2006. No spam, unsubscribe anytime.