Real Estate Investment in Thailand
Complete guide to buying property in Thailand. Legal structures, taxes, purchase process, and FAQ for international investors.
Purchase Process
Five simple steps from property selection to key handover
Property Selection
We help you find the right property based on your budget, investment goals, and preferences. Our catalog includes thoroughly vetted projects.
Reservation & Due Diligence
Reserve your chosen unit with a deposit. Our lawyers conduct comprehensive legal checks on the property and developer.
Contract & Payment
Sign the purchase agreement and complete the payment according to the agreed schedule. We guide you through every detail.
Registration
Property ownership is officially registered at the Land Office. You receive all necessary documents and ownership certificates.
Key Handover & Management
Receive the keys to your property. We can also arrange professional property management and rental services.
Ownership Structures
Understanding the legal framework for foreign property ownership in Thailand
Freehold (Condominium)
Foreign nationals can own condominium units outright under the Condominium Act, provided the foreign ownership quota (49%) is not exceeded.
Advantages
- +Full ownership rights
- +Inheritable and transferable
- +No time limitations
Disadvantages
- –Limited to condominiums only
- –49% foreign quota per building
- –Higher price per sqm than leasehold
Leasehold
Leasehold agreements allow foreigners to lease land or property for up to 30 years, with options to renew.
Advantages
- +Access to villas and houses
- +Lower entry price
- +Renewable lease terms
Disadvantages
- –No land ownership
- –Lease term is typically 30 years
- –Renewal depends on agreement terms
Due Diligence
Comprehensive verification process for every property investment
Legal Verification
Independent lawyer reviews title deeds, ownership history, encumbrances, and compliance with local regulations.
Developer Check
We verify the developer's track record, financial stability, construction permits, and EIA approvals.
Legal Disclaimer This information is provided for general guidance only and does not constitute legal advice. Consult a qualified Thai lawyer for your specific situation.
Tax & Fees
Key taxes and fees associated with property purchase in Thailand:
- Transfer fee: 2% of registered value (often split 50/50 with seller)
- Stamp duty: 0.5% (or Specific Business Tax: 3.3%)
- Withholding tax: varies based on ownership duration
- Common area fees: varies by project (typically 40-80 THB/sqm/month)
- Sinking fund: one-time payment at transfer (typically 500-1,000 THB/sqm)
Currency & Payments
Property purchases must be paid in Thai Baht via international bank transfer with a Foreign Exchange Transaction Form (FETF) for freehold purchases.
Frequently Asked Questions
Can foreigners buy property in Thailand?
Yes. Foreign nationals can own condominium units outright (freehold) and lease land/villas for up to 30+30+30 years.
What is the minimum investment amount?
Investment properties start from approximately $60,000 for studio units in developing areas. Premium locations start from $150,000+.
What rental yields can I expect?
Average gross rental yields range from 6-10% annually, depending on location, property type, and management quality.
Do I need to visit Thailand to buy?
No. We facilitate remote purchases via power of attorney. However, we recommend visiting for significant investments.
How long does the purchase process take?
Typically 4-8 weeks from reservation to ownership transfer for ready properties. Off-plan purchases follow the construction timeline.
Is property management included?
We can arrange professional property management through our network of trusted local operators, handling tenant sourcing, maintenance, and reporting.
What about property taxes?
Thailand has relatively low property taxes. Annual land and building tax ranges from 0.01-0.1% for residential properties. Rental income is subject to withholding tax.
Can I get a mortgage in Thailand?
Some Thai banks offer mortgages to foreigners, though terms are less favorable than for locals. Most international investors pay in cash or arrange financing in their home country.
What is the resale market like?
The resale market is active, especially in popular tourist destinations like Phuket and Bangkok. Capital appreciation averages 3-7% annually in prime locations.
Are there restrictions on renting out my property?
No major restrictions for standard long-term rentals. Short-term rentals (under 30 days) require a hotel license in most areas.
What happens if the developer goes bankrupt?
Our due diligence process includes financial stability checks. For off-plan purchases, we recommend developers with escrow accounts for buyer protection.
Can I get residency through property purchase?
Property ownership alone does not grant residency. However, Thailand offers various visa options including the Thailand Elite visa and retirement visas that can complement your investment.
How do I transfer funds to Thailand?
Funds must be transferred via international bank wire to a Thai bank account. For freehold condominiums, a Foreign Exchange Transaction Form (FETF) is required.
What insurance do I need?
We recommend property insurance covering fire, flood, and natural disasters. Contents insurance and rental protection are also available through local providers.
Ready to invest?
Schedule a free consultation with an Aster of Asia investment advisor