How to Buy Property in Thailand: The Step-by-Step Buying Process

Key Takeaways

• Who this is for: buyers who have decided to purchase a condominium in Bangkok or another major Thai city and are at the contract or remittance stage, and long-stay visa holders buying as foreign investors.
• The core question: what legal steps must a foreigner follow to buy property in Thailand, how is the FET document obtained, and what happens on transfer day at the Land Department?
• Key risks: the 49% foreign quota may already be full, FET documentation has strict conditions, transfer costs need to be agreed in advance, and a power of attorney must meet notarization requirements.

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Who Needs to Understand Thailand’s Property-Buying Process?

If you have already chosen a condo unit in Thailand, signed a Reservation Agreement, or are preparing to wire funds from abroad to pay for a purchase, you are at the stage of the buying process where the operational details matter most.

Most buyers, holders of a Thailand LTR or DTV visa working as digital nomads, and people planning a long-term retirement in Thailand, typically only realize how distinctive the Thai buying process is after they have chosen a project: foreign-currency remittances must come with an FET document, condominium projects are subject to a 49% foreign-ownership quota, and a Land Department transfer requires both parties to appear in person or to use a notarized power of attorney.

These requirements come from the Condominium Act and from Bank of Thailand regulations. If you don’t confirm the conditions for obtaining an FET document before wiring funds, or only discover the quota is full after signing, the whole transaction can be delayed or even cancelled.

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The Six Steps of Buying Property in Thailand

The full process for a foreigner buying a condominium in Thailand falls into six stages:

Step 1: Viewing and Reservation — After choosing a unit, you pay a deposit and sign a reservation agreement; the developer holds the unit for 14–30 days.

Step 2: Foreign-Currency Remittance and Obtaining the FET Document — You wire the purchase funds from an overseas bank into a local Thai bank account and ask the bank to issue a Foreign Exchange Transaction (FET) form.

Step 3: Signing the Sale and Purchase Agreement — You sign a formal Sale and Purchase Agreement with the seller or developer, confirming the total price, payment schedule, and transfer responsibilities.

Step 4: Confirming the 49% Foreign Quota — You ask the developer for proof that the project still has enough of its foreign-ownership quota available.

Step 5: Land Department Transfer — Both parties (or their authorized representatives) attend the Land Department to register the transfer of ownership and pay the transfer fee and related taxes.

Step 6: Receiving the Chanote Title Deed — Once the transfer is complete, the buyer receives a new Chanote (โฉนด, title deed) and ownership is formally registered in the buyer’s name.

The whole process, from reservation to receiving the title deed, usually takes 3–12 months, depending on whether the unit is a completed (“ready”) property or off-plan. A ready-built transaction can be completed in 1–3 months; an off-plan project is paid in installments tied to construction progress, and the transfer timing depends on the handover date.

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Step 1: What to Watch for When Viewing and Reserving a Unit

The Reservation Process and the Reservation Agreement

After choosing a unit, you typically pay a deposit to hold it. The deposit amount depends on the developer, generally THB 50,000–100,000, or 5–10% of the total price. Once paid, you sign a Reservation Agreement, which sets out:

• The unit number, floor, size, and total price
• The deposit amount and payment method
• The deadline for signing the formal Sale and Purchase Agreement (usually 14–30 days)
• The conditions for a deposit refund (for example, whether the deposit is refundable if the foreign quota turns out to be full or financing is not approved)
• The liability of either party for breach of contract

How the Deposit Is Paid

The deposit can be paid in cash, by bank transfer, or by cheque. Some developers accept foreign currency (such as US dollars, Hong Kong dollars, or Chinese yuan), but it is ultimately converted into Thai baht. An FET document is generally not required for the deposit payment itself, because the amount does not reach the Bank of Thailand’s reporting threshold (the equivalent of USD 50,000).

A Few Things Worth Confirming Early

Before signing the Reservation Agreement, always confirm whether the unit still falls within the foreign quota. If the quota is full, you will not be able to buy under Freehold (full ownership) and can only choose Leasehold (a lease of up to 30 years).

If the agreement does not clearly set out refund conditions for a full quota or a declined loan, ask the developer to add them, or have a lawyer review the agreement. If the agreement includes Thai-language clauses, ask for a bilingual version or a professional translation.

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Step 2: Foreign-Currency Remittance and Obtaining the FET Document

What Is the FET Document, and Why Is It Required?

Under Section 19 of Thailand’s Condominium Act, a foreigner buying a condominium must show that the purchase funds came from abroad. The FET document is the official confirmation that the Bank of Thailand requires local banks to issue for an inbound foreign-currency transfer equivalent to USD 50,000 or more.

Without an FET document, the Land Department will not process a foreigner’s transfer of ownership. Even if the purchase price has been paid in full and the contract signed, the transaction cannot be completed without the original FET.

How to Obtain the FET Document: Four Steps

Step 1: Wire funds from an overseas bank to a local Thai bank account. The receiving account must be in the buyer’s own name at a Thai bank. If you do not yet have a Thai bank account, you will need to open one first. Banks that commonly accept incoming foreign-currency transfers and issue FET documents include Bangkok Bank, Kasikorn Bank (KBank), Siam Commercial Bank (SCB), and Krung Thai Bank.

Step 2: State the purpose of the transfer as “purchase of condominium.” The wire instructions must clearly state a purpose code, such as “purchase of condominium” or “property purchase.” If the purpose code is incorrect, the bank may refuse to issue the FET or ask for supplementary documentation.

Step 3: Apply to the bank for the FET document. Within 1–3 business days of receiving the funds, go to the bank in person with your passport, the transfer record, and a copy of the sale and purchase agreement. Some banks charge a small fee (around THB 500–1,000).

Step 4: Keep the original FET. The FET is issued in two copies: one kept by the bank and one given to the buyer. The original must be submitted at the transfer, so keep it safe.

Requirements on Remittance Amount and Timing

The remitted amount must be at least equal to the total purchase price, calculated at the exchange rate on the day of the transfer. A bank will only issue one FET per single remittance — it cannot combine several smaller transfers into one FET after the fact.

The name on the receiving account must match the buyer’s passport. For a joint purchase by two people, the receiving account can be in one person’s name, but proof of joint ownership must be provided at the transfer.

Common Pitfalls

Splitting a transfer into installments will not produce a compliant FET. An FET can only be issued for a single remittance, and that amount must equal the total purchase price. If you wire funds in two installments (say, THB 1 million first, then THB 4 million), the bank will issue a separate FET for each amount, but the Land Department requires “a single foreign-currency inflow document equal to the full purchase price.”

Funds collected by the developer do not count as a foreign-currency inflow. If you wire money to the developer’s overseas account or through a third-party collection arrangement, the funds never enter the Thai banking system, and no FET can be issued.

International payment platforms such as Wise: Since 2025, Wise has begun supporting FET applications for qualifying Thailand property transactions, but this does not apply to every transaction — confirm with its customer service in advance. A traditional bank transfer remains the safest method.

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Step 3: Signing the Sale and Purchase Agreement

Timing and Types of Contract

Once the foreign quota is confirmed, both parties sign the formal Sale and Purchase Agreement within 14–30 days. For an off-plan purchase, the agreement may be signed in stages tied to construction progress (foundation complete, structure topped out, before handover).

Key Clauses in the Sale and Purchase Agreement

A complete sale and purchase agreement should include:

• Buyer and seller details: names, passport numbers, contact information
• Unit description: unit number, floor, size, parking space number (if applicable)
• Total price and payment schedule: deposit already paid, installment arrangement, timing of the final payment
• Handover date: for off-plan units, the expected handover date and any penalty for delay
• Allocation of transfer responsibilities: who handles the transfer, how costs are shared, and whether a power of attorney may be used
• Liability for breach of contract: compensation or refund terms if either party defaults

Sample Payment Schedules

For a completed (ready) unit, payment is typically made in 2–3 installments:

• At signing: 30–50%
• Before handover: 40–60%
• On transfer day: the balance

For an off-plan unit, payment is staged to construction progress:

• At signing: 10–20%
• Foundation complete: 10–15%
• Structure topped out: 15–20%
• Interior finishing complete: 20–30%
• Handover and transfer: the balance

Should a Lawyer Review the Contract?

There is no legal requirement to do so, but hiring a Thai lawyer to review the contract is worthwhile if you are unfamiliar with Thai or with local contract conventions, if the contract involves complex payment terms or delay clauses, or if you have concerns about the developer’s or seller’s reputation. Legal fees typically run THB 20,000–50,000, and a lawyer will focus on handover standards, breach-of-contract liability, and quota-guarantee clauses.

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Step 4: Confirming the 49% Foreign Quota

What Is the 49% Foreign Quota?

Under Section 19 of the Condominium Act, foreigners may not own more than 49% of the total floor area of any condominium project. The remaining 51% must be held by Thai nationals or Thai-registered companies.

This rule applies to every condominium project, whether newly built or resale. If the quota is full, a foreigner can only choose Leasehold (up to 30 years, renewable twice) or wait for another foreign owner’s quota to become available.

How to Confirm Whether Enough Quota Remains

Before signing a Reservation Agreement or Sale and Purchase Agreement, ask the developer or seller for:

• A Foreign Quota Certificate, issued by the Land Department, showing the currently held foreign-owned area and the remaining quota
• Proof of the unit’s ownership status, confirming whether the unit is currently held by a Thai national (and so convertible to foreign quota) or already held by a foreigner (and so already counted against the quota)

What If the Quota Is Full?

There are three options:

1. Choose Leasehold: up to 30 years, renewable twice, but renewal is not legally guaranteed and Leasehold units have lower market acceptance on resale.
2. Wait for quota to free up: if another foreign owner resells to a Thai national, quota becomes available, but this takes time and cannot be guaranteed.
3. Choose a different project: newly launched projects generally have more quota available.

In central Bangkok (areas such as Sukhumvit, Silom, and Sathorn) or popular tourist areas (such as Pattaya and Phuket), competition for the foreign quota is intense. Some leading developers reserve quota for early buyers; if you are interested in a popular project, it is advisable to reserve early and confirm the quota status.

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Step 5: What Happens on Land Department Transfer Day

Preparing for the Transfer

Documents the buyer needs to prepare:

• Original passport and a photocopy
• The original FET document
• The original sale and purchase agreement
• Proof of payment (bank transfer records or receipts)
• Proof of a Thai residential address (if any)

Documents the seller needs to prepare:

• The original Chanote title deed
• Proof of identity (a Thai ID card for a Thai citizen, or a passport for a foreigner)
• Tax documents (such as a Tax Clearance Certificate)

Both parties should book an appointment with the Land Department 1–2 weeks in advance; busy Land Department offices in central Bangkok may require a longer wait for an appointment.

The Transfer-Day Process (About 2–4 Hours)

Step 1: Document submission and review. Both parties (or their authorized representatives) submit all documents at the counter. Staff check that the documents are complete and verify the FET document and the foreign-quota status.

Step 2: Land Department valuation. The Land Department carries out an official valuation of the unit. This valuation is usually below market price (roughly 60–80% of market value), and transfer fees and taxes are calculated on the valuation, not on the actual transaction price.

Step 3: Calculating and paying the transfer fee and taxes. Based on the Land Department valuation, both parties pay the Transfer Fee, Specific Business Tax (SBT) or Stamp Duty, and Withholding Tax. Payment can be made in cash or by bank cashier’s cheque; most Land Department offices do not accept credit cards.

Step 4: Both parties sign the transfer documents. Once payment is complete, both parties sign the transfer documents in front of Land Department staff. If a power of attorney is used, the authorized representative must present a notarized Power of Attorney (POA).

Step 5: Receiving the new Chanote title deed. Once the transfer is complete, the buyer immediately receives a new Chanote title deed, recording the buyer’s name, unit number, size, and ownership type (Freehold). The title deed is in Thai but will note that the unit is held under the foreign quota.

Do You Have to Attend in Person? Can You Use a Power of Attorney?

In principle, both parties must attend in person. If the buyer cannot attend (for example, if they are abroad), a Power of Attorney (POA) can be used to authorize a lawyer or agent to complete the transfer.

The power of attorney must be notarized at a Thai embassy or consulate in the buyer’s location, and must state the scope of authorization, its duration, and the name of the authorized person; this usually takes 3–7 business days, and the notarization fee depends on the embassy.

Some Land Department offices are stricter about the format and notarization of a power of attorney, so it is advisable to confirm with a lawyer or the Land Department in advance whether your version will be accepted.

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Transfer Fees and the Tax Structure for Buying Property in Thailand

The Basis for Calculating Fees

All transfer fees and taxes are calculated on the Land Department’s valuation, not the actual transaction price. For example:

• Actual transaction price: THB 5,000,000
• Land Department valuation: THB 4,000,000
• Basis for calculating fees: THB 4,000,000

The Main Fee Items

Transfer Fee — The standard rate is 2%. Under a reduction introduced by Thailand’s Ministry of Finance effective 22 April 2025, the transfer fee for residential properties valued at THB 7,000,000 or below is cut to 0.01%, and the reduction is in effect until 30 June 2026.

• Before the reduction: THB 4,000,000 × 2% = THB 80,000
• After the reduction: THB 4,000,000 × 0.01% = THB 400

Specific Business Tax (SBT) or Stamp Duty

• If the seller has held the property for less than 5 years: a 3.3% Specific Business Tax applies
• If the seller has held the property for 5 years or more: Specific Business Tax is waived, and a 0.5% Stamp Duty applies instead

Withholding Tax — Borne by the seller; the rate depends on whether the seller is an individual or a company, and is typically 1%.

Customary Cost-Sharing Between Buyer and Seller

Thai law does not mandate how costs are shared; in practice:

• The buyer typically pays: the Transfer Fee and Stamp Duty
• The seller typically pays: the Specific Business Tax and Withholding Tax

The exact split can be negotiated in the contract.

A Full Worked Example

For a THB 5,000,000 condo (Land Department valuation THB 4,000,000), where the seller has held the property for less than 5 years, split by customary practice:

Buyer’s costs:

• Transfer Fee (after reduction): THB 400
• Stamp Duty: THB 0 (the seller pays Specific Business Tax instead)
• Total: about THB 400

Seller’s costs:

• Specific Business Tax: THB 132,000
• Withholding Tax: THB 40,000
• Total: about THB 172,000

If the purchase takes place after 1 July 2026, the transfer-fee reduction will have expired, and the buyer would pay the standard 2% transfer fee (THB 80,000).

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What to Arrange After Receiving the Chanote Title Deed

Transferring Utility Accounts

Contact the local Provincial Waterworks Authority and the electricity provider (the Metropolitan Electricity Authority or Provincial Electricity Authority), and provide a copy of the Chanote and your passport to transfer the utility accounts. Some condominiums have this handled centrally by the property management company — you can contact the management office directly.

Registering for the Property Management Fee

Register your details as the owner with the condominium’s management office and confirm the monthly management fee amount and payment method. Most condominiums accept automatic bank transfer.

Arranging to Rent Out or Live in the Unit

If you plan to rent out the unit, Thailand places no restriction on foreign owners renting out their property, but rental income must be declared for personal income tax. Renting through an agent or a property management company requires signing a management agreement.

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Common Misconceptions and Risks

Misconception 1: Foreigners can buy land in Thailand. In principle, foreigners cannot buy land, but they can buy Freehold ownership of a condominium unit. To hold land or a standalone house, the only options are Leasehold or setting up a Thai company (subject to foreign-shareholding limits).

Misconception 2: The quota is calculated by number of units. The quota is calculated by floor area, not number of units. A 100-square-metre unit uses up more quota than two 30-square-metre units. Even if a project still has many small units available, the quota for larger units may already be full.

Misconception 3: The transfer fee can be paid by credit card. Most Land Department offices accept only cash or a bank cashier’s cheque, not credit cards.

Risk 1: The FET document is lost, or the bank refuses to issue one. A lost FET can be reissued by the original remitting bank, but you will need to provide the transfer record and proof of purpose; the fee is around THB 1,000–3,000. If the bank refuses to issue one (for example, because the remittance purpose code was incorrect), you may need to re-remit the funds or negotiate additional documentation with the bank, which can delay the whole transaction.

Risk 2: A defect in the seller’s title. If the seller’s title deed carries an outstanding mortgage, unpaid taxes, or a title dispute, the Land Department may refuse to process the transfer. It is advisable to have a lawyer conduct a title search before signing to confirm the title is clear.

Risk 3: The power of attorney does not meet the Land Department’s requirements. If the format, notarization, or the description of the authorized scope does not meet requirements, you may be asked to have it renotarized. It is advisable to confirm the required template with a lawyer or the Land Department in advance.

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Three Typical Scenarios

Scenario 1: A Retiree Buys a Completed Condo in Bangkok

Background: Mr. Chang, 60, holds a Thailand LTR visa and plans to buy a THB 4,500,000 completed condo in Bangkok’s Sukhumvit area to live in.

How it was handled: He paid a THB 100,000 deposit, signed the Reservation Agreement, and confirmed the foreign quota. He then wired the US-dollar equivalent of THB 4,500,000 in a single transfer from a bank in his home country to a Bangkok Bank account in Thailand, stating the purpose as “purchase of condominium.” Two business days after the funds arrived, he applied to the bank for the FET. He also hired a Thai lawyer to review the sale and purchase agreement (a legal fee of THB 30,000), confirming the quota-guarantee clause and how transfer responsibilities were split. One month after signing, he and the seller booked the Land Department transfer; on the day, he paid a THB 400 transfer fee (after the reduction) and received the new title deed.

A risk not to overlook: Mr. Chang had originally planned to wire the funds in two installments; his lawyer reminded him that an FET can only be issued for a single remittance, so he switched to a single lump-sum transfer for the full amount.

Scenario 2: An Investor Buys an Off-Plan Condo in Pattaya

Background: Ms. Lee, 35, holds a Thailand DTV visa and plans to buy a THB 3,000,000 off-plan condo in Pattaya as an investment.

How it was handled: After paying a THB 50,000 deposit, she paid in installments tied to construction progress: THB 600,000 at signing, THB 600,000 when the foundation was complete, THB 900,000 when the structure topped out, and THB 900,000 before handover. Because none of these individual amounts reached the USD 50,000 threshold, the bank refused to issue an FET for them. Her lawyer advised her to wire the full THB 3,000,000 equivalent in a single transfer for her final payment instead, in order to obtain the FET. After handover, unable to travel to Thailand in person for the transfer, she had a power of attorney notarized in her home country (a fee of roughly THB 1,000–3,000 equivalent in local currency is typical) and had her lawyer complete the transfer on her behalf.

A risk not to overlook: Had she insisted on paying in installments throughout, she would not have been able to obtain a compliant FET, and the transfer could not have gone ahead.

Scenario 3: A Buyer Runs Into a Full Foreign Quota in Bangkok

Background: Mr. Wang, 45, plans to buy a THB 8,000,000 resale condo in central Bangkok.

How it was handled: His agent told him the project’s foreign quota was already full, so he could not buy under Freehold. The agent suggested Leasehold (30 years), but Mr. Wang was concerned about the lack of a guaranteed renewal after 30 years. After consulting a lawyer, he decided instead to buy in a nearby newly launched project that still had quota available, and completed the purchase without issue.

A risk not to overlook: Choosing Leasehold means lower market acceptance on resale, and after 30 years the owner would need to renegotiate with the owner or management company, with no legal guarantee of renewal.

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FAQ: Foreigners Buying Property in Thailand

Q1: Can I get a mortgage to buy property in Thailand? Can foreigners apply for a Thai home loan?
Foreigners can apply, but the conditions are stricter. Most local Thai banks will lend foreigners no more than 50–70% of the property value, at interest rates of around 4–6%, and require proof of income, proof of employment, or a long-term visa. Some Chinese-owned banks (such as the Bank of China’s Thailand branch) tend to be friendlier toward Chinese-speaking buyers, but they still require minimum income and credit standards to be met. If a Thai mortgage is not available, an unsecured or personal loan from a bank in your home country is another option, though usually at a higher interest rate.

Q2: Can a lost FET document be reissued? How long does it take?
Yes, by applying to the original remitting bank. You will need to provide your passport, the transfer record (SWIFT confirmation), and a copy of the sale and purchase agreement; the bank typically reissues it within 3–7 business days, for a fee of around THB 1,000–3,000. If the original remitting bank has closed your account or cannot provide the records, reissuing becomes harder — always keep the original FET safe.

Q3: Can I wire funds directly in Chinese yuan or Hong Kong dollars?
Yes — you can wire Chinese yuan, Hong Kong dollars, euros, British pounds, or other major currencies, and the Thai bank will convert them into baht at that day’s exchange rate. The FET document will record both the original currency and amount remitted and the converted baht amount. The key requirement is that the converted baht amount must equal the total purchase price, and the remittance purpose code must be correct.

Q4: If the quota is full, can I still buy? What is the difference between Leasehold and Freehold?
If the quota is full, you can choose Leasehold (up to 30 years, renewable twice), but renewal is not guaranteed and requires renegotiating with the owner or management company, and Leasehold units have lower market acceptance on resale. Freehold has no time limit, gives the buyer full ownership, and is easier to resell. If you plan to hold the property long term or resell it later, it is advisable to prioritize projects that still have Freehold quota available.

Q5: How do I arrange a power of attorney? Can it be done inside Thailand?
A power of attorney must be notarized at a Thai embassy or consulate in your location, stating the scope of authorization, its duration, and the name of the authorized person; this typically takes 3–7 business days, at a fee of around 1,000–3,000 units of local currency. If you are already in Thailand, it can also be notarized at a Thai notarial office, but confirm the format meets the Land Department’s requirements.

Q6: How much cash do I need to bring on transfer day?
Most Land Department offices accept only cash or a bank cashier’s cheque, not credit cards. If the 2025–2026 fee reduction applies, the transfer fee is only a few hundred baht and can be paid in cash. If you buy after the reduction expires, or owe other taxes, it is advisable to arrange a cashier’s cheque with your bank in advance, or bring sufficient cash.

Q7: Can I rent out the property after buying it? Is rental income taxable?
Thailand places no restriction on foreign owners renting out their property, but rental income must be declared for personal income tax (progressive rates of 5–35%). If you spend fewer than 180 days a year in Thailand, you generally do not become a Thai tax resident, and rental income may only be subject to withholding tax (around 15%). The exact tax obligation depends on the number of days spent in Thailand, the source of income, and your home-country tax residency status — it is advisable to consult a international tax advisor.

Q8: What if the developer goes bankrupt or delays handover?
Thai law does not require developers to carry completion insurance or set up third-party escrow, so if a developer goes bankrupt, buyers may face losses. It is advisable to choose a reputable developer (such as a listed company or leading brand), a project that has already obtained its construction permit and bank financing approval, and to have the contract clearly state penalties for delayed handover (such as a daily penalty or a refund clause). If a developer delays handover, you can claim under the contract terms, or pursue the matter through Thailand’s Office of the Consumer Protection Board or the courts.

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If you have questions about a Thailand visa, long-stay status, or entry requirements related to a property purchase, ask Zagdim — Zagdim can help clarify your purpose of stay, entry history, income sources, and the visa routes that may apply, and connect you with relevant Thailand visa and relocation services through ZDelp where useful.

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Important Disclaimer

This article is a general overview of the process for foreigners buying a condominium in Thailand and does not constitute legal, tax, financial, or real-estate investment advice. It is based primarily on official Thai regulations, professional legal analysis, and mainstream media reporting from 2024–2026, but the Condominium Act, foreign-exchange rules, transfer fees, and tax policy can change at any time; always check the latest announcements from Thailand’s Land Department, the Bank of Thailand, the Revenue Department, and other relevant authorities. If you are planning to buy a condominium in Thailand, it is strongly recommended that you consult a licensed Thai lawyer, accountant, or professional real-estate advisor before signing any contract or wiring any funds.

Have a question about this guide? Leave a comment below, or ask Zagdim directly.

Sources

• Thailand.go.th – Foreign ownership of land in Thailand: ownership procedures
• HLB Thailand – Registration fees for property transfers and mortgages reduced (Ministerial Regulations effective 22 April 2025)
• Forbes & Partners – FETF Explained: Your Guide to Buying Property in Thailand
• Forbes & Partners – Thailand Property Transfer Fees & Tax Guide (2025/2026)
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• Siam Legal International – Transfer of Property in Thailand
• Forbes & Partners – Title Deed Transfer Thailand: 2025 Guide to the Land Office
• Neginski Legal – Buying a Condo in Thailand in 2026: Rules for Foreigners
• Thailand Law Online – Legal Guide: Buying a Condominium in Thailand as a Foreigner
• ASEAN Briefing – Thailand Land Ownership for Foreigners
• Economic Daily News (Taiwan) – A guide to Bangkok real-estate investment: what foreigners should know when buying property in Thailand
• Baker McKenzie – Real Estate Law Thailand Global Corporate Real Estate Guide