Buying property in Thailand as a foreigner is mechanically simple but full of small traps. The legal framework is permissive for condominiums and restrictive for land. The transaction itself happens in a single afternoon at the Land Office. Almost everything that goes wrong, goes wrong in the weeks before that day — bad title, missing FET form, an off-plan developer who stops building, a leasehold that turns out unrenewable.
This guide walks the full sequence end to end. It assumes you are a foreigner buying for personal use or investment, in cash, with no Thai spouse on the deal. Variations for company structures, mortgages, and spousal purchases are covered in linked articles.
The 12-step path
- Decide ownership form (freehold condo, leasehold villa, company-held land)
- Set a budget that includes total transaction costs (~6–7% on top of price)
- Shortlist properties and visit
- Negotiate price and reservation terms
- Pay reservation fee and sign reservation agreement
- Engage an independent lawyer (not the developer’s)
- Title and seller due diligence
- Sign sale and purchase agreement; pay deposit
- Transfer purchase funds into Thailand with FET
- Final inspection
- Land Office transfer day
- Post-purchase admin (utilities, taxes, insurance)
The order matters. Skipping due diligence to “save time” is the most expensive mistake foreign buyers make in Thailand.
Step 1 — Decide ownership form
Foreigners can own a condominium unit outright (freehold), provided the building’s foreign-owned floor area stays within the 49% quota set by the Condominium Act. Land cannot be owned by a foreign individual. Houses and villas are bought via leasehold (a 30-year lease registered against the title) or via a Thai-majority company that holds the land.
This decision drives everything else: the type of contract, the documents at the Land Office, the tax treatment, and the resale market. Settle it before you start property hunting.
Step 2 — Budget the full cost
The headline price is not the cost. Add:
| Item | Typical cost | Who pays (convention) |
|---|---|---|
| Transfer fee | 2% of appraised value | Split 50/50 or buyer (negotiable) |
| Specific Business Tax or Stamp Duty | 3.3% or 0.5% | Seller |
| Withholding tax | Variable | Seller |
| Lawyer fees | THB 50,000–150,000 | Buyer |
| Sinking fund (new condo) | One-off, THB 500–1,000/sqm | Buyer |
| First-year CAM (common area fee) | THB 40–80/sqm/month | Buyer |
| FET bank fees | ~0.25% of transferred amount | Buyer |
Budget 6–7% on top of the agreed price for a resale, plus a refurbishment reserve if you’re buying older. Off-plan is structured differently — see Step 8. Full breakdown in Taxes and fees when buying property in Thailand — full 2026 breakdown.
Step 3 — Shortlist and visit
For Phuket specifically, area choice drives both lifestyle fit and rental yield. Bang Tao and Laguna are the established expat west-coast cluster; Rawai and Nai Harn skew family/long-stay; Patong is short-let dominant. The Buying property in Phuket — complete guide for foreign buyers breaks down each district.
Two practical checks during visits:
- Building age and management quality. Walk the corridors. Ride the lifts at peak hours. Look at the pool and gym at 6pm. Ask the juristic person (building manager) for the last AGM minutes and the sinking fund balance. Bad management tanks resale value faster than location.
- Foreign quota status. For condos, ask the developer or juristic person what percentage of foreign-owned units are currently registered. If the building is at or near 49%, you may not be able to buy freehold even though units are advertised. Get this in writing.
Step 4 — Negotiate
Price flexibility in Phuket varies by segment. New developer launches often have phase pricing that rises on schedule — there is little room to negotiate price but room on payment terms (extended deposit schedule, free furniture pack, transfer fee paid). Resales have more price flexibility, especially for older buildings or motivated sellers (divorce, visa expiry, distress).
What you negotiate beyond price:
- Inclusion of furniture and appliances (specify brand and condition in the contract)
- Who pays which transfer-day taxes
- Reservation fee amount and refundability
- Penalty for late completion (off-plan)
Step 5 — Reservation agreement
The reservation fee (THB 100,000 to 500,000 typical) takes the property off market while due diligence runs. Make the reservation fee refundable if material defects are found in due diligence. Get this in writing in the reservation agreement, in English, before paying. Without that clause, your fee is non-refundable even if the seller’s title is faulty.
The reservation agreement is short — one or two pages. It should specify: parties, property identifiers (title deed number, unit number), price, currency, deposit amount, deposit due date, transfer date, refund conditions.
Step 6 — Engage your own lawyer
Use a Thai-licensed lawyer, not the developer’s lawyer, not the agent’s “in-house” service. Their job is to find reasons not to buy. Cost is THB 50,000 to 150,000 for a standard transaction.
Three things to verify when picking the lawyer:
- Licensed by the Lawyers Council of Thailand (request the license number)
- No connection to the developer or seller (ask directly)
- Has done at least 20 foreign-buyer property transactions in your area
Your lawyer handles steps 7, 8, and 11 below.
Step 7 — Due diligence
This is where transactions die — and where they should die, when something is wrong. Your lawyer pulls and verifies:
- Title deed. For condos, the unit ownership certificate. For land, the Chanote (Nor Sor 4) is the only fully-registered title with surveyed boundaries — accept nothing weaker for villa purchases.
- Encumbrances. Mortgages, liens, court orders, leases registered against the title.
- Seller identity. Passport/national ID, marital status (a Thai spouse may have rights), corporate documents if seller is a company, board resolution authorizing sale.
- Building debts. Outstanding common-area fees, special assessments, sinking fund deficits — these transfer with the unit unless cleared.
- Foreign quota. Current foreign-owned percentage of the building, in writing from the juristic person.
- Compliance. Building permit, occupancy permit, condominium juristic registration.
- Off-plan only: developer’s land title, construction permit, Environmental Impact Assessment (EIA) for projects above the threshold, escrow status.
Due diligence takes one to three weeks. The lawyer issues a written report. Read it. If anything is unresolved, push transfer until it is, or walk away.
Step 8 — Sale and Purchase Agreement (SPA) and deposit
Sign the SPA after due diligence comes back clean. Standard deposit is 10–20% of the price for resales, paid on signing. Off-plan structures the deposit and progress payments differently — typical schedule:
| Stage | Payment |
|---|---|
| Reservation | THB 100k–500k |
| Contract signing | 25–30% (less reservation) |
| Foundation completion | 10–15% |
| Structure completion | 10–15% |
| Roof completion | 10% |
| Wall and finishing | 10–15% |
| Transfer of ownership | Balance |
The SPA is the binding contract. It should be bilingual (English and Thai) with a clause specifying which language governs in case of dispute (insist on English if you don’t read Thai). Mandatory clauses for foreign buyers:
- FET form provision: seller’s obligation to allow buyer’s funds to be remitted from abroad and the bank to issue the FET
- Penalty for delayed transfer (per day)
- Force majeure scope
- Defect warranty period (one year structural is standard for off-plan; resales sold “as is”)
- Refund mechanism if foreign quota is unavailable at registration
Step 9 — Transfer purchase funds with FET
For a foreigner to register condo ownership, the purchase funds must enter Thailand from outside Thailand in foreign currency, at least equal to the price (in THB equivalent). The receiving Thai bank converts to baht and issues a Foreign Exchange Transaction form. No FET, no condo registration.
Mechanics:
- Wire from your home bank to a Thai bank (yours, your lawyer’s escrow, or seller’s, depending on the SPA)
- Purpose code: “Purchase of condominium” or equivalent (the bank needs this to issue FET)
- Amount in foreign currency (USD, EUR, SGD, etc.) — not THB
- Single wire above USD 50,000 triggers automatic FET; smaller amounts may need a written request
- Keep the FET form. You need it on transfer day, and you’ll need it again to repatriate funds when you sell
For leasehold or company-held land, the FET requirement is different — your lawyer will advise. For BOI-investment freehold land, the THB 40 million minimum must be remitted via FET and held for five years.
Step 10 — Final inspection
Before transfer day, walk through the property with your lawyer or a hired snagging inspector. Document defects with photographs and a written punch list. The SPA should give the seller (for resales) or developer (for off-plan) a defined window to correct or compensate. For off-plan, escrow the final payment until the punch list is closed.
Do not accept “we’ll fix it after you move in.” Once the title is transferred, your leverage is gone.
Step 11 — Land Office transfer day
Both parties (or their representatives via power of attorney) attend the local Land Office. Documents required from the buyer:
- Passport (original)
- Power of attorney (notarized) if appearing by proxy
- FET form
- Cashier’s cheques for the price balance and your share of fees
- Letter from juristic person confirming foreign quota availability (condo) or building debts settled
Documents required from the seller:
- Title deed (Chanote or condo unit certificate)
- Passport / ID / corporate documents
- Marriage certificate or single-status declaration (Thai spouses)
- Cashier’s cheques for their share of taxes
- House book (Tabien Baan) if applicable
The Land Office officer reviews documents, calculates the appraised value (the basis for transfer fee and withholding tax — usually below market value), collects fees, and registers the transfer. The new title deed with your name is issued the same day. Plan three to five hours.
For company-held land or BOI cases, allow extra time and expect document review the day before.
Step 12 — Post-purchase admin
Once you’re the owner, in the first month:
- Transfer utilities (electric, water, internet) into your name. The juristic person handles this for condos.
- Set up a Thai bank account if you don’t have one — required for paying utilities, CAM, and rental income deposits.
- Notify the juristic person of contact details and emergency contacts. Get the building rules in English.
- Insure the unit. Building insurance via the juristic covers structure, not contents or tenant liability.
- Register at Tabien Baan (yellow book) if you intend to apply for a Thai driver’s license, certain visas, or a Tax ID using the address.
- File annual Land and Building Tax (rates and exemptions in Taxes and fees when buying property in Thailand — full 2026 breakdown).
- If renting out: register for income tax. Short-term rental (under 30 days) requires a hotel license under the Hotel Act 2004 — see Short-term rental in Thailand — Hotel Act 2004 reality and Phuket enforcement for the practical reality.
What to skip if your time is limited
If you read nothing else: hire your own lawyer (Step 6), do due diligence properly (Step 7), and bring funds with FET (Step 9). Skip any of those three and you can lose the entire investment. Everything else can be recovered from.