Thailand Condo Purchase: Costs, Legal Process & Foreign Quota

Understanding the Foreign Ownership Quota

Thai law permits non‑Thai nationals to own condominium units on a freehold basis, but only up to 49% of the total floor area of any given building. The developer must certify that this ceiling has not been breached before issuing a sale and purchase agreement. If you are buying in a project that is already near its quota, the transaction may be delayed while the developer reallocates units or seeks additional foreign‑friendly space.

It’s important to note that this ownership right applies solely to the condo unit itself – foreigners cannot own land in Thailand. Villas and houses must be acquired through a 30‑year renewable leasehold or via a Thai majority‑owned company, which involves a completely different legal framework.

The Legal Path to Ownership

Step 1: Choose a Certified Development

Select a project that has received approval from the Office of the Property Registration Department. The developer should provide a Foreign Quota Certificate confirming that the building’s foreign ownership limit remains under 49%.

Step 2: Sign the Sale and Purchase Agreement (SPA)

The SPA is a binding contract that outlines price, payment schedule, hand‑over date, and any special conditions. It is customary for buyers to pay an initial deposit of 10–30% of the purchase price at this stage.

Step 3: Transfer Funds Through a Thai Bank

All foreign currency used to buy a Thai property must be transferred via a licensed Thai bank. The bank will issue a Foreign Exchange Transaction Form (FET) once the amount exceeds USD 200,000 in a single transaction or cumulative transfers within a year. This form is mandatory for registering the transfer at the Land Department.

Step 4: Register the Title Deed

The final step is to register the ownership change at the Land Department. Both buyer and seller (or their authorized representatives) must be present, or you can appoint a lawyer with a power of attorney. The registration process typically takes 1–2 weeks.

Key Fees and Taxes You’ll Pay

The cost of buying a condo goes beyond the headline price. Below is a typical breakdown based on a THB 5,000,000 unit purchased from an individual seller. Percentages may vary if you buy directly from a developer.

Fee / Tax	Rate	Amount (THB)
Stamp Duty (or Specific Business Tax*)	2% of purchase price	100,000
Transfer Fee (Land Department)	1% of purchase price	50,000
Withholding Tax (individual seller)	0.5% of assessed value or 1% of actual price – whichever is higher	25,000
Legal / Notary Fees	~0.2–0.5%	10,000 – 25,000
Foreign Exchange Transaction Form (FET) issuance	Flat fee	2,500 – 5,000
Total Approximate Cost	~3.7% of price	≈185,000 – 210,000

*If the seller is a developer, Specific Business Tax (SBT) at 3.3% replaces stamp duty.

The Foreign Exchange Transaction Form (FET)

Thai law requires proof that foreign currency used for a property purchase has been legally transferred into Thailand. The bank’s FET includes:

• Buyer’s passport number and Thai tax ID (if available)
• Amount in foreign currency and its THB equivalent
• Date of transfer and the purpose – “Purchase of condominium”

The form is valid for one year from issuance. When you present it to the Land Department, it confirms that the funds are not linked to illicit activity, satisfying anti‑money‑laundering regulations.

Practical Checklist for Foreign Buyers

• Verify the building’s foreign quota certificate before signing any contract.
• Engage a reputable Thai lawyer or a trusted agency such as Resida Global to review the SPA and handle title registration.
• Arrange your currency transfer through a licensed Thai bank; request the FET immediately after the wire is completed.
• Budget for additional costs: stamp duty, transfer fee, withholding tax, legal fees, and a modest contingency for unexpected expenses.
• Confirm that you have an appropriate long‑term visa (e.g., LTR or Thailand Elite) if you plan to stay in the country for extended periods – ownership alone does not confer residency.

Conclusion

Buying a condominium in Thailand is a straightforward process once you understand the foreign quota, the required fees, and the role of the Foreign Exchange Transaction Form. By partnering with experienced professionals like Resida Global and following the step‑by‑step checklist above, you can secure your Thai condo confidently and avoid common pitfalls.

Frequently Asked Questions

Can a foreigner own a condominium unit outright in Thailand?

Yes. Foreigners may hold freehold title to a condo unit as long as the total foreign ownership in the building does not exceed 49% of its floor area.

What is the purpose of the Foreign Exchange Transaction Form (FET)?

The FET proves that the purchase funds were transferred legally into Thailand, satisfying anti‑money‑laundering rules and allowing the Land Department to register the title.

Do I need a Thai visa to buy a condo?

No. Property ownership does not grant residency or citizenship. You will still need an appropriate long‑term visa (e.g., LTR, Thailand Elite) if you plan to stay.

What are the typical taxes and fees on a condo purchase?

Common costs include 2% stamp duty (or 3.3% Specific Business Tax for developer sales), 1% transfer fee, 0.5% withholding tax for individual sellers, legal fees, and a small bank fee for the FET.

Can I buy a villa or house as a foreigner?

Foreigners cannot own land outright. Villas are usually acquired through a 30‑year renewable leasehold or by setting up a Thai majority‑owned company, which involves additional legal steps.