What are the administrative procedures for buying a property in Thailand as a foreigner?

Buying real estate in Thailand as a foreigner is quite possible, but it involves following specific administrative steps to ensure that the acquisition is legal, recognized, and secure. These steps vary slightly depending on the type of property (condominium, leasehold, purchase via company), but certain steps are essential.

In this article, we present the most important steps you need to know.

1. Choose and book the property

Once you have found a property that meets your expectations, you enter the booking phase. Usually, you’ll be asked to pay a booking deposit (usually 5-10% of the price), along with a pre-agreement or booking document.

This document is not yet a sales contract, but it locks the property for a specific period.

2. Drafting of the sales contract

The Sales and Purchase Agreement (SPA) is then drawn up. It must contain:

• The contact details of the parties,

• The complete description of the property,

• The agreed price and payment terms,

• The date of the transfer of ownership,

• The breakdown of fees and taxes.

It is essential to have this contract verified by a local lawyer, especially if the document is written in Thai only.

3. Transfer of funds from abroad

As a foreigner, you need to transfer the funds from your home country, in a foreign currency, to a Thai bank. This transfer must be clearly identified as a payment for a real estate purchase.

If the amount transferred is more than 50,000 USD, you must obtain a Foreign Exchange Transaction Form (FET). This document is essential for the registration of the property in your name.

4. Verification of title deed

Before proceeding with the registration, it is imperative to check the title deed (Chanote) of the property. This check must be done with the Land Office, or through your lawyer.

This ensures that:

• The seller is the legal owner,

• The property is not mortgaged or encumbered by debts,

• The property can be transferred without restriction.

5. Registration at the Land Office

The key step is the registration of the transfer of ownership at the local Land Office, in the presence of the seller and the buyer (or their legal representatives).

During this step, the required documents are:

• Buyer’s passport or ID,

• FET form (or equivalent bank receipt),

• Signed sales contract,

• Original title deed,

• Receipt of payment of the sale price.

This is also when you pay the transfer fees and associated taxes (see previous article).

6. Surrender of the new title

Once the transfer is validated, the title deed is updated with your name, as the new owner (if you are buying a condominium) or as a tenant (for a leasehold).

This document is the official proof of your right to possess or use the property. Keep it safe, it will be required for any future sale, inheritance or permit application.

Other complementary steps

Open a bank account in Thailand

It is recommended that you open a local bank account if you plan to live in Thailand or manage a property there. Some banks require a visa or proof of local address.

Obtaining an adapted visa

The purchase of a property does not automatically entitle you to a visa. You should find out about the type of visa suitable for your stay: retired, business, elite, etc.

Conclusion: The administrative procedures to follow to buy in Thailand

Buying a property in Thailand requires good administrative preparation, but the procedure remains accessible if it is well accompanied. Compliance with the rules for transferring funds, registration at the Land Office and verification of the title deed are the pillars of a secure purchase.