Thai Real Estate Laws for Foreigners

Foreigners cannot buy land in Thailand, Foreigners can buy Free Hold 100% a whole building, minus the land on which it is built. In recent years, minor changes in Thai law have allowed nonresidents to explore the Thai real estate market. A foreigner can have a 30-year renewable lease, under which the buyer registers at the Land Office an option to renew the lease contract indefinitely, for further 30-year periods.

Our recommendations to prospective buyers:

If a Foreigner have a Thai spouse: transfer the land to her/his Name, lease the land from your spouse (taxes are 1% of the rental value for 30 years, Very Low)Buy or Register the Building permission in the foreigner name (foreigners can own Buildings 100%) Another option is to set up a private limited company with mixed Thai and foreign ownership, the foreign ownership being 49% or less. Companies are allowed to own land. The foreign national can control the company by using a legal power of attorney from the Thai shareholders, handing control to the foreign directors, or through assigning greater voting rights to the foreigner partner/s. This is an effective and time-tested route, most commonly taken by foreigners. The help of a lawyer is very important.

You must be aware Thai Nominees are not legal. In Thailand foreigners can also invest at least THB40 million (US$1,142,857) in a Board of Investment approved project. They will then be allowed to purchase up to 1 Rai (1,600 square meters) of land. 

Disclaimer: The information provided is for informational purposes only and should not be considered legally binding until a sales contract is executed. Buyers should seek legal guidance to ensure compliance with all relevant laws and regulations regarding property acquisition in Thailand.