Did you know that under the updated Thailand Condominium Act, stricter financial checks and new annual taxes now affect every international property purchase in 2025?

For business owners and professionals seeking secure investment or residency, these changes mean due diligence matters more than ever.

Condominium Act Thailand foreign buyers ownership buy condo

With the foreign ownership quota capped at 49% per project, and with luxury tax rates of up to 5% for high-value condos, missteps can lead to costly delays, penalties, or even lost deposits.

This guide translates regulatory updates into clear action steps, helping you avoid common errors and confidently navigate the purchasing process.

Key Takeaways

  • Foreign ownership capped at 49%: Only 49% of the total sellable area in a registered condominium can be owned by foreigners, always obtain written quota confirmation before making any payment.
  • Legal compliance starts with proven fund sources: All property payments must be remitted in foreign currency from overseas and accompanied by a Foreign Exchange Transaction (FET) Form for registration.
  • Updated taxes in 2025 increase holding costs: Foreign-owned condos now face annual property tax (0.3-1%) and a luxury tax (2-5%) on units valued above THB 10 million keep all tax receipts for compliance.
  • Eligibility requires clear documentation: Buyers must enter Thailand legally, provide evidence of overseas remittance, and avoid nominee structures, which are strictly prohibited and penalized.
  • Step-by-step due diligence protects buyers: Always verify building’s registration, confirm quota availability, and use licensed legal counsel at every stage to safeguard interests.
  • Leasehold is a strategic fallback: When the foreign quota is full, a 30-year leasehold agreement provides secure occupancy without title deed consider renewal terms and ownership risks.
  • Active ownership brings rights and responsibilities: Foreign owners may use, lease, or sell their unit within quota limits but must pay annual taxes and participate in homeowner association duties.
  • Ownership is project-specific, not national: Foreigners can own multiple units across different buildings as long as each stays within its 49% quota, always confirm before committing funds.

What Is the 2025 Condominium Act?

The Thailand Condominium Act B.E. 2522 sets the legal foundation for foreign ownership of condominiums in Thailand.

Key 2025 updates include:

  • A reaffirmed maximum of 49% foreign ownership per project (by total sellable area)
  • Stricter financial scrutiny for buyers, especially on overseas fund sources
  • New annual property tax rates (0.3-1%) and a 2-5% luxury tax for condos valued above THB 10 million

Definitions vital for buyers:

  • Freehold: Permanent ownership of the unit (with title deed)
  • Leasehold: Right to occupy for up to 30 years, with no ownership of title
  • Only registered condominium buildings with separate title deeds qualify for foreign purchase

Review full regulations via the Thai Government Gazette and Thai Land Department.

Who Can Buy Condos as a Foreigner?

Eligibility under the Thailand Condominium Act is clear and practical.

Foreign buyers must:

  • Enter Thailand legally (any visa type)
  • Remit funds from overseas in foreign currency, evidenced by a Foreign Exchange Transaction Form (FET)
  • Fit one of the following:
  • Individual foreign nationals
  • Permanent residents
  • Juristic entities registered abroad but operating in Thailand
  • Board of Investment (BOI) promoted investors

Not eligible:

  • Buyers using nominee Thai shareholders or entities to conceal foreign ownership

Section 19 and BOI promotion create pathways for both individuals and companies to participate.

All foreign buyers should verify their profile and the building’s quota to avoid costly errors.

Foreign Ownership Limits in Thailand

What Does the 49% Foreign Quota Mean?

The Thailand Condominium Act centers on the 49% quota, meaning foreigners can own up to 49% of the total sellable area in any registered condominium project.

Quota monitoring relies on these criteria:

  • Percentage is calculated based on all units’ sellable floor area, not unit numbers.
  • Each project’s juristic office reports and updates quota status to the Land Department.
  • Written confirmation of quota availability is required before paying any deposit.

If the 49% cap is reached, options are:

  • Buy on the resale market from another foreigner.
  • Sign a leasehold agreement (typically up to 30 years, renewable).

Smart buyers never transfer funds or sign contracts until they have quota confirmation in writing.

Risks and Illegal Practices to Avoid

In 2025, authorities actively enforce severe penalties for breaking ownership rules, including:

  • Forced sale of the property.
  • Fines and possible blacklisting from future purchases.

Illegal nominee or shareholder structures are under strict scrutiny. Always:

  • Verify all paperwork and quota compliance with the Land Department.
  • Engage licensed legal counsel for due diligence.

One mistake using an illegal nominee or ignoring quota rules can lead to losing your property or right to buy in Thailand.

Foreign buyers who prioritize transparency and documentation minimize legal and financial risks.

Buying within the quota, with confirmed compliance, remains the key actionable safeguard for international purchasers.

Condo Buying Process for Foreigners

What Are the Mandatory Steps to Secure a Thai Condo as a Foreigner?

Begin with a clear roadmap to avoid costly mistakes when buying under the Thailand Condominium Act. Every transaction must follow strict legal steps in 2025.

  • Reserve your unit and secure written confirmation that the foreign ownership quota (49%) is available.
  • Complete due diligence checks: confirm the project’s registration as a condominium at the Land Department and review the developer’s financial standing.
  • Pay your deposit only after all verifications are done.
  • Review and sign contracts with legal counsel present to safeguard your interests.
  • Transfer the purchase balance and complete ownership registration officially at the local Land Department office.

Legal counsel ensures compliance; skipping this step exposes buyers to preventable risks.

Key Documents to Avoid Delays

A strict checklist keeps your purchase on track and compliant with enhanced 2025 regulations:

  • Valid passport and visa
  • Foreign Exchange Transaction (FET) Form from a Thai bank
  • Signed purchase and sales contract
  • Proof of overseas funds transfer matching the FET Form
  • Any additional documents required by the Land Department

Banks will scrutinize all remittances for legal source verification. Incomplete paperwork leads to delays or failed registrations.

For detailed financial documentation standards, visit the Bank of Thailand guidelines.

The key to a secure, efficient condo purchase is preparation at every step. Obtain written quota status, check all documents twice, and use legal experts for confidence at transfer.

Fund Transfers & Financial Compliance

How to Transfer Funds Legally

To secure ownership under the Thailand Condominium Act, all purchase funds must be remitted from an overseas account directly into Thailand in foreign currency.

Banks in 2025 require the Foreign Exchange Transaction Form (FET Form) for any transfer over USD 50,000, which you must present during ownership registration.

Avoid common errors such as:

  • Using non-foreign currency (transfers must arrive in foreign currency)
  • Missing or incorrect remittance references mentioning “condominium purchase”
  • Routing funds through intermediary banks, which can delay FET Form issuance

No FET Form, no condo ownership registration. Foreign buyers should confirm each remittance meets all regulatory requirements.

A properly referenced transfer is your key to legal property registration in Thailand.

Tax and Reporting Rules for 2025

From 2025, all foreign-owned condos incur:

  • Annual property tax (0.3-1%) based on the cadastral (government appraised) value
  • Luxury tax (2-5%) if the purchase price exceeds THB 10 million

Keep certified tax receipts and detailed remittance records for both annual filings and any resale transactions.

Smart fund transfer practices and diligent tax reporting protect your investment, ensure legal compliance, and streamline the ownership process for every foreign condominium buyer.

Rights and Duties of Foreign Owners

Ongoing Rights & Responsibilities

Foreign buyers under the Thailand Condominium Act can use, lease out, or sell their condominium unit while living in or outside Thailand. Owners have the right to:

  • Lease their unit to tenants, following local registration and reporting laws
  • Use property for residential purposes, as permitted by building rules
  • Sell or transfer the unit to other eligible foreigners, as long as the building’s foreign quota is not full
  • Participate in the Homeowners’ Association and vote on building management or maintenance fees

Common responsibilities include:

  • Paying annual property tax (0.3-1% of appraised value) and, where applicable, a luxury tax of 2-5% on high-value condos
  • Sharing in common area fees and contributing to building reserve funds
  • Complying with Homeowners’ Association regulations

However, foreigners cannot legally own land beneath the condominium nor automatically pass the unit to heirs without meeting legal procedures.

Leasehold Options and Quota Strategies

When the foreign quota is at 49%, foreigners can secure occupancy via a leasehold agreement typically up to 30 years, with possible renewal options.

Key features to assess:

  • Leasehold contracts provide long-term usage but do not grant a title deed
  • Renewals depend on developer consent and contract terms
  • Ownership risk is lower for freehold compared to leasehold, as a title deed offers stronger legal protection

Explore verified ownership alternatives and official guidelines at the Thailand Board of Investment.

Long-term ownership means managing annual taxes, engaging actively in the association, and always verifying the legal security of your title or lease, these steps safeguard both your lifestyle and financial investment.

FAQ: Foreign Condo Ownership 2025

Can foreigners own multiple condos in Thailand?

Foreigners can own multiple condominium units in Thailand, but the 49% quota applies per project, not nationwide. You may own several condos as long as each building’s foreign ownership cap is not exceeded.

Does my visa affect condo eligibility?

Visa type does not determine your eligibility to buy a condo. Any foreigner with legal entry status: tourist, long-term, or business can purchase property. However, certain visa categories may streamline banking and management steps.

How to confirm foreign quota availability?

Always check the foreign quota before making any payment. To confirm quota availability:

  • Contact the condominium’s juristic office directly
  • Request written confirmation from the local Land Department

Freehold vs. leasehold: What’s the difference?

Freehold and leasehold are distinct forms of ownership:

  • Freehold grants permanent title, subject to the 49% quota
  • Leasehold offers a maximum 30-year term with no ownership title or inheritance rights

Conclusion

Navigating Thailand’s Condominium Act in 2025 allows you to secure property with confidence, clarity, and legal protection when you act with precision every step of the way.

  • Start by verifying foreign quota availability, conducting thorough due diligence, and preparing all required financial documentation up front.
  • Engage licensed legal counsel before signing any contracts to safeguard your purchase.
  • Maintain detailed records for all remittances and tax filings to ensure long-term compliance.
  • Always confirm building and title status directly with the Land Department before making payments.

If you’re ready to move forward or need tailored guidance on your purchase, contact us. Themis Partner will walk you through each requirement, streamline every process, and protect your interests at every stage.