Can Foreigners Own a Condominium in Thailand?

Yes. Foreigners can own condominium units in Thailand on a freehold basis, provided they meet the requirements under the Condominium Act B.E. 2522 (1979), as amended. [1]

For many foreign buyers, condominium ownership is one of the most straightforward ways to own property in Thailand. However, there are important legal requirements that should be checked before signing a contract or paying a deposit.

What Is the 49% Foreign Ownership Rule?

Under Section 19/2 of the Condominium Act, foreign ownership in a condominium is generally limited to 49% of the total area of all condominium units in the building. [1]

Importantly, the 49% is calculated by unit area, not simply by the number of units.

For example, if a condominium has a total unit area of 10,000 sq.m., the applicable foreign ownership quota would generally be 4,900 sq.m.

Therefore, before purchasing a condominium, a foreign buyer should confirm that sufficient foreign ownership quota remains available for the intended unit.

Who Can Own a Condominium as a Foreigner?

Section 19 of the Condominium Act sets out the categories of foreigners and foreign juristic persons who may acquire condominium ownership, subject to the statutory requirements. [1]

Eligibility should be checked based on the buyer's individual circumstances.

What Should Foreign Buyers Check Before Buying?

Before signing a sale and purchase agreement, we recommend checking at least the following:

1. 1.Foreign Ownership QuotaConfirm that sufficient foreign quota is available for the unit.
2. 2.Title and OwnershipVerify that the seller is the registered owner and check for mortgages, encumbrances or other restrictions.
3. 3.Sale and Purchase AgreementReview the purchase price, deposit, payment schedule, transfer date, taxes, fees, default provisions and refund conditions.
4. 4.Payment and Bank DocumentationForeign buyers should carefully arrange the transfer of purchase funds and retain the appropriate bank documentation required for the registration process. [3]
5. 5.Condominium RulesCheck rules concerning leasing, renovation, pets, common areas and other restrictions.

What If the Foreign Quota Is Full?

If the foreign ownership quota has already been reached, the unit may not be registered as foreign freehold ownership.

A buyer should therefore confirm the available quota before paying a substantial deposit.

Do not rely solely on a sales agent's verbal confirmation. The position should be verified through the condominium's records and the relevant registration process.

Can Foreigners Buy Condominiums in Phuket?

Yes. Phuket has a significant condominium market for international buyers, and the same general foreign ownership framework applies.

For a Phuket condominium purchase, legal due diligence should include:

• Foreign ownership quota
• Condominium title
• Seller's ownership
• Encumbrances
• Outstanding common fees
• Sale and purchase agreement
• Transfer taxes and fees
• Bank documentation
• Land Office requirements

Freehold vs Leasehold

Freehold means the condominium unit is registered in the buyer's name as an owner.

Leasehold gives the buyer contractual rights to use the property for a specified period but does not provide the same ownership interest as freehold.

These are legally different structures and should be carefully compared before making a purchase.

Key Takeaway

For a foreign buyer, the most important questions are:

• ✓Am I legally eligible to own the condominium?
• ✓Is sufficient foreign ownership quota available?
• ✓Is the title and seller's ownership clear?
• ✓Does the contract adequately protect me?
• ✓Are the payment and Land Office requirements properly handled?

Obtaining legal advice before signing the contract or paying a significant deposit can help identify problems while there is still an opportunity to address them.