9 Steps to Buy a Property in Thailand

Finding the property of your dreams in Bangkok, Thailand, can sometimes prove to be a real headache. That’s why, in this article, we suggest you to learn about all the steps to follow in order to ease and secure your home search.

Become an owner in Thailand

Are you looking to acquire a property in the Kingdom of Siam? You are at the right place! BaanFinity is there to assist you in your quest for your apartment or home. From research to the signature of the title deed, we will explain you in this article the main steps needed to buy your home in the land of smiles.

Because organization is the key to any success, here are the 9 steps to buy a property in Thailand:

Step 1: The Agency

The search for housing in Thailand can be difficult without good knowledge of the market and its requirements. The rules of ownership, the language and cultural barriers, and differences in practices are all reasons that justify the help of a real estate agency. In addition, only the seller pays the agency commission. Many reasons justify the assistance of a real estate agency. So, choose the right one!

Step 2: Research

As soon as you have defined your requirements, research is a major step in your buyer journey. You will refine your criterias and other elements that will determine your options.

Although you probably already have an idea of the type of property you want to buy in Thailand, it is essential to ensure you have been asked all the right questions:

Do you want a new or pre-owned property?An apartment or a house?Number of rooms, size, views desired, floor, appliances wanted, etcYour purpose: residence, investment, vacation, retirement?Location: What facilities do you want nearby: access to the highway, close to public transport or schools?We are fully aware that it may be difficult to define your criterias without a good knowledge of the local market. So do not hesitate to contact our real estate experts who will be happy to assist and walk you through to the realization of your project.

The budget: an important factor to consider during your research

As in western countries, in Thailand, there are many types of properties various prices. Defining your precise budget is crucial since this will allow you to fine tune your property searches.

Note that in Thailand, the posted price of real estate in resale, always includes its selling price as well as the taxes and costs related to the transaction. Only the transfer fee, which generally represent 1% of the value of the property, are not included. Moreover, there are no agency fees for buyers in Thailand, all of which are at the expense of the sellers.


Thailand’s real estate listings may seem similar to Westerners and they aren’t any different. The printed prices, the floor area and the availability of the property are all elements to be considered carefully to avoid disappointments. It’s interesting to note that in Thai usage, the size of dwellings will be presented by their number of bedrooms and not by the number of rooms. In other words, this means that the living room is not counted. Also, the size of the units on the Ads are usally approximative. When times comes with negotiation, better to ask for the title deed first, to get the accurate unit size. We here to ensure for you as the title deed is obviously in Thai!

There are many real estate portals on the Internet but many of the ads are outdated or inactive. Indeed, exclusive mandates are very rare in Thailand, which results in a duplication of announcements for the same property at different prices, because they have been put up for sale at different periods, if it still hasn’t been sold!

To receive offers updated regularly, you can visit our website

Steps 3: Visits

The visits are next after researching and selecting the property. They are an opportunity for you, the buyer, to visualize yourself into what could be your future housing. At BaanFinity, we are committed to providing you the service you are expecting. We’ll organize transportation for you from our agency to the properties you want to visit. Our agents are there for you and will make sure to help you at the very least by gathering as many visits on the same day or week to fit your schedule.

Our tips for a successful visit:

Visiting a property should allow you to see how well it fits your search criteria. Do not forget to take into account the surrounding neighborhood and the common areas in the case of an apartment. For instance, the condition of the elevators, appliances, maintenance of the building, etc.

Once inside the property, consider checking the orientation of the property, the quality of the materials (acoustic and thermal insulation), the operation of the equipment (air conditioning, faucets, etc) as well as the quality of the furniture in case of a furnished accommodation.

Step 4: Negotiation

Have you made your choice? BaanFinity will assist you in the process of negotiating the selling price and making an offer to the seller. Our agents are well experienced with the trading methods in Thailand. Knowing that 90% of the owners are Thai, the negotiation is very different from westerners. The acceptance of the offer results in the signature of the selling agreement. Unlike European legislation where the offer to buy is a document holding the buyer under certain conditions and a time limit, in Thailand, the agreement will only be reviewed at the signing of the selling agreement.

Step 5: The selling agreement

The selling agreement takes the form of a sales contract in which the seller agrees to sell his property to the buyer in exchange for a deposit from the buyer equal to 5 to 10% of the value of the property. It is at this stage that the ownership’s date of transfer will be defined by the Land Department. There is no notary in Thailand, so we will take care of the whole legal process with the local administration. (See below.)

The selling agreement confirms your commitment to the seller. Also, in the event that the transaction fails, the deposit made will remain entrusted to the latter, unless stipulated and accepted by both parties. Conversely, if the seller withdraws for a reason not provided for in the terms of the selling agreement, the latter must compensate the buyer by an amount equal to twice the amount of the deposit.

Step 6: Financing

Transfer of funds to Thailand

The transfer of funds remains the most widespread financing option for real estate in Thailand for foreign buyers. The buyer is obliged to transfer their funds in foreign currency (from a foreign account) to a Thai bank account only. BaanFinity can assist you in opening your account in Thailand if you wish.

Real Estate Loans

The mortgage loan is the least popular financing option for real estate in Thailand for foreigners. Indeed, it is quite difficult for a foreigner to obtain a loan in Thailand because the conditions are very restrictive and the requested contribution can represent up to 50% of the loan. Moreover, the rates are high, generally being in the order of 5 to 7% in 2017. The most advantageous solution for foreigners remains borrowing in the buyer’s country of origin with a transfer of Funds to Thailand. Of course, the banks are asking for a mortgage guarantee.

Terms of payment

Payment terms vary depending on the type of property you purchase.

In the case of a resale dwelling, the payment of a deposit takes place when you sign the selling agreement, by bank transfer or Thai bank check. Payment of the remaining balance is to be made on the day of the transfer of ownership at the Land Department and always by Thai bank check.

As part of the acquisition of off-plan property, payment will usually be phased in upon completion of the work. Depending on the developers, the payment can also come into play during the handing over of the keys.

Step 7: The files

As mentioned previously, there is no notary in Thailand, unlike many westerns countries. As an agency, we are here to assist you to the end of your project. With more than 100 transactions per year, our real estate agents and our administrative department are experienced and have a thorough knowledge of the regulations in terms of real estate transactions. Therefore, we will take care of all necessary formalities with the Land Department. Any transaction is validated by the Land Department before the day of ownership transfer. The average duration of a real estate transaction is about 1 month when in Europe it lasts about 3 to 4 months.

Step 8: The Deed of Sale

The final step of your journey, the signature on the deed of sale, marks the completion of your project and makes you a full owner. This step comes in at the Thai Land department.

The deed of sale and the title deed will be given to you by the Land Department on the day of the transfer of ownership and will allow you to assert your rights as owner. That is why we go with you to the Land Department on the day of the transfer of properties in order to carry out all the necessary administrative formalities with the Thai authorities.

Step 9: Following through to the very end

At BaanFinity, our help does not stop with the delivery of keys. We also assist you in the administrative procedures related to your establishment in Thailand. Whether it’s opening a bank account, renovating your home or receiving legal advice or tax advice, our experienced consultants are there to help you. For example, if you wish to avoid the “business taxes” of 3.3% if a sale takes place within 5 years, you must register with the district.

You are now, owner

Now that you have your own apartment or house in the Kingdom of Siam, here is some useful information you may need as part of your new life as a property owner in Thailand.

Renovation: what you need to know

Would you like to renovate your home or just “refresh” it to your liking? Work is needed. Fortunately for you, you are in Thailand and therefore you can benefit from prices much more attractive than in westerns countries to renovate your property. Indeed, the low cost of labor and materials will allow you to call on professionals without emptying your wallet. We can recommend you a few service providers. To be clear, we are not commissioned by these providers and our recommendations are therefore based solely on the quality of the providers and the reviews of our customers.

Organizing your move
Although most homes sold in Thailand are furnished, you may have to move some of your furniture to your new home. Moving is for many people a source of stress and fatigue, especially when it comes to moving from abroad. There are several specialized and reliable companies that specialize as international movers to or from Thailand. Calling on a mover is essential to overcome any difficulties you may encounter with Thai customs for instance. If you are already in Thailand and you are moving, a local moving company is more than sufficient: their services are good and the prices are competitive. You still have to choice the right one for sure!

Insurance and Taxes
For the safety of you and your loved ones, we strongly recommend that you take out home insurance to cover your expenses in the event of destruction due to fire, water damage, or other hazards. Be aware that the tenant has no obligation to take out insurance and therefore it’s advisable to take out home insurance in case you rent your property. You nevertheless have the tenant’s desposit which is equivalent to two months of rent.

To conclude, here is a good news for the owners: there are no housing taxes or property taxes in Thailand.

Photo by Stephen Cook on Unsplash
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BaanFinity is a portal provides a platform for property buyers and sellers in Thailand. In this platform we're sharing our blogs related to Thailand real estate market.


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