Can foreigners buy land in Thailand?

Authored by the expert who managed and guided the team behind the Thailand Property Pack

Everything you need to know before buying real estate is included in our Thailand Property Pack

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BAMBOOROUTES

A team specialized in real estate investing in APAC countries (Japan, Thailand, Indonesia, Australia, etc.).

We are a team of financial experts, legal professionals, developers, and local real estate specialists dedicated to helping people like you avoid mistakes when investing in real estate in a foreign place, particularly in Thailand. If you'd like to learn more about us, you can check our presentation page.

How this content was created 🔎📝

At BambooRoutes, we explore the Thai real estate market every day. Our team doesn't just analyze data from a distance—we're actively engaging with local realtors, investors, and property managers in cities like Bangkok, Chiang Mai, and Phuket. This hands-on approach allows us to gain a deep understanding of the market from the inside out.

These observations are originally based on what we've learned through these conversations and our observations. But it was not enough. To back them up, we also needed to rely on trusted resources

We prioritize accuracy and authority. Trends lacking solid data or expert validation were excluded.

Trustworthiness is central to our work. Every source and citation is clearly listed, ensuring transparency. A writing AI-powered tool was used solely to refine readability and engagement.

To make the information accessible, our team designed custom infographics that clarify key points. We hope you will like them! All illustrations and media were created in-house and added manually.

Fact-checked and reviewed by our local expert

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Attaya Suriyawonghae 🇹🇭

Real Estate Broker, Zest Real Estate

As a Thai Real Estate Broker based in Phuket, Attaya possesses deep knowledge of the Thai market. Her insider perspective and local connections provide invaluable insights for property investors who want to make their dream come true in the Land of Smiles. Speaking with her allowed us to go back to the blog post, improve a few elements, and include her personal insights for a richer experience.

Can foreigners directly buy land in Thailand?

No, foreigners cannot directly buy and own land in Thailand under current Thai law.

The Land Code Act of 1954 strictly prohibits foreign nationals from owning land in Thailand, with very limited exceptions. As of September 2025, this fundamental restriction remains unchanged despite ongoing discussions about potential reforms.

The only exception allows foreigners who invest a minimum of 40 million THB (approximately $1.1 million USD) to purchase up to 1 rai (1,600 square meters) of land for residential purposes, but this requires extensive government approval from the Ministry of Interior. Even this exception comes with strict conditions including proof of investment funds, background checks, and ongoing compliance requirements.

Most foreign investors must therefore use alternative legal structures such as long-term leases, condominium ownership, or carefully structured Thai-majority companies to access land in Thailand.

It's something we develop in our Thailand property pack.

What types of land ownership alternatives exist for foreigners?

Foreigners have several legal alternatives to direct land ownership in Thailand.

The most common method is leasehold agreements, which allow foreigners to lease land for up to 30 years with options for renewal. These leases can cover residential, commercial, or agricultural land and provide most ownership benefits during the lease period.

Condominium ownership represents another popular option, where foreigners can own individual units outright as long as foreign ownership doesn't exceed 49% of the total floor area in any building. This applies to both residential and commercial condominiums.

Company structures involving Thai-majority ownership (at least 51% Thai ownership) can purchase land, but the company must demonstrate legitimate business purposes. Nominee arrangements where Thais hold shares on behalf of foreigners are illegal and increasingly prosecuted.

Additional alternatives include usufruct rights (lifetime use rights) and superficies rights (building rights on someone else's land for up to 30 years).

Are there restrictions on how much land foreigners can control?

Yes, there are specific restrictions on land amounts depending on the ownership method used.

For direct freehold ownership under the investment exception, foreigners are limited to exactly 1 rai (1,600 square meters) for residential purposes only. This cannot be expanded regardless of additional investment amounts.

Leasehold agreements have no statutory size limits, allowing foreigners to lease large properties or multiple plots simultaneously. However, lease terms cannot exceed 30 years initially, though renewals are possible.

For condominium ownership, the restriction is based on percentage rather than size - foreign ownership cannot exceed 49% of the total floor area in any condominium building or project.

Company-owned land has no size restrictions, but the company must maintain legitimate business operations and at least 51% Thai ownership at all times.

What is the legal process for foreigners to acquire land rights?

The process varies significantly depending on the acquisition method chosen.

Acquisition Method	Key Steps	Timeline	Government Approval Required
30-Year Lease	Due diligence, draft agreement, Land Department registration	2-4 weeks	No
Condominium Purchase	Due diligence, sales agreement, transfer at Land Department	2-6 weeks	No
Company Structure	Company formation, due diligence, land transfer	6-12 weeks	Yes (for company registration)
Direct Freehold (40M THB)	Investment proof, Ministry approval, Land Department transfer	6-12 months	Yes (Ministry of Interior)
Usufruct Rights	Agreement drafting, Land Department registration	2-4 weeks	No
Superficies Rights	Agreement drafting, Land Department registration	2-4 weeks	No

What documents do foreigners need for land acquisition?

Required documentation varies by acquisition method but generally includes core identity and financial documents.

1. **Essential Documents for All Methods:** - Valid passport with appropriate visa - Proof of funds and income source - Foreign Exchange Transaction Form (for international transfers) - Thai bank account statements2. **Additional for Leasehold/Usufruct:** - Lease agreement drafted by qualified lawyer - Land title deed verification - Property survey and boundary confirmation3. **Additional for Company Ownership:** - Company registration documents - Thai shareholder identification - Business license and permits - Board resolution authorizing purchase4. **Additional for Direct Freehold (40M THB Exception):** - Investment evidence and bank statements - Background check and police clearance - Ministry of Interior application forms - Detailed investment plan and timeline5. **Additional for Condominium Purchase:** - Condominium juristic person documentation - Foreign quota verification certificate - Building permits and approvals

Can foreigners acquire land without being physically present in Thailand?

Yes, foreigners can acquire land rights in Thailand without physical presence through power of attorney arrangements.

A properly executed power of attorney allows a trusted representative (either Thai national or foreigner with appropriate visa) to handle the entire transaction process. The power of attorney must be notarized and may require authentication by Thai consulates if executed overseas.

However, physical presence is highly recommended for several reasons. First, due diligence is more effective when conducted personally, including property inspections and document verification. Second, banking procedures for large fund transfers often require the account holder's presence.

For the 40 million THB direct ownership exception, the Ministry of Interior typically requires the applicant to appear in person during the approval process, making remote acquisition nearly impossible.

Remote transactions also increase legal risks and potential for fraud, so experienced legal representation becomes even more critical when proceeding without physical presence.

Do foreigners need specific visa status to acquire land rights?

Visa requirements vary depending on the type of land rights being acquired.

For leasehold agreements and condominium purchases, no specific visa status is required - even tourists can legally enter these transactions. However, having a longer-term visa provides practical advantages for banking relationships and legal proceedings.

Company-based land ownership may require the foreign shareholder to hold appropriate business visas if they plan to be involved in company operations. Tourist visas are generally insufficient for ongoing business activities.

The 40 million THB direct ownership exception has specific visa implications, as the investment visa category (typically requiring the same 40 million THB investment) is often part of the approval process.

Long-term residents with permanent residence status face fewer restrictions and may find the approval process more straightforward for any land acquisition method.

What are the most common mistakes foreigners make when acquiring land?

Several critical mistakes can result in legal problems and financial losses for foreign land buyers.

1. **Using Illegal Nominee Arrangements:** - Setting up Thai companies with fake Thai shareholders - Providing funds to Thai nationals to buy land on their behalf - Creating loan agreements to circumvent ownership laws2. **Inadequate Due Diligence:** - Failing to verify clear land titles and ownership history - Not checking for encumbrances, mortgages, or legal disputes - Ignoring zoning restrictions and development limitations3. **Poor Legal Representation:** - Using unqualified or inexperienced lawyers - Relying on real estate agents for legal advice - Not having contracts reviewed by independent legal counsel4. **Financial and Tax Mistakes:** - Not properly documenting fund sources for large transactions - Failing to understand tax obligations and reporting requirements - Inadequate currency exchange documentation5. **Lease Agreement Problems:** - Accepting verbal promises about lease renewals - Not registering leases with the Land Department - Unclear terms regarding property improvements and modifications

We did some research and made this infographic to help you quickly compare rental yields of the major cities in Thailand versus those in neighboring countries. It provides a clear view of how this country positions itself as a real estate investment destination, which might interest you if you're planning to invest there.

What do foreigners typically use acquired land for in Thailand?

Foreign land use in Thailand spans several categories, with residential purposes dominating the market.

Residential development represents the largest use category, with foreigners building vacation homes, retirement residences, and primary residences on leased land. Popular house styles include traditional Thai architecture, modern villas, and tropical resort-style properties.

Investment properties for rental income are increasingly common, particularly in tourist areas where short-term vacation rentals and long-term expatriate housing generate substantial returns. Rental yields in prime locations like Phuket and Pattaya often exceed 6-8% annually.

Some foreigners use land for small-scale agricultural projects, including organic farming, fruit orchards, and livestock operations, though this requires appropriate visa status and often company structures.

Commercial development includes restaurants, bars, retail shops, and service businesses, typically requiring company ownership and appropriate business licenses.

It's something we develop in our Thailand property pack.

Where do foreigners most commonly acquire land in Thailand?

Foreign land acquisition concentrates heavily in specific provinces known for tourism, expatriate communities, and investment opportunities.

Province/Area	Primary Appeal	Average Land Price (per rai)	Foreign Activity Level
Phuket	Beach lifestyle, tourism, airport access	15-60 million THB	Very High
Bangkok	Business center, urban lifestyle, amenities	20-100 million THB	High
Pattaya/Chonburi	Beach access, entertainment, proximity to Bangkok	8-35 million THB	Very High
Chiang Mai	Culture, mountains, lower costs, expat community	5-25 million THB	High
Koh Samui	Island lifestyle, luxury tourism, beaches	12-45 million THB	High
Hua Hin	Royal resort town, golf courses, retiree community	6-30 million THB	Moderate

What are current land prices across Thailand's major markets?

Land prices vary dramatically based on location, proximity to amenities, and development potential.

Bangkok command the highest prices, with prime areas in Sukhumvit, Silom, and Sathorn districts reaching 300,000-500,000 THB per square wah (4 square meters). Secondary Bangkok locations average 100,000-250,000 THB per square wah.

Phuket's prime beachfront and hillside locations range from 15-60 million THB per rai, with Patong, Kata, and Kamala commanding premium prices. Interior Phuket land averages 8-20 million THB per rai.

Pattaya and surrounding Chonburi province offer more affordable options, with beachfront land at 20-35 million THB per rai and inland areas at 5-15 million THB per rai. The new motorway connections to Bangkok have increased prices significantly since 2023.

Chiang Mai provides the most affordable major market, with prime city locations at 8-25 million THB per rai and rural mountain areas starting at 2-8 million THB per rai.

Koh Samui's limited land supply drives high prices, with beachfront plots reaching 30-45 million THB per rai and hillside locations at 12-25 million THB per rai.

Can foreigners use cash for land purchases and what are the implications?

Foreigners can use cash (bank transfers) for land acquisitions, but strict documentation requirements apply.

All international fund transfers exceeding 50,000 USD must be accompanied by Foreign Exchange Transaction Forms (FET) clearly indicating the purpose as real estate purchase. Thai banks automatically generate these forms for qualifying transfers.

Cash transactions provide several advantages including faster closings, stronger negotiating positions, and elimination of financing contingencies. However, they also require more extensive anti-money laundering documentation and source-of-funds verification.

For the 40 million THB direct ownership exception, cash investment must be clearly traceable to legitimate overseas sources with comprehensive banking documentation spanning at least six months prior to the transaction.

Large cash transactions may trigger additional scrutiny from Thai tax authorities, requiring detailed explanations of fund sources and potential tax obligations in both Thailand and the investor's home country.

It's something we develop in our Thailand property pack.

Are mortgages available for foreigners and what are the conditions?

Mortgage financing for foreigners in Thailand is extremely limited, particularly for land acquisitions.

Thai banks rarely offer mortgages to foreigners for land purchases or leasehold properties, as these don't provide adequate security for the loans. The few available options typically require 50-70% down payments and carry interest rates 2-4% higher than those offered to Thai nationals.

Condominium purchases offer slightly better financing options, with some banks providing mortgages to foreigners with permanent residence status or long-term visas. These loans typically require 40-50% down payments and proof of Thai income sources.

International private banking may offer more flexible solutions for high-net-worth individuals, including loans secured by overseas assets or portfolio lending arrangements. However, these options are expensive and complex.

Most foreign investors therefore rely on cash purchases, home country financing secured by overseas properties, or private lending arrangements. The limited financing availability significantly impacts market dynamics and purchase strategies for foreign buyers.

Conclusion

This article is for informational purposes only and should not be considered financial advice. Readers are advised to consult with a qualified professional before making any investment decisions. We do not assume any liability for actions taken based on the information provided.

Sources

1. Siam Legal - Buying Property in Thailand in 2025
2. Legal.co.th - Will Foreigners Be Able to Buy Land 2025
3. ASEAN Briefing - Thailand's Land Ownership Rules for Foreigners
4. WSR Law Group - Navigating Real Estate Laws in Thailand
5. Acclime Thailand - Foreign Land Ownership Guide
6. Thailand Law Online - Land Laws Prohibiting Foreign Land Ownership
7. PropertyScout - Property Ownership for Foreigners
8. Siam Legal - Thailand Property for Foreigners