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Buying off-plan property in Thailand offers significant savings of 25-30% compared to completed properties, but comes with substantial risks including construction delays, currency fluctuations, and limited legal protections for foreign buyers. As of September 2025, the Thai property market faces increased regulatory scrutiny following recent earthquakes, making developer selection more critical than ever.
If you want to go deeper, you can check our pack of documents related to the real estate market in Thailand, based on reliable facts and data, not opinions or rumors.
Off-plan properties in Thailand typically cost 25-30% less than completed units, with payment schedules requiring 10-20% upfront and 50% at completion.
Construction delays are common in 2025 due to enhanced safety inspections, while foreign buyers face limited legal protections under Thai condominium laws.
| Key Factor | Off-Plan Properties | Completed Properties |
|---|---|---|
| Purchase Price | 25-30% below market | Full market value |
| Payment Schedule | 10-20% upfront, staged payments | Full payment or mortgage |
| Rental Yield | 4-10% (projected) | 4-6% (current) |
| Currency Risk | High (2-3 year exposure) | Minimal |
| Construction Risk | Delays, quality issues | None |
| Legal Protection | Limited contract terms | Full property rights |
| Resale Flexibility | Contract transfer only | Full ownership transfer |
Fact-checked and reviewed by our local expert
Attaya Suriyawonghae 🇹🇭
Real Estate Broker, Zest Real Estate
How much do you save buying off-plan versus completed properties in Thailand?
Off-plan properties in Thailand cost 25-30% less than completed units in the same neighborhood as of September 2025.
Developers offer these discounts to secure early financing and gauge market demand before construction begins. In Bangkok's prime areas like Sukhumvit and Silom, this translates to savings of 2-4 million THB on luxury condos priced between 8-15 million THB when completed.
Additional incentives often include free furniture packages worth 200,000-500,000 THB, guaranteed foreign freehold status, or extended payment terms. Premium developers like Sansiri and AP Thailand typically offer smaller discounts of 15-20%, while mid-tier developers may discount up to 35%.
The savings are most significant for condos in emerging areas like Bang Sue, Rama 9, and outer Bangkok districts where infrastructure development is planned. Established areas like Phrom Phong or Asok offer smaller discounts due to proven demand.
However, these savings must be weighed against completion risks and potential currency fluctuations over the 2-3 year construction period.
What completion guarantees do developers provide and what penalties apply for delays?
Thai developers typically guarantee completion dates in sales contracts with penalty clauses of 0.01% of the purchase price per day for delays.
Standard contracts include grace periods of 90-180 days for unforeseen circumstances like permit delays or weather. After this grace period, daily penalties begin accumulating and are usually deducted from your final payment at handover.
For a 10 million THB condo, this penalty equals 1,000 THB per day of delay. On a 12-month delay, you would receive 365,000 THB in penalty deductions. Most contracts cap total penalties at 5-10% of the purchase price.
Contracts should include termination clauses allowing full refunds if delays exceed 18-24 months. However, enforcing these clauses can be challenging and may require legal action. As of September 2025, enhanced safety inspections following recent earthquakes have extended typical construction timelines by 3-6 months.
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How do you evaluate developer financial stability and reputation in Thailand?
Developer evaluation requires examining their track record, current financial position, and project portfolio across Thailand's major markets.
| Developer Tier | Examples | Risk Level |
|---|---|---|
| Premium Listed | Sansiri, AP Thailand, LPN | Low - Strong financials |
| Established Private | Supalai, Noble Development | Medium - Proven track record |
| Mid-Tier Regional | Regional Bangkok developers | Medium-High - Limited projects |
| New/Small Private | Single-project developers | High - Unproven track record |
| Foreign Joint Ventures | Singapore/Malaysian partnerships | Medium - Varies by partner |
Check completed projects in the past 5 years, focusing on on-time delivery and build quality. Visit existing developments to assess construction standards and maintenance. Review financial statements for listed companies or request project financing details for private developers.
As of September 2025, prioritize developers with earthquake-compliant designs and those shifting toward low-rise construction following regulatory changes. Avoid developers with multiple delayed projects or those heavily leveraged in the current high interest rate environment.
What are the typical payment schedules for off-plan purchases?
Off-plan payment schedules in Thailand typically require 10-20% upfront, followed by staged payments during construction, and a final 40-50% payment at completion.
The initial booking fee is usually 50,000-100,000 THB, followed by the down payment within 7-14 days of contract signing. Payment milestones are typically tied to construction progress: foundation completion (10%), structural completion (15%), roofing (10%), and finishing work (15%).
For a 10 million THB condo, expect to pay 1-2 million THB upfront, followed by 200,000-500,000 THB payments every 3-6 months during the 24-36 month construction period. The final payment of 4-5 million THB is due at title transfer.
Some developers offer extended payment terms with smaller monthly installments, while others provide discounts for full upfront payment. Foreign buyers should negotiate payment in THB to avoid currency conversion fees at each milestone.
Premium developments may require higher upfront payments of 30-40%, while budget projects accept as little as 5% down with extended payment terms.
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How common are construction delays and project cancellations in Thailand?
Construction delays in Thailand affect 60-70% of off-plan projects as of September 2025, with typical delays ranging from 3-12 months beyond the original completion date.
Current delays are primarily caused by enhanced safety inspections following earthquake damage assessments, permit processing backlogs, and material cost increases. Projects requiring structural modifications due to new seismic standards face longer delays of 12-18 months.
Project cancellations remain relatively rare at 3-5% of total off-plan launches, typically occurring when developers face financing difficulties or fail to achieve minimum pre-sales targets of 30-50%. Cancellations are more common among small, single-project developers than established companies.
Bangkok projects face longer permit delays due to stricter city planning requirements, while Phuket and Pattaya developments encounter environmental assessment delays. Chiang Mai projects generally experience fewer regulatory delays but may face seasonal construction limitations.
Choose developers with multiple ongoing projects and strong cash flow to minimize cancellation risk. Avoid projects requiring more than 70% pre-sales for construction financing approval.
What legal protections exist for foreigners buying off-plan properties?
Foreign buyers have limited legal protections under Thai condominium law, with rights primarily governed by sales contracts rather than specific consumer protection legislation.
Foreigners can own condo units freehold up to 49% of total units per building, but cannot own land. The Condominium Act requires developer registration and basic consumer protection clauses, but enforcement varies significantly between projects and locations.
Sales contracts must include completion deadlines, penalty clauses, and refund provisions for non-delivery. However, contract enforcement often requires expensive legal proceedings that can take 2-3 years. The recent Supreme Court ruling restricting long-term lease structures has eliminated many workaround ownership methods for foreigners.
As of September 2025, buyers should insist on contracts specifying arbitration clauses, clear milestone definitions, and penalty calculations. Registration with the Real Estate Information Center (REIC) provides some transparency but limited legal protection.
Consider purchasing through a Thai limited company structure for added legal options, though this requires ongoing compliance and professional management costs of 50,000-100,000 THB annually.
How secure are deposits and does money go into escrow accounts?
Most Thai developers prefer direct payments for cash flow flexibility, though escrow accounts are legally permitted and provide better buyer protection.
Escrow arrangements hold buyer deposits until construction milestones are verified, but only 20-30% of developers offer this option as of September 2025. Banks like Kasikorn and Bangkok Bank provide escrow services for property transactions, charging 0.1-0.25% of the deposit amount.
Without escrow, your deposit goes directly to the developer and may be used for construction financing, land acquisition, or other business operations. If the developer faces financial difficulties, recovering deposits can be extremely challenging and may require lengthy legal proceedings.
Premium developers like Sansiri occasionally offer escrow arrangements for high-value purchases above 15 million THB. For smaller projects, negotiate stronger contractual remedies such as personal guarantees from directors or additional collateral security.
Consider limiting initial deposits to the minimum required and negotiate milestone-based payments tied to verified construction progress rather than time-based schedules.
What returns can you expect from off-plan versus completed properties?
Off-plan properties typically offer higher potential returns through capital appreciation during construction, but completed units provide immediate rental income with more predictable yields.
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.
Off-plan developments in emerging areas like Bang Sue or Rama 9 may appreciate 15-25% during the 2-3 year construction period if infrastructure development proceeds as planned. However, this appreciation is speculative and depends on area development, economic conditions, and infrastructure completion.
Rental yields on new off-plan condos are projected at 4-10% in developer marketing materials, but realistic yields typically range from 4-6% in established areas and 3-5% in emerging locations. Completed properties offer immediate rental income starting at 4-6% annually in prime Bangkok locations.
Resale values for completed properties are generally 10-15% higher than off-plan pricing due to immediate availability and proven quality. However, off-plan buyers benefit from lower entry costs and potential appreciation during construction.
Consider your investment timeline and risk tolerance when choosing between off-plan and completed properties in Thailand's residential market.
How do currency fluctuations affect the total investment cost?
Currency fluctuations between your home currency and Thai Baht can significantly impact the real cost of off-plan purchases over the 2-3 year payment period.
As of September 2025, the Thai Baht is forecasted to weaken to 35.5 THB per USD by year-end, potentially reducing costs for USD-based buyers but increasing expenses for those paying in Euros or other currencies. For a 10 million THB purchase, a 10% Baht depreciation saves USD buyers approximately 285,000 THB in real terms.
Payment schedules spanning 24-36 months expose buyers to extended currency risk. Major payment milestones of 1-5 million THB can fluctuate by 100,000-500,000 THB equivalent based on exchange rate movements during construction.
Consider currency hedging through forward contracts or paying in THB to eliminate exchange rate risk. Some international banks offer property purchase hedging products for transactions above 500,000 USD equivalent.
Monitor Bank of Thailand policy changes and regional economic conditions that influence Baht strength, particularly tourism recovery and export performance which significantly impact Thailand's currency stability.
What additional costs should you budget for at property handover?
Handover costs typically add 3-7% to your total purchase price through transfer fees, sinking fund contributions, and various developer charges.
- Transfer fees - 2% of property value, usually split 50/50 between buyer and developer
- Sinking fund contribution - 500-800 THB per square meter or fixed amount of 30,000-50,000 THB
- Maintenance fee deposits - 2-3 months advance payment at 40-80 THB per square meter monthly
- Utility connections - 10,000-25,000 THB for electricity, water, and internet installations
- Furniture packages - 150,000-500,000 THB if not included in original contract
- Legal fees - 30,000-80,000 THB for title transfer and registration
- Property inspection costs - 15,000-30,000 THB for professional pre-handover inspection
For a 60 square meter condo priced at 8 million THB, expect handover costs of 350,000-500,000 THB total. Review your sales contract carefully to identify which costs are included versus additional charges at completion.
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Can you sell your off-plan contract before project completion?
Contract assignments before completion are possible but subject to developer approval, transfer fees, and market conditions for off-plan properties.
Most developers allow contract transfers with 30-90 days notice and approval of the new buyer's financial qualifications. Transfer fees typically range from 1-3% of the original contract value, plus legal costs of 25,000-50,000 THB for documentation.
Market demand for off-plan contracts varies significantly by location and project type. Prime Bangkok developments maintain better resale demand, while emerging area projects may be difficult to transfer at original pricing.
Timing affects transfer success - contracts are most transferable during the 6-12 months before completion when buyers can see construction progress. Early-stage transfers (within first year) often require pricing concessions of 5-15%.
Consider potential transfer restrictions in your original contract, including developer right of first refusal or limitations on foreign buyer transfers. Some contracts prohibit assignments entirely or impose substantial penalty fees for early exit.
How likely are promised infrastructure improvements to materialize by completion?
Thailand's government has committed 2.4 trillion THB for infrastructure development through 2026, with major projects affecting property values in Bangkok, Phuket, and Chiang Mai already underway.
Confirmed projects include BTS Green Line extensions to Khu Khot and Samut Prakan (completion 2026), Orange Line from Thailand Cultural Centre to Min Buri (completion 2027), and the Pink Line monorail from Khae Rai to Min Buri (completion 2025-2026).
Bangkok's road infrastructure improvements include expressway extensions and tunnel projects that will reduce travel times to emerging residential areas like Bang Sue and Rama 9. These projects have secured financing and are in active construction phases.
Phuket's light rail system connecting the airport to major beaches has faced delays but remains on the 2027 completion timeline. Chiang Mai's airport expansion and new highway connections are progressing on schedule for 2026 completion.
Properties within 500 meters of planned BTS stations typically appreciate 20-30% upon line completion, based on historical data from previous extensions. However, factor potential delays of 6-12 months into your investment timeline.
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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.
Buying off-plan property in Thailand can offer significant financial benefits through lower purchase prices and potential appreciation during construction, but requires careful evaluation of developer credibility, contract terms, and market conditions.
The enhanced regulatory environment as of September 2025 provides better construction oversight but has increased project timelines, making thorough due diligence more important than ever for foreign property investors in Thailand.
Sources
- Phuket Property Group - Buying Thailand's Off-Plan Property
- Pulse Real Estate - Complete Guide to Buying Off-Plan Property in Phuket
- Conrad Properties - Buying Off-Plan Property Koh Samui Investment Guide
- Thailand Law Online - Condo Contract Payment and Terms
- Siam Real Estate - Investing in Thailand's Real Estate Market in 2025
- Australian Chamber Thailand - Thai Supreme Court Shuts Door on Long-term Lease Loopholes
- Mercury Estate - Thai Real Estate: How the Baht, Inflation, and Central Bank Policy Affect Investments in 2025
- Thailand Locality Guide - Thailand Unveils 2025-2026 Infrastructure Development Plan