Buying Property in Thailand – The Legal Framework

Many foreigners considering purchasing property in Thailand have understandable concerns about the legal position of owning real estate. Here we outline the legal framework for property ownership.

If you are interested in our real estate developments, our team are very experienced in assisting people from overseas with buying property in Thailand and can give you all the assistance needed to make an informed decision. We put you in contact with independent, certified legal advisors that can help make your investment safe, secure and hassle free.

The key issue to be addressed is the fact that foreigners cannot legally own land outright in Thailand. However, non-Thai nationals may legally own a house or a condominium and there are multiple ways to secure real estate investments. The most appropriate solution is dependent on the buyer’s own individual situation and requirements and this should always be subject to legal advice.

The following is a selection of the legal instruments available to secure property rights:

Buying a Property in Thailand Freehold

The key to owning freehold property in Thailand is whether or not in law you are considered a natural or juristic person. Under the Civil and Commercial Code of Thailand, a juristic person enjoys the same rights and is subject the same duties as a natural person.

The Foreign Business Act and Section 97 of the Land Code provides that a lien includes a juristic person with half of the shares constituting its capital held by a lien. Therefore, a company with less than half of the shares held by a lien has the same rights as a Thai Person.

Under Section 1144 of the Civil and Commercial Code, every limited company shall be managed by one single director or multiple directors under the control of the general meeting of shareholders and according to the by-laws of the company. Directorship is open to persons of all nationalities.

Obtaining a Mortgage when Buying Property in Thailand

Foreigners are entitled to acquire mortgages in their favour as collateral for financial support to Thai persons or Thai companies. There is no period limit on such mortgages.

Buying Property in Thailand Leasehold

Foreign customers considering buying a property in Thailand have the option to secure their land through other legal instruments.

The most popular of these is a Thai lease agreement.

Typically, a lease period is for a 30 year duration, with an option to renew twice, bringing the total lease period to 90 years. Furthermore, the lease agreement can include an option for the customer to convert the lease agreement into freehold ownership at any time should the customer wish. For example this would be applicable if Thai law changes and allows foreigners to own freehold land, if the customer obtains Thai citizenship or if the customer sells the property to a Thai person or company.

As with all legal issues, we urge all our customers to consult qualified professional advisors.

Please contact us for more information or if you would like to receive regular updates from Siam Royal View please subscribe to our email list.


Siam Royal View is one of the most trusted names in the Thailand property market and we are committed to assisting our villa owners at every stage with ancillary services and customer care.

With our partner firms, we are able to help our customers with all of the following and more:

  • Obtain professional independent legal advice and services
  • Assist with visas and permits
  • Assist with the creation of a local bank account and credit card
  • Obtain professional assistance for tax advice and to help file tax returns
  • Obtain insurance coverage including healthcare, property and car insurance
  • Assist with company formations, and providing a domicile address as well as corporate accounting and tax advisory services
  • Assist with obtaining a Thai driver’s licence
  • Help with travel and hotel accommodation arrangements

Generally, we will share our experience and connections as long-term expats with you and pass on important tips so that you can plan and organise your new expat life with ease. Contact our expert customer services team to learn more.