When buying a property in Thailand, a foreigner may own a condominium in his/her own name with 100% freehold ownership. To do so, the ratio of foreign ownership in the registered condominium should not exceed the ratio of 49% of foreign owners. House and land cannot be owned by non-Thai.
Booking Fee – First Deposit
When you feel satisfied with the property, you will be asked to make a booking fee or first deposit to engage the process.
In return, the developer will reserve the property for you and start the process of drafting your Sales and Purchase Agreement. Usually the money deposited is non-refundable.
Reviewing the Sales and Purchase Agreement
The developer will have the contract prepared for you. Assistance of a lawyer or public notary is not mandatory in Thailand. It is upon your willingness to have a lawyer or solicitor to review the terms and conditions of the contract. This assistance will be at a fee which has to be borne by you.
Be sure to have a protection for your interests and a penalty engagement from the developer should there be a delay in the property completion date. A proper clause engaging seller’s penalty in case of delay should be stated in the contract.
The contract will contain a clause for penalty if you are late with your payment.
Wet signature on each contract page is mandatory. Documents can be send by postal mail. An electronic signature is not deemed to be accepted.
Amount to Deposit (Down-Payment)
Deposit or down-payment amount depends on which project and which location.
In general projects located in Bangkok will require a down payment from 20% to 30% of the property value. Upon project’s completion, the remaining balance can be paid at ones or with a bank loan.
Outside of Bangkok, developers will usually require a down payment of 30% to 45%. Then the remaining amount will be paid in the form of installments, according to the progress of construction.
|40%||Upon signing the Purchase Contract (within 30 days from Reservation Agreement being signed)|
|20%||Upon infrastructure completion|
|20%||Upon foundation completion|
|10%||Upon building structure completion|
|10%||(minus reservation deposit) upon keys handover|