Form of ownership in Thailand - Leasehold.

Form of ownership in Thailand - Leasehold.

Why shouldn't you be afraid of leasehold? What do you need to know before registering a leasehold property?

A leasehold is a form of ownership that involves a long-term lease, or more precisely, long-term ownership, limited in time. Ownership, because the buyer receives all rights and documents similar to freehold (full ownership).

Real estate on leasehold can be sold, donated, leased, etc.

The only difference is in the period of ownership and binding to the previous owner.

Pros and cons:


  • The market price for real estate in Leasehold is lower than similar real estate in Freehold, on average by 5-10%.
  • Real estate on lease is not subject to taxes and is not declared.
  • The registration fee for the registration of an object in Leasehold is 2-3 times lower and amounts to 1% of the cost.


  • The term of ownership is limited in time to 30 + 30 + 30. 

*But there is a leasehold unlimited in time!

  • To extend the lease sale, you must constantly keep in touch with the owner.

The lease term of 30 (30 + 30) years is protected by Thai law and the title cannot be violated.

Before buying a property on lease, it is important to obtain a copy of the lease agreement or to obtain additional clarity on these three points:

# 1 - Who is the Landlord? (an individual or a Thai company) Concluding a lease with a Thai company provides much more security than an individual.

# 2 - Do I have a vote as a tenant? (Some leases do not allow the lessee to have voting rights.)

# 3 - Is there an inheritance clause in the lease that allows the inheritance of the lease?

Based on the foregoing, we can conclude that leasehold is the most suitable form of ownership if you are buying real estate for the purpose of investing and generating income.

On the other hand, the total lease term is 90 years, within 90 years, if you wish, you will always have time to sell your property. In doing so, you will save on price and taxes.

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