LEASEHOLD GUIDE
Leasehold Property in Thailand
explained for buyers.
Most foreigners buying a house or villa in Thailand hold it on a lease. This guide explains what a lease gives you, how term, registration and renewal work, and the questions to settle with your lawyer before you sign or pay.
Start Your ConsultationTHE SHORT ANSWER
A lease is a right to use, not ownership.
A registered lease lets you use land or a home for an agreed term, up to 30 years at a time. The landowner keeps the title. What you actually hold depends on the contract and on what is registered at the Land Office.
WHY IT MATTERS
The paperwork is what you buy.
With a leasehold villa you pay most of the price up front for rights that last decades. Promises made at the sale, such as renewals or resale rights, protect you only as far as the contract and the registration support them.
WHAT A LEASE GIVES YOU
Three things to understand first.
These are general points. Our lawyer confirms how they apply to your property and contract.
- 01
A term, not ownership
A lease is a right to use the property for a fixed term. Thai law caps a single lease at 30 years.
- 02
The owner keeps the title
The landowner can still sell or mortgage the land. A registered lease is recorded on the title deed, so ask our lawyer how yours is protected if either happens.
- 03
Land and building can differ
The landowner, the building owner and the leaseholder can be different people. Other registered rights, such as superficies or usufruct, are sometimes discussed; our lawyer explains whether any fits your purchase.
REGISTRATION
Registration is what protects the term.
A lease of more than three years must be made in writing and registered at the Land Office. Without registration it can generally be enforced for only three years.
Ask for the registered entry on the title deed, not just the private contract, and check that it names the right plot, parties, term and rent.
COSTS AND TIMING
Plan the registration day.
A registration fee and stamp duty are charged on the lease, usually based on the total rent. The contract says who pays them, and our lawyer confirms the amounts.
Both sides, or their representatives under a power of attorney, attend the Land Office. We coordinate the documents and the appointment.
RENEWAL PROMISES
What “30 + 30 + 30” really means.
Leases are often marketed with renewals. Only one term of up to 30 years is registered at a time; each renewal is a promise in the contract.
- 01
A promise, not a registration
The renewal terms sit in the contract. A new term has to be registered when the current one ends.
- 02
Who has to keep it
Whether a renewal promise binds a new owner of the land, or the owner’s heirs, is a question for our lawyer. It cannot be assumed.
- 03
The conditions
Check who must renew, when, at what price and on what conditions, and what happens if the owner refuses.
Be cautious with any offer described as a guaranteed 60 or 90 years. Ask our lawyer what is registered today and what depends on future promises.
LAND, BUILDING AND OWNER
Know whose property you are leasing.
A lease is only as reliable as the title and the owner behind it.
- 01
The land title
The title type and deed number, the registered owner, and any mortgage or other rights already registered against the land.
- 02
The owner
Whether the owner is a person or a company, who can sign, and whether the owner can grant the lease you are being offered.
- 03
The building
Who will own the house, the building permit and house registration, and what the contract says about building ownership.
- 04
Shared areas
Roads, water, power, estate rules and common fees, and who maintains them if the developer leaves.
A lease granted by a company whose Thai shareholders hold shares only on paper carries legal risk. We do not arrange nominee structures, and our lawyer reviews who really grants the lease.
DURING AND AFTER THE LEASE
Resale, inheritance and the end of the term.
Ask these questions before you sign, because the answers are fixed in the contract.
- 01
Selling the lease
Can you sell or assign the lease, with whose consent and at what fee? Ask whether a buyer takes over the remaining term or receives a new one.
- 02
Renting it out
What the lease allows on subletting and short stays, and which licences renting out may need.
- 03
If either side dies
Whether the lease continues for your heirs, or if the landowner dies, depends on the law and the contract. Our lawyer advises.
- 04
When the term ends
What happens to the house and any improvements, and whether compensation, removal or handback terms apply.
QUESTIONS FOR YOUR LAWYER
Settle these before you sign or pay.
Use this list with our lawyer. We track the answers and the documents behind them.
- 01
Who owns the land and the building, and can they grant this lease?
- 02
Is the land mortgaged, and what happens to the lease if the lender enforces?
- 03
What term will be registered, and when?
- 04
What exactly does the renewal clause promise, and who is bound by it?
- 05
Can I sell, assign or sublet the lease, and on what terms?
- 06
What happens if I die, or if the landowner dies or sells?
- 07
Who pays the registration fee and taxes?
- 08
What happens to the house and my payments if either side breaks the contract?
HOW BAANWARD HELPS
Documents, questions and follow-up.
We gather the title and registry copies, permits, estate documents and the draft lease, put them to our lawyer with your questions, arrange the specialist inspection of the house and keep each answer on record through signing and registration.
WHAT STAYS WITH OUR LAWYER
The lease and its registration.
The lease terms, the ownership structure, renewal and inheritance questions and the registration are reviewed by our lawyer under a separate legal engagement, with the fee in your quote.
QUESTIONS
Leasehold, in plain terms.
Can a foreigner buy a house in Thailand on a lease?
Yes. Foreigners generally cannot own land in their own name, so a house or villa is usually held on a registered lease of the land, up to 30 years at a time. How the house itself is owned is a separate question for our lawyer.
Is a 30 + 30 lease renewal guaranteed?
No. Only the current term is registered. A renewal is a promise in the contract, and whether it can be enforced, and against whom, depends on its wording and the law. Our lawyer reviews it.
What happens to my lease if the landowner sells the land?
A registered lease is recorded on the title deed, which is why registration matters. Our lawyer confirms how your lease is protected if the land is sold or mortgaged.
Can I sell my leasehold villa later?
Often, if the lease allows assignment. Check whether consent or a fee is needed and whether the buyer takes over the remaining term. Resale value usually falls as the term runs down.
Is a leasehold condo different from a freehold one?
Yes. With freehold you own the unit; with a lease you hold it for a term. Leasehold condos are usually offered when the foreign quota is full. See our foreign ownership guide.
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