Buying Guide — How to Buy Property in Koh Samui

Foreign Ownership in Thailand

Thai law does not allow foreigners to directly own land. However, several well-established legal structures enable international buyers to invest in Koh Samui property with confidence.

Foreigners CAN own

Condominium units (freehold, up to 49% foreign quota)
Buildings and structures on leased land
Leasehold interests (registered at Land Dept)

Foreigners CANNOT own

Land in their personal name
Agricultural land (SPK title)

Leasehold vs Freehold

Feature	Leasehold	Thai Company
Duration	30+30+30 years (90 total)	Indefinite (freehold)
Setup complexity	Simple	Moderate (requires Thai shareholders)
Annual costs	Minimal	Accounting, audit, and filing fees
Risk level	Low (registered at Land Dept)	Medium (regulatory scrutiny on nominees)
Transferable	Yes (with owner consent)	Yes (share transfer)
Bank mortgage	No	Possible
Our recommendation	Preferred for most buyers	For larger investments with legal counsel

Title Deed Types

Title	Security	Transferable	Notes
Chanote (NS4J)	Highest	Yes, immediate	GPS-surveyed, gold standard. Always preferred.
Nor Sor Sam Gor (NS3G)	High	Yes, immediate	Aerial survey based. Often upgradeable to Chanote.
Nor Sor Sam (NS3)	Medium	Yes, 30-day notice	Older survey. 30-day public notice required for transfer.
Sor Por Kor (SPK)	None	No (heirs only)	Agricultural use certificate. Cannot be legally sold.

The Buying Process

1

Initial Inquiry & Shortlisting

Tell us your requirements, budget, and preferred areas. We curate a shortlist of properties matching your criteria from our off-market inventory.

2

Property Viewings

Our local team arranges viewings at your convenience. We provide transport, translation, and honest assessments of each property.

3

Due Diligence

Once you identify a property, we conduct a thorough title search at the Land Department, verify boundaries, check for encumbrances, and confirm the seller's right to sell.

4

Reservation & Deposit

A reservation deposit (typically 1-5% of purchase price) secures the property while contracts are prepared. A Reservation Agreement is signed by both parties.

5

Contract & Payment

Your lawyer prepares the Sale and Purchase Agreement or Lease Agreement. Payment is made according to the agreed schedule, typically via international bank transfer.

6

Transfer & Registration

The transfer is completed at the local Land Department office. Both parties (or their attorneys) must be present. You receive the title deed or registered lease.

Transaction Costs

Fee	Rate	Paid By
Transfer Fee	2% of appraised value	Typically split 50/50
Stamp Duty	0.5% of appraised value	Seller (or negotiable)
Specific Business Tax	3.3% (if owned less than 5 years)	Seller
Withholding Tax	1% of appraised or sale price	Seller
Legal Fees	30,000 - 100,000 THB	Buyer
Agent Commission	3-5% of sale price	Seller (no cost to buyer)

Note: Tax and fee rates are subject to change. Always consult with your lawyer for current rates and applicability.

Frequently Asked Questions

Can foreigners own land in Thailand? +

No, foreigners cannot directly own land in Thailand. However, they can control land through leasehold agreements (30+30+30 years), Thai company structures, or by owning buildings on leased land. Condominiums can be owned freehold up to 49% foreign quota.

What is the best ownership structure for foreigners? +

For most international buyers, a 30-year registered lease with two renewal options (90 years total) offers the best balance of security, simplicity, and cost. The lease is registered at the Land Department and provides strong legal protection.

What is a Chanote title deed? +

Chanote (Nor Sor 4 Jor) is the highest form of land title in Thailand. It provides GPS-surveyed boundaries, is fully transferable, and can be used as collateral. Always prioritize Chanote-titled properties.

How long does the buying process take? +

A typical property purchase in Koh Samui takes 30 to 60 days from agreement to transfer. This includes due diligence, contract preparation, and registration at the Land Department.

Do I need a lawyer? +

Yes. We strongly recommend engaging an independent Thai lawyer who specializes in property transactions. They will conduct title searches, review contracts, and ensure your interests are protected throughout the process.

What are the total costs beyond the purchase price? +

Buyers should budget approximately 6-7% above the purchase price for transfer fees (2%), stamp duty (0.5%), specific business tax (3.3% if applicable), withholding tax (1%), and legal fees. We provide a full cost breakdown for every property.

Can I get a mortgage in Thailand? +

Mortgages for foreigners are very limited in Thailand. Most international buyers purchase with cash or arrange financing in their home country. Some developers offer installment plans for new builds.

Is Koh Samui a good investment? +

Koh Samui has shown consistent land value appreciation of 5-10% annually over the past decade. Rental yields for villas range from 5-8% net, with strong demand from tourists year-round. The island's limited land supply and growing infrastructure support long-term value.

How to Buy Property in Koh Samui