Buying off-plan in Thailand: the deal step by step and a final payment made after inspection

Buying an off-plan unit in Thailand takes six steps: reservation, contract, down payment, payments during construction, inspection and registration. The key difference from Dubai is that the unit is inspected before the final payment, which is 40–50% of the price. Until defects are fixed, the buyer is entitled not to pay.

What steps does the deal consist of?

• Reservation. A deposit paid to a developer is most often refundable.
• Sale and purchase agreement. The draft can be read in advance.
• Down payment.
• Payments during construction — by date or by stage; each developer does it differently.
• Inspection of the unit.
• Final payment and registration at the land department.

Why does inspection come before the final payment?

That is how Thai practice works: the unit is inspected before the last payment. It can be 40% or even 50% of the price, and the developer has every reason to collect it sooner.

Until the buyer is satisfied with the finish and the snags are closed, the final payment can be withheld. It is strong leverage: in Dubai, complaints about defects often go unanswered once the unit is paid in full.

How much does registering ownership cost?

The transfer fee is 2%. It is usually split equally between buyer and developer, but there is no fixed rule: the developer may cover 1% or the full 2%.

There are minor fees too. Business tax on a primary-market purchase is paid by the developer. The full list of payments is in our piece on taxes and costs for a condo owner.

A contribution to the building's future repair fund is also paid at registration. How it is managed is covered in our piece on the owners' meeting.

What do you need to register freehold?

Two things: foreign quota in the contract and a bank certificate showing the money came from abroad. Without either, ownership will not be registered in a foreigner's name.

Both are checked in advance — details in our piece on the developer contract. The developer registers the title itself, and the document is printed at the land department on the day of the transaction.

What to expect after registration

The title deed may be delayed if the documents are pledged to a bank: the usual wait is 3–8 months after handover. Ask about it before signing the contract.

For the first 3–5 years the developer usually handles repairs to the common areas itself. After that the building's fund covers the costs.

Frequently asked questions

How large is the final payment in Thailand?

With many developers, 40–50% of the price. It is paid after the unit is inspected and before ownership is registered.

Can you withhold payment if the unit has defects?

Yes. Inspection takes place before the final payment, and the buyer is entitled not to make it until the snags are fixed.

Who pays the 2% registration fee?

It is negotiable. Most often buyer and developer pay 1% each, but the developer may cover the whole amount.