Foreign Buying of Thai Properties May Double After Rules Easing

Foreign purchases of residential properties in Thailand may more than double as the government’s easing of ownership rules attracts wealthy international buyers.

The state research agency said annual registration of houses and condominiums by non-residents could rise to some 100 billion baht ($2.6 billion) when the government begins its proposed easing, the Real Estate Information Center said in a statement Monday. That would compare with about 50 billion baht annually in the pre-pandemic period, it said.

Prime Minister Prayuth Chan-Ocha’s government is seeking to accelerate Thailand’s economic recovery from Covid-19 by luring more wealthy global investors. Foreigners, whose property ownership is currently limited to mainly condominium units, would be able to buy residential land if they invest at least 40 million baht for a minimum of three years.

The proposal, which was endorsed by the Cabinet last week, has been sent to the Office of the Council of State and relevant government agencies for further assessment before final approval.

Still, foreign purchases may take some time to pick up as more public relations campaigns will be needed for targeted buyers to find out about the new program and understand it, according to REIC.

In the April to June period, a relaxation of border restrictions, foreign buyers registered about 2,326 condos with the Land Department, up 15% from a year earlier. Chinese buyers topped the purchases, followed by those from Russia, the US and UK, it said.