Real Estate Due Diligence When Buying Property in Thailand

A legal due diligence review when purchasing real estate in Thailand is a comprehensive examination of the property, the seller or developer, title documents, permits, encumbrances, and the actual condition of the property. The goal is to provide the buyer with sufficient information before they make a final financial decision.

Many buyers believe that it is enough to ask the seller to show the documents and compare them with the contract. In practice, however, the documents the seller presents may be incomplete, outdated, or may not reflect the current records at the land registry. The verification process should be based not on what is provided, but on what needs to be established.

The scope of the legal review depends on the type of property and the structure of the transaction. Purchasing a finished apartment in a registered condominium differs from purchasing a villa on leased land, and reviewing a project under construction differs from reviewing a resale property that has changed hands several times. All of these situations are discussed below.

It is advisable to begin the inspection prior to signing an unconditional contract and making a substantial non-refundable payment. Not after the money has been transferred, but before that—that is precisely when the results of the verification are of practical importance.

Short answer: A legal due diligence review of real estate in Thailand includes verifying the registered owner, land title, mortgages and other encumbrances, the seller’s authority, the developer’s status, building permits, and the terms of the contract. For apartments, the foreign ownership quota and any outstanding debts to the condominium association are also verified; for villas, the rights to the land, the structure, and access to the road are verified.

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What Is Legal Due Diligence?

In the context of real estate, this means systematically reviewing the property and the transaction before entering into any obligations. It is not synonymous with “reviewing the contract” and is not the same as comparing a promotional brochure with the terms of the reservation.

It is equally important to verify the title and current registration records at the land registry office — title search. It allows you to identify the registered owner, the type of land title document, and any encumbrances entered in the registry. The expression title search does not mean “search by name”: in this context, it specifically refers to verifying registered real estate rights.

A comprehensive legal review encompasses four complementary areas. None of them can replace the others, and a single specialist cannot always effectively cover all four.

Table 1. Four Levels of Verification

Direction	What They Check	What risks does it identify?	Who usually performs
Legal	Title, Encumbrances, Seller's Authority, Contract, Permits, Foreign Restrictions	Indications of third-party rights, defects in title, and the risk that certain terms may be invalid or unenforceable	Licensed Thai attorney
Technical	Building structure, engineering systems, actual compliance with plans	Hidden defects, illegal renovations, hazardous systems	Independent Engineer or Surveyor
Financial	Outstanding debts, tax liabilities, the developer’s financial condition, fees	Hidden debts, risks of seller insolvency, unknown mandatory payments	A lawyer, together with an accountant or auditor
Commercial	The property’s compliance with the stated characteristics, liquidity, rental potential, and the reasonableness of the price	Failure to meet the buyer's expectations, overpayment, lack of demand for rentals	Agent, broker, or market analyst

What a legal review Does Not Replace

A legal review is not a substitute for a technical inspection, a market value appraisal, or tax advice. These processes can be conducted simultaneously, but they require different specialists.

Separate audit	Why is it needed?	Who conducts it?
Technical Inspection	Identify defects in the structure, electrical systems, waterproofing, and building services	Independent Engineer or Technical Inspector
Survey Verification	Compare the actual boundaries of the plot with the documents and boundary markers	A licensed surveyor or authorized professional
Market Valuation	Compare the property's price with similar properties and assess its liquidity	Appraiser or Market Analyst
Tax Consulting	Identify the implications of the ownership structure, lease, and future sale	Thai Tax Consultant or Accountant
Profitability Analysis	Verify the realism of rent, expenses, occupancy, and revenue	Financial Analyst

A lawyer’s written opinion may confirm or refute the legal basis of a transaction, but should not be construed as a guarantee of the property’s physical condition, future profitability, or market value.

A legally sound document does not necessarily mean that the purchase makes good business sense. Conversely, an attractive price does not compensate for a defective title. Therefore, these checks do not compete with one another—they complement each other.

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When to Conduct an Inspection

The correct sequence of steps is as follows:

1. Preliminary Selection of a Site — Site inspection, review of the project, clarification of basic terms.
2. Obtaining Documents — a request for a title document, permits, a draft contract, or information about the seller or developer.
3. Confirmation of Booking Terms — a reservation agreement with clearly defined terms and conditions, including refund policies.
4. Legal Review — all four areas of the audit.
5. Amendment or Revision of the Main Contract based on the results of the audit.
6. Payment according to the agreed schedule — only after the contract has been signed and has passed legal review.
7. Registration of a Transfer of Title or Long-Term Lease in land management.

The problem arises when steps 3 and 4 are reversed: a large, non-refundable deposit is made first, and then the verification process begins. By this point, the buyer has already incurred financial losses regardless of the outcome. Any violations that are identified become irrelevant if the money cannot be refunded.

A small deposit shouldn't automatically be considered safe either. Even if the amount seems insignificant, the precedent of an unconditional reservation prior to verification puts pressure on the buyer in subsequent negotiations.

In the primary market, developers often encourage buyers to reserve a property quickly, citing limited availability. In the secondary market, a seller may insist on a deposit before providing the full set of documents. In both cases, the reservation terms should be carefully reviewed before signing.

The condition regarding the refund of the deposit in the event of an unsatisfactory legal review must be set forth in writing, rather than remaining a verbal promise.

There is no universal guarantee that such a condition will be fulfilled—its specific wording and legal effect depend on the terms of the agreement. That is precisely why a reservation agreement should be reviewed just as carefully as the main contract.

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Is a legal review required?

Conducting an independent legal review is not typically a separate mandatory step without which the land registry would automatically refuse to register the transaction. The government agency reviews the documents required for a specific registration action but does not conduct a comprehensive assessment of the project, the contract, the developer, or the commercial risks on behalf of the buyer.

Therefore, the absence of a legal review does not always render a transaction invalid; however, it leaves the buyer without a preliminary review of issues that may not be covered by the formal registration procedure. These include the terms for refunding the deposit, whether the advertising claims align with the contract, the company’s financial condition, actual access to the property, and technical defects.

For a foreign buyer, an independent inspection is particularly important when purchasing a property under construction, a villa on leased land, real estate through a company, or a property with a registered mortgage.

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Key Figures for Buyers

Indicator	What this means for the buyer
49%	The maximum total percentage of apartment space that may be owned by foreigners in a registered condominium
More than 3 years	A lease for such a term must be in writing and registered; otherwise, enforcement of the lease is generally limited to the first three years.
Up to 30 years old	The standard maximum term of a single registered real estate lease agreement under Thai civil law
2%	The basic registration fee for the transfer of title, calculated based on the official appraised value; the actual allocation of costs among the parties is specified in the contract
40 million THB	The minimum investment amount required for one of the narrow legal exceptions that allow a foreigner to apply for permission to purchase a limited plot of land; this is not the standard way to buy a villa

These figures relate to different legal mechanisms and should not be taken out of context. For example, the available foreign quota does not replace verification of the source of funds and banking documents, and the mention of a 30-year lease term does not imply a guaranteed renewal for one or two additional periods.

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What documents are required for verification?

The exact list depends on the type of property and the structure of the transaction. For an initial analysis, the buyer does not always need the complete set of documents, but without the basic package, a lawyer will not be able to verify the owner, the seller’s authority, and the legality of the construction.

Document	For which object is it needed?	What this allows you to check
A copy of the land title or apartment title	Land, villa, move-in-ready apartment	Owner, type of title, property number, and information for a request to the Land Office
The seller's ID or the company's registration documents	All objects	Identity of the Seller and the Owner, and the Signatory’s Authority
Power of Attorney	Transaction Through a Representative	A representative's right to sign documents and perform registration procedures
Reservation Agreement	New Construction and the Resale Market	Terms and Conditions for Deposits, Refunds, and Transition to the Main Agreement
Draft Purchase and Sale Agreement or Lease Agreement	All objects	Subject matter of the transaction, price, terms, payments, liability, and registration procedure
Building Permit and Approved Plans	Villa, house, new construction	Legality of the Construction and Compliance of the Facility with the Approved Documentation
Documents for a condominium legal entity	Apartment	Foreign ownership quota, absence of outstanding debt, and condominium rules
Current Lease Agreements	Property with a tenant	Lease Term and Obligations That May Continue After the Sale
Specifications and List of Included Items	New construction, villa	Materials, Equipment, Furniture, and the Developer’s Scope of Obligations

If the seller fails to provide the documents necessary for a basic review, this does not in itself constitute proof of a violation, but it does prevent the legal review from being completed and a well-founded decision from being made.

Haven't chosen a specific item to check yet? Take a short survey so that Thaicost’s experts can help you find apartments, villas, and real estate projects in Pattaya, Bangkok, Phuket, or Koh Samui based on your budget, purchase goals, and preferred form of ownership. Go to the property search.

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Verification of Ownership

This is a key aspect of a legal review. Even if the developer has a nice office, professional marketing materials, and a draft contract, the actual status of the property rights can only be determined after a review at the land administration office.

Main objectives:

• determine that the seller is registered owner of the party—the name in the document must match the information of the person entering into the transaction;
• check the original title document and request the information directly from the land registry—don't rely solely on the copy provided by the seller;
• Compare the boundaries and area of the plot along with the land title, site plan, and boundary markers, and, if necessary, arrange for a separate survey;
• to study history of registered rights — Who previously owned the property, and are there any signs of disputed transfers?;
• check availability registered mortgage, identify the secured party and the available registration information;
• determine whether the property is encumbered a registered long-term lease, which is retained when ownership changes;
• check availability easement — a registered right of way or right of passage for third parties across the property;
• check availability Usufruct — the right of another person to use the property for life;
• check availability Superfice — rights to a structure located on someone else's land;
• determine whether there is legal restrictions or injunctions prohibiting disposition;
• verify availability lawful access to a public road — A site without direct access to a road requires a separate analysis of access options;
• to study marks on the back of the land title document — That is where encumbrances are registered, and that is where a buyer can see a mortgage, lease, or other registered right.

The Land Administration's official website — dol.go.th — contains information about land authorities and available government services. However, the existence of mortgages, leases, easements, usufruct, and other registered rights must be verified using the current registration records of the relevant land administration office. An online map of the area is no substitute for such an inspection.

If the seller is acting through a representative, the power of attorney must be verified: its authenticity, the scope of authority, and its validity period. Special attention is required when the owner is a married person: under Thai law, the disposal of joint marital property requires the consent of both spouses in certain cases.

Types of Land Documents

In Thailand, there are various types of documents that certify land rights, and they differ significantly in scope and in the extent to which they protect the owner’s rights.

Chanot, or Nor Sor 4 Jor, is a land title certifying registered ownership of a plot of land. Its boundaries have been officially surveyed and marked with boundary markers, which generally ensures the highest level of accuracy among Thailand’s common land documents. Chanot allows for the full registration of ownership rights, mortgages, leases, and other rights with the Land Department.

Nor Sor 3 Gor — a document certifying the right to own and use a plot of land with officially surveyed boundaries. Rights under this document may be transferred without prior notice, and it is suitable for registering many types of transactions. However, in terms of its legal nature and the precision of its boundaries, it differs from full ownership rights under Chanot, a fact that must be taken into account when structuring a transaction.

Nor Sor 3 — a document with less precise boundaries. Certain registration procedures, including transfers, typically require a public notice process; its application and procedure should be verified with the specific land administration office.

There are also documents that merely confirm ownership or use of the land, but do not establish registered ownership. The rights conferred by such documents, the possibility of transferring them, and the permissible form of the transaction must be verified separately.

One should not conclude that any document of a lower rank than Chanot is automatically invalid for a transaction. Many properties are registered under Nor Sor 3 Gor, and transactions involving them are entirely legal. What matters is what a specific document actually permits: what rights can be registered under it, how precisely the boundaries are defined, and whether there are any restrictions on alienation. You can read more about the types of land documents and the concept of Chanot in Thailand in separate articles.

Does Tabien Baan confirm ownership?

Tabien Baan, or the Thai household registration book, contains information about the registered address and the individuals listed in the registration records for that address. It may be included in the property’s documentation package, but it does not, in and of itself, replace a land title or apartment title, nor does it confirm ownership.

During the verification process, the address and information about the building must be cross-checked against other documents; however, the property owner is identified based on current registration records from the land administration office.

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Verifying the Seller and Developer

Ownership of a property is confirmed by a land title document, but it is equally important to verify the identity of the person transferring that right. This is especially true when the seller is a company or when the property is being sold through a representative.

Individual

When dealing with an individual seller, the following is verified:

• identification: an identification document and confirmation that the information on it matches the information in the land title document;
• marital status: if the property is jointly owned by spouses, the consent of both may be required to enter into the transaction;
• powers of a representative: if the seller is acting through an authorized representative—the authenticity of the power of attorney, the scope of authority, and its term of validity;
• data matching in all the documents provided;
• availability publicly available information regarding legal or property disputes—with the understanding that a comprehensive search for such information requires a specific request.

Company or developer

An audit of a legal entity includes:

• legal name and its compliance with all project documents;
• registration number and the company's status in the Thailand Business Development Department's registry: dbd.go.th и encert.dbd.go.th;
• directors and authorized signatories;
• authorized capital — however, having a large amount of capital does not necessarily mean that the project has actual funding;
• Shareholder Base based on publicly available data;
• the financial statements submitted and its relevance;
• signatory authority — The person signing the contract must have the appropriate authority to do so;
• availability litigation and insolvency proceedings, if such information is available;
• Completed Projects — whether they meet the promised deadlines and specifications;
• unfinished projects and their current status;
• Delivering on Promises from promotional materials to actual documents: permits, approved plans, and land rights.

To verify a Thai company, it is not enough to simply review its certificate of registration. You should cross-check the current information through the Business Development Department’s services and request documents specifically related to the company signing the contract.

What to Request	What to Check
A current extract or the company's certificate of incorporation	Name, registration number, status, address, directors, and limitations on their authority
Current List of Shareholders	Ownership Structure and Changes in Shareholder Composition
The most recent available financial statements	Availability of Filed Financial Statements, Assets, Liabilities, and Signs of Financial Difficulties
Documents Verifying the Signatory's Authority	Does a specific director or representative have the authority to sign the contract?
Land Documents for the Project	Does the land belong to the same company, and what encumbrances are registered on it?
Project Permits	Is the applicant company the actual developer or the landowner?

A DBD review verifies registration and corporate information, but does not in itself prove that the project has secured financing, obtained all necessary permits, or has sufficient funds to complete construction.

The registration of a company does not in itself confirm the reliability of the project. An impressive showroom, attractive renderings, and a prepared contract are no substitute for verifying the land, permits, and actual financing. Company registration does not confirm that a specific project has all the necessary permits or that the land is free of mortgages.

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Permits and Specifications for the Facility

The existence of a title deed for the land does not mean that the building was constructed legally. Building and zoning permits constitute a separate area of review that is often overlooked during a cursory review of the documents.

What is being checked:

• Permitted Use of the Lot According to zoning regulations, not every lot permits the construction of residential buildings or structures with specific characteristics;
• building permit — whether it has been issued, in whose name it is registered, and whether it corresponds to the constructed facility;
• consent of the landowner the party developing or selling the project—they must be the same entity, or their relationship must be documented;
• approved architectural plans and their correspondence with the actual location and structural parameters;
• legal access to the road — Access to the facility must have a legal basis; it cannot simply exist de facto;
• Connection to utility networks: electricity, water, sewer service;
• restrictions on height, density, or protected areas — as applied to a specific facility, without reference to unconfirmed standards;
• EIA (Environmental Impact Assessment), if it is required for this project;
• modification approvals: a swimming pool, additions, and an extra floor—these are registered separately, and this is by no means always done;
• Compliance of the completed building with the approved plans — This is especially true for villas and houses where additions are built gradually.

The existence of a single permit does not prove that the entire structure was built in accordance with the approved documentation. Permits were often issued for the original design, while subsequent changes—such as a swimming pool, a veranda, or a second story—were carried out without proper authorization. A buyer of such a property may be required to rectify the violation, obtain additional permits, modify the structure, or comply with an order from the competent authority. The specific consequences depend on the nature of the violation and should not be assessed without reviewing the relevant documents.

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What to Check by Object Type

A single, universal checklist doesn’t work: inspecting a finished apartment and a villa under construction on leased land are fundamentally different tasks. Below is a summary table, followed by a discussion of the most important features of each type.

Table 2. Legal Review by Property Type

Object Type	Key Documents	Key Checks	Common Red Flags
A move-in-ready apartment in a condominium	Title deed for the apartment, condominium bylaws, certificate of incorporation	Foreign ownership quota, outstanding general maintenance fees, registered status of the building	Quota exceeded; outstanding balance owed to the management company
Apartment in a development currently under construction	Developer's Land Rights, Building Permit, Draft Contract	Land Mortgages, Financing, Terms of Transfer, and Registration	No permit; the land is encumbered by a mortgage with no provision for release
Ready-to-move-in villa	Title deed or lease agreement for the land, building permit	Right to Build, Access, and the Legality of the Pool and Additions	Unauthorized additions; the lot boundaries do not match the actual boundaries
Villa under construction	Developer's land rights, permits, technical specifications	Construction Phase, Compliance with Specifications, Warranty Obligations	There are no current permits, and the deadlines are not specified in the contract
House/Villa on Leased Land	Land Lease Agreement, Registration with the Land Administration Office, Right to the Building	Lease Term, Registration, Right to Renewal	The lease is not registered; there are verbal promises to renew it
Land parcel	Title Deed, Cadastral Map, Permitted Use	Zoning, road access, no building restrictions	There is no access to the road; zoning regulations prohibit the proposed use
Secondary property for the company	Company registration, articles of incorporation, shareholders, tax reporting	Ownership structure, beneficial owners, tax obligations, company purpose	Nominee Shareholders, Hidden Company Debts

After reviewing the table, it is important to examine the most significant differences in more detail.

Apartment in a condominium

A condominium in Thailand is a registered residential complex where apartments can be registered as individually owned properties. Buying an apartment in a condominium is one of the few ways a foreigner can acquire real estate under freehold title. You can read more about this in the articles How to Buy Real Estate in Thailand и Freehold and Leasehold in Thailand.

During an apartment inspection, the following are checked:

• the seller's right to a specific apartment based on the title document for each unit;
• registered status of the building as a condominium—this is a separate registration process that must be completed;
• foreign quota — Provided that the requirements of the Condominium Law are met, foreigners may own no more than 49% of the total apartment area in a registered condominium; if the quota has been exhausted, a foreigner will not be able to register an apartment as their property. Before proceeding with the transaction, you must obtain up-to-date confirmation that the quota is available for the specific apartment. For more details, see the article. Foreign Quota in Thailand;
• Documents regarding the source and transfer of funds — Before making the payment, you should check with your bank and a specialist to determine what documentation will be required to register the apartment in the name of a foreign buyer. Depending on the amount and structure of the payment, this may include a bank statement, confirmation of an incoming foreign currency transfer, or a Foreign Exchange Transaction Form.
• Certificate from a legal entity (the condominium management organization) certifying that there are no outstanding fees for the use of common areas—maintenance fees for the upkeep of common areas;
• status of the reserve fund and known upcoming expenses;
• building regulations: restrictions on renting, pets, and the use of common areas;
• Correspondence between the apartment's square footage and its number the information contained in the title document and the contract;
• for the secondary market — the visible condition of the building and common areas, elevators, parking, and a swimming pool.

The availability of a foreign quota does not in itself guarantee freehold registration. A foreign buyer must agree in advance with the receiving bank on the purpose of the payment, the sender’s details, and the set of supporting documents. The requirements for bank confirmation depend on the amount, the method of transfer, and the circumstances of the transaction, so they should be verified. Before sending money, rather than on the date of registration.

To register an apartment in the name of a foreign buyer, it is usually necessary to provide not only proof of an available foreign quota but also documents confirming the lawful source of funds for the purchase. The specific name of the bank document may depend on the amount and method of transfer; therefore, before making the payment, you must obtain a written list of requirements from the receiving bank and verify it with the representative assisting with the registration.

Villa, House, and Land

As a general rule, a foreign national cannot register land in Thailand as direct ownership. The law provides for certain narrow exceptions, but these do not constitute a standard structure for purchasing residential real estate and require individual legal review. This is a key restriction that determines the entire structure of a transaction involving a villa or house.

Key points to check:

• Who owns the land? and what is the legal basis for transferring rights to a foreign national;
• Has the long-term lease been registered? (leasehold) in land management—if a lease is entered into for a term of more than three years, it must be in writing and registered; without registration, such a contract can generally be enforced only within the first three years. It must be determined separately whether the tenant’s rights are preserved in the event of a change in ownership in a specific situation;
• Is there a separate right to the building? (superficies) or any other registered right of use;
• Is it possible to register a usufruct or a superficies? within the framework of a specific transaction structure;
• Do the actual boundaries of the plot match? along with the relevant title documents and the cadastral map;
• Is there a legal access point to a public road?;
• Are all buildings legal? On the property: a house, a pool, outbuildings, and sheds;
• Who is responsible for maintaining roads, water supply, and infrastructure? when the object is located within a private project.

A Thai company with nominal Thai shareholders is often suggested as a way to “circumvent” land ownership restrictions. Such a structure carries its own risks and is not considered a recommended approach in this article.

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New Construction and the Resale Market

Properties under construction and completed properties on the secondary market are inspected differently. The former requires an assessment of the project’s risks, while the latter requires a determination of the property’s actual condition and history.

When buying a new home Please check the following:

• a developer's rights to the land — whether he is the owner or a tenant, and whether his rights are registered;
• registered encumbrances on the land — particularly a mortgage taken out to finance the project, and the existence of a clear mechanism for removing it from a specific apartment or share upon transfer;
• building permit and its compliance with the specified project parameters;
• approved plans and their alignment with promotional materials;
• project funding: bank-owned, privately owned, or mixed;
• construction phase and its compliance with the stated schedule;
• terms of the contract: payment schedule, delivery deadlines, liability for delays;
• Finish Specifications — The contract must specify the materials and scope of work, not just the phrase “as per the design”;
• acceptance procedure and warranty obligations after transfer;
• registration option the claimed right (for example, foreign ownership within the quota) after construction is completed.

When buying a pre-owned property Please check the following:

• beneficial owner according to the latest data from the land administration office;
• outstanding balances — mortgage, maintenance fees, and arrears owed to the property management company;
• condition of the facility and repair history;
• unrecorded changes — remodeling, additions, and replacement of utility systems;
• current lease agreements: If a property is being leased, it is necessary to specify the term, form, and registration of the lease agreement, as well as to verify whether the agreement remains in effect after the transfer of ownership and what obligations the new owner will assume;
• resident or registered users and their legal status;
• facility configuration — what remains after the sale, and what the seller takes;
• release date the facility and the procedure for handing over the keys.

Table 3. New Construction and the Resale Market

Verification	New building	Secondary property	What to Include in the Contract
Land Rights	Developer's rights, mortgage, cancellation procedure	Current owner according to the registry	Obligation to pay off the mortgage before the transfer
Permissions	Building Permit, Compliance with Plans	Compliance of All Structures and Alterations with the Law	List of Approved and Actually Constructed Facilities
Funding	Source of funding, risk of funds being frozen	Seller's Debts and Liabilities	Condition Regarding Transfer Without Debt
Technical Condition	Specifications, Construction Supervision	Defects, hidden damage, repair history	Acceptance Report Documenting the Condition
Deadlines	Construction Schedule, Liability for Delays	Release Date, Transfer Procedure	Penalties for Delays
Rent	Future Restrictions on the Management Company	Current Lease Agreements	Conditions for Termination of the Lease or Agreement on Transfer

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Verification of the Contract and Payments

An inspection of the property does not replace a review of the contract. Even if the title is clear and all permits are in order, a contract with improperly drafted terms could leave the buyer without protection in the event of a breach.

A quality contract must include:

• a detailed description of the object: title document number (document establishing title) or land parcel registration number, apartment or villa number, area, floor, document type;
• the price in a specific currency and the method for recalculating it, if applicable;
• detailed payment schedule: amounts, dates, and the recipient of each payment;
• Payment Confirmation Procedure;
• deadline for the transfer of the property and the conditions under which it may be changed;
• Procedure for Registering a Right land management and the expenses incurred by each party;
• Allocation of Taxes and Transfer Fees — Under Thai law, they may be distributed by mutual agreement;
• Deposit Refund Policy in the event of unilateral termination or material breaches;
• consequences of a delay by the developer or seller;
• grounds for termination contracts;
• List of Furniture and Equipment, if they are included in the transaction;
• Procedure for Correcting Defects, identified during acceptance;
• Governing Law and Dispute Resolution — even if the parties have agreed to apply foreign law or arbitration, such a choice does not override Thailand’s mandatory provisions governing real estate and the registration of rights; the specific provisions must be evaluated by a Thai lawyer;
• language version of the contract: All signed versions should be reviewed to determine which one is designated as the master copy in the event of discrepancies; documents submitted to the land administration office must also comply with that agency’s requirements;
• the authority of all signatories, especially if the transaction is conducted through a representative.

The contract must specify not only the price and the property number, but also the square footage, the features included, the timeline, the payment schedule, mandatory fees, and the consequences of a breach of obligations.

A promise or a description	How can I verify this?
Apartment size and number	Title to the Apartment and the Lease Agreement
Lot Area and Boundaries	Land title, site plan, and boundary survey results
Construction Completion Date	Contract and Schedule
Materials and Finishes	Signed Technical Specification
Furniture and Appliances	Appendix with a list and specifications
Swimming pool, parking lot, or outbuilding	Approved plans, permits, and contracts
View from the window or the location of the object	Project plan specifying a specific unit
Revenue Program	A separate agreement specifying the calculation formula, expenses, term, and the parties’ liabilities
Deposit Refund Policy	Reservation Agreement or Master Agreement
Mortgage Release	Written Procedure for Discharge and Registration of the Removal of an Encumbrance

A promotional presentation helps you choose a property, but the key terms must be included in the contract and the signed addenda. Otherwise, it will be much more difficult to prove the content of a verbal or promotional promise.

It’s worth taking a closer look at common payment mistakes:

• Transfer of funds to an unidentified recipient — Money should be transferred only to the account explicitly specified in the contract or confirmed by separate transaction documents; If the payment is not made to the owner—for example, to an escrow account, a creditor, or an authorized representative—the basis for the payment, the recipient’s authority, and the purpose of the funds must be verified in advance;
• Signing of the contract for the advertising brochure Without agreeing on the terms—an advertising presentation or brochure does not replace the contract, technical specifications, or attachments; all specifications on which the buyer relies must be included in the documents to be signed;
• verbal promises regarding the property's characteristics, yield, or future maintenance that are not included in the contract's attachments;
• Analysis of the Russian-language translation only — It is necessary to review all language versions of the contract to be signed and determine which one takes precedence in the event of discrepancies; a single translation does not replace a review of the original.

Issues related to transferring money to Thailand, drafting a sales contract, and completing a transaction remotely require a separate analysis for each specific case and are addressed in the relevant materials.

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Technical Inspection

A property that is legally sound may have serious technical defects that are not apparent during a routine inspection. Cracks in load-bearing structures, improperly installed electrical wiring, or compromised waterproofing of the roof or pool—none of these issues are visible without a professional inspection.

A lawyer is no substitute for an engineer. A buyer’s inspection of a property does not constitute a technical assessment. For a property under construction, oversight is needed not only at final acceptance but also during construction—especially to verify that the materials used and design solutions comply with the approved specifications.

The technical inspection covers:

• building structure: load-bearing walls, floor slabs, foundation, cracks;
• traces of moisture and mold — especially in Thailand, with its tropical climate;
• roof: airtightness, drainage, condition of the surface;
• drainage around the building and the topographical features of the site;
• electrical system: compliance with standards, condition of the panel, grounding;
• water supply: pressure, piping, water heater;
• Ventilation and Air Conditioning: operational readiness, system cleanliness;
• pool: watertightness, filtration system, condition of the cladding;
• retaining walls and their sustainability;
• condition of the facade and glazing;
• the operation of all equipment: elevators, pumps, security systems;
• Consistency with the actual layout documents;
• Condition of common areas condominium, if we're talking about an apartment.

What to bring to the technical acceptance inspection:

1. Agreed-upon technical characteristics and specifications for the project.
2. Approved floor plans.
3. List of equipment and furniture as specified in the contract.
4. List of questions and comments received during previous inspections.
5. A charger and a tester for checking electrical outlets.
6. A flashlight for inspecting hard-to-reach areas.
7. A camera or smartphone to record the condition of each room.
8. An acceptance report form or your own checklist for recording identified defects.
9. Contact information for an independent engineer or technical consultant.

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Red Flags

Below are situations that call for pausing and further analysis. Each of these red flags does not necessarily indicate fraud—it means you need to look into the matter more closely, adjust the terms, or reconsider your decision to make the purchase.

1. Refusal to Provide the Original Title Document or the option to have it independently verified by the land administration office.
2. Discrepancy Between the Seller and the Registered Owner — The seller's name does not match the information in the land title document, without a clear explanation.
3. Pressure to make an urgent, non-refundable deposit under the pretext of other customers or limited availability.
4. A request to transfer funds to an unverified recipient — to an account that is not specified in the contract and whose owner’s authority is not confirmed by the transaction documents.
5. Promise of a Guaranteed Lease Renewal Without analyzing the mechanism and the specified conditions: the renewal of a 30-year lease is not automatically guaranteed.
6. Lack of lawful access to the property — an existing trail or private road that lacks a legal basis.
7. Structures That Do Not Comply with Permits: unauthorized additions, an unregistered swimming pool, and additional floors.
8. Mortgage on Project Land without a clear mechanism for releasing a specific unit upon transfer to the buyer.
9. Discrepancy in the area or property number in the contract and in the documents.
10. Verbal Promises of Returns without documentary evidence or an enforcement mechanism.
11. Lack of documentation regarding the signatory's authority — Who exactly signs the contract on behalf of the company, and on what basis.
12. Refusal to Include Material Characteristics of the Property in the Contract: finishing materials, specifications, and exact deadlines.
13. Service-Related Debts, which the seller proposes to “resolve after the transaction.”
14. Unregistered Renovations, which the seller mentions in passing.
15. Proposal to Use Nominee Shareholders in Thailand to circumvent land ownership restrictions—without warning of the legal risks associated with such a structure.
16. Absence of a written report Based on the results of the review: a verbal statement by an attorney or agent does not constitute a document.

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What's Included in the Report

The results of a legal review must be documented in writing. A verbal discussion with a lawyer or agent does not constitute a report. Only a written document allows the buyer to assess the thoroughness of the work performed, make an informed decision, and, if necessary, use the findings in negotiations.

A good report is more than just a list of documents reviewed. It should include conclusions on each area that are clear to the buyer, as well as recommendations for next steps.

Table 4. Contents of the Final Report

Report Section	What Must Be Included	Possible outcome
Subject Matter and Parties	Cadastral number, address, seller, buyer, date of verification	Data confirmed / discrepancies found
Title Deed	Document type, number, registered owner, and match with the seller	No significant obstacles were identified / further clarification is needed
Encumbrances	Mortgage, lease, easement, usufruct, judicial restrictions	The property is free of encumbrances / registered third-party rights have been identified
Seller / Developer	Identification, Authority, Company Status, Legal Disputes	Data Confirmed / Risks Identified
Permissions	Building permit, zoning, EIA, building compliance	Approvals are in order / a change to the transaction structure is required
Agreement	Key Terms, Buyer Risks, Recommended Changes	The contract is acceptable / Critical risks have been identified
Technical Condition	Identified defects, assessment of compliance with specifications	Condition: Acceptable / Needs to be fixed
Identified Risks	List of Specific Risks with an Assessment of Materiality	Insufficient data / critical risks / mitigable risks
Recommendations	Conditions for proceeding with the transaction; necessary changes	You may continue / the conditions must be met

How Do the Results of an Expert Evaluation Affect a Transaction?

Verification Results	A Possible Solution for the Buyer
The mortgage has been registered, but the bank has confirmed in writing the procedure for removing it	Make the removal of the encumbrance a condition of payment and registration
The contract does not specify the exact type of finish	Add the specification to the attachment to be signed
The villa does not have a designated access point to the road	Do not proceed with the transaction until an easement or other sufficient right of access has been registered
An outstanding balance has been identified for the condominium's general expenses	Request repayment of the debt and receipt of a certificate prior to final settlement
The actual structure does not conform to the approved plans	Obtain an opinion on whether changes can be made, or withdraw the property from consideration
The signatory's authority has not been verified	Do not sign the contract or transfer any funds until you have received the most recent corporate documents
No significant violations were found	Proceed to finalizing the agreement and preparing for registration

The mere fact that there is a mortgage, a lease, or a identified discrepancy does not necessarily mean that the transaction is impossible. What matters is whether the risk can be mitigated before payment is made and whether the mechanism for mitigating it is clearly stipulated in the contract.

A scale of results that is convenient to use in a report:

• No significant obstacles were identified — The check is complete; the data confirms that we can proceed.
• You can continue once the conditions have been met — There are some issues that can be resolved and must be addressed before payment is made.
• A change to the contract or the structure of the transaction is required — The current conditions involve risks that can be mitigated through negotiations.
• Critical risks have been identified — Continuing the transaction under the current structure involves critical risks.
• There is not enough data to draw a conclusion. — The check is not complete; it cannot continue.

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How long does the inspection take, and how much does it cost?

The timeframe and cost of a legal review depend on many factors, and it would be inaccurate to provide fixed figures without analyzing the specific case.

In Thailand, there is no uniform government-set fee for legal due diligence on real estate. Law firms set their own rates based on the property, the scope of the review, and the necessary steps. According to the published price lists of certain Thai law firms, a basic document review can start at approximately 18,000–30,000 THB. Comprehensive support services—including the review of contracts, corporate documents, and permits, on-site visits, and transaction registration—are typically billed separately.

Service	Published Guideline	What's Important to Clarify
Inspection of an Apartment in a Condominium	Starting at 18,000 THB	Does the process include a review of title, foreign quota, outstanding debts, and the seller's documents?
Basic Legal Review Package	from 19,900–30,000 THB	Is the scope of the audit limited, and does it include a written report?
Contract Review	about 18,000 THB in one of the published price lists	Do the negotiations and the re-review of the revised version include these steps?
Assistance with Registration at the Land Administration Office	about 18,000 THB in one of the published price lists	Are a power of attorney, document preparation, and the presence of a representative included?
On-site or technical inspection	This is often billed separately	Are transportation, photography, an engineering inspection, and a site access check included?

These amounts should not be considered a fixed rate or an exact market average. An offer for 18,000 THB may cover only the inspection of an apartment or documents, whereas an inspection of a villa, a plot of land, a construction project, or a company will require additional inquiries and specialists. Before ordering the service, you should request a written list of tasks and the final documents to be provided.

Prices are provided as a guide based on public offers from law firms as of the date this article was updated. Please confirm the current price directly with the service provider of your choice.

The final cost is influenced not only by the type of property but also by the scope of the due diligence. The table below shows what additional steps are typically required for different types of transactions.

Transaction Type	What typically increases the scope of an audit
Ready-to-move-in freehold apartment	Verification of title, seller, foreign quota, outstanding balances, and contract
Apartment in a development currently under construction	Additional Information: Project Land, Mortgage, Permits, Company, and Terms of Future Registration
Ready-to-move-in villa	Land title, building rights, permits, access, boundaries, and utility infrastructure
Villa on Leased Land	Additional Information: Registration of Leases, Term, Renewal, Inheritance of Contractual Rights, and Superficies
Land parcel	Title, boundaries, road access, zoning, easements, and the potential for planned development
Acquisition of a Company with Real Estate	Corporate documents, financial statements, taxes, liabilities, and the legality of the ownership structure

The scope of work is determined by:

• object type — apartment, villa, land parcel, commercial real estate;
• primary or secondary market — A new construction project requires additional verification of permits and project financing;
• the number and complexity of the documents;
• the company's presence in the transaction structure—this adds a corporate due diligence step;
• the need to file a petition with the court and audits of financial statements;
• location of the land administration office — Requests for properties in different provinces take varying amounts of time;
• the need for a technical inspection — It is conducted separately and requires a specialist to visit the site;
• urgency — expedited processing costs more;
• the quality and completeness of the documents provided — An incomplete package increases the processing time.

To calculate the cost of the inspection, the specialist will need to be provided with the following:

• address or description of the property;
• the type of real estate and the form of intended ownership;
• whether the seller is an individual or a company;
• a list of documents that are already available;
• the company's involvement in the transaction;
• Is a technical inspection required?;
• Preferred dates for the inspection.

The cost of a service should be compared not only based on the total amount, but also on the scope of work. Clarify whether the proposal includes a review of land registry records, a company analysis via DBD, a review of building permits, a legal analysis of the contract, a written report, and a follow-up review after any issues have been resolved.

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Buyer's Checklist

Before making a deposit

1. Retrieve property details: title document number (document establishing title) and identification details of the land parcel or apartment, address, and document type.
2. Determine the registered owner and verify that it is the same person as the seller.
3. Request a copy of the title document for preliminary review.
4. Request a draft contract or reservation agreement.
5. Check whether a refund is provided for the reservation in the event of an unsatisfactory result of the legal review.
6. Clarify the form of ownership and restrictions for foreign nationals.

Prior to the main contract

7. Complete the title search at the land registry office.
8. Check all registered encumbrances: mortgages, leases, and easements.
9. Verify the seller or developer: identification, authority, and company status.
10. Verify the building permit and ensure that the structure complies with the approved plans.
11. Clarify the foreign ownership quota (for a condominium).
12. Obtain a certificate from a legal entity confirming that there are no outstanding debts (for a condominium).
13. Conduct a technical inspection of the facility with an engineer present.
14. Agree on the necessary amendments to the contract based on the results of the review.
15. Receive a written report with conclusions and recommendations.

Until final payment is made

16. Confirm that all conditions agreed upon during the verification phase have been met.
17. Obtain up-to-date statements confirming that there are no outstanding maintenance fees.
18. Conduct the acceptance inspection of the facility and document its condition in the acceptance report.
19. Verify the bank details against the information in the contract immediately before making the transfer.
20. Ensure that the registration documents for the land administration are ready.

Do not proceed to the next payment step simply because the date on the schedule has arrived. First, confirm that the conditions associated with this payment have been met.

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Selecting a Property with Risk Considerations in Mind

Some risks can be eliminated even before the legal due diligence begins—during the initial screening of properties. If a project fails to provide the basic set of documents upon the first request, that in itself is a significant red flag.

During the preliminary selection phase, you should:

• not to consider proposals, who cannot verify the developer's rights to the land, the existence of permits, or the company's registration;
• clarify the form of ownership in advance — freehold, leasehold, company — and whether it meets the purpose of the purchase;
• match an object with a task: housing, rental, long-term holding, resale—each objective requires a different transaction structure;
• check required payments: fees for using common areas, taxes, and registration fees—these factors affect the actual cost of ownership;
• compare more than just the price, but also the legal structure: two properties with the same price may differ significantly in terms of the scope of rights granted to the buyer.

Find a property in Thailand that fits your needs and budget. Please answer a few questions so that Thaicost's experts can suggest suitable properties in Pattaya, Bangkok, Phuket, or Koh Samui: browse real estate listings.

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Conclusion

Being willing to conduct a legal review is not a sign of distrust toward the seller. It is standard practice that allows you to make an informed decision based on verified information.

It is advisable to complete the due diligence before the buyer assumes the main financial obligations under the transaction. The specific steps to be taken depend on the type of property: a condominium unit, a villa, a development under construction, or a resale property purchased by a company—each presents fundamentally different challenges, with varying sets of documents and risks.

Verifying the title document is one of the key components of a legal review, but it is by no means the only one. The land title document identifies the registered owner and serves as a starting point. However, it is accompanied by encumbrances, third-party rights, building permits, contract terms, and the property’s physical condition—each of these areas requires its own separate analysis.

The seller and the developer are verified separately. Their registration information and authorization documents must match the person who actually signs the contract and receives the money.

Identifying a risk does not always mean abandoning the transaction. It means you need to determine whether the risk can be eliminated, whether it can be addressed in the contract, and whether the buyer is willing to accept it based on all available information. A well-written report provides answers to these questions and allows you to make an informed decision—whether to proceed under revised terms, seek to have the violations remedied, or walk away from the property.

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This material is for informational purposes only and does not replace an individual legal, tax, or technical review of a specific property or transaction.