The Thai condo foreign quota: how the 49% rule works
Updated · ZODIAC Co., Ltd.
Foreigners may own condominium units in Thailand freehold, but the total floor area owned by foreigners in a building may not exceed 49% of the combined area of all units. The quota is measured by area, not by the number of units, and it is checked at the Land Office when your unit is transferred.
Where the rule comes from
The foreign quota is set by the Condominium Act B.E. 2522 (1979) as amended. Section 19 lists who counts as an eligible foreign owner, and the quota provision caps foreign ownership at 49% of the total area of all units in the condominium. The remaining 51% must be owned by Thai nationals or Thai juristic persons. The rule applies per registered condominium juristic person, which normally means per building or per registered project.
The purpose of the rule is to keep condominiums majority Thai-owned while still allowing foreigners freehold title. It is the reason a condominium is the only kind of Thai property a foreign individual can hold outright in their own name.
Area, not units: how the quota is calculated
The quota is calculated on saleable unit area as registered, not on the number of apartments. A building of 10,000 square metres of units can therefore have up to 4,900 square metres in foreign names, regardless of whether that area is spread across many studios or a few penthouses.
This has real consequences. In a resort project where foreigners prefer large sea-view units, the foreign quota can fill with fewer transactions than the headline unit count suggests. Conversely, a building with many small units bought by Thai owners can have quota available long after launch. The only reliable answer comes from the developer's current quota figures and, at transfer, the Land Office register.
- Check the quota status for your specific unit in writing before paying a deposit.
- Ask whether the unit is being sold as foreign freehold or as leasehold because the quota is full.
- For resales, ask the juristic person manager for the building's current foreign-owned area.
Who counts as a foreign owner
Foreign individuals count against the quota, as do companies that are treated as foreign under Thai law. Section 19 also covers categories such as foreigners holding permanent residence and foreigners admitted under investment promotion laws. For most international buyers the relevant category is the one that requires money to be brought into Thailand in foreign currency.
A Thai company that is genuinely majority Thai-owned buys as a Thai purchaser and does not use the foreign quota. Using a company with nominal Thai shareholders to get around a full quota raises the same nominee problems that apply to land and is not something a careful buyer should consider.
Couples of mixed nationality should also think about the quota. A Thai spouse buying in their own name uses the Thai portion of the building, while a foreign spouse uses the foreign quota. Joint ownership between a Thai and a foreign spouse is possible, but the foreign share still requires foreign funds evidence.
The foreign funds requirement
To register a unit under the foreign quota you must prove that the purchase money was remitted from abroad in foreign currency. The receiving Thai bank issues a Foreign Exchange Transaction form (FET, formerly Thor Tor 3) for larger transfers, or a credit advice or bank letter for smaller ones. The Land Office checks that the amount, the remitter and the stated purpose match the purchase.
Money that is already in Thailand in baht, or cash, will not normally satisfy the requirement. Our FET form guide explains how to word the transfer and what to ask your bank for.
What happens when the quota is full
When the foreign quota in a building is exhausted, a foreigner cannot register freehold title to further units. Developers often offer the remaining units on a long lease instead, typically 30 years registered at the Land Office. That can be a sensible option at the right price, but it is a different asset: a lease has a fixed term, the renewal promise is not enforceable beyond 30 years following the March 2025 Supreme Court ruling, and resale buyers tend to value leasehold units below comparable freehold units.
Some sale contracts also allow a unit to be registered as leasehold now with a promise to convert to freehold later if quota becomes available. Read such clauses carefully and understand that conversion depends on another foreign owner selling to a Thai buyer.
Quota in resales
If you buy a unit that is already registered in a foreigner's name, the foreign-owned area does not change, so the transfer stays within the quota. If the seller is Thai and the building's quota is full, you cannot take freehold title. This is why sellers of units already in foreign names sometimes advertise them as foreign freehold, which is a genuine selling point in popular resort buildings.
Quota and value: why it matters beyond registration
Foreign quota status affects price, not only paperwork. In resort locations where most end-users and investors are international, a unit that can be sold to the next foreign buyer on a freehold basis has a larger pool of potential purchasers than one that can only be offered on lease. Agents and valuers therefore tend to treat foreign freehold as a feature in its own right, and it is reasonable to expect a price difference between otherwise similar freehold and leasehold units in the same building.
The quota also shapes how a building ages. In a project where the foreign quota filled at launch, every future foreign buyer must buy from an existing foreign owner, which supports resale demand for those units but limits new foreign entrants. In a building with a mostly Thai owner base, the quota may stay open for years. Neither is automatically better; what matters is that you understand which situation you are buying into and price it accordingly.
Finally, the quota interacts with inheritance. A foreign heir or beneficiary can generally only keep a unit if they fall within one of the categories the Condominium Act allows and the quota position permits it; otherwise the law requires disposal within a set period. That is another reason to keep clean evidence of foreign funds and to plan succession early.
Has the quota changed? The 75% proposal
Since 2024 there has been public discussion of raising the foreign quota to 75%, sometimes only in certain provinces or special zones. As of September 2026, this has not been enacted and the 49% cap remains the law. Treat any sales pitch that relies on a future quota increase with caution and make sure your contract works under the rules in force today.
How to protect yourself
Ask for the quota position in writing and include it as a condition in the reservation and sale agreement, with a full refund if freehold registration under the foreign quota is not possible at transfer. Make sure your deposit and instalments are remitted from abroad with the correct purpose wording from the start, because each payment will need supporting bank evidence. For off-plan purchases, confirm how the developer tracks quota across phases and buildings.
Of the 84 condominium projects in our Phuket catalogue, 24 are completed, 43 are under construction and 17 are in pre-sale, so quota questions arise at every stage from launch to resale.