The fees and taxes settled at the Land Office
Every real-estate transfer in Thailand is registered at the local Land Office. Four government charges are settled on transfer day: the transfer fee, either stamp duty or Specific Business Tax, and withholding tax. On top of the government charges are your own legal fees and one-off condominium items like the sinking fund. Understanding each line makes the total predictable and lets you negotiate the split with the seller from a position of fact.
Transfer fee - 2 percent of the appraised value
The Land Department charges a transfer fee of 2 percent of the government appraised value of the property. The appraised value is not the market price - it is a fixed valuation set by the Treasury Department, usually 30 to 50 percent below actual sale price. By custom the transfer fee is split 50/50 between buyer and seller, but this is negotiable and often written into the sale and purchase agreement.
Specific Business Tax - 3.3 percent when the seller owned for less than 5 years
If the seller has held the property for less than 5 years, Specific Business Tax (SBT) of 3.3 percent applies to the higher of the appraised value or the actual sale price. SBT is a seller-side tax by convention but the effective incidence is negotiable. When SBT applies, stamp duty is waived - one or the other, never both.
Stamp duty - 0.5 percent when SBT does not apply
Where the seller has owned for 5 years or more (or the sale is otherwise exempt from SBT), stamp duty of 0.5 percent of the higher of appraised or actual value is due. Like SBT, stamp duty is a seller-side charge by convention but negotiable.
Withholding tax - progressive for individuals, flat for companies
Withholding tax is deducted at the Land Office at the moment of transfer. For an individual seller it is calculated on a progressive scale against the appraised value, taking into account the number of years the property has been held (so an old holding pays a lower effective rate). For a company seller it is a flat 1 percent of the higher of appraised or sale price. Withholding tax is a seller obligation, but on new-build sales developers sometimes push part of it to the buyer - read the contract.
Lease registration - 1 percent plus 0.1 percent stamp duty
If you are registering a long lease rather than a freehold transfer, expect a registration fee of 1 percent of the total rent for the whole lease term, plus stamp duty of 0.1 percent. On a 30-year lease with a nominal annual rent this is a small one-off cost. See the leasehold guide for how registration turns the paper contract into a real property right.
Worked example: 5,000,000 THB condominium
Assume the seller has owned the unit for more than 5 years (so stamp duty applies, not SBT), and buyer and seller split all costs 50/50 as agreed in the contract.
| Item | Rate | Amount (THB) | Buyer share |
|---|---|---|---|
| Transfer fee | 2% | 100,000 | 50,000 |
| Stamp duty | 0.5% | 25,000 | 12,500 |
| Withholding tax (individual seller) | ~1-2% | ~75,000 | 0 (seller pays) |
| Legal fees (independent lawyer) | fixed | 50,000 | 50,000 |
| Sinking fund (one-off) | 500 THB/sqm x 60 sqm | 30,000 | 30,000 |
| Buyer out-of-pocket at transfer | ~142,500 |
Ongoing costs after the purchase
For a condominium, budget common area maintenance fees of typically 30 to 80 THB per square metre per month, plus a one-off sinking fund contribution of around 400 to 600 THB per square metre at purchase. The Land and Building Tax (in force since 2020) applies to residential property but at very modest rates for owner-occupied second homes - a low four-figure THB amount per year is typical for a mid-market condo. For a house on leased land, budget the annual ground rent under the lease plus utilities and any village fees.
Legal fees - the one line worth paying for
Budget 30,000 to 80,000 THB for an independent Thai lawyer covering title search, contract review, due diligence, and attendance on transfer day. This is the single most valuable cost item on the list. For the full context of what you are buying, start with the buying property pillar, the condo foreign quota guide, and the buying process in Cha-Am guide.