Could this be the future of selling property to foreigners in Thailand?
We all know the problem — foreigners can’t own land. So they either buy through a company, marry a Thai, or walk away.
But what if there’s a better way?
Our team has been working on a structured property holding formula that actually gives a foreign buyer REAL security and upside — without breaking any laws.
Here’s how it works:
House Structure is registered in the foreigner’s name outright
Land is leased via Agreement for 30 years— ONE upfront payment, nothing more ever (*)
Everything documented with a Superficies Agreement and registered at the Land Department
(*) If the House Structure is in a Housing Estate there will be additional clauses in the agreement covering; Annual Common Area Fees, Yearly Property Taxes, Waste Water Taxes and maybe other Fees/Taxes.
What’s Covered:
Inheritance in case of death
Right to Sell House Structure & Remaining Superficies Rights within Lease Period (to Foreigners)
Right to Sell House Structure & Land to Thai Persons or Thai Company, if minimum LAND value is met
Unused lease years are REFUNDED in case sold to Thai Persons or Thai Company
Land appreciation is INCLUDED; transparent base price formula based on Baht/Sq. Wah — any profit above it, is YOURS
Renew Lease after X years to extend rights period
Note: As of writing of this article it is not yet clear if the “Unused Lease Years”, “Land Appreciation”, “Renew Lease” clauses will be approved by Lands Department to be within a Superficies Agreement. Otherwise a second private agreement has to be setup, out of Lands Department to cover this.
The Advantage:
Piece of mind knowing you own the House Structure, no Landlord involved, do what you want with it
No more Rent, save money from day one. As an example: a 47,000/month pool villa will save you nearly ฿5M over 9 years — money that was previously going nowhere
Our Office thinks that this model could work for a lot of properties in Thailand and actually ATTRACT serious foreign buyers and investors who are currently sitting on the fence.
Would you buy on these terms?
Agents — do you think this is sellable?
Lawyers — any holes in this structure?
Drop your thoughts by email Let’s build something better together.
Anyone with suggestions/remarks about this setup can email our team at info@thailandproperty.com all emails be will be handled in confidentiality.
Pool Villa for Sale in the Link below is willing to explore the options:
Example calculations in the Cards below.
Example 1
The villa in the link is now for sale, and the owner would proceed if a holding structure as above could be realized.
-
- Outright sale House & Land: Thai baht 13,800,000
- Outright sale of House with Superficies Land Right Agreement (30 years): Thai baht 12,000,000
| Options: | Price: |
|---|---|
| House price | ฿9,000,000 (Registered in buyer’s name) |
| Superficies Land Agreement (30 yrs) See Table 1 | ฿3,000,000 (One upfront payment) |
| Total Investment | ฿12,000,000 (No further payments) |
Savings:
Investment saving direct: 1.8 Million Baht
Example 2
Scenario 1 — Superficies Contract Holder sells to an other Foreinger after 3 or 9 years. Buyer takes over remaining Superficies Agreement years.
| Item | 3 years | 9 years |
|---|---|---|
| Initial Total investment | ฿12,000,000 | ฿12,000,000 |
| + Rent saved bonus (฿47,000/month) | +฿1,692,000 | +฿5,076,000 |
| Break-even after rent deduction (฿47,000/month) | ฿10,308,000 | ฿6,924,000 |
Example 3
Scenario 2 — Superficies Contract Holder sells to a Thai Buyer or Thai Company
Thai buyer purchases house + land. Land base price goes to owner. Everything above is profit for leaseholder.
| Item | 3 years | 9 years |
|---|---|---|
| Total investment | ฿12,000,000 | ฿12,000,000 |
| – Land value to owner (฿37,500/wah + 2%/yr) | -฿5,427,044 | -฿6,046,772 |
| + Superficies refund (unused years) | +฿2,700,000 | +฿2,100,000 |
| Minimum sales price | ฿14,727,044 | ฿15,946,772 |
| + Rent saved bonus (฿47,000/month) | +฿1,692,000 | +฿5,076,000 |
| Break-even after rent deduction (฿47,000/month) | ฿13,035,044 | ฿10,870,772 |
* Any sale above minimum sales price = 100% profit to leaseholder. Land profit above base price also goes 100% to leaseholder.
* Land size in example is 136.4 Wah.
Table 1a Benchmark Superficies Calculation (1).
Land Value is between 35-40K/wah we take mid at current date: 37,500 Baht/Sq.Wah (Land size: 136.4 Wah)
Total land Value (todays value): 5,115,000 Baht
| Rate | Year 1 | Monthly yr 1 | Year 30 | Monthly yr 30 | Total 30 yrs |
|---|---|---|---|---|---|
| This deal (+/-2%/yr) | ฿73,950 | ฿6,162 | ฿131,323 | ฿10,944 | ฿3,000,000 |
| Market low (3%/yr) | ฿113,476 | ฿9,456 | ฿201,516 | ฿16,793 | ฿4,603,500 |
| Market mid (4%/yr) | ฿151,301 | ฿12,608 | ฿268,687 | ฿22,391 | ฿6,138,000 |
| Market mid-high (5%/yr) | ฿189,127 | ฿15,761 | ฿335,859 | ฿27,988 | ฿7,672,500 |
| Market high (6%/yr) | ฿226,952 | ฿18,913 | ฿403,031 | ฿33,586 | ฿9,207,000 |
* Each row starts at year 1 payment and grows X% annually for 30 years.
Table 1b Benchmark Superficies Calculation (2).
Land Value is between 35-40K/wah we take mid at current date: 37,500 Baht/Sq.Wah (Land size: 136.4 Wah)
Total land Value (todays value): 5,115,000 Baht
Thumb of rules use 45%–65% of the land’s value as the total lease amount.Prime areas can go over 70% !
| Rate | Year 1 | Monthly yr 1 | Year 30 | Monthly yr 30 | Total 30 yrs |
|---|---|---|---|---|---|
| Market low (40% land value) | ฿50,434 | ฿4,203 | ฿89,562 | ฿7,464 | ฿2,046,000 |
| Market mid (50% land value) | ฿63,042 | ฿5,254 | ฿111,953 | ฿9,329 | ฿2,557,500 |
| Market high (60% land value) | ฿75,651 | ฿6,304 | ฿134,344 | ฿11,195 | ฿3,069,000 |
| This deal (58.6% land value) | ฿73,950 | ฿6,162 | ฿131,323 | ฿10,944 | ฿3,000,000 |
* Each row starts at year 1 payment and grows 2% annually for 30 years.
Table 2
Superficies Payments Table
Superficies fee ฿3,000,000 — equivalent annual payments with 2% yearly increase
| Year | Annual payment | Monthly equivalent | Cumulative total |
|---|---|---|---|
| Year 1 | ฿73,950 | ฿6,162 | ฿73,950 |
| Year 2 | ฿75,429 | ฿6,286 | ฿149,379 |
| Year 3 | ฿76,937 | ฿6,411 | ฿226,316 |
| Year 4 | ฿78,476 | ฿6,540 | ฿304,792 |
| Year 5 | ฿80,046 | ฿6,670 | ฿384,838 |
| Year 6 | ฿81,647 | ฿6,804 | ฿466,484 |
| Year 7 | ฿83,279 | ฿6,940 | ฿549,764 |
| Year 8 | ฿84,945 | ฿7,079 | ฿634,709 |
| Year 9 | ฿86,644 | ฿7,220 | ฿721,352 |
| Year 10 | ฿88,377 | ฿7,365 | ฿809,729 |
| Year 11 | ฿90,144 | ฿7,512 | ฿899,874 |
| Year 12 | ฿91,947 | ฿7,662 | ฿991,821 |
| Year 13 | ฿93,786 | ฿7,816 | ฿1,085,607 |
| Year 14 | ฿95,662 | ฿7,972 | ฿1,181,269 |
| Year 15 | ฿97,575 | ฿8,131 | ฿1,278,844 |
| Year 16 | ฿99,527 | ฿8,294 | ฿1,378,371 |
| Year 17 | ฿101,517 | ฿8,460 | ฿1,479,888 |
| Year 18 | ฿103,548 | ฿8,629 | ฿1,583,436 |
| Year 19 | ฿105,618 | ฿8,802 | ฿1,689,054 |
| Year 20 | ฿107,731 | ฿8,978 | ฿1,796,785 |
| Year 21 | ฿109,885 | ฿9,157 | ฿1,906,670 |
| Year 22 | ฿112,083 | ฿9,340 | ฿2,018,753 |
| Year 23 | ฿114,325 | ฿9,527 | ฿2,133,078 |
| Year 24 | ฿116,611 | ฿9,718 | ฿2,249,690 |
| Year 25 | ฿118,944 | ฿9,912 | ฿2,368,633 |
| Year 26 | ฿121,322 | ฿10,110 | ฿2,489,956 |
| Year 27 | ฿123,749 | ฿10,312 | ฿2,613,705 |
| Year 28 | ฿126,224 | ฿10,519 | ฿2,739,928 |
| Year 29 | ฿128,748 | ฿10,729 | ฿2,868,677 |
| Year 30 | ฿131,323 | ฿10,944 | ฿3,000,000 |
| Total | ฿3,000,000 | ||