Glossary: Thai & Pattaya Property Terms

Anyone buying property in Pattaya runs into plenty of terms from Thai property and tax law. In this glossary I explain the most important ones, from Leasehold to the FET form briefly and clearly. In-depth guides are linked throughout.

Ownership & law

Freehold

Genuine, perpetual full ownership of a condominium unit. Foreigners can own condos freehold as long as the building’s 49 % foreign quota is not exceeded. Learn more.

Leasehold

A long-term lease registered at the Land Office, capped at 30 years, often with contractual renewal options. The usual route for foreigners with houses and land. Learn more.

Chanote (Nor Sor 4 Jor)

The highest and safest form of Thai land title, with exact GPS survey. A chanote title offers the strongest legal protection when acquiring property. Read the full answer.

Condominium Act

Thailand’s condominium ownership law (B.E. 2522 / 1979), governing ownership, the foreign quota, voting rights and the management of condominiums. Learn more.

Foreign quota (49 % rule)

A maximum of 49 % of a condo building’s total floor area may be held as foreign freehold. The remaining 51 % stays in Thai ownership or is offered as leasehold. Read the full answer.

Juristic Person

The condo’s legal owners’ association, which manages the building, runs the budget and enforces house rules, comparable to a homeowners’ association. Learn more.

Usufruct

A registered right of use, usually for life. Often used to protect the foreign spouse when the land is held in the Thai partner’s name. Learn more.

Superficies

The right to own a building on someone else’s land. It lets foreigners own a house even though they may not own the land itself.

Nominee

A nominee shareholder acting purely as a placeholder to circumvent the foreign land ban. Such sham structures are illegal in Thailand. Learn more.

Due Diligence

The careful legal review before purchase by an independent lawyer: title, encumbrances, developer solvency and the building’s available foreign quota.

Title deed

The umbrella term for Thai land ownership documents. The safest title, and the one relevant to condo buyers, is the chanote; legally weaker titles such as Nor Sor 3 Gor and Nor Sor 3 also exist.

Nor Sor 3 Gor (NS3G)

A confirmed possessory title surveyed from aerial imagery rather than exact GPS. NS3G land can be transferred and mortgaged but is legally weaker than a chanote; careful review before buying is advisable.

Nor Sor 3 (NS3)

An older evidence of possession without exact survey; boundaries are imprecise and sales must be publicly announced. It demands especially thorough due diligence and is practically irrelevant for condos.

Purchase & finance

Off-Plan

Buying a unit before or during construction, usually at lower prices and with a payment plan staged across the build period. Learn more.

FET / FETF (Foreign Exchange Transaction Form)

The official bank record of foreign currency brought into Thailand. It is mandatory for registering a condo as foreign freehold and for repatriating the capital later. Learn more. Read the full answer.

Sinking Fund

A one-off reserve paid per square metre at purchase, funding major maintenance and repairs of the common property. Learn more. Read the full answer.

Common Area Fee (CAM)

The recurring maintenance fee, charged per square metre, covering the running and upkeep of shared facilities such as pool, lobby, garden and security. In Pattaya, typically around 40 baht per square metre monthly. Learn more.

Sales and Purchase Agreement (SPA)

The binding purchase contract between buyer and seller or developer, governing price, payment plan, handover and obligations.

Reservation Agreement

The reservation agreement with a deposit, holding a specific unit for the buyer until the main purchase contract is signed.

Land Office

The government office where ownership transfers, leases and other rights are entered into the register. This is where the formal transfer of ownership takes place.

Transfer fee

A fee of 2 % of the official appraised value, due upon transfer at the Land Office. It is usually split between buyer and seller. Learn more.

Resale

The resale of an existing or completed unit on the secondary market, as opposed to a new-build or off-plan purchase. Learn more.

Sea View vs. Sea Glimpse

“Sea view” means an unobstructed view of the sea, “sea glimpse” only a partial or side-on one. The price difference is substantial and should be checked on site.

Rai, Ngan & Talang Wah

The Thai land measures: 1 rai = 1,600 sqm = 4 ngan; 1 ngan = 400 sqm = 100 talang wah; 1 talang wah = 4 sqm. Condominiums trade in square metres; the land measures appear with houses and land, for instance on the chanote. More in the guide Buying a house in Pattaya.

Tax, residency & renting

Double taxation agreement (DTA)

The treaty between Germany and Thailand preventing the same income, such as rent, from being fully taxed in both countries. Learn more.

180-day rule

Anyone spending 180 days or more per calendar year in Thailand becomes tax resident there. This matters for the taxation of income brought into the country. Learn more.

Retirement Visa (Non-Immigrant O / O-A)

The residence permit for people aged 50 and over. It requires either 800,000 baht in a Thai bank account or a monthly income of 65,000 baht. Learn more.

Hotel Act

Thailand’s Hotel Act classifies stays under 30 days as licensed hotel business. Nightly Airbnb rental of a condo unit without a hotel licence is therefore illegal. Learn more.

TM30

The statutory notification duty by which the host reports a foreigner’s place of stay to Immigration.

90-day reporting

The duty of long-stay visa holders to confirm their current address with Immigration every 90 days.

Specific Business Tax (SBT)

A tax of 3.3 % due when a property is sold within five years of acquisition. When it applies, stamp duty does not.

Stamp duty

A tax of 0.5 % on the sale of a property. It applies when no Specific Business Tax is due.

Withholding tax

A tax withheld from the sale proceeds, its amount depending on the holding period and the official appraised value.

EEC (Eastern Economic Corridor)

Thailand’s largest economic development zone, spanning Chonburi, Rayong and Chachoengsao. A key long-term value driver for Pattaya. Learn more.

Questions about a term or your purchase? Download my free Pattaya property guide or book a free first consultation. You will find all further topics in my guide blog.