The Thai real estate market will undergo a major transformation in 2026. The era of “gray” schemes and ownership through Thai nominees is finally a thing of the past. The Kingdom’s government has placed a premium on transparency and increased oversight, which, contrary to fears, has become a powerful incentive for bona fide investors.

In this article, we will examine how amendments to the Land Code and new property rights protection mechanisms make investing in Phuket, Koh Samui, and Pattaya safer.

Strengthening Controls on Nominee Ownership: How Practices Are Changing

Foreigners in Thailand still cannot own land directly, and this remains a fundamental rule. However, it was in 2024–2026 that the practice of identifying so-called nominee structures—when land is formally registered to a Thai person but is actually controlled by a foreigner—intensified. Previously, such schemes existed in a “gray zone”—legally illegal, but de facto widespread. Today, the situation has changed: government agencies have begun to pay more attention to funding sources, corporate structures, and actual control over assets.

It’s important to understand that we’re not talking about mass confiscations. The practice is selective and is most often implemented through:

— litigation

— ​​invalidation of the transaction

— ​​a requirement to bring the ownership structure into compliance with the law

For investors, this means a reduction in the number of risky offers on the market. Developers are increasingly abandoning dubious schemes, as this directly impacts their reputation and ability to work with foreign clients.

СSap-Ing-Sith: “Super-Lease” Becoming the Standard

Sap-Ing-Sith is often positioned as “analogous to ownership,” but from a legal perspective, it is an independent form of property law that grants a foreigner long-term ownership of an object without owning the land. This instrument was introduced as an attempt to modernize the market and offer an alternative to traditional leasehold. Its key difference is a higher degree of security and formalization.

A Sap-Ing-Sith is registered with the Land Department and grants the owner a number of rights:

• Long-term ownership (up to 30 years with the possibility of extension)
• Inheritance: Rights to the property are transferred to heirs automatically without the consent of the landowner.
• Right of pledge: Properties with a Sap-Ing-Sith title are now officially accepted by banks as collateral for loans.
• Independence: You can sublease the property or sell the rights to it without the landlord’s permission, which was previously a major concern for investors.

However, it is important to consider the limitations. Despite formal independence, the terms of the landowner’s lease agreement still play a significant role. Furthermore, bank financing for such properties is not yet widespread. As a result, Sap-Ing-Sith is not a replacement for ownership, but a tool that can be advantageous in certain projects, especially when working with large developers.

Leasehold vs. Sap-Ing-Sith: Which Should an Investor Choose?

In practice, the Thai real estate market still relies on the classic leasehold model—a long-term lease, typically for 30 years with the option to extend.

Leasehold remains popular due to:

• clear legal practice
• widespread adoption
• a large number of completed cases

Sap-Ing-Sith, in turn, is perceived as a more modern instrument, but has not yet achieved the same level of adoption.

The choice between them depends on the specific project, the terms of the agreement, and the investor’s strategy. It is important to analyze not only the ownership structure but also the developer’s reputation, the transaction structure, and the legal support.

Strengthening Control over FET Forms and Transaction Transparency

When purchasing a freehold apartment, a foreign investor is required to confirm the import of funds through a Foreign Exchange Transaction Form. This document is a key element of the transaction and confirms that the funds were received from abroad in foreign currency.

In recent years, the system has become more structured. Banks and government agencies are gradually synchronizing processes, which allows for:

• expediting transaction processing
• reducing errors
• increasing transparency

Nevertheless, the process remains sensitive to detail. Errors in the payment details, currency, or transfer structure can lead to denial of title registration.

Therefore, transaction support during the funds transfer stage is a critical factor in investment security.

Protection of Rights When Purchasing Off-Plan (Under Construction)

Purchasing off-plan property remains one of the most popular investment strategies in Thailand due to its lower entry price and potential for value appreciation. However, this segment has traditionally been associated with risks:

— construction delays

— project changes

— developer financial problems

In 2026, requirements for developers working through the pre-sales system were tightened.

• Escrow accounts: More and more developers are now required to use escrow accounts, which are only accessible after reaching certain construction milestones.
• Legal liability: Amendments to Thailand’s Consumer Protection Act now allow foreign buyers to file class actions, significantly simplifying the process of recovering funds in the event of delays in project delivery.

Taxes and fees: what you need to know in 2026

Despite increased regulation, Thailand maintains attractive tax rates:

• Land and Buildings Tax: Remains extremely low (fractions of a percent of the assessed value).
• Specific Business Tax (SBT): Remains at 3.3%, but is waived for properties held for more than 5 years.
• Important: Preferential registration fees (0.01%) apply in 2026 only to Thai citizens; foreigners pay standard fees, which should be taken into account when calculating your budget.

In 2026, the Thai real estate market has become more mature and structured. Increased oversight and the development of legal instruments have indeed increased the level of transaction security.

However, the key idea is that security is now achieved not through circumvention schemes, but through a sound legal transaction structure.

For investors, this requires a more professional approach, but simultaneously opens access to a more transparent and predictable market.