Buying a home abroad sounds daunting until you see the steps laid out. Here is the full process on Koh Phangan, from first enquiry to a lease registered in your name, with the real costs, payments and timelines.
The process below is how a purchase works at Gaia, but the shape of it is the same across well-run developments on the island. Knowing the sequence, the numbers and the paperwork in advance is the best way to buy with confidence instead of guesswork.
The process at a glance
- Choose your unit, then reserve it with a refundable deposit (around 5%).
- Run independent legal due diligence before you sign anything binding.
- Sign the Sales and Purchase Agreement, then pay in stages tied to the build.
- At completion, register your lease at the Land Office in your name and take handover.
Step 1: Choose your unit
Decide what matters most: view orientation, floor level, building, completion timing, and whether you want a standard residence or a penthouse. On Koh Phangan, a sea view and a higher floor command a premium for good reason, they are the things you cannot add later. Penthouses typically bring larger terraces and higher ceilings. A good sales team will walk you through specific available units rather than a generic price list, and talk you through how position, floor and view affect the price.
Step 2: Reserve it
You secure your chosen unit with a Reservation Agreement and a reservation deposit, typically 5% of the price. This takes the unit off the market while the paperwork is prepared. Importantly, that deposit should be refundable if your lawyer's due diligence later uncovers a genuine legal or structural problem with the project. If it is not refundable on adverse due diligence, treat that as a warning sign.
Step 3: Do your due diligence
Before you sign the main contract, instruct an independent lawyer, not the one the developer recommends. They will verify the land title at the Land Office, confirm the seller's legal right to grant your lease, and check for any mortgages or encumbrances. They will also check the developer's building permits and construction licenses. This is the single most important step, and it is non-negotiable. We cover it in depth in our guide to buying safely.
Step 4: Sign the Sales and Purchase Agreement
The SPA is the main contract. It covers the leasehold, the property, the payment schedule, construction commitments and management. At Gaia the SPA is executed in both English and Thai, with the English version prevailing in case of any conflict and the Thai version used for Land Office registration. Your renewal rights, warranties and protections all live in this document, so read it with your lawyer. Typical annexes include the company registration certificates, a copy of your passport, the land title documents, the project plans, and the schedule of inclusions and exclusions.
Step 5: Pay in stages, tied to the build
With an off-plan purchase you never pay ahead of construction. Payments are released against milestones you can see. At Gaia the schedule looks like this:
| Stage | Share | When |
|---|---|---|
| Reservation | 5% | On signing the Reservation Agreement |
| Contract | 25% | Within three days of signing the SPA |
| Structure | 30% | On completion of the structural phase (footings, columns, beams) |
| Roof & walls | 30% | On completion of roof and walls, including ceiling |
| Handover | 10% | On completion of the internal phase and registration of the lease |
Step 6: Register the lease and take handover
At completion your lease is registered at the Land Office and recorded on the back of the title in your name. You then receive your official lease registration document and a copy of the title showing you as the registered lessee. The keys are yours. Here are the typical one-off costs beyond the purchase price:
| Cost | Typical amount | Notes |
|---|---|---|
| Reservation deposit | 5% of price | Counts toward the purchase; refundable on adverse due diligence |
| Land Office registration | ~THB 100,000 | All paperwork to register the lease in your name |
| Independent lawyer | Varies | Budget for your own legal due diligence and contract review |
| Optional packages | Quoted separately | Kitchen appliances, decorative lighting, artwork (the furniture pack is included) |
The contract sequence & timeline
There are three documents, in order: a short Reservation Agreement to secure the unit, the Sales and Purchase Agreement as the main contract, and at handover the formal registered Leasehold Agreement plus, if you rent, the Rental Management Agreement. The reservation can be skipped and the deposit paid with the first SPA payment if you prefer. For an off-plan unit, completion timing depends on the building and its construction stage, and a well-written SPA includes a target completion date, a long-stop date, and a delay penalty if the developer runs over.
A note on banking and money
A Thai bank account is not required to buy, but if you want one, a developer can usually provide a recommendation letter to support your application, and Bangkok Bank and Kasikorn Bank are among the more foreigner-friendly. None of this is complicated once someone walks you through it. For the ongoing numbers after you own, see our true cost of owning guide.
Frequently asked questions
What are the steps to buy property in Koh Phangan?
Choose your unit, reserve it with a refundable deposit, run independent legal due diligence, sign the SPA, pay in stages tied to construction, then register the lease and take handover.
How much is the reservation deposit?
Typically 5%, and it should be refundable if your lawyer's due diligence uncovers a genuine legal or structural issue with the project.
How much does registering the lease cost?
Around THB 100,000 in total for the Land Office paperwork, separate from the purchase price.
Do you need a Thai bank account to buy?
No. You can transfer funds from abroad in Baht, EUR or USD. A Thai account is optional, and a developer can usually provide a recommendation letter to help you open one.
Can you buy off-plan safely?
Yes, when payments track construction milestones, the deposit is refundable on adverse due diligence, and the contract includes delivery, delay and warranty protections. Verify the title and permits with your own lawyer first.
Ready to see it laid out for a specific unit? Just ask. The Gaia team.
