Many potential villa buyers in Phuket are surprised to learn that, as a foreigner, they are not permitted to own land in their own name. This often comes as a shock and is frequently cited as a major drawback of investing in Thai property. But what many don’t realise is that Thailand is not alone in restricting foreign land ownership.

In fact, a number of countries around the world have similar restrictions or legal frameworks designed to protect local land rights. So while it’s natural to be cautious, it’s important to understand the global context before writing off a Thai villa investment altogether.

A Global Perspective on Land Ownership Laws

Foreign ownership restrictions are commonplace, not exceptional. Many nations enforce regulations on land ownership by non-citizens for reasons such as national security, food security, economic sovereignty, or cultural preservation. Here are just a few examples:

  • Indonesia: Foreigners cannot directly own freehold land.
  • Mexico: Foreigners cannot own land within 50 km of the coast or 100 km of an international border.
  • Philippines: Foreigners may own condominiums but not land.
  • India: Non-resident foreigners are not allowed to purchase land.
  • Vietnam: Foreigners may lease land long-term but cannot own it.
  • Switzerland: Strict quota system for non-residents buying second homes.

So Thailand is far from unique. What it does have, however, is a transparent and well-practised legal structure that allows foreigners to legally secure property investments through alternate ownership structures.

Of course, foreigners may own the buildings, but does not mean much when the land on which the property sits is limited by a lease contract. And under closer scrutiny, the idea of a leasehold does not inspire many potential buyers either.

What Exactly is a Leasehold in Thailand?

Understanding Thailand’s Approach to Foreign Ownership

In Phuket, foreigners can own:

  • Condos freehold, up to 49% of the total unit area in a project
  • Houses and villas leasehold (typically 30 years, with renewals)
  • Land through a Thai company, with careful legal structure

Leasehold ownership remains the most common and widely accepted method for foreign villa buyers in Phuket. When structured properly, it offers security, flexibility, and long-term use.

You can view some of Phuket’s foreign freehold condominiums here:

Luxury Condominiums in Phuket

You can view villas for sale in Phuket here:

Villas For Sale in Phuket

Thailand Is Open to Foreign Investment — With Sensible Safeguards

Thailand’s laws are built to protect national interests while still welcoming foreign investment. That’s why you see major international brands, developers, and buyers entering the Phuket property market with confidence.

As a foreign buyer, working with experienced local professionals ensures your investment is safe, legal, and properly structured. In fact, many foreign-owned villas in Phuket are held on leasehold or through a legal Thai company, with careful legal and financial planning.

Conclusion: Phuket Remains a Sound Investment Destination

While foreign land ownership in your own name isn’t allowed in Thailand, this does not mean you can’t securely invest in a villa or land-based property. And it certainly doesn’t mean Thailand is unusual — in fact, it’s very much in line with global norms.

Understanding this context can help buyers make more informed decisions and appreciate the protections Thailand offers for both locals and foreign investors alike.

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