In the US, real estate is almost universally freehold — you buy it, you own it, no expiration date. The concept of paying millions for a property and "only" owning it for 30 years sounds alarming. The reality is more nuanced. Leasehold is the normal structure for foreign villa ownership in Phuket, it has been used successfully for decades, and a well-structured leasehold is genuinely secure — with important caveats.
Freehold in Phuket — What You Actually Own
As a foreigner, freehold is only available for condominium units, subject to the 49% foreign quota per building. Freehold gives you: title that does not expire, full transferability, inheritance rights, mortgageability, full title in your personal name. What you don't own: the land beneath the building.
Leasehold in Phuket — What You Actually Own
A registered long-term lease on the land (typically 30 years), plus freehold ownership of the structure. The lease must be registered at the Land Department to be enforceable against future landowners. An unregistered leasehold is only enforceable against the current landowner.
The Critical Reality of 30+30+30
Thai law guarantees the first 30-year registered term. Renewal options are contractual rights against the current landowner — not automatically enforceable if the land changes ownership, the developer becomes insolvent, or a court interprets the renewal provisions differently. This is not a reason to avoid leasehold — it is a reason to have your lawyer review renewal provisions carefully and to buy from developers with strong track records.
The 2024 99-Year Lease Reform
Thailand enacted legislation in 2024 allowing lease terms up to 99 years for BOI-promoted developments. A 99-year registered lease eliminates the renewal uncertainty of the 30+30+30 structure entirely. Ask specifically about 99-year lease availability when evaluating newer developments.
| Freehold Condo | Leasehold Villa | |
|---|---|---|
| Title expires | No | After 30yr (or 99yr BOI) |
| Land ownership | No | No |
| Personal name title | Yes | Lease in personal name |
| Foreign quota | 49% per building | No quota |
| Property type | Apartments | Villas |
Can I sell a leasehold villa in Phuket?
Yes. You sell the remaining years of the registered lease plus structure ownership. A villa with 25 years remaining on a 30-year lease is fully saleable. Buyers purchase the lease assignment.
Licensed CT real estate professional, Berkshire Hathaway HomeServices New England Properties. Founder of Safe Havens for Americans. More →