Thailand’s Cabinet approved an extension of reduced property transfer and mortgage registration fees on June 30, 2026, keeping the discount in place for another year as the previous version of the measure was due to expire that same day. For anyone weighing up buying property in Thailand, the extension matters, though the fine print determines exactly who benefits.
Government spokesperson Rachada Dhanadirek confirmed the Cabinet decision, which cuts the property transfer registration fee to 0.01%, down from the standard 2%, and the mortgage registration fee to 0.01%, down from the standard 1%. The measure runs from the date it is published in the Royal Gazette until June 30, 2027, mirroring the structure of the version it replaces, which was approved by Cabinet on April 8, 2025.
Who actually qualifies
The discount applies to two categories of property. The first covers residential buildings such as detached houses, semi-detached houses, and townhouses, or commercial buildings, including the land they sit on. The second covers registered condominium units. In both cases, the purchase price and the assessed value must not exceed 7 million baht, and any mortgage taken out against the property must also be capped at 7 million baht per contract. Partial unit sales are excluded.
This is where the measure narrows considerably for anyone buying property in Thailand from overseas. The reduced fees are designed for individual buyers with Thai nationality who are purchasing a home for their own use, and for sellers looking to move residential or commercial property. The Ministry of Finance has structured this as a domestic affordability measure rather than a general property market incentive, and that distinction carries through into the data the government cites.
That distinction matters most for the kind of purchase that tends to attract foreign capital in the first place. A foreign buyer picking up a freehold condo without paying the standard fees well above the price cap, the more typical scenario in Bangkok or Phuket, gets no benefit from this measure at all, regardless of nationality, since the discount is tied to both the price ceiling and Thai citizenship on the buyer’s side.
The numbers behind the decision
The Ministry of Finance estimates the measure will support property transactions worth approximately 540.81 billion baht per year, generate an additional 305.81 billion baht in investment, and add 1.06% to GDP annually compared to a scenario where the measure did not exist. The government has framed this explicitly as economic support, intended to sustain activity in the property sector and related businesses during a period when the sector has slowed due to broader economic conditions and the impact of the conflict in the Middle East.
There is a cost on the other side of that calculation. Cutting transfer and mortgage fees sharply reduces revenue for local administrative organisations, which collect a share of those registration fees under normal rates. The Cabinet has tasked the Bureau of the Budget and relevant agencies with arranging compensation for local administrative organisations so that their normal operations are not disrupted by the shortfall.
What this means if you are buying property in Thailand right now
For Thai buyers purchasing a primary residence under the 7 million baht threshold, the maths is straightforward. On a 6 million baht townhouse, the standard 2% transfer fee would run 120,000 baht. Under the reduced rate, that drops to 600 baht. The same logic applies to the mortgage registration fee.
For expats and foreign buyers thinking about buying property in Thailand, the practical impact is more limited. Foreign nationals are not the target of this measure, and most of the higher-value condominiums and houses that attract foreign buyers in Bangkok, Phuket, and other resort markets sit well above the 7 million baht cap. Outside that narrow band, the standard transfer fee structure and who is responsible for paying it still applies, with transaction costs typically running between 2.5% and 6.3% of assessed value depending on how the cost is split between buyer and seller, a split that is usually negotiated between the parties rather than fixed by law.
That said, the extension is still useful context for anyone buying property in Thailand at the lower end of the market, including expats purchasing a smaller condo unit that happens to fall under the cap, since the legal mechanics work the same way regardless of nationality once a foreign buyer’s freehold condo purchase qualifies under the price threshold.
The broader property market context
This extension lands at a moment when Thailand’s property market is sending mixed signals. Real estate prices grew just 0.63% year-on-year in the fourth quarter of 2025, according to Bank of Thailand data, which the government itself has cited as a reason for continued support measures. Bangkok in particular has significant unsold condo inventory, while markets like Phuket’s west coast continue to appreciate at 8% to 12% annually in premium zones, a divergence that has more to do with foreign cash buyers than domestic measures like this one.
For anyone seriously considering buying property in Thailand in 2026, understanding where this fee discount applies and where it does not is a useful starting point before getting into financing, ownership structure, or location. A buyer comparing markets quickly finds that the same budget tells a very different story depending on the city. Around 15 million baht buys an 80 to 90 square metre condo in central Bangkok, while the same money in Hua Hin stretches to a three- or four-bedroom pool villa, with rental yields running 5% to 7% across both property types in that market.
Source: Government Spokesperson Rachada Dhanadirek, Cabinet decision dated June 30, 2026.
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