Property Purchase Agreement + Deposit in Thailand: What to Check Before You Sign

The agreement to purchase and sell and the actual ownership transfer are two separate steps. The first can be prepared and signed online. The second must always be completed in person at the Land Department — there is no shortcut.

Many parties buying and selling property directly, without a large brokerage in between, rush the purchase agreement and leave it unclear what happens to the deposit if either side breaches. This article explains the difference between the agreement to purchase and sell (สัญญาจะซื้อจะขาย) and the actual ownership transfer, the role of the deposit, the clauses the agreement must contain, and the steps that must be done in person at the Land Department.

TL;DR: The agreement to purchase and sell is a separate step from the actual ownership transfer. For the purchase agreement, written evidence — or the payment of a deposit or part of the price — is enough; no registration is required. But for a property sale to be complete (the actual ownership transfer), Section 456 of the Civil and Commercial Code requires it to be made in writing and registered before the competent official at the Land Department, otherwise it is void. That step must always be done in person (or by an authorized representative who physically appears); there is no online shortcut. The deposit (เงินมัดจำ), under Sections 377–378, serves as security for performance of the contract. What happens to it when one side breaches should still be reviewed with a legal advisor case by case. (General information, not legal advice.)

Key Takeaways

• The agreement to purchase and sell only needs written evidence or a deposit; no Land Department registration is required
• The actual ownership transfer must be made in writing and registered at the Land Department, otherwise it is void (Section 456)
• A deposit is security for performance of the contract — unlike a down payment, which is simply part-payment of the price (Sections 377–378)
• What happens to the deposit when either side breaches should be reviewed with a legal advisor case by case
• The ownership transfer at the Land Department must always be done in person, or by an authorized representative who physically appears; there is no online shortcut
• The purchase agreement and deposit receipt can be signed online — the ownership transfer step cannot

Agreement to Purchase and Sell vs the Actual Sale: Two Different Systems

Under Section 456 of the Civil and Commercial Code, a property sale is only complete if it is made in writing and registered before the competent official at the Land Department — otherwise it is void. An agreement to purchase and sell (a promise to buy or to sell), however, is enforceable with nothing more than written evidence or the payment of a deposit or part of the price. No registration is required at all.

This is where many people go wrong: they treat "signing the house sale contract" as one single step, when legally there are two entirely separate steps with entirely different formal requirements.

What the Purchase Agreement Must Contain

A well-drafted agreement to purchase and sell must clearly identify the property, the agreed price, the deposit amount, the schedule for paying the balance, the appointed date for the ownership transfer at the Land Department, and any conditions precedent.

• The property being sold — quote the title deed number or ownership document exactly as it appears on the real document
• The agreed price — the full total amount
• The deposit amount — and the schedule for paying the balance
• The appointed transfer date — at the Land Department
• Conditions precedent — such as mortgage approval or a check of encumbrances on the property

The Role of the Deposit

Under Sections 377–378 of the Civil and Commercial Code, a deposit is money or property handed over on the day the contract is made, as security that the contract will be performed. It is a different concept from a down payment, which is merely an advance part-payment of the price.

What Happens If One Side Breaches?

What happens to the deposit when one side breaches depends on which party is at fault — but the specifics, such as how much can be forfeited or whether additional amounts must be returned, should be reviewed with a legal advisor case by case before drawing any conclusion.

The Ownership Transfer at the Land Department: What Online Signing Cannot Replace

For the ownership transfer to be complete, someone must appear in person before the competent official at the Land Department — the buyer, the seller, or an authorized representative holding a proper power of attorney. No electronically signed document can replace this step.

This is the point this article most wants to make plainly: Jabmue helps you manage the documents leading up to the transfer — it is not the ownership transfer itself.

If you cannot attend in person, read the guide to powers of attorney in Thailand to see how to properly authorize someone to act on your behalf.

Read the full guide to which contracts the Electronic Transactions Act B.E. 2544 (2001) covers

Transfer Fees: What Should You Prepare?

Ownership transfer fees at the Land Department are subject to measures that can change over time and depend on the specifics of the transaction. Always check the actual amount to prepare with the local land office or your advisor before the transfer date.

Can the Purchase Agreement and Deposit Receipt Be Signed Online?

Yes. The agreement to purchase and sell and the deposit receipt follow the same rules as ordinary contracts, which can be signed electronically under the Electronic Transactions Act B.E. 2544 (2001) — provided the method used is reliable and can be verified after the fact.

OTP identity verification and a recorded audit trail strengthen the evidentiary weight of the document — they are not an absolute, 100% legal guarantee — and they do not replace the ownership transfer step at the Land Department in any way.

Create Your Purchase Agreement, Ready to Sign

Create the agreement to purchase and sell and the deposit receipt in the Jabmue document editor, send them to every party for online signature, then set the appointment to transfer ownership together at the Land Department.

Jabmue provides document templates and signing tools. It is not a legal advisor, and it is not a property ownership transfer service.

If you are arranging a condo lease rather than a sale, see the bilingual Thai–English condo lease agreement. Real estate brokers handling sale or rental deals can also refer to the real estate broker agreement template.

Try it free — create a purchase agreement and sign online

Frequently Asked Questions

Is a house purchase deposit refundable if the seller breaches?

What happens to the deposit depends on the specific circumstances of each case. Consult a legal advisor before assuming how much you will get back.

Does the agreement to purchase and sell need to be registered at the Land Department?

No. The purchase agreement only needs written evidence or a deposit. Registration at the Land Department applies only to the actual ownership transfer step.

Can the purchase agreement be signed online?

Yes, under the Electronic Transactions Act B.E. 2544 (2001), provided the signing method is reliable and verifiable after the fact — but this is not the ownership transfer step.

Do I have to go to the Land Department myself, or can I appoint someone?

You must attend in person, or send an authorized representative holding a proper power of attorney to appear on your behalf. There is no online shortcut for this step.

What is the difference between a deposit and a down payment?

A deposit is security for performance of the contract, handed over on the day the contract is made. A down payment is an advance part-payment of the price. They are two distinct legal concepts.

Summary

The agreement to purchase and sell and the actual ownership transfer are separate steps. The purchase agreement and the deposit receipt can be signed online — but the ownership transfer must always be done in person at the Land Department.

Try it free — create a purchase agreement and sign online

This content is general information, not legal advice for any specific case. If a dispute arises over a deposit, always consult a legal advisor.