Usufruct in Thailand: What Phuket Buyers Should Know

A usufruct in Thailand is a right registered on a land title that lets you possess, use and earn income from property owned by someone else, either for a fixed term of up to 30 years or for the rest of your life. For foreigners in Phuket, who generally cannot own land, it is most often used to secure a home built on land that belongs to a Thai spouse or partner. It gives strong rights while you are alive, but it ends when you die and cannot be passed to your heirs.

Interest in registered rights has grown on the island as authorities investigate nominee ownership. Officials have looked at Thai companies suspected of fronting for foreign buyers, as our report on the Phuket nominee probe into Rawai companies showed, and developers and lawyers are steering buyers toward rights the law plainly allows.

What does a usufruct give you?

The rules sit in Sections 1417 to 1428 of the Civil and Commercial Code. Section 1417 gives the holder, known as the usufructuary, the right to possess, use and take the fruits and income of immovable property, and to manage it. Ownership stays with the landowner. In practice that means you can live in the house, rent it out and keep the rent, and the owner cannot interfere while the right lasts.

Because it is a real right recorded on the title deed, a registered usufruct binds later owners. If the Thai owner sells the land, the buyer takes it subject to your right. That is the key advantage over a private side agreement, which a new owner can simply ignore. It works best on land with a full chanote deed; our guide to chanote title in Phuket explains what to check.

How long can a usufruct last?

Section 1418 allows two forms. A fixed-term usufruct cannot exceed 30 years, although it can be renewed. A lifetime usufruct lasts as long as the holder lives, and if the agreement fixes no period, the law presumes it is for life. ThaiLawOnline's commentary on Section 1418 also stresses the other half of the rule: the usufruct always ends on the holder's death.

That makes a lifetime usufruct attractive to retirees who want security for their own lifetime. It is less suited to anyone who wants to leave the property to children. Section 1422 lets a holder transfer the exercise of the right to someone else during their lifetime unless the agreement forbids it, but that does not stretch the right beyond the original holder's death.

Usufruct in Thailand compared with other options

Foreign buyers in Phuket typically weigh four routes. None of them gives a foreigner ownership of land.

Right	Maximum term	Passes to heirs?
Usufruct	Life of holder, or fixed term up to 30 years	No, ends on holder's death
Registered lease	30 years per registration	Check the contract terms
Sap Ing Sith right	Up to 30 years	Yes, it can be inherited
Condo freehold	Permanent	Yes

The lease route, which most villa buyers use, is covered in our freehold vs leasehold Phuket guide, and the newer tradeable right is explained in our article on Sap Ing Sith in Phuket. Claims about longer terms are covered in our explainer on the 99 year lease in Thailand. If you are buying a condominium unit, freehold within the Phuket condo foreign quota remains the simplest choice.

How do you register a usufruct in Phuket?

A usufruct only becomes a real right once it is registered at the Land Office branch covering the plot. Both the owner and the holder normally attend in person with the original title deed, identity documents and the signed agreement. Lawyers report that some offices now ask for a certified Thai translation of a foreign passport, and officers may interview both parties.

The main points to prepare:

• Confirm the title type and that the owner's name matches the deed.
• Decide between a lifetime right and a fixed term, and state it clearly in the agreement.
• Call the Land Office first to ask whether it is currently registering usufructs for foreigners.
• Bring a Thai translation of your passport and any marriage certificate if the owner is your spouse.
• Agree in writing who pays maintenance, insurance and utilities.

Land Office practice varies. ThaiLawOnline reported in July 2026 that offices on Koh Samui and Koh Phangan had stopped registering usufructs for foreigners over nominee concerns, and Bangkok firm Formichella & Sritawat says officers increasingly refuse arrangements that fall outside a clear family relationship. A Thai spouse granting a usufruct over her own personal land is the case officers see most often and accept most readily.

What does it cost, and who pays the tax?

Registering a usufruct in Thailand is cheap compared with a sale. According to published fee summaries from ThaiLawOnline and Formichella & Sritawat, a usufruct granted without payment carries a registration fee of 50 baht per plot. If money is paid for the right, the fee is generally 1 percent of the stated amount plus 0.5 percent stamp duty. Confirm the itemised total with the Land Office on the day, and compare it with the costs of an outright sale in our Phuket property transfer fees breakdown.

Once registered, Section 1426 makes the usufructuary responsible for taxes and duties on the property while the right lasts. That includes the annual tax explained in our land and building tax Phuket guide. If you rent the house out, income tax falls on whoever actually receives the rent.

What are the main risks of a usufruct in Thailand?

The biggest risk for married couples comes from Section 1469 of the Civil and Commercial Code, which lets either spouse avoid an agreement made between them during the marriage, at any time during the marriage or within one year after it ends. Formichella & Sritawat warns that a registered usufruct from a Thai wife to a foreign husband can be cancelled this way if the relationship breaks down.

The second risk is refusal at the counter. A usufruct is not a loophole, and an arrangement where a foreigner pays for land placed in a Thai friend's name can still look like a nominee structure. For the wider legal picture, start with our explainer on whether foreigners can buy property in Phuket, and take independent Thai legal advice before signing. Used for the right reasons and registered properly, a usufruct in Thailand remains one of the most practical ways to protect a family home on Phuket land you cannot own.

FAQ

Can a foreigner hold a usufruct in Thailand?

Yes. The law sets no nationality limit, but the Land Office has discretion and can refuse registration if it suspects the arrangement hides foreign ownership.

Does a usufruct end if the Thai owner dies?

No. A registered usufruct binds the owner's heirs and any later buyer. It ends on the holder's death or at the end of a fixed term.

Can I rent out a house I hold under a usufruct?

Yes. The holder may take rental income. Short-term holiday letting is a separate issue, and running it as a business can still fall under other Thai rules.

Is this article legal advice?

No. It summarises the Civil and Commercial Code and published legal commentary. Check your title deed and agreement with an independent Thai lawyer.

Photo: house with spirit shrine in Phuket, by Sharon Hahn Darlin, via Wikimedia Commons (CC BY 2.0).