A reservation agreement (also called a booking agreement) is often the first step when buying a condo, house, or villa in Thailand. It holds the unit for you while the full Sales and Purchase Agreement (SPA) is being prepared.
But before signing, itโs crucial to review the fine print to protect your rights and your money.
๐ What Is a Reservation Agreement?
Itโs a short contract between you (the buyer) and the seller (or developer) to:
Reserve the property for a limited period (usually 15โ30 days)
Secure your intent to buy with a booking deposit (commonly 50,000โ150,000 THB)
โ ๏ธ In most cases, the deposit is non-refundable.
๐ Key Points to Check Before Signing
1. โ Correct Property Details
Check This
Why It Matters
Unit number, size (sq.m.), floor, view
Ensures you’re reserving the exact unit you want
Land or title deed number (for houses)
Confirms legal ownership and location
2. ๐ธ Deposit Terms
Check This
Why It Matters
Amount of deposit
Avoid surprises โ some developers ask for more than expected
Refundability
Most deposits are non-refundable unless the developer fails their obligations
Payment methods accepted
Wire transfer, Thai bank account, cash, etc.
3. ๐ Reservation Period
Check This
Why It Matters
Timeframe to sign the Sales & Purchase Agreement
Typically 15โ30 days; delays may result in losing your deposit
Extension options
Some developers allow extensions upon request (in writing)
4. ๐ ๏ธ Developer/Seller Obligations
Check This
Why It Matters
Unit must be removed from the market
Ensures no one else can reserve it during the booking period
Title check or due diligence
The developer may agree to let you verify ownership or title before SPA signing
Foreigners can only own 49% of total sellable condo area
Unit is free from liens or mortgage
Prevents legal headaches during transfer
6. ๐๏ธ Sales & Purchase Agreement Timeline
Check This
Why It Matters
SPA delivery date
Should be stated clearly
SPA signing deadline
Typically within 30 days of reservation signing
What happens if either party defaults
Ensures both sides are protected legally
7. ๐ Exit or Cancellation Clauses
Check This
Why It Matters
Is there a โcooling-offโ period?
Rare, but sometimes offered (7โ14 days to cancel)
Under what conditions is refund allowed?
Breach by seller/developer may entitle you to full refund
8. ๐จโโ๏ธ Language & Legal Review
Check This
Why It Matters
Is the contract in English and Thai?
Thai version prevails in court โ ensure it matches the English version
Has it been reviewed by a property lawyer?
Strongly recommended before signing or paying any deposit
๐ Quick Checklist Summary
โ Before Signing, Confirmโฆ
โ Correct property/unit details
โ Deposit amount and refund rules
โ Reservation period and deadline to sign SPA
โ Foreign quota eligibility (if buying condo)
โ Title deed or ownership status
โ SPA timeline and what happens if delayed
โ Exit clauses or breach-of-contract protection
โ Contract reviewed by a lawyer
๐ฉโโ๏ธ Pro Tip:
Even if itโs โjust a booking,โ the reservation agreement is legally binding in Thailand. Once signed, backing out often means losing your deposit โ so make sure everything is clear and correct before paying.
