United Grace

Koh Phangan

Sap-Ing-Sith on Koh Phangan: getting the structure right before you build

An earlier-stage market with thinner resale liquidity — which is exactly why the structure you set up on day one matters more here than on Samui.

Land, half-built or finished · we will tell you if it fits

Most people who buy on Koh Phangan arrive from Samui, see what a given budget buys here, and start asking about land. A large share of what changes hands on this island is land or an unfinished build rather than a finished villa.

Resale liquidity is thinner than on Samui: fewer completed projects, fewer buyers, longer time on the market. The structure you set up at the beginning therefore matters more here, because you cannot rely on an easy exit to correct a bad one.

United Grace is a 100% Thai-owned company with offices in Bangkok, Koh Samui and Koh Phangan. We register Sap-Ing-Sith rights on the Chanote in the buyer's own name. Samui is a genuinely different market and has its own page.

What is actually available

Your options here are narrower than on Samui

RouteOpen to a foreignerPractical limit
Land freeholdNoClosed by the Land Code
Condominium freeholdWithin the 49% quotaNot a condo market
Building without the landYesSplits the asset; unfinanceable
30-year leaseYesLandlord's consent to sell
51/49 Thai companyYesNominee exposure
Sap-Ing-SithYes, in your own nameUp to 30 years, no renewal

A lease is a personal contract under sections 537–571 of the Civil and Commercial Code. Assignment needs consent, inheritance is contested, and no bank lends against it. "30+30+30" renewals are promises, not rights. Compare lease and company in detail.

Where Thai shareholders hold shares on a foreigner's behalf, that is a nominee arrangement, prohibited under the Land Code and the Foreign Business Act, with penalties that reach the land itself. The Nation reports 3,213 such companies on Koh Pha-ngan within 11,649 across Surat Thani, and a May 2026 inspection by five agencies covering a Koh Pha-ngan pool villa and a hotel. See nominee structures.

The right

A real right on the deed, not a contract in a drawer

Sap-Ing-Sith exists under the Property-Based Right Act B.E. 2562 (2019). It is inscribed on the Chanote at the Land Office, next to the freehold owner, and attaches to the land rather than to the person who granted it.

  • Open to any natural or legal person, Thai or foreign.
  • Statutory term of up to 30 years.
  • Freely transferable without the landowner's consent.
  • Inheritable by statute for the remainder of the term.
  • Mortgageable as a matter of law. Whether a specific bank lends to a specific foreign borrower is a credit decision. See financing.
  • Survives a change of landowner.

United Grace Co., Ltd. is the legal and beneficial owner of the land it holds — not in trust, not as a nominee. The customer holds a separate statutory right in their own name, not ownership of the land. The full mechanics are on our legal page.

Two ways in

Existing owner, or new buyer

You already own here

A clean asset purchase. We buy the property from your existing structure, take title, and register your right on the same deed. The old company is left behind.

You are buying land or a new build

The more common case here. We pay the seller, take title and register your right in your own name before construction money goes in. Only properties that fit the portfolio.

If you are buying land to build on, settle the building question at registration. Buildings revert to the landowner at expiry unless separately registered. That is a conversation for day one, not year twenty-eight.

01

Days 1–3 — commitment

Terms, pricing track, documents.

02

Days 4–10 — acquisition

Due diligence and transfer of title to United Grace.

03

Days 11–14 — registration

Your right inscribed on the Chanote.

About 14 days from signing in the normal case. Completed files are listed on registrations.

DATA NEEDED

Koh Phangan specifics: which Land Office we file through here, actual turnaround experienced on this island versus Samui, and the split of our Koh Phangan pipeline between land, new build and completed villas.

Pricing

Three tracks, identical right

Track A · Hybridpreferred
At signing
The purchase price
Annual payment
3% of the purchase price
Track B · Pay once
At signing
The purchase price + 20%
minimum ฿700,000
Annual payment
Nothing
Track C · Annual only
At signing
Nothing — we fund the purchase
Annual payment
6% of the purchase price

Track A carries no separate one-time service fee. On Track C United Grace funds the acquisition and the annual fee is the only payment; the client does not pay the purchase price. The registered right is the same on all three, and the track can change later.

The buyer of the right pays all government fees and taxes: transfer fee typically 2% of the registered value, stamp duty 0.5%, and a fixed Land Office fee for inscribing the right. Independent counsel is separate. Run your own numbers on the calculator.

After registration

Management, and the exit problem

Savills Thailand cites annual returns of 8–10 per cent. Horizon Homes Samui is more conservative at 5–7 per cent net for landed properties after operating costs, and notes that 60–70% of visitors arrive between November and March. Third-party estimates for the broader island market, not a projection for any particular property.

Management covers listings priced weekly, guest vetting, smart check-in, housekeeping, concierge, preventive maintenance and monthly statements. Silver is 20% for one villa, Gold 18% for two to three, Platinum 15% for four or more, plus a ฿2,000 per month community fee waived at Platinum. The fee is the greater of the tier percentage or ฿20,000 per unit per month. See operations.

Why the network matters more here

On Samui there is enough transaction volume that a villa will eventually find a buyer. Koh Phangan is thinner, so an internal network of owners and buyers is often the difference between selling and waiting.

NetworkAgency
Commission1.5% indicative6–10%
To registration7–10 days6–12 months
Due diligenceSame day3–6 weeks

The right transfers without the landowner's signature. The buyer of the right pays the government fees either way. More on the resale network.

Honest limits

Read this before you decide

  • No renewal mechanism exists in the Act. Continuation beyond the term requires a fresh grant and a fresh registration. Never accept a claim of 60 or 90 years.
  • Buildings revert to the landowner at expiry unless separately registered — the single most important clause for anyone buying land here to build on.
  • The right's value declines as the remaining term shortens.
  • Land Offices have registered relatively few of these since 2019 and some are still unfamiliar with the entry.
  • This is not freehold land. It is a registered real right on a deed you do not own.
  • Koh Phangan resale is slower than Samui regardless of structure. A clean, transferable right improves your odds. It does not create a market that is not there.
3,213Koh Pha-ngan companies with foreign shareholders
150+owners helped
30+villas in the network

Send us the plot or the villa

Tell us what you are looking at and what stage it is at. We will tell you whether it fits and what registering it in your name would involve.

Why company structures fail

United Grace Co., Ltd. · Bangkok · Koh Samui · Koh Phangan · +66 95 257 9212 · office@united-grace.com. General information about Thai law, not legal advice. Confirm your own position with independent Thai counsel before committing.

Questions owners ask.

Can a foreigner buy property on Koh Phangan?
A foreign individual cannot hold freehold title to land anywhere in Thailand, and Koh Phangan has very little condominium stock to fall back on. What a foreigner can hold in their own name is a Sap-Ing-Sith right — a registrable real right inscribed on the Chanote for a term of up to 30 years.
I want to buy land and build. Does Sap-Ing-Sith work for that?
Yes, and it is the case where getting the structure right at the outset matters most. United Grace acquires the land, takes title, and registers your right on the deed before construction money is spent. Note that buildings revert to the landowner at expiry unless separately registered, so the building position is agreed at the start, not later.
How is Koh Phangan different from Koh Samui for buyers?
Samui is the larger, more institutional market with established villa stock and an airport. Koh Phangan is earlier-stage: fewer completed projects, more land and new-build purchases, and thinner resale liquidity. That thinner resale market is exactly why the ownership structure needs to be clean from day one.
Is the 2026 crackdown affecting Koh Phangan?
Yes. The Nation reports 3,213 companies with foreign shareholders on Koh Pha-ngan within a Surat Thani total of 11,649, and a May 2026 inspection that covered a Koh Pha-ngan pool villa and a hotel. Five agencies are involved: DBD, DSI, the Department of Lands, AMLO and the Revenue Department.
Can I sell if I need to leave?
A Sap-Ing-Sith right is freely transferable without landlord consent, which matters more here than on Samui because the open market is thin. Inside our network the indicative transfer fee is 1.5% versus a traditional 6-10% agent commission, with 7-10 days to registration.
What is the honest downside?
The Act has no renewal mechanism — continuation past the term needs a fresh grant and fresh registration, and nobody should be telling you 60 or 90 years. The value of the right also declines as the remaining term shortens.
What does it cost?
Three tracks, all producing the identical registered right, and the track can be changed later. Track A, the preferred track: the purchase price at signing, then 3% of the purchase price per year, with no separate one-time service fee. Track B: the purchase price plus 20% once, minimum 700,000 baht, and nothing annual. Track C: nothing at signing and 6% of the purchase price per year, with United Grace funding the acquisition. The buyer of the right pays all government fees and taxes.
Do you manage the villa afterwards?
Yes, if it fits the portfolio. Multi-channel listings priced weekly, guest vetting, smart check-in, housekeeping, 24/7 concierge, preventive maintenance and monthly statements on a live owner dashboard, from 20% for a single villa with a 20,000 baht per unit per month minimum.