A Thai property has more than one “value,” and confusing them is how buyers overpay. This guide separates the government appraised value (used for fees and tax) from the real market value, explains how bank valuations for mortgages work, when an independent appraiser is worth the fee, and gives you a practical method to sanity-check an asking price before you offer. Data and tools, never paid placement.
The government appraised value is an official, deliberately conservative figure used to work out transfer fees and tax — it is usually well below what a unit actually sells for. The market value is what a willing buyer pays, and the only way to judge it is to compare real, like-for-like units on a price-per-square-metre basis. Never read the appraised figure as a guide to worth.
Most newcomers assume a property has a single value. In Thailand there are really three numbers in play, each set by a different party for a different reason, and the gaps between them are large enough to cost you money if you mix them up.
Get clear on which number someone means before you act on it. A seller quoting the appraised value to justify a low tax declaration, an agent quoting an asking price as if it were a sold price, and a bank quoting a valuation below your offer are three completely different situations.
The appraised value is the official assessed price the Treasury Department assigns to land and buildings, reviewed on a multi-year cycle. Its main job is to act as the base for the charges you pay on transfer day at the Land Office — the transfer fee and parts of the tax calculation are worked from it rather than from your private contract price.
Because the appraised value is typically lower than the real selling price, it often keeps your transfer fee down — which is a genuine benefit to buyers. But it is a poor guide to worth: a unit appraised at, say, 2,000,000 baht might sell for 4,000,000 or more depending on the floor, view and building. Use the appraised value to estimate your transfer costs (see our transfer fees guide), never to judge whether a price is fair.
You can ask the seller, agent or Land Office for the appraised value of a specific unit. It is also worth knowing that some parties try to declare a price near the appraised value at the Land Office to reduce tax. This is risky, can be challenged, and creates a paper trail problem when you later sell — keep your real contract and payment records accurate regardless of what is declared.
Market value is set by supply and demand, not by a government table. For a condo it is driven by the area, the specific building and its reputation, the floor and view, the exact size, the condition and furnishing, and how many similar units are competing for the same buyers at that moment.
The honest way to estimate it is to gather comparable evidence — recent sales and live listings for the same building, or for neighbouring buildings of similar age and quality — and reduce each to a price per square metre. That single metric lets you compare a 35 sqm unit against a 60 sqm unit fairly, and quickly shows where a particular asking price sits in the range.
One caution that catches every newcomer: asking prices are not achieved prices. Listings show what sellers hope for, and in a soft or oversupplied market the gap between asking and sold can be wide. Where you can, find evidence of what units actually changed hands for, and treat the rest as a starting point rather than gospel.
When a property secures a loan, the bank does not take your word for what it is worth. It commissions a valuation from an in-house team or an external firm on its approved panel. The valuer inspects the unit, verifies the title and registered size, and compares it against recent sales of similar units to produce a figure.
The bank lends a percentage of the lower of the purchase price and its own valuation. If the valuation comes in under the price, your loan shrinks and you make up the difference in cash.
For foreign buyers this matters less than it does for Thais, because Thai mortgages for foreigners are hard to obtain in the first place — most foreign condo purchases are cash. But if you are borrowing through one of the lenders that serve foreigners, a low bank valuation can reshape the whole deal, so know the figure before you commit to a price.
A licensed valuation firm will, for a fixed fee, inspect a property and produce a formal written opinion of value you can use in negotiation, for a settlement, or simply for your own confidence. For a routine condo purchase with plenty of comparables you usually don’t need one — your own per-sqm comparison does most of the work. It earns its fee when uncertainty or stakes are higher:
Choose a recognised, licensed appraiser — a valuation carries weight only if the firm is credible. An appraisal is general due diligence, not a legal requirement, and it values the property as it stands; it is not advice on whether to buy.
You can get most of the way to a sound view of value without paying anyone. A repeatable method:
Run the result against our purchase-cost calculator and, if you plan to let the unit, the rental-yield tool, so the price stacks up on total cost and income, not just headline value.
Unit: 35 sqm condo, mid-floor, near a BTS station.
Government appraised value: ~2,000,000 baht — used to work out transfer-day fees and tax.
Asking price: 4,400,000 baht = ~125,700 baht/sqm.
Comparables in the building: recent like-for-like units cluster at ~110,000–120,000 baht/sqm.
Read: the asking price is modestly above the comparable range. If the unit is a higher floor with a better view, that may be justified; if not, there is room to negotiate toward ~115,000/sqm (~4,025,000 baht).
Bank valuation (if borrowing): likely lands near the comparable range, ~4,000,000–4,200,000 baht — below the asking price, so a financed buyer would need extra cash.
The appraised value (2,000,000) and the market reality (~4,000,000+) are a world apart, and the bank’s figure sits with the comparables, not the asking price. Figures are illustrative; plug the unit’s real comparables and your transfer costs into the purchase-cost calculator.
Most overpaying is avoidable. Watch for:
Separate the appraised value from the market price, build your own per-sqm comparison, and check the whole cost before you commit. Worth, not the asking price, is what protects your money.
Primary and official sources are cited above. Government rules, fees and procedures in Thailand change over time and vary by office; always confirm current requirements with the relevant authority before relying on them. BAANLYY never takes paid placement in editorial content.
General information only — not financial, investment, tax, valuation or legal advice. Appraised values, market conditions, bank lending policy, appraisal fees and the foreign-ownership quota vary by property, building and case and change over time. All figures are illustrative, not quotes or valuations. Confirm a specific property’s appraised value, comparable evidence and your own position with licensed Thai professionals before buying. BAANLYY never takes paid placement.