Paying for Phuket Property: SWIFT, Crypto & FET

To register a Phuket condo in your name as a foreigner (Freehold), the money must arrive in Thailand as foreign currency — not baht — into your own personal Thai bank account, and be converted to baht once it is inside the country. Only then will the bank issue the FET (Foreign Exchange Transaction) form, without which the Land Department will not register foreign ownership. International sanctions and the removal of some banks from SWIFT have made this path harder for buyers from certain markets, but not impossible: transfers via third jurisdictions and the legal sale of crypto assets through SEC-licensed Thai exchanges both remain viable — provided the deal is structured correctly and the source of funds checks out.

The FET and source-of-funds mechanics in this guide apply to every foreign buyer, sanctioned or not — sanctions only make the routing of the money harder, they do not change the rules. This is a practical guide for anyone whose purchase is about relocation rather than a holiday: families moving with children, choosing a school, and trying to preserve capital under tightening banking constraints.

Key takeaways

• The FET form is mandatory to register Freehold (Section 19 of Thailand’s Condominium Act). The bank issues one for every inbound transfer or conversion of USD 50,000 or more (Bank of Thailand exchange-control regulations).
• Money must arrive as foreign currency into your account in Thailand and be converted to baht here. A baht transfer from abroad, or a transfer to the seller’s or lawyer’s account, will “kill” the FET.
• You cannot pay in crypto directly — the Land Department only registers baht. The legal route is to sell crypto through an SEC-licensed exchange (for example, Bitkub), but baht generated inside the country may not produce a valid FET — agree the structure with a Thai lawyer first.
• Demand from certain buyer groups is at record levels: in Q1 2026, condominium transactions by Russian buyers rose +33% by volume and +69% by value (REIC, via Bangkok Post), and Phuket recorded the highest transaction value in the country.
• This is general information, not personalised financial or legal advice — your specific situation needs a qualified professional.

Why the money, not the property, is now the hard part

A few years ago, buying a condo on Phuket came down to choosing the unit. Today, for buyers coming from markets with capital controls or sanctions exposure — such as China or Russia — the hardest part is no longer finding the property. It is getting the money into the country in a way that lets the sale be registered.

And demand is not falling; in some segments it is rising against the wider trend. According to REIC data reported by Bangkok Post (and echoed by Nation Thailand), Q1 2026 condominium sales to Russian buyers jumped 33% by volume (383 units) and 69% by value (THB 1.66 billion). Russian buyers became the second-largest group of foreign purchasers, overtaking buyers from Myanmar. On Phuket specifically, they accounted for roughly 44% of the value of all foreign condominium transactions in the quarter (out of THB 2.43 billion across 420 units) — and were the only top-five nationality to post growth.

One caveat worth flagging, because it circulates widely: the figure “Russians own ~40% of foreign condos on Phuket” is a dated stock estimate (around 2023), not a current 2026 metric. It is more accurate to rely on fresh, quarter-by-quarter share-of-value data.

The backdrop is migration rather than tourism. Tourism statistics (Nation Thailand / Asia News Network) put the flow of Russian visitors to Phuket at around 1.1 million people in 2025. Families settle, look for schools, and buy homes “to live in” rather than to visit.

The sanctions context: what actually happened with SWIFT

To make good decisions you need facts, not rumours. This is purely factual context, not a set of workarounds.

On 2 March 2022, the EU decided to disconnect seven Russian banks from SWIFT (effective 12 March 2022): Otkritie, Novikombank, Promsvyazbank, Bank Rossiya, Sovcombank, VEB and VTB (European Council, consilium.europa.eu). Sberbank and Gazprombank were initially left outside that measure; subsequent packages between 2022 and 2025 widened the restrictions.

The practical result for a buyer: a direct bank transfer from many affected banks into Thailand is difficult or impossible. That is precisely why the routing of the money and the correct handling of the FET have stopped being a formality and become the central element of the deal.

Routing money through third countries and jurisdictions

Because the direct channel is often closed, buyers use intermediate jurisdictions: personal accounts in banks in countries that do not apply the relevant restrictions (for example, several states in the Middle East, Central Asia or Southeast Asia), from which the funds are then sent to Thailand in foreign currency.

Here is the principle you cannot break if you want a valid FET:

1. Funds arrive in Thailand in foreign currency (USD, EUR, etc.), not in baht.
2. The recipient is your own account at a Thai bank — not the seller’s, the developer’s, or the lawyer’s.
3. Conversion to baht happens inside Thailand, at a Thai bank.
4. The payment reference states the purpose: property purchase.

If the intermediate bank converts the money to baht abroad, or sends it under a name other than yours, the Thai bank cannot issue a valid FET, and the Freehold registration collapses.

Separately, and emphatically: any route must pass source-of-funds and compliance checks — on both the sending and the receiving side. Thai banks request documents proving the money is legitimate (sale of an asset, savings, income) on large inbound transfers. This is not bureaucracy for its own sake; it is a hard requirement, and without it your account can be frozen and the deal stopped.

Converting crypto to baht — the legal way

For some buyers, crypto has become a way around closed banking channels. Here it is critical to separate two statements.

You cannot “buy property with crypto” directly. Thailand’s Land Department registers a transaction only in baht — not in USDT, not in Bitcoin. Anyone promising “direct registration in crypto” is misleading you.

The legal route (per analysis by FRANK Legal & Tax): crypto assets are sold for baht through an SEC-licensed Thai exchange or OTC desk (for example, Bitkub). According to FRANK Legal & Tax, from 1 January 2025, capital gains on crypto are, under current practice, exempt from tax where the cash-out is made through an SEC-licensed platform.

But here is the crucial nuance that has nearly derailed many deals: baht received from selling crypto inside Thailand does not arrive from abroad as foreign currency. On its own, it may therefore fail to generate an FET usable for Freehold registration. The structure of such a deal must be agreed in advance with a Thai property lawyer and your bank — before you have sold or transferred anything. In many cases, crypto is used to cover furniture, renovation or living costs, while the Freehold itself is funded by a “clean” foreign-currency transfer that carries a proper FET.

The FET form: the heart of Freehold registration

A quick reminder of the legal frame: a foreigner cannot own land, but can own a condominium unit as Freehold — within the 49% foreign quota of the building’s saleable area (Condominium Act). The difference between Freehold and Leasehold, and the due diligence each demands, is set out in our freehold vs leasehold complete guide.

The FET form (previously known as “Thor Tor 3”) is a document issued by the receiving Thai bank, confirming that the money arrived from abroad in foreign currency and was converted to baht. It is legally required to register foreign ownership (Section 19 of the Condominium Act). The bank must issue an FET for every inbound transfer or conversion of USD 50,000 or more (per Thailand Law Online / Forbes & Partners).

Step-by-step checklist for a valid FET

1. Open a personal account at a Thai bank in your own name (or prepare it in advance).
2. Bring the funds in as foreign currency — via a third jurisdiction if the direct channel is closed.
3. Confirm the money is credited specifically as foreign currency to your account.
4. Convert to baht inside Thailand and immediately request the FET form, stating the purpose “property purchase”.
5. Check that the FET correctly shows your name, the amount and the purpose.
6. Submit the FET with the rest of your documents to the Land Department at registration.

Common mistakes that sink the deal

• Transferring in baht from abroad → no FET is issued.
• Money sent to the seller’s or lawyer’s account rather than yours → no FET in your name.
• Crypto exchanged for baht inside the country without an agreed structure → the baht is “not foreign”.
• Splitting a transfer below USD 50,000 without understanding the consequences → below the threshold the bank issues a different document (a credit advice); check in advance that it will be accepted for registration.
• No source-of-funds documents → a compliance delay or refusal.

What the transaction itself costs: Land Office taxes and fees

On top of the purchase price, budget for the registration costs. Per the Land Department’s standard schedule:

Payment	Rate	Note
Transfer fee	2% of the appraised value	The main fee
Stamp duty	0.5%	Not charged if SBT applies
Specific Business Tax (SBT)	3.3%	If the seller sells within 5 years of ownership
Leasehold registration	~1.1% of the lease value	For long-term leases

How these costs are split between buyer and seller is negotiable — it is part of the deal. As a price reference, the median condo price on Phuket was around THB 144,000 per sqm as of April 2025 (C9 Hotelworks). Family villas along the west coast, near schools, are a separate segment: the median asking price for a house in Bang Tao is around THB 20 million, three-bedroom pool villas most often THB 10–20 million, and the premium end runs into the tens of millions (per listing aggregates). A “THB 20–60 million” range is realistic, but the upper part is genuine luxury, not the norm.

On yields, honestly: the average gross rental yield on Phuket is around 5.8% (2025), roughly 7–8.5% gross for well-located units, and net returns of about 5–10% depending on strategy (Colliers Thailand / C9 Hotelworks). Always distinguish gross from net, and never count on guarantees.

Tax on bringing money in: the part people forget

Since 1 January 2024, Thai tax residents (those who spend 180 days or more in the country in a year, not necessarily consecutively) are taxed on foreign income remitted into Thailand, regardless of the year in which it was earned. Income earned before 1 January 2024 is exempt (Revenue Department Orders Por.161/2566 and Por.162/2566; analysis by Forvis Mazars).

The relief discussed in June 2025 (an exemption where income is remitted in the year it is earned, or the following year) is not yet law — it is only a proposal. Holding a DTV or LTR visa does not, by itself, exempt remitted funds from tax. If you are moving long-term, plan the transfer of your purchase funds around your residency status, and get personalised tax advice in advance. US citizens have an additional layer to consider — see US tax, FATCA and FBAR for American buyers.

Source-of-funds and compliance checks

This is the step that buyers underestimate most often — and needlessly. In a sanctions environment, Thai and intermediate banks scrutinise large inbound transfers more closely. What to prepare in advance:

• Source-of-funds documents: the sale contract for an asset, savings statements, proof of income.
• A transparent chain: where the money came from and went at each step.
• A match between the payer’s name and the buyer’s — the buyer must pay, not a third party.
• Agreeing the structure with a lawyer before transferring, not after.

The right order is compliance and structure first, money second. A mistake here is the most expensive of all: a frozen transfer can sink not just the FET but the entire deal.

Frequently asked questions

Can I buy a Phuket condo if my bank is cut off from SWIFT?

Yes, but not by direct transfer. The usual route is via a personal account in a third jurisdiction, from which funds reach Thailand in foreign currency, land in your own account, and are converted to baht here — so the bank can issue the FET form. Every step must pass source-of-funds checks. Our guide to buying Phuket property remotely from abroad walks through the wider remote process.

Is the FET form mandatory, and when is it issued?

Yes. The FET is legally required to register Freehold in a foreigner’s name (Section 19 of the Condominium Act). The bank issues one for every inbound transfer or conversion of USD 50,000 or more. Without a valid FET, the Land Department will not register foreign ownership.

Can I pay directly in cryptocurrency?

No. The Land Department only registers transactions in baht. You can legally convert crypto to baht through an SEC-licensed Thai platform (for example, Bitkub), but baht generated inside the country may not create an FET usable for Freehold. Agree the structure with a Thai lawyer in advance.

Will I have to pay tax when bringing money into Thailand?

If you are a tax resident (180+ days in a year), then since 1 January 2024 foreign income remitted into Thailand is taxable (income earned before 2024 is exempt). A DTV or LTR visa does not exempt you on its own. The easing discussed in 2025 is not yet law — get personalised advice.

How much does registering the deal cost beyond the price?

The main Land Office payments are a transfer fee of 2% of the appraised value and stamp duty of 0.5% (or SBT of 3.3% if the seller has owned for less than 5 years). The split between the parties is negotiable. For Leasehold, registration is around 1.1% of the lease value.

How do I know my transfer is “correct” for the FET?

The money must arrive in foreign currency, into your own personal Thai account, be converted to baht inside Thailand, and carry the stated purpose “property purchase”. A baht transfer from abroad, or one to the seller’s or lawyer’s account, makes the FET impossible. It is worth cross-checking against the general process in our guide to financing your Phuket purchase.

Disclaimer

This article is for information only and is not financial, tax or legal advice. Sanctions, banking and tax rules change, and your situation is unique. Before any transfer of funds or transaction, consult a qualified Thai property lawyer, a tax adviser and your bank — or use Palmora’s partner network. We do not advise on circumventing sanctions; this covers only legal, compliant routes.

Palmora is beside you at every step

The real pain point for international families today is not choosing the apartment — it is how to move the money for it safely and legally when some banks are cut off from SWIFT. This is where Palmora does what an ordinary agency will not: guidance on the FET form, work with partner banks, and source-of-funds compliance checks — so your transfer arrives in the right currency, in the right account, and turns into a registered Freehold without a collapsed deal.

Tell us about your situation — the money route, your relocation timeline, schools for the children — and we will propose a workable deal structure. Reach us via the contact page, on WhatsApp +66 61 249 4192, or at [email protected]. The first conversation comes with no obligation.