Real Estate Commission in Thailand
The standard rate is 3% of the sale price on a resale, and one month's rent on a 12-month lease. The owner pays. Neither figure is set by law — which is exactly why the agreement matters more than the rate.
Standard commission rates
Market norms across Bangkok and the rest of Thailand. Nothing here is regulated — these are what agents charge, not what they must.
| Deal | Typical rate | Paid by | Payable |
|---|---|---|---|
| Sale — condo, house or land | 3% of the sale price | Seller | On transfer of title at the Land Office |
| Sale — new development | 3–5%, set by the developer | Developer | On the developer's own payment schedule |
| Rental — 12-month lease | One month's rent | Landlord | On signing, once the deposit clears |
| Rental — 6-month lease | Half a month's rent | Landlord | On signing |
| Rental — 2 years or more | Negotiated, often one month per year | Landlord | On signing, sometimes split per year |
| Rental — under 6 months | Negotiated, often 10–15% of total rent | Landlord | On signing |
On co-broking: the split is fifty-fifty of the gross fee in the overwhelming majority of Thai deals. It is settled enough that it is rarely worth negotiating.
What is worth your attention is the record of who introduced the client, and when. That is where co-broking money is actually lost, and it is a documentation problem rather than a negotiation one.
What the commission agreement must say
Ten clauses, in the order they usually appear. Each one exists because of a specific way the fee gets lost.
The appointment itself
Names the owner, names you, and identifies the exact property by unit and title deed. States that the owner appoints you to introduce buyers or tenants.
Leave it out: Nothing establishes that you were engaged at all, which is where most unpaid-commission arguments begin.
Mandate type and period
Exclusive or open, and the dates it runs between. An exclusive mandate should carry an end date and a renewal mechanism.
Leave it out: An “exclusive” with no end date is unenforceable in practice and the owner treats it as an open listing.
The fee, as a number
The percentage or the fixed amount, and the base it is calculated on — the sale price on transfer, or the monthly rent for a stated lease term.
Leave it out: A percentage with no stated base gets recalculated on whatever figure suits the owner at closing.
The trigger for payment
The event that earns the fee: transfer of title at the Land Office for a sale, or signature of the lease and receipt of the deposit for a rental.
Leave it out: The owner can argue the deal “isn't done yet” for as long as they like.
Payment deadline and account
A number of days from the trigger, and the account it goes to. Add a late-payment consequence if you can get it agreed.
Leave it out: “On completion” means whenever the owner gets round to it.
Introduction and protection period
Records that a named client was introduced to this property on a given date, and that a deal with that client within a stated period — six to twelve months is common — still earns the fee.
Leave it out: The client goes quiet, comes back to the owner directly in month four, and the introduction is worth nothing.
Withholding treatment
States whether the quoted fee is gross or net of withholding tax, and that the payer issues you a withholding certificate.
Leave it out: You quote 240,000 and receive less, then spend a week arguing about whose number was right.
Owner's warranties
The owner confirms they have the right to sell or let, that the title is unencumbered, and that they will disclose anything material about the property.
Leave it out: You market a unit the seller cannot actually transfer, and you carry the reputational cost.
Marketing consent
Permission to photograph the property and publish the listing, including on portals and social media, and to use the owner's price and terms in the advertisement.
Leave it out: The owner objects to the Facebook post after it has already run.
Termination
How either side ends the appointment, on what notice, and confirmation that the protection period survives termination.
Leave it out: The owner cancels the mandate the day before signing and treats the introduction as free.
Open listing or exclusive mandate
The mandate type changes what the document has to contain. Pick the one you are actually working under.
The default in Thailand, and the reason one condo appears with ten agents. The owner may appoint anyone, and pays whoever closes.
- First-introduction wording
- Because several agents are working the same unit, the agreement has to tie the fee to who introduced the client first — with dates, in writing.
- A registration mechanism
- A short notice to the owner naming each client you introduce, sent by message or email, creates the timestamp you will need later.
- No marketing exclusivity
- You cannot stop other agents advertising the unit, so the agreement should not promise anything you can't deliver on price or presentation.
- Standard rate
- Market rate applies — there is no premium, because the owner is carrying none of the risk.
The trade-off: Easy to win, hard to defend. Most disputes on open listings are about who introduced whom, which is why the dated registration note matters more here than anywhere else.
One agent for a fixed period. Rare in Thai residential, more common on higher-value or slow-moving stock, and the only mandate worth investing real marketing money in.
- A hard end date
- Three or six months is typical. Without an end date the mandate is unenforceable in practice and reads as an open listing.
- Fee due however it sells
- The clause that makes it exclusive: the fee is earned during the period even if the owner finds the buyer themselves. Say it plainly or it will be disputed.
- Your marketing obligations
- What you commit to in return — professional photography, portal listings, a stated number of viewings. Exclusivity is a trade, and the document should show both sides of it.
- Reporting to the owner
- A regular update on viewings and feedback. It is the thing owners say they wanted when they decline to renew.
- Tail period after expiry
- A stated window after the mandate ends during which a sale to a client you introduced still earns the fee.
The trade-off: Harder to win, much easier to defend, and worth a higher rate. Ask for one only when you intend to spend real money marketing the unit.
Withholding tax on commission
The fee that arrives is not the fee you quoted. Handle it in the agreement rather than in an argument at closing.
- Commission is withheld at source
- The party paying you deducts withholding tax before the transfer lands and remits it to the Revenue Department on your behalf.
- The rate depends on what you are
- A company invoicing for services and an individual agent earning commission income are withheld differently. Confirm which applies to you with an accountant before you quote.
- You are owed a withholding certificate
- The payer must issue one. It is what you use to credit the tax already paid when you file — without it you are taxed twice on the same fee.
- Say gross or net in the agreement
- This is the part that belongs in the contract. State whether the quoted fee is before or after withholding, so the amount that arrives is the amount both sides expected.
- VAT has a threshold
- Above the annual revenue threshold, registration becomes mandatory and your invoices change. Worth checking before a strong year makes the decision for you.
Rates and thresholds change, and the treatment depends on how you are set up. Confirm the numbers with a Thai accountant before you quote a client — this page is general information, not tax advice.
Frequently asked questions
How much commission do real estate agents charge in Thailand?
The market standard is 3% of the sale price on a resale, and one month's rent on a 12-month lease. New developments pay 3–5%, set by the developer. None of these are regulated rates — Thailand does not fix agent commission, so what you can charge is what you can agree and put in writing.
Who pays the agent's commission in Thailand?
The owner — the seller on a sale, the landlord on a rental. Buyers and tenants do not normally pay an agent fee. If a deal is structured differently, that has to be stated in the agreement before anyone views the property.
When is commission paid?
On a sale, at transfer of title at the Land Office. On a rental, on signature of the lease once the deposit has cleared. Write the trigger event into the agreement, because “on completion” is vague enough for an owner to stretch for months.
How is commission split between two agents?
Fifty-fifty of the gross fee, in the overwhelming majority of Thai co-broking deals. The split is rarely what goes wrong — disputes are almost always about which agent introduced the client first, which is why a dated introduction record matters far more than negotiating the percentage.
What is an exclusive mandate, and is it worth it?
An exclusive mandate appoints one agent for a fixed period, and the fee is earned during that period even if the owner finds the buyer themselves. It is worth asking for when you intend to spend real money marketing a property. It needs a hard end date and stated marketing obligations, or it reads as an open listing.
Is commission subject to withholding tax in Thailand?
Yes — the payer deducts withholding tax at source and remits it, and must issue you a withholding certificate to credit against your own filing. The rate depends on whether you invoice as a company or earn as an individual, so confirm which applies to you with an accountant. The part that belongs in the contract is whether the quoted fee is gross or net of that deduction.
This guide describes market practice and the general legal position in Thailand. It is not legal advice on your specific deal. For a mandate of real value, or where an owner disputes a fee, take advice from a Thai lawyer.
Next: the lease itself
Once the fee is agreed, the contract your client signs is the other document worth getting right — including a deposit cap most agents do not know applies.