Thailand real estate terms R
Letter R covers registered value, rai, and rental yield. Registered value drives the 2% transfer fee at Land Office. Rai measures land on title deeds. Rental yield helps investment buyers compare Bangkok, Pattaya, and Chiang Mai returns after expenses.
For broader context see our property hub and the full real estate glossary.
Declared sale price; 2% transfer fee calculated on this figure.
Traditional Thai land measure used in title deeds and listings.
Annual rent divided by purchase price before expenses.
1 sq wah equals 4 square metres; 400 sq wah equals 1 rai.
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Terms starting with R
Registered value
Registered value is the sale price declared at the Department of Lands when ownership transfers. The 2% transfer fee applies to this declared amount. It must reflect actual consideration paid. Under-declaring registered value to save transfer fee triggers Revenue Department reassessment and penalties.
Your lawyer aligns SPA price, registered value, and government assessment value on the transfer worksheet before registration day. See letter T glossary page for transfer fee detail.
Rai
Rai is the traditional Thai unit for measuring land area on title deeds. One rai equals 1,600 square metres or 400 square wah. One ngan equals one quarter rai. Villa plots in Phuket and Chiang Mai commonly list size as 1 rai or 2 rai on Chanote deeds.
Rental yield
Rental yield measures return on investment from lease income. Gross yield equals annual rent divided by purchase price. Net yield deducts common area fees, agent commission, maintenance, and vacancy. Bangkok CBD luxury units and Pattaya tourist districts show different yield profiles. Check juristic person rental restrictions before buying for investment.
Thai land measurement conversion
| Unit | Square metres | Square wah |
|---|---|---|
| 1 rai | 1,600 sq m | 400 sq wah |
| 1 ngan | 400 sq m | 100 sq wah |
| 1 sq wah | 4 sq m | 1 sq wah |
Net rental yield factors for expats
- Deduct common area maintenance fees from gross rent on condominiums
- Budget agent commission and tenant turnover vacancy periods
- Account for specific business tax if selling within five years
- Compare net yield across districts: Bangkok CBD vs Pattaya vs Chiang Mai
- Verify building rental restrictions in juristic person by-laws before investing
Legal context for foreign buyers
Registered value is a tax and registration concept enforced by Land Office and Revenue Department. Rai is a measurement standard on land title deeds under Land Code practice. Rental yield is financial analysis, not legal title, but condo by-laws restricting short-term rental affect achievable returns for foreign owners within the 49% quota.
Common mistakes foreigners make
- Under-declaring registered value at Land Office to reduce 2% transfer fee.
- Misreading land size in rai when comparing to home-country square metre listings.
- Using developer projected rental yield without deducting CAM and vacancy.
- Assuming short-term Airbnb income is permitted without checking condo by-laws.
- Ignoring registered value mismatch with SPA price in tax reassessment risk.
Frequently asked questions
General answers for expats reading letter R terms at transfer and investment analysis. This is orientation, not tax or investment advice.
Q:What is registered value at transfer?
Registered value is the sale price declared to Land Office on transfer day. The 2% transfer fee calculates on this figure. It should reflect actual consideration. Revenue Department may challenge significant under-declaration against market price.
Q:How big is one rai?
One rai equals 1,600 square metres or 400 square wah. Land title deeds and villa plots commonly list size in rai and ngan. One ngan equals one quarter rai or 400 square metres.
Q:How do I calculate rental yield?
Gross rental yield equals annual rent divided by purchase price. Net yield deducts CAM fees, agent costs, repairs, and vacancy. Pattaya and Bangkok CBD yields vary widely by building quality and rental rules.
Q:Does registered value affect seller tax?
Yes. Registered value appears on transfer documents alongside government assessment value. Both interact with seller withholding and specific business tax calculations. Your lawyer prepares full tax worksheet.
Q:Can I declare registered value below SPA price?
Under-declaration creates legal and tax risk. Land Office and Revenue Department may use higher of declared, assessed, or market value. Penalties exceed transfer fee savings from under-declaring.
Q:What yield do Bangkok condos achieve?
Gross yields vary by district and building tier. Central Bangkok luxury units often yield lower gross percentages than outer district studios. Always calculate net yield after CAM and management costs.
Q:Is rai used for condominium units?
Condominium units list interior area in square metres on title deed. Rai applies to land plots, villas, and agricultural property. Verify which measurement appears on your specific title category.
Q:Where can I read more Thailand property terms?
Browse our full A to Z glossary index and property hub for related guides on transfer fees, market value, and due diligence. Start at glossary hub and property hub.