A reservation deposit is the booking payment that takes a Phuket property off the market while your lawyer completes due diligence and the Sale and Purchase Agreement is drawn up. Typically it is a modest sum — often around THB 100,000 to 500,000, or a small percentage of the price — and it is usually credited towards the purchase price rather than being an extra cost. The one question that catches buyers out is whether it is refundable, and the honest answer is that it depends entirely on the reservation agreement you sign. This guide explains how much to expect to pay, how long the reservation period lasts, when a deposit is and is not refundable, and exactly what to get in writing before you transfer a single baht.
What a reservation deposit actually is
A reservation deposit — sometimes called a booking deposit or holding deposit — is the first payment in a Phuket purchase. In exchange for it, the seller or developer agrees to take the property off the market and hold it for you, at the agreed price, for a short and defined period. During that window, the parties prepare and sign the main contract and your lawyer carries out the checks that protect you.
It helps to see the reservation for what it is: a placeholder, not the purchase itself. You are not yet committed to buying, and the seller is not yet committed to selling to you on final terms. What you have bought is time and exclusivity — the assurance that the unit will not be sold to someone else while the paperwork catches up.
Because it is usually credited towards the price, a reservation deposit is rarely an additional cost. If you complete the purchase, the amount simply comes off your final balance. The question that really matters, then, is what happens if the deal does not proceed.
How much is a reservation deposit in Phuket?
There is no fixed legal amount; the figure is set by the seller or developer and is often negotiable. As a general guide as of 2026:
- For a condo or a mid-priced unit, the deposit is often a flat sum, commonly in the region of THB 100,000 to 500,000.
- For a higher-value villa or a premium unit, it is sometimes expressed as a small percentage of the purchase price instead of a flat figure.
- For off-plan purchases, developers frequently ask for a set booking fee to reserve a specific unit, layout or floor before the contract is issued.
The right amount is one that is meaningful enough to show you are a serious buyer, but modest enough that you are comfortable with it while due diligence is still pending. If a seller asks for an unusually large deposit — a big chunk of the price before any contract or checks — treat that as a reason to slow down and ask questions, not to speed up.
The reservation period: what those days are for
The reservation typically runs for a short, fixed window — often somewhere between 7 and 30 days — though the exact length is agreed between the parties and can usually be extended by mutual consent if the checks take longer.
That period exists to get real work done, not simply to wait. In practice it is when:
- Your lawyer runs due diligence — a title search, confirmation of the foreign-freehold quota for a condo, checks on the developer or seller, and a review of any encumbrances.
- The Sale and Purchase Agreement (SPA) is drafted and negotiated, setting out the price, the payment schedule, the completion date and each side's obligations.
- You arrange the transfer of funds from abroad, so the money and the Foreign Exchange Transaction (FET) form are ready when you complete.
A sensible reservation agreement sets a period long enough for your lawyer to finish these checks properly. If it is too short, build in the right to extend it, so you are never forced to choose between rushing the due diligence and losing your deposit.
Is a reservation deposit refundable?
This is the single most important point in the whole article: whether a reservation deposit is refundable depends on the contract you sign. Thai law does not impose a blanket rule, so the reservation agreement itself governs what happens to your money.
In broad terms, agreements tend to fall into a few patterns:
- Fully refundable if due diligence fails. The fairest arrangements return your deposit if your lawyer's checks uncover a genuine problem — an unclean title, a foreign quota that is already full, a missing permit — that was not disclosed to you.
- Refundable within a set window, then not. Some agreements allow a full refund up to a certain date or until the SPA is issued, after which the deposit becomes non-refundable if you simply change your mind.
- Non-refundable except for seller default. Others treat the deposit as forfeit if you withdraw for your own reasons, while still protecting you if the seller fails to proceed or misrepresents the property.
The principle to hold on to is reasonable: a deposit should not be lost because a genuine legal problem surfaces during checks you were entitled to make. What you should not expect is a refund simply because you found a property you like better a week later.
Never rely on a verbal promise that a deposit is "of course refundable." If it is refundable, the conditions belong in the written reservation agreement, in plain language, before you pay.
What to get in writing before you pay
Before transferring the reservation deposit, make sure the reservation agreement — however short — records the following clearly:
- The exact property. The specific unit, plot or villa, with its number, size and any parking or storage included, so there is no ambiguity about what is reserved.
- The agreed price and currency. The full purchase price the deposit locks in, and confirmation that the deposit is credited towards it.
- The reservation period. The precise number of days the property is held, and whether and how it can be extended.
- The refund conditions. Exactly when the deposit is returned and when it is forfeited — especially the outcome if due diligence reveals a problem.
- What happens next. Confirmation that the SPA will follow, and ideally the key terms it will contain, so the main contract holds no surprises.
- Who holds the money. Whether the deposit sits with the developer, the agent or a lawyer, and how it is returned if a refund is due.
Have your lawyer or agent review even a one-page reservation form before you sign. It is a small document, but it sets the terms of everything that follows, and a few minutes of review can save a great deal later. For the wider picture, our guide on the cost of buying property in Phuket shows how the deposit fits alongside transfer taxes and fees.
Reservation deposits for off-plan versus resale
The mechanics are broadly the same for a new-build and a resale, but the context differs.
For off-plan property, the booking fee reserves a specific unit in a launching project — often a sought-after floor, view or layout — before contracts are issued. From there, payment usually continues in interest-free stage payments tied to construction milestones rather than as a single lump sum. Because you are committing early, the reservation agreement and the SPA that follows deserve particularly careful reading; we cover the process and the risks in off-plan property in Phuket.
For a resale, the reservation takes an existing, completed unit off the market while your lawyer verifies the seller's title and the two sides agree completion terms. Here the due diligence tends to be quicker, but the same principle applies: the reservation buys you the time to check before you commit.
Where the deposit fits in the buying process
The reservation deposit is step three of the well-worn Phuket buying journey — after you set your budget and shortlist, and before due diligence and the SPA. Placing it is the moment a property stops being one of several options and becomes the one you are pursuing.
Handled well, it is a low-risk, reassuring step: a modest, price-credited payment that secures the property while the protections around you are put in place. Handled carelessly — paid on a handshake with no written terms — it is where buyers expose themselves unnecessarily. The difference is entirely in the paperwork. For the full sequence from first viewing to the Land Office, see our step-by-step guide on how to buy property in Phuket, and if you are purchasing from overseas, our buyer's guide explains how a reservation is handled at a distance.
Conclusion
A reservation deposit is a normal, sensible part of buying in Phuket: a modest booking payment, usually credited to the price, that holds your chosen property for a short window while due diligence and the contract are completed. The amount is negotiable, the period is typically a few weeks, and — crucially — its refundability is whatever your reservation agreement says it is. Get the property, price, period and refund terms in writing, have them reviewed before you pay, and this first step becomes exactly what it should be: a confident way to secure the right home.
Thinking of reserving a property, or want your reservation terms checked first? Get in touch for a free consultation and we will make sure your deposit is protected, or browse our current listings to find the unit worth reserving.
