The short answer

Escrow fees are usually a small percentage of the amount held — in Thailand typically a fraction of one percent, sometimes with a minimum — and are shared equally unless agreed otherwise; under Thai law they can't be taken from the escrow money itself. Release conditions should be specific, documented events — "the unit is registered in the buyer's name", not "completion". And the agreement must say what happens in a dispute: who decides, how, and how fast. Vita Capital, our FX and escrow partner, holds funds in regulated escrow accounts until release conditions are fulfilled — ask our team for a quote with the fee and conditions set out in writing.

What escrow costs

The main ways escrow is priced, and what to watch for.

General pricing models. In Thailand, fee levels are market practice rather than fixed by law (ThaiLawOnline, September 2026). Always get the full quote in writing.

Fee examples on typical deals

Illustrative fees at 0.5% of the amount held, split equally, at ฿44.38 = £1.

Illustrations only — actual fees vary by provider, deal size and complexity, and may include a minimum.

Who pays the fee

• The default in Thailand is half each. If the contract says nothing, buyer and seller share the agent's fee equally.
• You can agree otherwise. Buyers often negotiate for the seller or developer to pay, or pay it themselves to close a deal.
• It can't come out of the escrow money under Thai law — it's paid separately.
• Write it into the sale contract and the escrow agreement, so there's no argument at release.

Negotiating the fee

Escrow fees are a point of negotiation like any other part of a deal. A few approaches buyers use:

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Our number one for escrow with FX, the Thai account for released or refunded funds, and a secure home for the paperwork.

Writing release conditions that work

A good release condition is a specific event that can be proved with a document or an independent check. A bad one is vague, subjective, or controlled by one side.

Release conditions by type of deal

Specific conditions and the evidence that proves each one.

Illustrations. Your lawyer drafts the conditions for your deal.

Staged, partial and conditional releases

Not every escrow releases everything at once. Three common patterns:

When the deal fails

If the conditions aren't met — the seller can't transfer the title, the developer stops building, the goods never ship — the escrow agreement decides what happens to the money still held. Make sure it covers:

• A long-stop date after which, if the conditions still aren't met, the money is returned.
• Who triggers the refund and what evidence is needed.
• What happens to money already released for earlier stages.
• Whether any fee is refunded if the deal doesn't complete.

In Thailand, unreleased escrow money is ring-fenced from the agent's own finances, so it's protected while the situation is resolved.

How escrow disputes are resolved

A dispute usually means one side says a condition has been met and the other says it hasn't. While they disagree, the money stays where it is — that's the protection. How it gets resolved depends on the agreement:

1. Talk first. Most disputes are settled by the parties, often with their lawyers.
2. Look at the evidence the agreement relies on — certificates, documents, records.
3. Use the agreed process — an expert decision, mediation or arbitration, if the agreement provides for it.
4. Joint instructions — once the parties agree, they instruct the agent together.
5. The courts — the last resort, and slow, especially across borders.
6. Regulatory oversight — in Thailand, the Ministry of Finance supervises licensed escrow agents.

A dispute example: the delayed off-plan stage

An off-plan buyer has ฿1,200,000 (about £27,039) in escrow for the "building complete" stage. The developer says the building is finished; the buyer says the lifts and pool aren't working. How it plays out under a well-written agreement:

Illustration at ฿44.38 = £1. Without an agreed expert, the same dispute could take months to resolve.

Dispute routes compared

The usual ways an escrow dispute is settled, from quickest to slowest.

General guidance. The escrow agreement sets which routes apply.

How to avoid a dispute

• Define every condition as a specific, documented event.
• Agree what "as described" means in writing, with the figures and specification.
• Set realistic timescales and inspection periods.
• Name who confirms each condition — a document, an expert or a joint sign-off.
• Agree a long-stop date and what happens after it.
• Choose the dispute route before you need it.
• Keep records of every step, message and handover.
• Use independent lawyers, one for each side.

The fee against the risk

It's easy to look at an escrow fee and see only the cost. Set it against what it protects. On a ฿5 million condo, your half of a 0.5% fee is about £282. Without escrow, the whole £112,663 is in the seller's hands from the moment you pay. On an off-plan purchase, you may have tens of thousands of pounds paid out over years for a building that doesn't yet exist.

The fee also buys structure: written conditions, a neutral holder and a process for disagreements. Those are worth having even when nothing goes wrong, because they make it much less likely that anything will.

What the escrow agreement should contain

• The parties — buyer, seller and the escrow agent, with full details.
• The amount held, and the currency.
• Each release condition, and the evidence that proves it.
• The fee, who pays it and when.
• Timescales — inspection periods, objection deadlines and the long-stop date.
• What happens if the deal fails, including refunds.
• The dispute process, step by step.
• Where the money is held, and how it's protected.

Fees, refunds and the exchange rate

When money is converted on the way into escrow, a refund can come back at a different rate. If you sent pounds, the escrow converted to baht, and the deal fails, the baht refunded may be worth more or less in pounds than you started with. Agree in advance which currency a refund is paid in, and consider holding the money in your own currency until release where the deal allows. Using one specialist for both escrow and currency, such as Vita Capital, means the rate, the fee and the refund terms are all set out together.

Questions to ask before you sign

• What is the total fee, including any minimum or per-release charges?
• Who pays it, and is it refunded if the deal fails?
• What exactly triggers each release, and what evidence proves it?
• What's the long-stop date?
• What happens in a dispute, and who decides?
• Where is the money held, and is it ring-fenced?
• In which currency is a refund paid?
• Is the agent licensed or regulated, and independent?

Mistakes that cause trouble

1. Vague conditions such as "on completion".
2. No long-stop date, so money can be stuck indefinitely.
3. No agreed dispute route.
4. Not agreeing who pays the fee.
5. Ignoring the currency of a refund.
6. Poor records of what was delivered and when.

Staying safe

• Never accept new payment details by email during a dispute or release.
• Confirm instructions to the agent by phone on a number you've verified.
• Use a private, protected connection when managing escrow from public Wi-Fi.
• Report fraud — in the UK to Action Fraud on 0300 123 2040.

How we researched this guide

We used ThaiLawOnline's 2026 guide to escrow accounts in Thailand (updated 6 October 2026) and its escrow glossary entry (updated 30 September 2026), both covering the Escrow Act B.E. 2551; Vita Capital's own published information on its escrow solutions (October 2026); and general practice on release conditions and dispute resolution. Fee percentages are illustrations. Worked examples use ฿44.38 = £1 (Wise, 12 October 2026). Vita Capital is JLIT's FX and escrow partner, and NordPass and NordVPN are affiliate partners; we may receive a fee, which never changes what you pay. Checked 13 October 2026. This guide is general information, not legal advice.