Is it possible that a developer in Thailand might not fulfill the contract and fail to complete construction?

Yes, unfortunately, there is a risk that a developer in Thailand may not complete the construction, as in many other countries. Construction projects can sometimes be delayed or halted entirely for reasons such as financial problems, insufficient management, issues with permits, or a lack of buyers. To minimize this risk, pay attention to a few key points before buying property in a development project:

Developer’s reputation Check the developer’s history and reputation. Established developers are more likely to complete the project. Reviewing past projects, reviews, and buyer feedback is advisable. Preliminary agreement Carefully analyze the preliminary agreement (Pre-Sale Agreement) terms. Ensure it includes information on the construction completion date and any penalties for delays. The agreement should also contain clauses on fund reimbursement in case the developer fails to complete construction. Escrow account Thailand has introduced escrow regulations to help protect property buyers. Funds paid by the buyer are held in an escrow account and disbursed to the developer only when the construction milestones are met.