Formichella & Sritawat - Thailand's New Accommodation Law: What It Means for Hotels, Airbnb and Short-Term Rentals

Thailand is preparing to replace the Hotel Act B.E. 2547 (2004). In July 2026, the House of Representatives accepted in principle proposed amendments to the Hotel Act and referred them to an extraordinary committee. On 29 September 2026, the Government set out its draft Accommodation Establishment Act. The draft moves away from a single hotel licensing regime and towards a tiered system based on the size of the property.

The draft has not yet been enacted and must still proceed through the legislative process before it can enter into force. Until that happens, the Hotel Act remains in force and must be applied as it stands.

Short-Term Rentals Under the Current Thai Hotel Act

Why Most Airbnb Rentals in Thailand Are Unlawful

The Hotel Act defines a hotel as a place set up to provide temporary accommodation to travellers or other persons in return for payment. Accommodation let on a monthly basis or longer falls outside that definition. In practice, under the current legislation, any property that takes paying guests for less than a month is defined as and treated as a hotel, whatever the owner or the booking platform calls it.

This is why most Airbnb-style letting in Thailand is unlawful. A condominium unit or house let to a series of guests by the night or the week is, technically, an unlicensed hotel. Operating a hotel without a licence carries criminal penalties under the Act, including imprisonment, a fine, and a further daily fine for as long as the operation continues. Listing a property on a platform does not change this.

The Small Accommodation Exemption (8 Rooms, 30 Guests)

There is a limited exception. Under the Ministerial Regulation on Hotel Business Types and Criteria (No. 2) B.E. 2566 (2023), accommodation with no more than eight rooms and no more than 30 guests can be treated as non-hotel accommodation. Before 2023 the limit was four rooms and 20 guests.

The exception is not automatic. The owner must notify the registrar, the registrar must inspect the premises, and the property must meet the prescribed standards. The inspection is not a formality, the registrar checks the property against the required standards for building safety, fire safety and sanitation before it can operate as non-hotel accommodation.

Can Condominiums Be Used for Short-Term Rentals in Thailand?

Condominiums face a further problem. In November 2023 the Land Department confirmed that condominium units may not be used for hotel operations. Its reasoning was that the Condominium Act exists to protect owners' residential use. The only way to run a hotel in a registered condominium building is to cancel the building's condominium registration and then obtain the necessary approvals under the Hotel Act, the Building Control Act and town planning law. In practice, this is rarely possible.  To undertake this, the developer needs to do it themselves before selling any units or all co-owners need to vote unanimously in favour. 

The Draft Accommodation Establishment Act: Key Changes

Three Tiers of Accommodation Establishment

The Government's draft would create three categories of "accommodation establishment":

• Category 1: up to eight rooms and 30 guests. These may operate after notifying the registrar.

• Category 2: nine to 40 rooms and up to 150 guests. These must register before opening.

• Category 3: more than 40 rooms or 150 guests. These must hold a licence, as hotels do now.

The draft expressly covers hostels, boutique hotels, homestays and accommodation offered through the sharing economy.

Electronic Licensing and Platform Obligations

All notifications, registrations, licence applications and guest reporting, including the transmission of foreign guest data to the Immigration Bureau, would be handled through an electronic system run by the Department of Provincial Administration. Industry commentary indicates that booking platforms may also be required to check that the properties they list are registered, which would be an additional obligation compared to the current legislation.

The "Super Licence" for Hotels

For Category 3 operators, the most significant change is the proposed "super licence". A single application would cover the hotel licence and up to ten ancillary businesses, including food service, spas, swimming pools, fitness facilities and the sale of alcohol and tobacco. These currently require separate permits from different agencies.

Who Benefits from Thailand's Hotel Act Reform?

Hotel Operators and Developers

The main beneficiaries are larger, established hospitality operators. For a resort or city hotel, the super licence and the move to electronic filing would remove much of the administrative work involved in opening and operating a property. Developers and investors planning integrated hospitality projects would face fewer permits and fewer agencies. They should also find timelines easier to predict.

Small Operators and Condominium Owners

Smaller operators gain far less. Category 1 largely puts on a statutory footing the notification route that has existed since 2023. Owners would still have to meet the safety, hygiene, fire and guest registration requirements, and the draft does not deal with the condominium restriction.

An owner who notifies the registrar under the new Act would still be letting a condominium unit for a use that the Land Department considers unlawful under the Condominium Act. Owners would also still be subject to the building's own regulations and any restrictions set by the juristic person. Accommodation legislation cannot fix this alone. It would require a change to condominium law or to its interpretation, and neither is currently proposed.

For individual condominium owners, who make up most of the short-term rental market, the reform therefore changes little. It makes the regulated sector easier to enter. It does not make lawful short-term rental of residential property possible where it is not lawful now.

What Owners and Operators Should Do Now

• Owners currently letting for less than a month should assume that the Hotel Act applies. Unless the property falls within the eight-room notification regime and the notification has been made, the activity is unlicensed. Pending legislation offers no protection.

• Condominium owners and juristic persons should note that the Land Department' position is unchanged. Juristic persons that permit or tolerate short-term letting may face complaints from co-owners.

• Hotel operators and developers should follow the secondary legislation closely, particularly the rules on the super licence, transition arrangements for existing licence holders, and data-sharing between agencies. These rules will determine how much of the promised simplification is actually delivered.

• Foreign-invested hotel companies should remember that a licence under the new Act would not replace the requirements of the Foreign Business Act. Hotel business, other than hotel management, remains a restricted activity under List 3. A majority foreign-owned operator will still need either a Foreign Business Licence or, where the project qualifies for Board of Investment (BOI) promotion, a Foreign Business Certificate. BOI promotion may also permit the company to own the land on which the hotel is built.

   

What the Reform Means for Hotel Investors and Developers

The draft is a real modernisation of an outdated regulatory framework, and the hotel sector should welcome it. For owners and developers, the most immediate benefit is likely to be the super licence. Bringing the hotel licence and ancillary permits for food and beverage, spa, pool and fitness operations into a single application should shorten pre-opening timelines and reduce the number of agencies involved in launching or repositioning a property.

The reform is also relevant to mixed-use and residential-led projects. Serviced apartment operators offering stays of less than a month already fall within the hotel regime, and branded residence and condominium-hotel developments must continue to separate the licensed hotel component from the condominium units. The draft does not change the Land Department’s position on condominium units, so developers should continue to treat the line between hotel and residential use as a key consideration when structuring projects, rental programmes and title arrangements.

How much the reform delivers will depend on the subordinate regulations, in particular the scope of the super licence, the transition arrangements for existing licence holders and the operation of the new electronic system. Investors planning new developments, acquisitions or conversions over the next two to three years should take the proposed framework into account now, while continuing to obtain approvals under the current Hotel Act until the new legislation comes into force.

Frequently Asked Questions

Is Airbnb legal in Thailand?

Letting a property for periods of less than one month generally falls within the Hotel Act. Unless the property is licensed as a hotel, or qualifies for and has completed the small accommodation notification process, nightly or weekly letting is unlawful.

Will the new Accommodation Establishment Act legalise Airbnb?

Not as currently drafted. It adjusts the notification route for properties with up to eight rooms. It does not override the restrictions on using condominium units for short-term letting.

Can I rent out my condo on a daily basis in Thailand?

The Land Department' position is that condominium units cannot be used for hotel operations. Short-term letting of a condominium unit is therefore unlawful, whether or not the owner also complies with accommodation law.

When will the new law take effect?

No date has been set. The draft must complete its House readings, pass the Senate, receive Royal endorsement and be published in the Royal Gazette. Until then, the Hotel Act B.E. 2547 (2004) applies.