Should the Reservation Deposit Be Held in Escrow, & by Whom?

Yes, an escrow arrangement with a neutral third party is strongly recommended. The deposit agreement should name the escrow holder, specify the amount and payment deadline, and set a clear timeframe for independent lawyer review. It should outline exact conditions under which the deposit is refundable or credited toward the purchase, and what happens if title checks or due-diligence fail. The contract should also describe the process and conditions for releasing funds and who pays escrow fees. Ensure the escrow agent is reputable and understands Thai real-estate law; obtain their contact details and the procedures for releasing funds. In addition, keep written records of all critical checks, dates and contingencies, and avoid pressure tactics to deposit before due diligence is complete. If the deal falls apart for title or due-diligence reasons, ensure you have a straightforward refund path and a mechanism to resume negotiations if you wish.