Buying Real Estate in Taiwan for Foreigners

Published on October 3, 2025 and written by Cyril Jarnias

Purchasing real estate in Taiwan can be an excellent investment opportunity for foreigners. However, the process involves certain specificities that are important to understand before getting started. Here is a detailed guide to help you navigate the complexities of property acquisition in Taiwan as a foreigner.

A Favorable Yet Regulated Legal Framework

Unlike some Asian countries, Taiwan allows foreigners to purchase real estate within its territory. However, this possibility is subject to certain conditions and restrictions that should be well understood.

The Reciprocity Principle

Taiwanese law applies the principle of reciprocity regarding real estate acquisition by foreigners. This means that nationals of a country can purchase property in Taiwan if Taiwanese citizens are allowed to do the same in their home country. Most Western countries meet this criterion, but it’s best to verify with Taiwanese authorities.

Restrictions on Certain Types of Properties

Foreigners cannot acquire just any type of real estate in Taiwan. Specifically excluded are:

• Agricultural land
• Properties located in military or strategic zones
• Certain historical or cultural properties

Prior Authorization Required

Before any acquisition, the foreign buyer must obtain authorization from the Taiwanese government. This process can take several weeks and requires providing various supporting documents.

Advantageous Yet Complex Taxation

The Taiwanese tax system regarding real estate offers some advantages for foreign investors, but it’s important to understand it well to optimize your investment.

Reduced Transfer Taxes

Transfer taxes in Taiwan are relatively low compared to other Asian countries, with rates ranging between 2% and 6% depending on the property value.

Moderate Annual Property Tax

The annual property tax is calculated based on the estimated value of the property and generally ranges between 1% and 3%.

Taxed Real Estate Capital Gains

If the property is resold, the capital gain realized is subject to tax. The rate varies depending on the holding period of the property, with progressive reductions to encourage long-term investments.

Tax Treaties to Consider

It’s important to check for the existence of a tax treaty between Taiwan and your country of residence to avoid double taxation on rental income or capital gains.

A Well-Prepared File to Realize Your Project

To successfully complete your real estate acquisition in Taiwan, you’ll need to prepare a complete file containing several essential documents.

The Essentials

• Valid passport
• Visa or residence permit for Taiwan (depending on your situation)
• Proof of income and assets
• Bank statements from recent months

Specific Documents

• Certificate of non-real estate ownership in Taiwan (to be obtained from local authorities)
• Reciprocity certificate issued by your country’s embassy in Taiwan
• Application form for foreigner real estate purchase authorization

Property-Related Documents

• Seller’s title deed
• Plans and urban planning certificates
• Real estate appraisal report

Buying in Taiwan: An Accessible Yet Regulated Dream

Contrary to some misconceptions, it is entirely possible for a foreigner to acquire real estate in Taiwan. However, this possibility is subject to a strict regulatory framework that must be scrupulously followed.

A Multi-Step Procedure

• Obtaining government authorization
• Signing a preliminary sales agreement
• Thorough verification of the property and its legal status
• Securing financing (if necessary)
• Signing the final deed of sale before a notary
• Registering the property with Taiwanese authorities

Restrictions to Know

• Limitation to one real estate property per foreign individual
• Prohibition on resale for a period of 3 years after purchase (unless exempted)
• Obligation to annually declare the property to Taiwanese authorities

A Dynamic and Attractive Market

Despite these constraints, the Taiwanese real estate market remains very attractive to foreign investors, particularly due to:

• Prices still competitive compared to other Asian metropolises
• Interesting capital gain potential in the medium and long term
• A stable and growing economy
• A quality of life appreciated by expatriates

Therefore, purchasing real estate in Taiwan as a foreigner is entirely feasible, provided you surround yourself with the right support and scrupulously respect the current legal framework. With good preparation and the help of local professionals, your Taiwanese real estate project has every chance of being successfully realized.