When you look at buying in Tainan, there are really two paths: an old house you renovate, or a condo, either new or resale. We spent a long time on the first before we ended up on the second. Here is what we learned, followed by the facts on who can buy, how it works and what it costs.
Check for yourself. This is what we learned and what official sources and the press said when we checked (October 2026). It isn't legal, tax or financial advice. Rules, rates and prices change, and some details here may already be out of date. Do your own research and talk to a licensed real estate agent, a land scrivener (地政士) and, if you need one, a lawyer or accountant before you commit.
The dream: an old Tainan house
This is where most people start, and so did we. Buying an old house and renovating it is hugely appealing: the old textured glass, the unique interiors and facades, that authentic Tainan style. We looked at probably 50 homes.
In the end we realized one problem. They're great until they're not. For us, these were the deal breakers:
- Trash. No building trash service: you wait for the garbage truck and its music, on its schedule.
- Comfort. Sometimes poor insulation, so colder in winter.
- Water. On the ground level there can be a flood risk.
- Stairs. Narrow stairs over two, three or even four levels, which get harder as you get older.
- What's behind the walls. Older wiring and plumbing, and the question of how well the building would do in an earthquake.
When we sat back and thought about it, the condo route made the most sense for us.
New or resale?
We looked at finished, used apartments too, and they can be a great option. But when we compared prices, we found that Tainan property seemed to hold its value, so we felt we might as well go new. The timing of new projects also suited what we wanted: a home a few years from now, when they complete, rather than today.
The numbers back up the "held its value" part. Tainan's official residential price index was 136.80 in July 2026 (January 2021 = 100): down about 2% from a year earlier, but still well above 2021 (Economic Daily News, September 2026). New homes cost a lot more than resale: one brokerage's analysis put pre-sale prices 60% to 77% above resale in West Central, Xinying and Anping (NOWnews, May 2025).
→ The development areas we like, with recent prices
Can foreigners buy property in Taiwan?
Often yes, depending on your nationality. The rules are in the Land Act (土地法):
- Reciprocity (article 18). Foreigners can buy only if their country lets Taiwanese citizens buy there too. The Ministry of the Interior keeps the list of countries, and for some countries, such as the United States, eligibility is listed state by state. Check your country on the current Ministry of the Interior land administration list.
- What you can buy (articles 17 and 19). Homes are allowed. Some land is off limits to foreigners, including forest, fishing, salt and mining land, water-source land and military or border areas.
- Approval (article 20). A foreign buyer applies through the land office for approval from the city government (Tainan City Government here), which decides within 14 days.
- Buyers from mainland China fall under a separate law and need permission from the Ministry of the Interior.
Foreign buyers are a small part of the market: foreigners acquired 857 buildings across Taiwan in 2025, the lowest since 2005 (Economic Daily News, March 2026).
Mortgages
Taiwan's central bank limits how much banks can lend on some homes (selective credit controls). As of September 2026:
- First home: no central bank cap; the bank decides.
- Second home: up to 70% of the value, with no interest-only grace period. This was raised from 50% to 60% in March 2026, then to 70% from 18 September 2026 (Economic Daily News, September 2026).
- Third and later homes, high-priced homes and company buyers: up to 30%. In Tainan a "high-priced" home starts at NT$40 million.
We couldn't find official rules on bank lending to foreigners. Each bank sets its own conditions, so ask a few banks directly before you count on a loan.
How buying works
Pre-sale (預售屋): buying a new home before it's built
- You get at least five days to review the contract before you sign.
- You pay in stages as each phase of construction is completed, and the mortgage is drawn at handover.
- Since 1 July 2023 you can't resell or transfer a pre-sale contract to someone else, except to close family or in approved hardship cases. Buyers and sellers who break this face fines of NT$500,000 to NT$3 million per unit (Equalization of Land Rights Act, articles 47-4 and 81-3).
- Pre-sale prices are reported to the government's actual-price register, so you can compare.
A completed home, new or resale
- You make an offer, usually through an agent, then sign a contract.
- Payment normally goes through an escrow (履約保證) account until the title transfers.
- A land scrivener (地政士, often called a 代書) handles the title transfer and registration.
- Agent commission is capped at 6% of the price in total across buyer and seller under Ministry of the Interior rules, as reported by Economic Daily News; how it's split is negotiated.
Taxes and costs
- Deed tax (契稅): 6% of the building's government-assessed value (not the sale price), paid by the buyer within 30 days (Deed Tax Act).
- Other fees: stamp tax, registration fees, the scrivener's fee and, if you use one, the agent's commission. Ask for a written estimate up front.
- House tax (房屋稅): since July 2024, 1.2% of the assessed value for an owner-occupied home, or 1% if it's your household's only home and below a value threshold. Homes that aren't owner-occupied pay more; in Tainan the rate for up to two such homes is 2.6% (Economic Daily News, August 2026).
- When you sell (房地合一稅): the tax on your gain depends on how long you held it. Residents pay 45% within 2 years, 35% within 5, 20% within 10 and 15% after that; non-residents pay 45% within 2 years and 35% after. There is a tax-free allowance of NT$4 million for a home you have registered at and lived in for six years (Income Tax Act).
Sources
Land Act (土地法) articles 17 to 20; Equalization of Land Rights Act (平均地權條例) articles 47-4 and 81-3; Deed Tax Act (契稅條例); House Tax Act (房屋稅條例) article 5; Income Tax Act (所得稅法) articles 4-5 and 14-4. Loan caps: Economic Daily News, March 2026 and September 2026. Agent commission cap: UDN, May 2026. Foreign buyers: Economic Daily News, March 2026. Prices: Economic Daily News, September 2026, NOWnews, May 2025. The opinions are ours. Checked October 2026.