Can I buy property in Thailand?

Discussion in 'Thailand property' started by Adventures In Money Makin, Mar 14, 2007.

  1. I'd like to buy a vacation rental in southern thailand near Ao Nang.

    any leads, suggestions?

    thanks.
     
  2. BDM

    BDM New Member


    Hi there,

    try phuketrealestate.com, they also have property for sale in Krabi.

    good luck.
     
  3. egeefay

    egeefay Senior Member

    In Thailand if you are not Thai You can buy a condo but you can't buy land. So if you want to buy a house on a plot of land you can own the house but might have to lease the land.
     
  4. Jack Dosan

    Jack Dosan New Member

    Buying Property in Thailand

    You got a plenty of options if you're buying a property in Thailand -- Holiday renting and purchase is also on the surge as increased number of tourists in Thailand willing to spend good time in the beautiful nation. Seek the help of trusted and well-established player in the market for a smooth transaction. My recommendation would be<snip>-- they're amazing and easy to approach with. Good luck bro..
     
    Last edited by a moderator: Oct 19, 2010
  5. London_property

    London_property New Member

    Buying in Thailand

    You can own a condominium unit in your own name if it is demised as such and part of a building where a minimum 51% is Thai owned.

    You cannot legally own land.

    There are ways around this, although I would caution you to NEVER invest more in Thailand than you are prepared to lose.

    You can have a lease of up to 30 years on land and you can own the structure of any building you choose to build on it. The legality of a further 30 year option is, to my knowledge, untested. Remember - in Thailand you are a farang and rule of law is very flexible, potentially to your disadvantage if you're up against a local - and definitely to your disadvantage if they have "connections".

    Many foreigners use a company with nominee Thai shareholders. I understand that companies with any foreign shareholding at all are routinely audited - more I understand to extract money for the Revenue Department than any concerted attempt to confiscate your land. allow around 100 Us a month to prepare and submit accounts and ensure that you pay "rent" the property to "your" company, so the whole thing washes its face as far as the Revenue Dept are concerned.

    My own advice? Rent a piece of "paradise" and invest your capital in another country - ideally one with a fair judicial system that actually welcomes and values foreign investment.

    Should the political situation deteriorate further, you may want to have only portable assets in the "Land of Smiles"
     
  6. London_property

    London_property New Member

    Looks like portable assets are an advantage, judging by the news.

    FWIW a client, who was a developer in Thailand, came up with an interesting way of getting $$ out of Thailand. Especially valid right now, with the baht so high.

    Stuck with a large Thai baht account in Thailand, he simply bought a yacht - and sailed it out!
     
  7. TCproperty

    TCproperty New Member

    Hey there,

    Foreigners are not permitted to purchase land in Thailand.
     
  8. egeefay

    egeefay Senior Member

    Until Thailand changes it's rules barring foreign ownership you might want to keep your money in your wallet. If you really like living in Thailand....rent.
    The mistake many foreigners make is to assume that Thailands property laws are like they are in the home country.
    In fact, Thailand, for years has discouraged foreigners from buying property in Thailand. Just a few years ago, a Thai woman who married a foreign man, lost her rights to own property in HER OWN COUNTRY. That's how paranoid Thais are about foreigners "overtaking" their country.

    The laws were changed recently to allow HER to own property...but not her foreign husband. So if a couple invests in property in Thailand....she has title to the land. He has no claim to the property.
    So if they should get divorced....she gets the property and he gets the boot.
     
  9. ThailandProperty

    ThailandProperty New Member

    The Thai spouse owns the land but it is perfectly legal for the farang to own the property built upon the land. I know of many people who have bought property in Thailand and put it into the wifes name. It all depends on trust, which is something all marriages should be built upon and morals. Foreigners do have legal rights in Thailand.

    Lee
     
  10. bkkguy

    bkkguy New Member

    Of course marriages are based on trust, but you have to plan for the possibility that the marriage may break down. I would be very wary of buying property in Thailand. Foreigners have rights, but not as many rights as Thais have.
     
  11. egeefay

    egeefay Senior Member

    Rent Rent Rent

    If you decide you want to move to Thailand I would recommend RENTING especially during the first few years.

    Thailand's property laws make it difficult for foreigners to own land. PERIOD. Thailand is not like America where even an illegal alien can get a loan to buy a house and own it with all the protections of a legal citizen. Thais have mistrusted foreigners so much so that until recently a Thai who married a foreigner was stripped of his/her rights to own property in Thailand. That's how paranoid they are about foreigners buying up Thai property.

    The political situation in Thailand is anything but stable. The recent riots that paralyzed Bangkok and left 92 dead in the streets were put down by the military. But the issues have not been settled. Real estate values in Thailand have been negatively affected by the unrest.

    Thailand has over 18 military coups in the last 60 years. It's government and the policies , rules and regulation regarding foreigners living in Thailand and their real estate investment can change overnight depending on who is in power. What is permitted today could be revoked tomorrow.

    That's why I advise RENTING rather than buying.
    1. Renting is easy and straightforward. You don't have to be a Thai citizen to rent. There are no restrictions on what you can rent. A condo, a house, a loft. The agreement is between you and the landlord. No need to marry a Thai citizen, form a company, sign a prenuptial agreement, or lease the land for 30 years.

    2. You don't have to worry about the political situation. If a new government comes in that is "anti-foreign", or riots break out across the country you can pack your bags and be on your way back to your home country. You won't be stuck trying to unload your Thai investment at a loss.

    3. If you decide you made a mistake and don't like where you are living you can pack up and move. You aren't stuck having to put up with noisy neighbors, thieves in the night, dogs prowling your neighborhood, low water pressure, or the nail factory that moved in next door. When your bit of paradise no longer meets your needs...you can just give the landlord notice.

    4. The money that you would have spent buying a house or a condo is in YOUR bank account. It's not tied up in an investment that may be hard to liquidate should you need to cash out quickly. I have many foreign friends in Thailand whose life savings are tied up in real estate investments in Thailand. Some of them want to return to their homeland but can't until they unload their condos/houses.
     
  12. TCproperty

    TCproperty New Member

    Better safe than sorry

    Better safe than sorry I would say. There is no harm done if you buy e.g. a condo which a foreigner can own in his own name or set-up a Thai Co., Ltd if you wish to purchase a house and land. Some also consider registering a 'lease' at the land-office department. If I was to get married in my own country; I would still make sure that my 'interests' were protected by law. No big difference from getting married here in Thailand. However, funny enough, it seems that most foreigners living in Thailand all of a sudden lose their grip on control once they enter 'agreements' of many kinds...
     
  13. TCproperty

    TCproperty New Member

    Handbags, watches, great food, great people, great lifestyle!
    You should consider to move to Thailand. I did it over 12 years ago and I still regret I didn't do it before! Thailand is amazing and living here and working [ :tomato: ] is wonderful.
    I am based in Pattaya by the way....
     
  14. mortagage

    mortagage New Member

    Thanks for this information, I had tentatively considered buying in Thailand, but was put off by the rumours that 'firangs' can't own property. This has clarified the situation for me.
     
  15. dingram041

    dingram041 New Member

    I read this to which someone selling their house wrote; not me, but someone else; hope it helps as I'm now considering buying it!

    Owing a House or Land in Thailand

    I now have about 15 years experience of Thai Laws concerning property and land etc.

    Not as a business, just me and my family.

    I want to sell my house to you, so below is my honest opinion of owning your own Dream Home in the Sun.

    Buying land or property in Thailand is attractive for investment or business reasons as well as residence or retirement purposes.

    In general, foreigners can own buildings and houses in Thailand as Thai land law places no nationality restrictions on ownership of houses or buildings in Thailand.

    Many foreigners wish to buy or lease land in Thailand but are confused by

    the often contradictory information and misleading claims on the internet.





    There are specific legal issues under Thai land law regulating the ability of

    foreign nationals to buy or acquire rights to land and property in Thailand.


    Here is a summary of some of the basic principles.

    Any foreigner may own a condo or even a large house, the problem with a house is the land under it.




    In Thailand, anybody who is not Thai can only own 49% of the land.


    This law was made many years ago, as land was so cheap there, that there was a risk of foreigners buying the whole of Thailand.

    However there are 3 ways around this (like always) which is why many foreigners do own large amounts of land there.


    1. Lease (90 years)

    Although Thailand land law restricts land ownership rights to non-Thai citizens, foreigners may hold 100% interest in a Thailand land lease.

    Some foreigners who "own" land and houses, as opposed to condos, which can be owned outright,


    go for a leasehold agreement of typically 30 years, with two prepaid 30-year renewals.

    90 years in total.


    The lease will include clauses that automatically allow freehold ownership to you if the laws of foreign


    ownership change in the future, and the right to sell and/or transfer the property.

    This gives you 90 years with strong backup, making it effectively ownership.



    While you lease land, all the buildings, either on the land when it was purchased,


    or improved or built by you after purchasing the land, are yours freehold.





    Technically this means that once the lease expires, the owner of the land must purchase the


    building(s) at an independently and legally valued price, or negotiate another lease period.




    There is also the option to convert, at any time, to freehold.


    That way, if you or one of your family happen to marry a lovely Thai lady or Man and start a family,


    you could transfer your land and/or house to them.

    2. Company Ownership

    To set up a Thai Co Ltd Company (cost around £500).

    You would be Owner/Director of the company. The company would have 7 shareholders.

    The company would purchase the land. You would own any property on the land anyway.

    It costs about £100 a year to have your accounts done by a Thai accountancy office and you have to pay about £10 a year tax. That’s it.

    If you ever sell the house you can always then sell the company, you will always get back more than you have paid in running costs.



    3. Investment in Thailand (for the rich or business person)

    Thai land law allows foreigners to buy and own a limited amount of land based on investment of


    40 million Baht, provided that the land is used for residential purposes.

    You may own one Rai of land (1 Rai is 40m x 40m) about half an acre.

    The land that is with my house is twice this size (2 Rai) about 1 acre. 80m x 80m

    45m Beach front and going back about 75m to be exact.


    There is plenty of room to build a Swimming Pool, Bungalows for friends or even another House.




    5. Land Title Deeds (Very important)

    One thing you need to be aware of is the title status of the land you are purchasing.


    In much of Thailand, including favourite places to buy for foreigners like Phuket, Ko Samui, Pattaya and Hua Hin,


    most land has not been surveyed or has been dubiously titled.




    Land is titled depending on its survey status. Often prices vary greatly depending on the type title.


    Make sure of the land title before you buy, or you might find someone else laying claim to your land later down the road.

    Chanott Ti Din (My Land) are title deeds where the land has been accurately surveyed.

    If you buy land with this title deed, it gives you incontestable possession of the land.





    As it stands, most "titles" around the country are "Nor Sor Sam" or "Nor Sor Sam Kor".


    They are land title deeds in as much as clear records of ownership are maintained,


    and that they may be sold or leased, but they tend to be less accurately surveyed than Chanott titles.


    If purchasing Nor Sor Sam-titled land that lacks clearly defined physical boundaries,


    ask the owner to stake out the boundaries and then ask neighbouring landowners to confirm his work.



    And there are more. But these are not worth talking about.




    If you want my honest opinion, don’t but any land that is not Chanott Ti Din titled.

    I know what you have just read may sound very complicated but it is not.
     
  16. bkkguy

    bkkguy New Member

    This is reason enough for me not to want to buy. Yes it's possible, but it's such a hassle that I can't see why you'd bother if it was just for investment purposes. There are plenty of great investments available around the world, so no point choosing one in a country where it's this complicated.

    There is also the possibility of the law changing. You could then have the land taken away from you. I don't know how likely this is, but Thailand is known for its army coups, so why take the risk?

    And if you needed to sell the land to a non-Thai in the future, I don't think you'd have (m)any buyers lining up.
     
    Last edited: Jan 24, 2011
  17. dingram041

    dingram041 New Member

    You may be right BKK.....but the house is a 5 bed detached in Koi Sumui....and it's beautiful.......I'd only be looking to flip if anything.....as it's a total bargain, being designed by a Plymouthian like me.......so having the English structure of the house......but food for thought! I'll take that advice of yours and keep it in mind....very wise words BKK! I'm just dying to get on the investment ladder and my, it's a lovely house!

    The one thing with this house, is with him being so close....can also get him to advise the best way to get the land! But believe me, have taken heed on what you say...and will probably be the difference between me buying or not!

    It's also 50m from the beach!! If I could get the land then it would also include 1 acre of beach front land.....which may be worth getting a company name set up for as I could sell that on also!
     
    Last edited: Jan 24, 2011
  18. bkkguy

    bkkguy New Member

    It may be a beautiful house, but if it's an investment then you shouldn't be using your emotions. It's irrelevant wether it's beautiful or ugly. The only question is whether it's a good investment. Parts of Bangkok regularly get flooded. Not sure what Koi Sumui is like for flooding, but if it's near the sea it could be under water soon.
     
  19. bkkguy

    bkkguy New Member

    Do a Google search for "koh samui flooding 2010". Plenty of videos.
     
  20. dingram041

    dingram041 New Member

    I've just spoken to the owner and he said that he never had any flooding as it's flat where he is.....and no big rivers nearby so never had any problems. He said it's like England where in certain places you get flooding....his property and the area had no problems. The good thing about this property is on the land which is beachfront, once getting a company name, there's room enough to build another 3 houses if required. He's also offered me to go over there and stay at the place which he will pay for and only if I don't buy it, he will require me to just give my air fare to him. Sounds like a plan! He is also on the end of the phone to any problems I may have and will enable me to have all the advice I need. I will put the property up soon.......
     
    Last edited: Jan 24, 2011
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