Can I own a property in Thailand?
Although the law does not allow foreigners to own land in Thailand, they can own the buildings on the land. However, there are exceptions: A foreign company may buy land if it has Board of Investment (BOI) privileges and the land is part of the project (usually manufacturing). Ownership is tied very strictly to the BOI terms and conditions agreed with the company. A new law (Land Code Section 96, 2002) allows a foreigner to buy up to one Rai. Companies and partnerships also fall under the strict laws on land ownership by foreigners. A foreigner can only own up to 49% of a company and this restricts the ownership of land as well. It is often difficult for even a company with 51/49% ownership unless you use an experienced real estate lawyer like CMS Law Associates Co., Ltd. Leasehold: Thai law allows a maximum lease period of 30 years, with the possibility to extend for a further 30+30 years. At the end of each term, both parties must register the renewal with the Land Department and pay government fees, including stamp duty. This gives the lessee “ownership” of the land. The downside is that the Lessor may not wish to renew, or the law may change to your detriment in the future. Any capital you invest into leased property is therefore liable to be lost. In addition, leased land is not easy to trade. Nominee: You can nominate a Thai to own the property for you. Definitely not recommended. Nominee with a mortgage: You can lend the price of the property to a Thai under a legally executed mortgage or loan agreement. There is a small fee payable at the Land Office to register it. The advantage to this is that the nominee cannot sell the property until the mortgage or loan has been repaid in full. Your lawyers should also set up a Last Will & Testament when they set up this type of transaction so that if the foreigner dies first the mortgage or loan is discharged in full and the Thai can inherit the property. If the Thai nominee dies first the foreigner can inherit the land, but must sell it to a Thai within 12 months. Foreigners buying property in Thailand should always write a new will to avoid any future problems for the Executors and Beneficiaries. Freehold: Foreigners can buy and own condominiums Freehold, giving you full ownership rights to buy, sell, trade and bequeath your condominium. However, the law states that foreigners may only own up to 49% of any condominium building. So make sure your lawyer checks this before buying a property. The seller must also provide a document from the Juristic management office stating that the condominium is free from all debts. Company Ownership: A highly recommended way to buy and own property is by setting up a company when buying a house, land, or other property that is not a condominium. An experienced real estate lawyer can help you do this and ensure that you control the property without interference from your nominee Thai partners.
Can a real estate agent help me to decide what and where to buy?
Yes indeed, the decision will come from you only but our service is very personal and is starts with a friendly but to the bottom conversation. The more details we know about you and your strict requirements about property in Thailand, the closer we can get to the perfect match. We can help you make de decision based on hard facts, realistic figures and our own knowledge and years of experience in the world of Thailand Property and while you get your dream property, we protect you against mall practices.
What can a good real estate agent do for me?
Coming to us to buy property gives you an end to end solution because our services cover all aspects of buying property in Thailand. That will start from a very personalized assistance from finding the right property that fits your budget and requirements for a fully 100 percent. Once we have found that, we will assist you with the purchase process. We bring in a team for professional and legal advisers.
What does the real estate agent do after sales? After sales service that we proved is part of the service, it concerns: manage your property, renovations, rentals and resell your property again.
Can I save this money and to direct to the developer?
It is known that some agents in Thailand will collect a 5% fee for their services. But to get a potential buyer, they have spent lots of marketing budget such as advertising to help promote the developer. Developers need agents to sell their property so they will almost never sell behind the agents back. That will cost them lots of business in the future, once the act is know and it always will come to the surface. You can go direct to the developer but will not get any direct advantage of that, surely not financially.