Buying property in Thailand whether it’s a condo, a house/villa or a piece of land is fast becoming popular among foreign investors who would like to have a holiday home in Thailand or simply as a form of investment. The form of ownership can be either freehold or leasehold depending on the type of property to be purchased. Our firm is experienced in assisting foreigners with their property purchase. Always take legal advice from a property lawyer in Thailand.
Buying Property in Thailand
If you are going to buy real estate in Thailand then you need to ensure that you understand the real estate laws as well as the procedures when buying. There are also property transfer costs as well as checking that the real estate is not encumbered by a mortgage bond, usufruct, servitude, superficies or that the zoning is incorrect. Most people will complete a due diligence before they purchase real estate.
Thai Property Law (Buying & Tax)
Buying a condo in Thailand seems to be the most popular real estate transaction among foreigners in the Kingdom. The popularity of this practice may stem from the fact that condominiums are the only properties that foreigners can own free hold or that which can be registered in their own names. Foreigners are not allowed to own land in Thailand. But, there are certain avenues provided by Thai laws in which a foreigner may be able to acquire land in Thailand. Speak to a property lawyer first before you decide to buy real estate in Thailand as the Title Deeds are very complex especially if you want to buy a house in Thailand.
Thai Property Law (Property)
If you are considering investing in property in Thailand then you need to ask your lawyer to do a due diligence on the property you are wanting to buy especially when you buy a house in Thailand. The very basics of a due diligence has been listed below and the reasons why certain aspects of the real estate need to be checked. When you are buying real estate in Thailand you need to have a due diligence report done on the property not only to check the title deeds but also to ensure that there are no servitude’s registered against the title deed. Always speak to a real estate lawyer especially if you want to buy a house in Thailand.
Thai Property Law (Issues)
If you are married to a Thai then the property rights are defined by the Civil and Commercial Code of Thailand. These laws had mainly been written for Thai nationals so there are additional issues when it is a Thai and a foreigner when it comes to land in Thailand. The title deeds system in Thailand is not like anything in the West and many times this creates problems when foreigners buy real estate in the name of their Thai wife and don’t get what they thought they would be getting when they buy a house in Thailand.
Buying Property in Thailand FAQ
Can a foreigner buy a house in Thailand?
Foreigners are normally not allowed to own a house in Thailand. You cannot own land in Thailand however you can own the house on the land. The land may in the name of your Thai wife while the house is registered in your name. This is called registering a superficies.
How can I buy a house in Thailand?
You cannot own a house in Thailand as foreigners cannot own land. You can however own the building or house on the land without owning the land itself.
Is buying a condo in Thailand a good investment?
You will have to take proper investment advice when buying property in Thailand as an investment. The property market however changes and certain condo units have good returns while others have not. Good investments tend to be close to the mass transit system build by reputable developers.
Can foreigners buy a condominium unit in Thailand?
Yes you can buy a condominium unit in Thailand. Foreigners however are not allowed to own more than 49% of the units in the building. You will need to check if the unit can be registered in your name.
Can I Buy Property through a Thai Company?
Yes you can however there are tax implications. If your are the director in the company who holds the property and you live in it, then you will be asked about your tax status while living in a company house as a benefit. This is a grey legal area in Thailand.
Can foreigners buy land in Thailand?
No. You can only hold a leasehold agreement or usufruct over the land.