When purchasing property in Thailand, it is important to understand the country’s real estate market. This includes the various types of properties available, as well as their prices.
It is also important to familiarize yourself with the legalities involved in buying property in Thailand. This includes examining the property’s title deed and addressing any possible legal issues.
The best place to buy property in Thailand will depend on your long-term plans and needs. You might be looking for a vacation home or investment opportunity, and you should consider the growth potential of a location and its proximity to other amenities.
It is a good idea to hire an experienced Thai real estate agent, as they can help you negotiate a fair price and avoid costly mistakes. They can also act as a liaison between you and the seller or developer, which can save you time and money.
Before you purchase a property, make sure to check the title deed carefully. You should also get a survey done by a professional surveyor, who can help you uncover any problems. Look for a surveyor who is registered with the RICS (Royal Institution of Chartered Surveyors). They will carry out a full title search and due diligence on behalf of you. Moreover, they can provide you with an accurate estimate of the property’s value.
A competent property agent can help you find a range of properties that meet your price and needs. They’ll also be able to assist with the purchase process and negotiations, saving you valuable time.
Foreign buyers in Thailand aren’t allowed to own land but may purchase condominiums or a villa with a freehold title. However, a foreigner can only own 49% of a branded residence under this arrangement, and the maximum lease period is 30 years.
The Covid-19 pandemic has significantly impacted Thailand’s housing market, with house prices stagnating or falling and construction activity slowing1. However, the housing sector is expected to recover in the future. It is important to verify the information in a sales contract against that specified in the title deed and to consult with a Thai real estate lawyer about the process. They can perform a detailed property contract review and ensure that the transfer fees, taxes, and foreign exchange transaction forms are compliant with Bank of Thailand regulations.
As with any property purchase, there are a number of financial considerations when buying a home in Thailand. Firstly, you should seek advice from a competent real estate agent. They will save you a great deal of time, effort and money by helping you to find a suitable range of properties that align with your budget and requirements. They can also serve as a liaison between you and the developer or seller, ensuring that your interests are represented at every stage of the process.
Although foreigners cannot buy land in Thailand, they can legally acquire condominiums provided the development abides by Thai law regarding ownership, which allows up to 49% foreign ownership of the total unit space. Alternatively, expats can purchase villas and larger properties through long-term leases (cchamnng, jam-nong) that last up to 30 years and can be renewed twice. During this period, it is advisable to get building insurance cover. While not a legal requirement, this is worth considering as it can protect against fires, floods and burst pipes.
In Thailand most property is owned by individuals. Roughly 73% of Thais own their homes, with detached houses (baanediiyw or baan diieow) accounting for the majority.
It is advisable to have a lawyer who specializes in Thai property law perform a thorough property contract review. This can prevent you from being taken advantage of by unscrupulous vendors and protect your interests throughout the buying process.
Since land ownership for foreigners is limited, most properties in Thailand are on a long-term lease. The maximum lease period is 30 years and can be extended or renewed.
Another common way for expats to obtain more complete property rights is by setting up a Thai limited company. However, this is a complex process and requires significant legal knowledge and expertise. Furthermore, such companies are subject to strict tax requirements and must be registered with the Department of Business Development. As a result, this option is not recommended for everyone.