Buying Land and property in Thailand
Can Foreigners Own Property in Thailand?
With a Non-Thai in a Thai company this is restricted to buying only
up-to one Rai (1,600 sqm) of land
Foreigners are restricted at the moment from owning land in Thailand in their own name, here are two effective ways in which you are able to register ownership of land while still complying legally within the Thai law.
The following is the simplify form how to buy/lease land and property:
30 Year Lease Option
A form of buying land for foreigners is through a 30 year Leasehold Agreement listed on Land Department.
These are commonly written up as 30 year leases with an amendment written into the contract, not listed on Land Department. for two further 30 year renewals for a lease term of a total of 90 years.
The lease contract can also include clauses that will bind the owner of the land to automatically allow freehold ownership if Thai law changes to allow foreign ownership. Also the right to sell, sublet, or transfer the lease agreement. This will enable you through a leasehold contract purchase to have full control over the land but not the ownership for the lease term.
Below you will find the law text.
Thai Limited Company
Which is the most used way to day when you have the full power of the property.
You can setup a Thai Limited Company with 3-7 shareholders, 2-3 Thai, 1-2 foreigner.
In principiel the foreigner can have 49 % of the shares, and articles in the company can be so that the foreigner is manager and the only who can represent the company, and in this way the only who can sell and buy. In this way the other shareholders have no influence. Now the company can buy the land or property.
Later you can sell the company or property and get your money free.
So is the law but the lawyer take care of setup up the Thai Limited Company and all about it, all you have to do is to make your signature it takes about one hour and 3 weeks later you have the company. Now you can buy what you want and the lawyer will take care of that the deed is correct and help anywhere.
All these things w e take care off, you can just follow us. We are here and help you with all which are nessecery, before you buy and after you have bought we are still here and can show you where to buy things to your new house, open bank account, register with water, electricity, internet etc.
The lawyer,Mr. Polpinit Chinasit (TON) http://www.notary-th.com is Thai, grown up in Switzerland, until he was 25 and speak thai, english and german. He can also help with other practical things you may have here in Thailand.
He is an invaluable help, all is made correct after the law and you can enjoy your stay here and sleep securely in the night.
Now we can go to the Land Department with the seller and change the name of the deed, and when this is done you pay the seller and get the deed.
Transfer fees is a kind of tax which is paid to the Land Department for making the change on the deed, and it cost about 6.5 %, but it depend on more things like age, size of the building and the land size and value.
It cost, at the moment, THB 29.500.- to setup a Thai Limited Company.
for a "one million company"
a "two million company" THB 38.000.-
and + 15.000.- for each million. The size of the company depent of the value of the property. The lawyer will advice which type you need.
Land Department meeting THB 38.000.-
The lawyer takes care of the change of name / registration of the deed of Land office, and when your name / company name has been changed to yours the remaining payment of the purchase price will be paid.
Every year the lawyer make a statement an send it to the government and take care of the company at all and it cost at the moment per year THB 13.000.-
The company pay every year business tax, at the moment, THB 500.- to 3.000.-
In Thailand the land tax is very low of the Land and property.
So all you have to pay every year is about THB 13.000.- + tax and maintenance.+ what you use of water and electricity after meter.
If the property is located within a particular area may be some common costs of maintenance, swimming pool and security guards and so on.