Real Estate in Thailand as a promising sector for foreign investments
The main things interesting for foreign investors are profitable prospects and a stable income. Of course, before investing in such an industry as real estate, one should carefully analyze the local market for prospects and risks. For many years Thailand has taken the central stage in Southeast Asia. The country has developed into a highly beneficial location for getting education, high quality medical services, and profitable real estate. Sea view property for sale in Thailand plays a crucial role in attracting foreign capital to the island.
Why foreigners prefer Thailand
Non-residents see a number of advantages that incline them to the decision to invest specifically in the real estate of the Land of Smiles.
- Thailand is a fairly developed country, which continues to evolve and grow in many different directions.
- The country has a fairly large market for low-cost industries.
- The Thai government provides favorable conditions for business, and this attracts many entrepreneurs from around the world.
- The conditions for buying real estate are also very favorable.
Comfortable atmosphere combined with a resort lifestyle impresses foreigners with the prospects, cost and living conditions, and forces them to relocate to the country. As such, tourism feeds a wide variety of areas of development of the state, and some business sectors, and the real estate market provides more convenient conditions for property purchase.
What forms of real estate ownership are present in Thailand
Freehold is an unconditional form of ownership. Purchased freehold property can be freely sold, inherited and rented by foreign nationals. In such a case, the Land Department of Thailand issues a document called “Chanot”, which confirms this form of ownership.
Leasehold is a form of ownership, limited up to 30 years. The Chanot you receive will have an expiration date. At the same time, you will receive a contract stating your unconditional right to extend the Chanot twice more, i.e. for another 60 years. You will also be able to sell, rent and inherit for the remainder of the term.
Land in Thailand can be sold to foreign nationals only in the leasehold. Therefore, if you decide to buy a villa or house in Thailand, you will have two contracts of sale – the structure in the freehold, land – in the leasehold.
In Thailand, apartment buildings have several statuses: condominiums or apartments. If the status of the building is identified as apartments, all apartments in it can be sold to foreigners only in leasehold. In freehold, you can make an apartment only in the condominium, the total area of the complex with all the infrastructure (pool, garden, etc.) is in joint ownership.
What procedure to perform to buy real estate in Thailand
The purchase procedure is as follows:
- A buyer together with a real estate agent select the property of interest in and agree with the owner on the price and conditions of purchase, such as:
- the cost of the property;
- what is or is not included in the price;
- who and in what proportions pays the Transfer Fee and the services of a law firm;
- the amount and date of the deposit (usually about 10%);
- the date of the transaction (money transfer);
- the date on which the property will be ready for occupancy by the new owners.
- After agreements are reached, both parties go to the local lawyer’s office where the subsequent process takes place:
- the buyer and seller sign a purchase/sale agreement that reflects all previous agreements;
- the seller submits copies (or originals) of the documents of title (Chanot) and passport (passports) to the law office for verification of authenticity and validity of the property rights to the object of transaction;
- after the law office verifies the documents, the buyer gives the seller a check (cash) as a security deposit.
- The buyer has enough time to arrange the transfer of the money to the territory of Thailand.
- Upon receiving the signal that the buyer is ready to pay for the transaction, the seller provides the original documents to the law office, which, based on the contract, conducts the transfer of ownership at the local Land Office from one owner to another. As a result, the buyer receives the title deed (Chanot) to the transaction with his name and passport number, and the seller receives a check.
The outcomes
Thailand-Real.Estate is a reliable resource for finding proven developers in Thailand. Buying real estate from the responsible seller becomes more facile as there will appear no unpredictable issues. Open the website, identify the suitable accommodation and enjoy your new purchase.
You May Also Enjoy
5 Top Tips for Running a Business From Home
The Importance of Time Management for Real Estate Investors
Transforming Your Condo into a Next-Gen Smart Home Experience
Nationwide House Price Index for October
Rightmove’s weekly mortgage tracker – 31/10/24
