What are the requirements to become the owner of an apartment in Thailand?
It is possible for a foreigner to buy an apartment in a condominium (co-ownership) and become its owner (in full ownership, or freehold ) ,
provided, however, that foreigners do not represent more than 49% (in terms of living space). To ensure this, you must ask the trustee ( juristic person ) for a letter attesting to the distribution between Thai owners and foreign owners. This letter must be produced to the Land Department (equivalent to the Land Registry) upon transfer of ownership.
Obviously this process is not easy for everyone, such as checking the “Foreign Quota” or occupancy rate by foreigners in a co-ownership, certifying it and officially registering it in the local land registry, hence the usefulness, among other things, of being supported by a good agency well established locally, with the know-how, competent Thai staff and specialized lawyers, in order to carry out all these procedures easily.
The second condition is that the money used to finance the purchase comes from abroad, and is in foreign currency (a transfer from France to euros, for example). The receiving bank then issues a certificate (simple certificate or FETF, Foreign Exchange Transaction Form , depending on the amount). The transfer can be made from your account in France or elsewhere, to an account that you have opened in Thailand in your name, or directly to the promoter’s account.
It should be noted that the bank certificate is also useful in the event of resale of the property, in order to possibly repatriate the funds to the country of origin.
Can a foreigner own land in Thailand?
Land in Thailand cannot be owned by foreigners, yet most transactions, particularly in Hua Hin, concern villas with swimming pools! (Growth of 7 to 8% each year.) Have customers (around the world) all lost their minds!?
Explanation: a foreigner can very well be the owner of real estate built on land! To do this, it is sufficient for the deed of sale to be registered with the Land Department (equivalent to the Land Registry).
So what is the solution to buying a house without owning the land?
The solution to peacefully having land without owning it is to rent it for a long term .
This is called “leasehold” (as opposed to freehold ), or emphyteutic lease in French. This type of real estate lease, common in Anglo-Saxon countries, also in Singapore, registered with the Land Department , is for a period of thirty years, but most of the contracts now registered provide for a renewal of an additional thirty years, and after thirty more years. This is the most frequently adopted solution, and which offers a real guarantee, because official, the owner of the land will not be able to claim ownership of the house or villa built on the land during that time, and which constitutes a separate property, registered over a sufficiently long period to no longer hinder anyone wishing to invest.
Furthermore, in the case of a transfer, the rights holders benefit from the same terms of the contract on their behalf, and in the case of a transfer sale, in most cases the new buyer starts from scratch on a new “lease “.
