Luxe Living Asia

Before You Buy

What to know when buying property in Thailand


Buying property in Thailand – Bangkok in particular – is an attractive propositio­n. The luxury-property sector is booming and prices are far cheaper than those you’ll nd in Hong Kong. However, there are several factors – see below – that you’ll need to be aware of before making a purchase. And be sure to get legal advice, as laws can – and do – change.

•1 Foreign citizens are generally forbidden from owning land in Thailand, so many overseas buyers opt for the simplicity of buying a condominiu­m. It’s permitted as long as no less than 51 percent of the total area of all units in a residentia­l project is owned by Thai citizens.

•2 If you wish to buy or build a stand-alone home, you’ll need to obtain a 30-year lease from the landowner. Alternativ­ely, you can form a limited company in Thailand with a combinatio­n of Thai (a minimum 51 percent) and foreign ownershipˆ such a company has the right to own land.

•3 A foreigner is permitted to own land – up to one rai (1,600 square metres) – if he or she provides a minimum of 40 million baht (HK$10.32 million) to invest in speci ed Thai businesses and has received approval from the Ministry of the Interior.

•4 Most buyers from Hong Kong purchase new, o’-plan developmen­ts, for which the procedure is straightfo­rward: select condo, pay HK$20,000 booking fee, pay a 10 percent deposit within the following two weeks, pay another 10 percent deposit after signing the sales and purchase agreement, then pay the remainder once the property is nished and the transfer of ownership is made by the developer.

•5 If you want to buy a property with cash, you’ll rst have to transfer the total amount in Hong Kong or US dollars to a bank account in Thailand before continuing the process. If you wish to get a mortgage, chances are you’ll need to apply for an internatio­nal bank loan from the likes of UOB, ICBC or Bank of China.

 ??  ?? Your simplest option as a foreign buyer in Thailand is probably a condominiu­m
Your simplest option as a foreign buyer in Thailand is probably a condominiu­m

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