Real Estate in Thailand can be complicated due to the Thailand Governments restrictions on foreign ownership. Due diligence, proper title review, mortgage registration and title transfers are vital to making sure you are buying what you want and will actually own your property.
Most Thailand real estate transactions for foreign purchasers circumvent the law, and are illegal. Our Thailand real estate lawyers employ a method to provide foreign citizens with a secure real estate transaction that does not circumvent the letter or intent of the law, and provides the maximum security for your investment.
The real estate market in Thailand has many foreign investors and developers, but has many complications due to the laws in Thailand, and proper protection is essential for foreign buyers. Our lawyers will carefully guide you through all aspects of your transaction.
Real Estate Agreements
In Thailand, you as the buyer must take responsibility yourself for all aspects of a real estate deal. There are no robust enforcement systems for property inspection, building codes, escrow, contract conformity, title transfer, marriage property, and other areas of property law. This is why working with a Thailand real estate lawyer is essential.
Those buyers who do not thoroughly review their property deals often end up in broken contracts and losing money with long term court litigation as a last recourse.
Our full range of services is described elsewhere, but one area we have found that presents particular difficulties for expatriates is the area of property purchase. Many expatriates, retiring to Thailand, wish to purchase a property here and discover that they can only do so in one of three ways:
- An expatriate married to a Thai can buy a property in the spouse’s name.
- An expatriate may purchase a condominium unit, providing he can prove that the purchase funds were brought into Thailand from abroad.
- An expatriate may form a Limited Company under Thai law, and purchase property as an asset of the company.
In all cases particularly the last, restrictions apply, and accurate advice is vital. Companies formed with the purpose of acquiring property must conform to the usual Thai company requirements: they must trade; they must pay tax; they must collect VAT; they must present monthly retutns and annual accounts to the local revenue office.
Companies which break these regulations may be subject to financial penalties, and, in extreme cases, confiscation of assets (i.e. the property).
Bangkok Legal is well qualified to offer expert advice, and appropriate business models to expatriates wishing to purchase property in Thailand.