What is the average price per rai for chanote land used for rice farming?

[JustAnotherFarang]

Hi guys

 

My wifes sister wants to sell 7-8 rai of chanote land which she has used for rice farming in a place called Sala Khem near to Khon Kaen.  She says the average price is around 200,000 bht per rai but for family she will sell it for 130,000 bht.  The land does have access, water and electricity if that makes any difference.  Is this worth investing in ?

 

JAF

Edited June 29, 2018 by JustAnotherFarang

[simoh1490]

Where in Issan?

 

Road access?

 

 

[JustAnotherFarang]

4 minutes ago, simoh1490 said:

Where in Issan?

 

Road access?

 

 

My wife said it is in a province called Sala Kham and that it has road access similar to a soi, "cars can go in" she said.

[ubonjoe]

16 minutes ago, JustAnotherFarang said:

My wife said it is in a province called Sala Kham and that it has road access similar to a soi, "cars can go in" she said.

The province is more than likely Khon Kaen. I would guess that Sala Khem is sub district or a village name.

[JustAnotherFarang]

Maha Sarakham - Ban Kuu En ( please forgive my transliteration)

[4MyEgo]

4 hours ago, JustAnotherFarang said:

Maha Sarakham - Ban Kuu En ( please forgive my transliteration)

The most important thing to consider is, and forgive my upfrontness, but how much are you prepared to lose.

 

This is a question that must be brought up with all farang men, and the reason I say this is because 8 x 130,000 baht = 1 million odd baht, that said, the land would be in your wife's name, so might as well ask yourself would you put a million baht in your wife's account, that said, I love my wife of 11 years dearly, and I trust her, but it has got nothing to do with trust, it has got to do with leaving yourself open in the event, if something ever goes wrong in your relationship and many relationships do go south, and many farangs get burnt.

 

Your money, do with it what you want, but only invest as much as your prepared to lose, a general rule is 10%, and I apologise if you take offense to this advice, as it has nothing to do with answering your question, that said, my money is invested overseas, I have total control over it, and my wife and children will get it when I am good and gone, as per my will, that said with a will, I can change things pretty quickly if I need to, purchasing land in her name with my money means I have no control.

 

Ask yourself this, If it's worth 200,000 baht per rai, why would she be prepared to lose 70,000 baht per rai x 8 = 420,000 which would take an average Thai worker on 300 baht per day, 5 days a week, 52 weeks a year, 6 years to save that kind of money, yet they also have to survive, so say 10 years, does your sister-in-law fancy you that much, just saying.

 

If I was to guess a figure as to what the land would be worth, around 80,000 baht per rai 'tops"

 

Edited June 29, 2018 by 4MyEgo

[thaiguzzi]

Always the same answer - how long is a piece of string?

If all 7 rai are adjacent to a tarmac road (ie the property is very wide but not deep) with electric pylons running past, then 200k per rai is a minimum price.

If it is one rai with tarmac road frontage and the rest is deep away from the road, then the first rai is worth a load and the other 6 not so.

How far from a village? How far from a town?

Prices in different provinces are all over the place due to varying degrees of soil, weather, popularity, yada nada da bing............

Other variables too.

Like i said - how long is a piece of string...........

[Kerryd]

Make bluddy sure you do it "legally" (if you go ahead with it) as in, have the title checked for liens and I'd advise going through a lawyer to make sure everything is on the "up and up".

 

For example, I saw a nice house on 5 rai in the girlfriend's village. She told me that the owner was overseas and wanted to sell the place for 1.2 mil. However, she'd also told me that the owner had borrowed money (from a local money lender) using the house and land as a guarantee. I was told "no problem", everything "jing jing" and if I bought the house the owner would pay off the money lender (all using the "pressing thumb downwards as if making a thumbprint" gesture). 

I offered to give the owner the 600k and pay off the money lender myself (but apparently the money was lent using the same thumb motion described above so no receipt or documentation of any kind). That offer was turned down.

 

I then told the g/f that the only way I'd consider buying the place is if it went through my lawyer and the company bought it.

 

Oddly enough, suddenly the owner no longer wanted to sell the place (according to the girlfriend at least) ! Strange how they were so eager to sell if everything was "thumb press - jing jing" but got cold feet when I wanted to bring the lawyer in.

 

You could probably also look at the property on Google Maps (if you can't go look personally) though the images may be outdated by a few years. Could still give you an indication of where the property is in relation to nearby roads and such.

[Formaleins]

12 hours ago, thaiguzzi said:

Always the same answer - how long is a piece of string?

If all 7 rai are adjacent to a tarmac road (ie the property is very wide but not deep) with electric pylons running past, then 200k per rai is a minimum price.

If it is one rai with tarmac road frontage and the rest is deep away from the road, then the first rai is worth a load and the other 6 not so.

How far from a village? How far from a town?

Prices in different provinces are all over the place due to varying degrees of soil, weather, popularity, yada nada da bing............

Other variables too.

Like i said - how long is a piece of string...........

Exactly, you can only put a ball park guestimate at best - Even similar land a few hundred metres away can command totally different prices. When we were first looking at land in 1997 in one small area alone it ranged from 6000 Baht / Rai to over 100,000 / Rai, depending on title, access, inhabitation by evil spirits etc.

[thaipo7]

Yes, those evil spirits can really drive the value of land down.   

[rwill]

you can go on ddproperty and look for similar land for sale in that area.

[TheFishman1]

Don’t do it TIT

[JustAnotherFarang]

Just now, TheFishman1 said:

Don’t do it TIT

It is the simplest advice that has been mirrored in all the comments above.  I think I will pass on it, I have had enough problems with the thai way of doing things in the past, why would I make more problems for myself in the future.

 

Cheers

 

JAF

[Wake Up]

15 hours ago, 4MyEgo said:

The most important thing to consider is, and forgive my upfrontness, but how much are you prepared to lose.

 

This is a question that must be brought up with all farang men, and the reason I say this is because 8 x 130,000 baht = 1 million odd baht, that said, the land would be in your wife's name, so might as well ask yourself would you put a million baht in your wife's account, that said, I love my wife of 11 years dearly, and I trust her, but it has got nothing to do with trust, it has got to do with leaving yourself open in the event, if something ever goes wrong in your relationship and many relationships do go south, and many farangs get burnt.

 

Your money, do with it what you want, but only invest as much as your prepared to lose, a general rule is 10%, and I apologise if you take offense to this advice, as it has nothing to do with answering your question, that said, my money is invested overseas, I have total control over it, and my wife and children will get it when I am good and gone, as per my will, that said with a will, I can change things pretty quickly if I need to, purchasing land in her name with my money means I have no control.

 

Ask yourself this, If it's worth 200,000 baht per rai, why would she be prepared to lose 70,000 baht per rai x 8 = 420,000 which would take an average Thai worker on 300 baht per day, 5 days a week, 52 weeks a year, 6 years to save that kind of money, yet they also have to survive, so say 10 years, does your sister-in-law fancy you that much, just saying.

 

If I was to guess a figure as to what the land would be worth, around 80,000 baht per rai 'tops"

 

Great response I 100 percent agree with. I had a GF with rice land close to where you are talking about.  Some years they got one crop.  Never a good money maker.  She thought her land was worth much more than it was. I don’t think she was intentionally lying about the value but what I learned was unless you know thai language and culture well and land dealings in that area you have no clue what the land is worth if anything. And most land bought is seen as an atm card in tough cash times. They get loans on the land all the time because it is easy but not cheap.  Expats pay off their wives or GF land debts so she does not lose it to a creditor and 6 months later she has a new loan on the land. 

 

I am not saying to not trust your wife or thai people. What I am trying to say is expats will never understand the true value of land with a few exceptions and we cannot prevent the land owner wife or GF from borrowing against the land when one if her many family member calls and needs cash. 

 

If you do buy it once then be prepared to lose it all or keep buying it over and over for the rest of your life when the wife takes out a land loan and is embarrassed to tell you. Good luck. 

Edited June 30, 2018 by Wake Up

[finnishmen]

i live in maha sarakham and my wife say she rice land cost about normal rai 4000 b/rai or 100 000 b/rai were locate. but 200 000/rai have lot owerprice. max 100 000. normal 70 000

 

[Media1]

No is No. This land will be always rice family land the winner is the sister. GOD BLESS her

8 minutes ago, finnishmen said:

i live in maha sarakham and my wife say she rice land cost about normal rai 4000 b/rai or 100 000 b/rai were locate. but 200 000/rai have lot owerprice. max 100 000. normal 70 000

 

Peng mak mak

 

14 minutes ago, Wake Up said:

Great response I 100 percent agree with. I had a GF with rice land close to where you are talking about.  Some years they got one crop.  Never a good money maker.  She thought her land was worth much more than it was. I don’t think she was intentionally lying about the value but what I learned was unless you know thai language and culture well and land dealings in that area you have no clue what the land is worth if anything. And most land bought is seen as an atm card in tough cash times. They get loans on the land all the time because it is easy but not cheap.  Expats pay off their wives or GF land debts so she does not lose it to a creditor and 6 months later she has a new loan on the land. 

 

I am not saying to not trust your wife or thai people. What I am trying to say is expats will never understand the true value of land with a few exceptions and we cannot prevent the land owner wife or GF from borrowing against the land when one if her many family member calls and needs cash. 

 

If you do buy it once then be prepared to lose it all or keep buying it over and over for the rest of your life when the wife takes out a land loan and is embarrassed to tell you. Good luck. 

Maybe a bit harsh

 

15 hours ago, 4MyEgo said:

The most important thing to consider is, and forgive my upfrontness, but how much are you prepared to lose.

 

This is a question that must be brought up with all farang men, and the reason I say this is because 8 x 130,000 baht = 1 million odd baht, that said, the land would be in your wife's name, so might as well ask yourself would you put a million baht in your wife's account, that said, I love my wife of 11 years dearly, and I trust her, but it has got nothing to do with trust, it has got to do with leaving yourself open in the event, if something ever goes wrong in your relationship and many relationships do go south, and many farangs get burnt.

 

Your money, do with it what you want, but only invest as much as your prepared to lose, a general rule is 10%, and I apologise if you take offense to this advice, as it has nothing to do with answering your question, that said, my money is invested overseas, I have total control over it, and my wife and children will get it when I am good and gone, as per my will, that said with a will, I can change things pretty quickly if I need to, purchasing land in her name with my money means I have no control.

 

Ask yourself this, If it's worth 200,000 baht per rai, why would she be prepared to lose 70,000 baht per rai x 8 = 420,000 which would take an average Thai worker on 300 baht per day, 5 days a week, 52 weeks a year, 6 years to save that kind of money, yet they also have to survive, so say 10 years, does your sister-in-law fancy you that much, just saying.

 

If I was to guess a figure as to what the land would be worth, around 80,000 baht per rai 'tops"

 

It's worth 80000 

[LivinLOS]

38 minutes ago, finnishmen said:

i live in maha sarakham and my wife say she rice land cost about normal rai 4000 b/rai or 100 000 b/rai were locate. but 200 000/rai have lot owerprice. max 100 000. normal 70 000

 

4000b per rai of chanoted land with road access.. I will take it all.. 

 

Standard farang asks his wife and posts nonsense.. 

 

The above answer that its almost impossible to price given the lack of information, direction of the wind, etc is the closest. 

 

[robertson468]

Good news, bad news.  Friend of mine bought land and built two lovely houses with swimming pools and put them in his Wife's name.  Sadly the marriage failed, he then discovered that she had put the land and the house in to the Bank for loans.  That's the bad news story, no doubt heard several times before.  Bought a plot of land 12 years ago and built a little Resort, which is generating about 1.2M baht per annum, thank you very much.  I turned the whole place over to my Thai Wife and am delighted to report that so far we have no problems and are enjoying together, the extra income it generates.  That's the good news story and I am sure there are loads of other ones quite similar.

[natway09]

The property real valuation may not take into account "potential" only similar properties sales recently.

If your relationship is sound & the possibility down the track of losing it does not daunt you go for it.

Nothing ventured, nothing gained

 

[Jeffrey346]

About a year and a half ago, my wife sold a few rai 30K outside of Khon Kaen for B350,000 per rai.

If your land is within 30/40k of the city, I would think you can get B350 to 400,000.

[stropper]

that is a good and fair price, if near me i would buy it instantly,  a yes from me 

 

[stropper]

1 hour ago, robertson468 said:

Good news, bad news.  Friend of mine bought land and built two lovely houses with swimming pools and put them in his Wife's name.  Sadly the marriage failed, he then discovered that she had put the land and the house in to the Bank for loans.  That's the bad news story, no doubt heard several times before.  Bought a plot of land 12 years ago and built a little Resort, which is generating about 1.2M baht per annum, thank you very much.  I turned the whole place over to my Thai Wife and am delighted to report that so far we have no problems and are enjoying together, the extra income it generates.  That's the good news story and I am sure there are loads of other ones quite similar.

way to go, love the good stories here, but not to many reported, same same us !

 

[kamalabob2]

The specific land title paper, both sides should be scanned and sent to you. Easy to look up on google the different land titles. GPS location is easy on any Thai person's smart phone to get you the google maps location. Just because electric cables run by the property does not guarantee electrical service for the plot of land. #1 concern for rice farming would be the actual source of water. A paved road with written easement, a government paved road, a single lane village access road.  All important items to consider before you spend a single baht. There will be transfer taxes to pay and then a very modest yearly land tax. A proper translation of the land paper, both sides, is crucial in my experience. Has the "dirt been sold' on the property?  Is it near any salt mining or natural gas drilling? 

[sirineou]

1 hour ago, stropper said:

way to go, love the good stories here, but not to many reported, same same us !

 

 Same here.  Married 13 years , everything in Thailand on wife's name. We Could not imagine living without each other.Have another expat friend living not to far from as. Same situation(married over twenty years), and know of several others. 

I will start a poll on the "general "sub forum.I bet you the overwhelming response will be , Happy content, married expats.

[khunPer]

On 6/29/2018 at 10:20 AM, JustAnotherFarang said:

Is this worth investing in ?

What it the title of the land deed..?

If the deed title is acceptable, how would you invest in land in Thailand, as a foreigner cannot own land..?

If the title of the land deed is chanute, you can consider "investing" by establishing a Thai company limited – of which you can own up to 49%, and be one of minimum three shareholders – a typical annual fee for using farmland is between 500 baht to 1,500 baht per rai a year, depending of the land; i.e. 130,000 baht a rai will in best case give you 1% taxable income of the investment, worst case .34%. For comparison, a fixed bank account gives you p.t. 1.3% to 1.5% annual interest.  In long term the land value might increase – it normally will – so your profit comes when eventually selling the land; however farm land will to a degree be dependable of the prices from the crops, or whatever can be grown on the land, i.e. that might put an upper limit of the land value, if not in an urban area, where the land in future can be used for other purposes.

 

A decade (or little more) ago farm land was typically priced from 20,000 baht to 40,000 baht a rai – again with variations due to location and deed title – so the questions is, if the land prices will increase in same level in the future, i.e. double up in 8-10 years, or the increase of value will slow down..?

 

Always carefully think twice, when you use the word "invest" about property in Thailand.

 

FYI: I'm shareholder in a Thai Co. Ltd. that has invested in farmland.

[4MyEgo]

5 hours ago, Wake Up said:

Great response I 100 percent agree with. I had a GF with rice land close to where you are talking about.  Some years they got one crop.  Never a good money maker.  She thought her land was worth much more than it was. I don’t think she was intentionally lying about the value but what I learned was unless you know thai language and culture well and land dealings in that area you have no clue what the land is worth if anything. And most land bought is seen as an atm card in tough cash times. They get loans on the land all the time because it is easy but not cheap.  Expats pay off their wives or GF land debts so she does not lose it to a creditor and 6 months later she has a new loan on the land. 

 

I am not saying to not trust your wife or thai people. What I am trying to say is expats will never understand the true value of land with a few exceptions and we cannot prevent the land owner wife or GF from borrowing against the land when one if her many family member calls and needs cash. 

 

If you do buy it once then be prepared to lose it all or keep buying it over and over for the rest of your life when the wife takes out a land loan and is embarrassed to tell you. Good luck. 

I think your reply was as good as mine as it added what a lot of farangs don't understand.

 

I come from 25 years in a property background in Sydney, i.e. real estate and valuation, which to me here is non existent, i.e. land sales in villages are just about 99% hear say, I mean just the other day, I heard that a farang in our village purchased the hairdressers land adjoining his place, (land belonged to her father), now get this, he paid 850,000 for 10 rai of rice field with a narrow 12 metre frontage to the road, still, as his land is wide and backed onto the land he was purchasing, he was making his land deeper and grows lime on it, don't know if there is money in that, just telling the story.

 

Now go figure, he put 85,000 deposit down (idiot), and guess what, when the old man found out the daughter was trying to sell his land, he flipped, oh and as for getting the 10% deposit back, well from what I hear, the hairdresser paid off some debts, so this guy is out 85,000 baht for now.

 

I also know of a bloke who purchased his mother-in-laws land, not sure how many rai, but a fair few rai, he then built a nice house on it, 2 years later the bank foreclosed on it because the mother-in-law borrowed money on it. You would think the bloke would have made sure the title was changed to his wife's name wouldn't you, well guess what, the title was changed to his wife's name, but the wife couldn't say no to her mother who was a gambler and borrowed money for her and the mother-in-law lost it all, what I couldn't understand is the bloke forgave his wife, and is now renting, that said, he does have young kids with her, so I suppose he is caught between a rock and a hard place, me personally, would have been on the next flight out.

[sirineou]

22 minutes ago, sirineou said:

 Same here.  Married 13 years , everything in Thailand on wife's name. We Could not imagine living without each other.Have another expat friend living not to far from as. Same situation(married over twenty years), and know of several others. 

I will start a poll on the "general "sub forum.I bet you the overwhelming response will be , Happy content, married expats.

 Sorry to change the subject last thing I will say on the subject.

I could not start a Poll, do not know how, The only choices I had at the end was "submit" and "cancel"  no choice or review so that I am not  submitting  nonsense. Anyone more knowledgeable on how to post a poll please start one  on "wife owning property, happy with it or not " or PM with advise on how to do it. 

[ericthai]

5 hours ago, Jeffrey346 said:

About a year and a half ago, my wife sold a few rai 30K outside of Khon Kaen for B350,000 per rai.

If your land is within 30/40k of the city, I would think you can get B350 to 400,000.

You cant just say that because the land in any area sold for xx amount that land in the same area will be worth the same. So many factors, type of dirt, water access all year or only part of the year, access to roads etc.  

[exemplary21]

7 hours ago, finnishmen said:

i live in maha sarakham and my wife say she rice land cost about normal rai 4000 b/rai or 100 000 b/rai were locate. but 200 000/rai have lot owerprice. max 100 000. normal 70 000

 

 

Well, that's cleared that up then... ?

[KhaoYai]

Can't help you on the value but this land is used for farming right? A legitimate business. Form a Thai Ltd Company, buy the land in the company's name and become a director. Yes you will be limited as to the amount of shares you own in a company that owns land - ranging from 39% to 49% depending on the views of your local land office. What you can do though is to own all the controlling shares and therefore effectively control the company.  If your wife doesn't want to do that, you will have to form your own opinion as to her intentions.