Buying land

[1FinickyOne]

We regularly bought farm land in and around our village - only seemed to need a proper chanote and take it to the land office - never had a lawyer. 

[ericthai]

8 hours ago, khunPer said:

Yes, I bought several plots of land, and also sold one, without use of a lawyer, neither by me or the seller/buyer, however the buyer needed a mortgage, so representatives from buyers bank showed up at land office when transfer was done, and paid by cashier's cheque on behalf of buyer.

 

When buying land I always make the agreement by head-of-village (poo yai ban). He will know the land plots, the legality of deeds, the people living in the village, etc., and he will sign documents as witness. Depending of the area he shall be paid a fee for the service, normally from 1,000 baht and up – a Thai wife should know what is fair, or can ask her in her network – depending of the size of land, and price. In Buriram probably in the level of what I paid in neighboring Surin, when buying land close to the city, which was 1,000 baht for a quite large plot in 2006, so probably around 2,000 baht today.

 

If a head-of-village's service is used in a tourist area with land prices of several millions baht, 5,000 to 10,000 baht is more likely a reasonable fee for the service; I used to pay 10,000 baht.

 

I've also once bought a plot directly from the seller, everything worked fine.

 

I've always used the standard agreements available from local paper shops, and a deposit is often paid upon signature. Sometimes an additional deposit can be transferred to a bank account, if it's a more expensive plot. The balance is paid a the land office when transferring the dead, often in cash, or by a bankers cheque. It's best to agree in advance how payments shall be made, and also remember to state in the sales agreement who shall pay tax, and who shall pay transfer fee and stamps. Normally seller pays tax, and buyer pays transfer fee, but transfer fee can sometime be shared.

????

So you bought all the land in your name?

[brianthainess]

This is how we did it. 4steps, 1.Owner got the land office to come and mark out the plot 5,000 (if not already done)  2. Go with the owner and a witness for you preferably some one that can speak good english to translate for you , to the Pu Yi Ban they check the land title, and make a simple contract, where you hand over a small deposit say 100,000 baht photos were taken of handing over the money, 3.then go to the land office with owner and a bank check for the balance hand over the bank check when all has been checked , LO called us when the they had completed the transfer, 4 go back to land office and pay 5% tax, you should then get the land title in your wife's name. take photos of all steps and keep a witness with you.  quite easy really. memory has faded a bit but this is about it.

[brianthainess]

On 8/10/2020 at 7:42 AM, Lamphen said:

Yes, my wife's family will assist, but based on their explanation of the process I just find it to be too easy.

I was told "we just go to the bank together with the seller, pay the money (the bank get their part and the seller get his part), get the paper (the bank will release the paper), go to the land office and make the transfer.

It might be this easy, but I wanted to try to obtain some additional information before going to the bank.

Do not do that, read my post above. edit; i have just re-read your post if the bank has the land title then the owner has borrowed money on the land beware of that one, it means as far as i know the bank owns the land 

Edited August 11, 2020 by brianthainess

[khunPer]

10 hours ago, ericthai said:

So you bought all the land in your name?

To answer your curiosity: I bought for the company limited of which I'm part owner, and the director that has power to sign for land purchase and sale; a land plot for my daughter (instead of child savings); and land for my girlfriend...????

[wobblyjohn]

The village puuyai  will give you a better valuation also if the vendor knows where the price came from they will believe him more than most

[Lamphen]

On 8/10/2020 at 10:22 AM, blackcab said:

 

That's not the normal process. If there is a mortgage secured on the property the mortgagee asks the bank for a settlement figure to be calculated for a specific date (the date of sale).

 

The purchaser goes to their bank the day before the sale and buys two cashier cheques. The first cheque is made payable to the mortgagee's bank for the quoted settlement figure. The second cheque is made payable to the seller for the balance of the purchase price. When you have the cheques you send a photo of the cheques to the seller so they can verify them.

 

On the day of the sale (normally the next day) the seller will have arranged for the bank's representative to be present at the land office.  The bank's representative will bring the original land title deed with them and give it to the land office official.

 

You give the cheque to pay off the mortgage to the bank's official. They will verify the cheque, then sign to remove the encumbrance on the land. Immediately thereafter the land will be sold between the seller and the purchaser.

 

When the chanote is received by the purchaser it will have two entries dated on the day of sale. The first entry will show the bank's encumbrance has been removed. The second entry will show the sale between the former owner and the current owner, who are both listed by name.

Thanks a lot for the detailed information, very much appreciated.

[Lamphen]

14 hours ago, brianthainess said:

This is how we did it. 4steps, 1.Owner got the land office to come and mark out the plot 5,000 (if not already done)  2. Go with the owner and a witness for you preferably some one that can speak good english to translate for you , to the Pu Yi Ban they check the land title, and make a simple contract, where you hand over a small deposit say 100,000 baht photos were taken of handing over the money, 3.then go to the land office with owner and a bank check for the balance hand over the bank check when all has been checked , LO called us when the they had completed the transfer, 4 go back to land office and pay 5% tax, you should then get the land title in your wife's name. take photos of all steps and keep a witness with you.  quite easy really. memory has faded a bit but this is about it.

Thanks a lot for your input.

[Lamphen]

19 hours ago, ericthai said:

So you bought all the land in your name?

Thanks a lot, the plan is that we will buy the land in the name of my wife.

[Lamphen]

15 hours ago, brianthainess said:

This is how we did it. 4steps, 1.Owner got the land office to come and mark out the plot 5,000 (if not already done)  2. Go with the owner and a witness for you preferably some one that can speak good english to translate for you , to the Pu Yi Ban they check the land title, and make a simple contract, where you hand over a small deposit say 100,000 baht photos were taken of handing over the money, 3.then go to the land office with owner and a bank check for the balance hand over the bank check when all has been checked , LO called us when the they had completed the transfer, 4 go back to land office and pay 5% tax, you should then get the land title in your wife's name. take photos of all steps and keep a witness with you.  quite easy really. memory has faded a bit but this is about it.

Thank you for you input!

[blackcab]

On 8/11/2020 at 8:24 AM, brianthainess said:

...if the bank has the land title then the owner has borrowed money on the land beware of that one, it means as far as i know the bank owns the land 

 

It is quite normal to buy land which has an outstanding mortgage on it. That a mortgage is present should not be a red flag. Indeed, it means the bank will also be scrutinising the transaction to make sure they are properly paid to remove the encumbrance.

 

It's a small thing to note, but with a mortgage, the individual remains the owner of the real estate, whereas the bank has a mortgage that is secured against the property. Legally, that is a huge difference.

[2 is 1]

We have few rai land whit canote. Now i want know what is "soboko" (if i type right)? Wife's parent's just donate her 20 rai that kind land. I think is coverment land , whitch have give to farming land? Am i right?

 

Thank's for answears....

[khunPer]

9 hours ago, 2 is 1 said:

We have few rai land whit canote. Now i want know what is "soboko" (if i type right)? Wife's parent's just donate her 20 rai that kind land. I think is coverment land , whitch have give to farming land? Am i right?

 

Thank's for answears....

"Sor Por Gor", it's land given by government for farming...

Quote

Land documents issued by other government departments

Sor. Por. Gor. 4-01 (S.P.G. 4-01) | Sor. Tor. Gor. (S.T.G.) | Por. Bor. Tor. 5 (P.B.T. 5) | Nor. Kor. 3 (N.K. 3) | Gor. Sor. Nor. 5 (G.S.N. 5)

Under Thai law the Land Department is the only competent authority to deal with land and registering and transferring private rights over land. Transfer of ownership of land claims (or rent/ lease) over titles issued by other government departments than the Land Department can NOT be registered with the Land Department or is restricted for transfer. The following documents are the main land documents in Thailand issued by other government departments than the Land Department:

Large areas of Thailand do not have any title documents and are government land or public land, not open for private use. Large areas are restricted for private use or are essential land claims which are not a confirmed right of use or possession. This could also be claims of use which have filed with other government departments than the Land Department.

UPGRADING It is in certain circumstances possible (based on the determination of the land by the government, the type and length of the claim and the use of the land) to upgrade untitled land, like the Tor.Bor.Ha (T.B.5), to a FULL title deed, Nor Sor 3 or Chanote. Approval is often very unlikely and easy money is made by the Thais who have been selling this type of land claims among others in Koh Pha-Ngan and Samui, to foreigners. There is generally only money to be lost with these deals as the land will not be upgrade. The possible upgrade is often only in theory. With ignorance of foreigners and the suggested huge profits many have lost their money in these scams or are still waiting for an upgrade which will likely never happen. Update: Sor Kor Nung (1) land can't be upgraded any more with the Land Department but only through a court procedure.

Sor Por Gor. 4-01 (S.P.G. 4-01) is an allotment of land from the land reformative committee. Under no circumstance may this land be bought or sold. It confers the right to occupy only and be transferred only by inheritance. It seems that the land may be used for agriculture only (update: in the news)

Source: SamuiForSale "Thailand Land Title Deeds".

[2 is 1]

On 8/14/2020 at 7:40 PM, khunPer said:

"Sor Por Gor", it's land given by government for farming...

Source: SamuiForSale "Thailand Land Title Deeds".

Thanks!

[Lamphen]

We have now successfully secured our plot of land without using a lawyer.

It's been a few long days in the bank and at the land office, but it's done!

The sellers mortgage is paid off and the Chanote is now in the name of my wife.

Thank you very much for all your invaluable input, much appreciated.

 

Thanks!

 

All the best

Lamphen