Money coming from abroad for property purchase

[jakestevernson]

Hi all,

Just a quick reminder. 

For foreigners buying a property here in Thailand, make sure the money you transfer across from your home country arrives in a foreign currency. I made the mistake of my money arriving from the UK in Thai currency, so my purchase was rejected by the Land Department. Luckily, I was able to put the property in my wife's name (Thai National) otherwise I would have had to cancel the purchase. It would have been a lot of hassle (time) and expense to cancel the cheque for seller, then send the money back to the UK and start the process again. 

I hope others can avoid this mistake.

JS

[tonray]

You get a horrible exchange rate by sending baht also...always send home currency and do the conversion once it arrives.

[jakestevernson]

 

44 minutes ago, tonray said:

You get a horrible exchange rate by sending baht also...always send home currency and do the conversion once it arrives.

 

Sounds like good advice to me.

[scubascuba3]

Schoolboy error, really want condo in your name not wife

[wprime]

Thankfully sending the money in THB was your only mistake...

[jakestevernson]

Also, does anyone know the cost/requirements of transferring a condo from a Thai National (wife) to a foreign husband?

 

This might be something I could try and do later on if not to difficult. 

 

Thanks.

[Pravda]

42 minutes ago, scubascuba3 said:

Schoolboy error, really want condo in your name not wife

 

What's the difference if they are married? 

[jakestevernson]

44 minutes ago, scubascuba3 said:

Schoolboy error, really want condo in your name not wife

 

It's not really an issue as we have been together for a long time (over 20 years now, time flies!) and have properties together in the UK, but I wanted to have my own one here.  But yes, the money transfer in local currency rather than foreign currency was a school boy error.

[jakestevernson]

26 minutes ago, wprime said:

Thankfully sending the money in THB was your only mistake...

 Wise words indeed!

[scubascuba3]

13 minutes ago, Pravda said:

 

What's the difference if they are married? 

Many guys seem to have a condo and house up country, you know the script, if they break up the wife can keep the worthless house no one wants and the man can keep the condo, not so easy if in the wifes name

[jakestevernson]

8 minutes ago, scubascuba3 said:

Many guys seem to have a condo and house up country, you know the script, if they break up the wife can keep the worthless house no one wants and the man can keep the condo, not so easy if in the wife's name

 I think that's a safer way to do things for sure.

 

Like I said, I have been with my wife for a long time and we have children together, but it is always sensible to be cautious as nobody knows the future. 

 

Thanks for all the replies guys. it's good to know other's people's thoughts on this.

[rhodie]

29 minutes ago, jakestevernson said:

 Wise words indeed!

How did you send the money? Transferwise?

[1FinickyOne]

1 hour ago, scubascuba3 said:

Schoolboy error, really want condo in your name not wife

not for me.. buy everything in my wife's name... but everyone is different and has different circumstances... 

[jakestevernson]

2 hours ago, rhodie said:

How did you send the money? Transferwise?

VFX financial, but I have used Transferwise before. Both seem good. 

[rhodie]

4 hours ago, jakestevernson said:

VFX financial, but I have used Transferwise before. Both seem good. 

Thanks. Reason I asked is Wise have an option to choose what the money is for. If you select to purchase property, it shows up as an international transfer. A bit late for you, but hoping someone has used this option with Wise and been accepted for a property purchase at the Land Office.

[jakestevernson]

9 minutes ago, rhodie said:

Thanks. Reason I asked is Wise have an option to choose what the money is for. If you select to purchase property, it shows up as an international transfer. A bit late for you, but hoping someone has used this option with Wise and been accepted for a property purchase at the Land Office.

 

Hi Rhodie,

 

I choose this from the drop down menu on VFX, but the fact that the money landed into my Thai account in Thai Baht and not GBP or another foreign currency was the issue.

 

The staff at Bangkok Bank and also the Land Department were friendly and polite, but stated that this was the wrong way to send it, so I was stuck.   It's disappointing, but that's life and luckily not really a issue for me. However, I hope others can avoid the mistake I made. 

[rhodie]

Just now, jakestevernson said:

 

Hi Rhodie,

 

I choose this from the drop down menu on VFX, but the fact that the money landed into my Thai account in Thai Baht and not GBP or another foreign currency was the issue.

 

The staff at Bangkok Bank and also the Land Department were friendly and polite, but stated that this was the wrong way to send it, so I was stuck.   It's disappointing, but that's life and luckily not really a issue for me. However, I hope others can avoid the mistake I made. 

Thanks. I have heard others say that this was acceptable, so very good information. Of course we still have the problem of different LO's with different rules, but better safe than sorry. Cheers.

[jakestevernson]

Just now, rhodie said:

Thanks. I have heard others say that this was acceptable, so very good information. Of course we still have the problem of different LO's with different rules, but better safe than sorry. Cheers.

 

I also have heard from others who's money was accepted the way I sent it, so I guess I was just unfortunate to have someone checking my documents thoroughly. It's irritating, but like an earlier poster said it could have been much worse for me.

[scubascuba3]

1 hour ago, rhodie said:

Thanks. Reason I asked is Wise have an option to choose what the money is for. If you select to purchase property, it shows up as an international transfer. A bit late for you, but hoping someone has used this option with Wise and been accepted for a property purchase at the Land Office.

Are you sure "purchase property" shows up as International transfer? usually you need to select "funds for long term stay" and only works with Bangkok Bank

[rhodie]

@scubascuba3

I can't be sure, but I think I read somewhere that both options show as international transfer. I did a test transfer last week and selected 'purchase property' to test. I have not updated my bank book yet to see the result. But, it is worrying that the OP's bank could not provide the correct forex form. I mean it is easy to trace the transaction for the bank and show the money came from abroad. OP says the fact that the money arrived in Thai Baht was the issue.

I am looking to buy in Pattaya so that is the Land Office that I am interested in. Would they accept a Wise transfer? Who knows but I have yet to see a confirmed report that it has worked.

[scubascuba3]

5 hours ago, rhodie said:

@scubascuba3Would they accept a Wise transfer? Who knows but I have yet to see a confirmed report that it has worked.

Land office doesn't care except that it needs to be shown as International so yes Wise will work if you do it correctly

[treetops]

1 hour ago, scubascuba3 said:

Land office doesn't care except that it needs to be shown as International so yes Wise will work if you do it correctly

 

My understanding, from a mate who has bought and sold several times, is that the exchange into Thai baht must be done here in Thailand.  He will not use (Transfer)Wise for this reason when the funds are required for a condo purchase.

[scubascuba3]

2 minutes ago, treetops said:

 

My understanding, from a mate who has bought and sold several times, is that the exchange into Thai baht must be done here in Thailand.  He will not use (Transfer)Wise for this reason when the funds are required for a condo purchase.

Incorrect, you obviously don't know much about how Wise works

[treetops]

1 minute ago, scubascuba3 said:

Incorrect, you obviously don't know much about how Wise works

 

I know quite well how Wise works thanks, and that is they receive your money in your sending country and use their funds in the receiving country to give to you there.  They have accounts all over the world to facilitate this.

 

They introduced the Funds for Long Stay in Thailand and created an automatic system with BBL to show international transfers two or three years ago when there was an uproar by people who required the international tag for visa purposes.

 

Here's their own video which shows quite clearly the process and that your or mine GBP, USD, AUD etc never make it to Thailand and are not converted to baht here.

 

Now if you had said I don't how property buying in Thailand works you would have been closer to the mark as I've never done it, but gave the credentials of my source who was discussing this very issue in the last few weeks who has.  The exchange is not done in Thailand as required.

 

Watch and learn about Wise.

 

 

 

[scubascuba3]

1 minute ago, treetops said:

 

I know quite well how Wise works thanks, and that is they receive your money in your sending country and use their funds in the receiving country to give to you there.  They have accounts all over the world to facilitate this.

 

They introduced the Funds for Long Stay in Thailand and created an automatic system with BBL to show international transfers two or three years ago when there was an uproar by people who required the international tag for visa purposes.

 

Here's their own video which shows quite clearly the process and that your or mine GBP, USD, AUD etc never make it to Thailand and are not converted to baht here.

 

Now if you had said I don't how property buying in Thailand works you would have been closer to the mark as I've never done it, but gave the credentials of my source who was discussing this very issue in the last few weeks who has.  The exchange is not done in Thailand as required.

 

Watch and learn about Wise.

 

 

 

You've now read up on it, so you agree your previous post was incorrect?

[Puccini]

Generally, the Land Office wants the Foreign Exchange Transaction Form (FETF) or the deposit receipt issued by the receiving Thai bank.

[treetops]

Just now, scubascuba3 said:

You've now read up on it, so you agree your previous post was incorrect?

 

No need to read up and what I've shown backs up my previous post.  Using Wise the exchange is not done in Thailand and should not be relied on to obtain the Foreign Currency paperwork for a property purchase.  Here's my previous post which says the same thing in case you misread it as seems possible.

 

32 minutes ago, treetops said:

 

My understanding, from a mate who has bought and sold several times, is that the exchange into Thai baht must be done here in Thailand.  He will not use (Transfer)Wise for this reason when the funds are required for a condo purchase.

 

[scubascuba3]

2 hours ago, treetops said:

 

No need to read up and what I've shown backs up my previous post.  Using Wise the exchange is not done in Thailand and should not be relied on to obtain the Foreign Currency paperwork for a property purchase.  Here's my previous post which says the same thing in case you misread it as seems possible.

 

 

Still a lot to learn. You don't need foreign currency paperwork using Wise if you process it correctly so it's shown as an international transfer

[scubascuba3]

2 hours ago, Puccini said:

Generally, the Land Office wants the Foreign Exchange Transaction Form (FETF) or the deposit receipt issued by the receiving Thai bank.

Not the Pattaya land office, a letter from the thai bank showing it's a foreign transfer is sufficient

[jakestevernson]

1 hour ago, scubascuba3 said:

Not the Pattaya land office, a letter from the thai bank showing it's a foreign transfer is sufficient

This may be the case in Pattaya and indeed other places, but in Bangkok they will usually need the money to land in Bangkok Bank in a foreign currency. The Bank will then change the money into Thai Baht and then will issue you a confirmation letter of this to show to the Land Department.

 

I know this as the Land Department told me this directly!