Loan agreement with Thai wife to buy house?

[Promula]

Having read that ufustructs between husband and wife are invalid, is it possible to secure my funds by entering into a contract with my wife?

 

We will buy a 6 million baht house. I'll pay 4 million baht cash and she'll borrow 2 million baht from her bank as a mortgage. Can I ensure that, if we split up or if she ever tries to sell without my permission, we have a loan agreement in place which remains non-repayable (and non interest-bearing) unless she decides to sell, at which time the 4 million baht becomes repayable to me?

 

I understand that I'm protected to some extent because if we divorce I'll be entitled to 50% of the house value as a marital asset, which will force her to sell or buy me out, but I may be wrong about that. Please let me know if you know.

 

Edited April 5, 2023 by Promula

[Celsius]

Why don't you ask her?

[Don Chance]

Are you Thai? I guess not.  I think you should assume you will never see your 4 million baht again. Better yet - just rent.

[Promula]

59 minutes ago, Don Chance said:

Are you Thai? I guess not.  I think you should assume you will never see your 4 million baht again. Better yet - just rent.

Why is renting better? We're both mid 30s and plan to raise a family in the house. To rent a house like this would cost about half a million baht per year. So 25 years from now, that'll be 12.5 million baht in rent plus any rent increases, and we'll be hitting 60 years old with no property to our name.

[Promula]

1 hour ago, Celsius said:

Why don't you ask her?

She's ok with it. Clearly I'm seeking advice on whether it's legally sound, and on how to best do it, from anyone that has done similar. 

Edited April 5, 2023 by Promula

[Celsius]

15 minutes ago, Promula said:

To rent a house like this would cost about half a million baht per year.

I don't think so. No 6 million baht house costs 42,000 month in rent. But I agree that it is always better to own than rent. I am a renter and don't look forward negotiating rent and signing a new contract every year. If me and wife had children we would buy tomorrow.

[yeahbutif]

You could always set up a company then buy the House in company name. Fees would be around 15.000 a year.. but would be safer for your   4 mil..  your could be main director or equal directors 

[donx]

My understanding of Thai law is any contract between spouses can be voided by either party at any time during the marriage and up to one year after a divorce. This doesn't have to be after a divorce and it isn't automatically voided upon a divorce. Thus, I believe that both a rental agreement and a usufruct have the same issue.

[Peterw42]

OP, you appear to be unaware that the land office will insist that you sign a document and declare that you you have no interest in the house, its not a marital asset etc. So far as the bank and land office are concerned your wife will be funding and buying a house, not you.

No matter what, your wife will own 100 % of the property and it wont be a marital asset divisible at divorce etc.

As others have said, the usual company ownership route would afford you the protections you talk about.

Edited April 5, 2023 by Peterw42

[BostonJoe]

7 hours ago, Peterw42 said:

OP, you appear to be unaware that the land office will insist that you sign a document and declare that you you have no interest in the house, its not a marital asset etc. So far as the bank and land office are concerned your wife will be funding and buying a house, not you.

No matter what, your wife will own 100 % of the property and it wont be a marital asset divisible at divorce etc.

As others have said, the usual company ownership route would afford you the protections you talk about.

 

I was never asked to sign anything at the land office  

[donx]

11 hours ago, BostonJoe said:

 

I was never asked to sign anything at the land office  

Neither have I. But in my case, I know why. It's because our marriage has never been registered in Thailand and my wife retains her maiden name on her Thai ID which stipulates that she is single. Therefore, I've never needed to attend any of her property purchase nor have I been asked to sign any documents stating that I have no claim (which I don't) to any of her real estate holdings. However, I have provided the funding for her to make these purchases.

[friedmanadam16]

On 4/5/2023 at 11:18 AM, Promula said:

Having read that ufustructs between husband and wife are invalid, is it possible to secure my funds by entering into a contract with my wife?

 

We will buy a 6 million baht house. I'll pay 4 million baht cash and she'll borrow 2 million baht from her bank as a mortgage. Can I ensure that, if we split up or if she ever tries to sell without my permission, we have a loan agreement in place which remains non-repayable (and non interest-bearing) unless she decides to sell, at which time the 4 million baht becomes repayable to me?

 

I understand that I'm protected to some extent because if we divorce I'll be entitled to 50% of the house value as a marital asset, which will force her to sell or buy me out, but I may be wrong about that. Please let me know if you know.
Here is https://paydaysay.com/what-are-emergency-loans-for-rent/ another excellent service for loans.

I'm not a legal expert, but I can provide some general insights that might help you. In most cases, property and financial arrangements within a marriage are subject to the specific laws and regulations of your jurisdiction.
To address your concerns, it's advisable to consult with a qualified family law attorney or legal expert who can provide advice tailored to your situation and the applicable laws in your area. They can guide you on how to structure any agreement or arrangement that you and your wife may consider.
Remember, the laws regarding marital assets and property rights can vary widely between countries and regions, so it's essential to seek professional legal counsel to ensure your interests are properly protected.

Edited November 8, 2023 by friedmanadam16