Is there a dummy guide on real estate in Thailand

[nickt092]

Hello,

 

I am looking for a step by step dummy guide on how to buy property in Thailand in the Bangkok area.  It appears this may not be as easy as just wire the money into your Thai bank and then go find a unit.  Any advice on Steps needed in moving the funds - any required paper work (FET) - where do I get this and how

Is there a standard contract used by sellers/buyers or the land office

How do I get an FET - does the money for the unit have to be transferred at 1 time?  Can I do it before finding a condo to close on

Any known reliable realtors in the bangkok area?  Is there a need for a real estate lawyer or is a buyers agent good enough?

Are condo's that allow cats well maintained or do "pet friendly" condos just let their animals run wild?

 

Thanks

 

[OneMoreFarang]

I found that information on property and lawyer websites in Thailand. Just google it.

[KhunLA]

RENT

[lkn]

For the money, they must come from abroad and should be sent to a bank account in your name.

 

Then you can just go ask your bank for a FET form, it doesn’t matter who sent the money, when it was sent, what was stated as purpose for sending the money, or that it was multiple transactions.

 

At least that was my experience with Krungthai and the Chiang Mai Land Office. I just want to my bank, asked them to total up all money I have received from abroad over the last 2-3 years, which were actually sent to two different accounts I had with Krungthai, and some funds were sent by my company.

 

They produced a letter that I then gave to the Land Office.

 

Some people will tell you that it must be one transaction with the exact amount, it must have the stated purpose, etc. This is generally when you send the money to a third party, e.g. a lawyer doing the purchase on your behalf, or the developer. This is partly just to make things easier, and partly because of AML.

 

As for the actual purchase, all terms can be negotiated between you and the seller, but the deal is performed at the Land Office with you given the seller a cashier’s cheque and the seller giving you the title deed. There are transfer fee (2% of appraised value) and stamp duty (0.5% of sales value or appraised value, whatever is highest) which is normally split equally between buyer and seller. There might also be some local taxes and minor fees, but probably less than 1,000 baht.

[scorecard]

13 hours ago, lkn said:

For the money, they must come from abroad and should be sent to a bank account in your name.

 

Then you can just go ask your bank for a FET form, it doesn’t matter who sent the money, when it was sent, what was stated as purpose for sending the money, or that it was multiple transactions.

 

At least that was my experience with Krungthai and the Chiang Mai Land Office. I just want to my bank, asked them to total up all money I have received from abroad over the last 2-3 years, which were actually sent to two different accounts I had with Krungthai, and some funds were sent by my company.

 

They produced a letter that I then gave to the Land Office.

 

Some people will tell you that it must be one transaction with the exact amount, it must have the stated purpose, etc. This is generally when you send the money to a third party, e.g. a lawyer doing the purchase on your behalf, or the developer. This is partly just to make things easier, and partly because of AML.

 

As for the actual purcdiffere hase, all terms can be negotiated between you and the seller, but the deal is performed at the Land Office with you given the seller a cashier’s cheque and the seller giving you the title deed. There are transfer fee (2% of appraised value) and stamp duty (0.5% of sales value or appraised value, whatever is highest) which is normally split equally between buyer and seller. There might also be some local taxes and minor fees, but probably less than 1,000 baht.

 

Actual payment process (cash / cashiers cheque) changes land office by land office.  Also note that if the cashiers cheque was written at a bank in a different region of Thailand there could be a 2, 3, 4, 5 days delay in clearing the cheque (even if it's a bank cashiers cheque).  This should be discussed and agreed in detail in advance with the buyer. 

 

I'm aware of a house sale in Pattaya, buyer presented a bank cashiers cheque at the land office. Seller said "I'm not handing over the keys until my bank clears this cheque". It took 5 days to clear. Buyer went back to land office and complained. Land office senior said "until the seller gets the money (cheque is cleared) you have not paid, you have to wait". 

Edited March 7 by scorecard

[CanadaSam]

I have an objection to your using the word "dummy" to describe your problem.

[john donson]

the money from abroad is crazy... thais do not need off course.... but my money was here 15 years ago... when I sold my house in home country... and converted to thb 2 years later as FCD account gave ZERO percent interest... and now... I cannot buy anything, and sending back my money out and back in, with the new tax law....  so rent it is...

[DLButler]

On 3/5/2024 at 10:25 AM, OneMoreFarang said:

I found that information on property and lawyer websites in Thailand. Just google it.

See, this is what frustrates me (and others, I suspect).  We join a forum to hear the views of others on the forum, and hope to get advice from people who aren't after our money and with whom we hope to develop relationships.  We want to hear your points of view and personal experiences, and thoughts on what you recommend and what you would do differently.  Sure, we can Google it.  And get lots of results too.  But many, if not most, will be ads for people who want to get our money.  I would imagine you've asked questions on forums you could have Googled, just as we're doing.

 

Telling us to "Google it" isn't helpful, it's dismissive.

[thaibeachlovers]

On 3/6/2024 at 5:30 AM, KhunLA said:

RENT

The only advice that any farang needs in LOS, along with DON'T buy the girlfriend a house, a car or anything else that costs more than dinner at a nice restaurant.

[Skipalongcassidy]

20 minutes ago, DLButler said:

See, this is what frustrates me (and others, I suspect).  We join a forum to hear the views of others on the forum, and hope to get advice from people who aren't after our money and with whom we hope to develop relationships.  We want to hear your points of view and personal experiences, and thoughts on what you recommend and what you would do differently.  Sure, we can Google it.  And get lots of results too.  But many, if not most, will be ads for people who want to get our money.  I would imagine you've asked questions on forums you could have Googled, just as we're doing.

 

Telling us to "Google it" isn't helpful, it's dismissive.

Good luck surviving without your mommy... 555

[thaibeachlovers]

15 minutes ago, DLButler said:

See, this is what frustrates me (and others, I suspect).  We join a forum to hear the views of others on the forum, and hope to get advice from people who aren't after our money and with whom we hope to develop relationships.  We want to hear your points of view and personal experiences, and thoughts on what you recommend and what you would do differently.  Sure, we can Google it.  And get lots of results too.  But many, if not most, will be ads for people who want to get our money.  I would imagine you've asked questions on forums you could have Googled, just as we're doing.

 

Telling us to "Google it" isn't helpful, it's dismissive.

The problem is that Thai laws are difficult for we farangs to understand, especially if we don't read Thai, and the application of Thai law is not uniform, so if one poster says he did this and that, another poster may have found this and that didn't work for him. It's not helped by different amphurs inventing rules that other amphurs don't have.

 

Just trying to extend a Non O visa is a trying experience and that's minor stuff. Buying property gets into the stratosphere of difficult thing in Thailand.

 

There is a yawning chasm between those of us that say "never buy- rent" and those that say "buying is fine". IMO the latter just hadn't had it gone wrong YET. After all, everything is just peachy till it ain't.

 

Thing about Thailand is though, it's probably the easiest place to rent that you will ever find.

 

As they say though, "up to you".

 

Good luck and don't say you were not warned.

[SAFETY FIRST]

On 3/7/2024 at 12:26 PM, CanadaSam said:

I have an objection to your using the word "dummy" to describe your problem.

Maybe he identifies as a dummy. 

 

I read an article recently, a woman identifies as a dog. 

 

Edited March 31 by SAFETY FIRST

[KhunLA]

21 minutes ago, thaibeachlovers said:

The only advice that any farang needs in LOS, along with DON'T buy the girlfriend a house, a car or anything else that costs more than dinner at a nice restaurant.

Or one really needs to know what they are doing or be very lucky.   Think I was both, as 1st Thai wife was typical ... "are you that F'g stupid' ... yep, BUT, smart enough, had  POA, and sold the house without her involvement, sort of.   Wasn't even at the Land Office during transfer.

 

Lucky with #2 Thai wife, and didn't even bother with POA, though do have usufruct, not to protect against her, but relatives in case she cropped out early.  Redundant now, as daughter is on all the paperwork.

[BritManToo]

On 3/7/2024 at 12:14 PM, scorecard said:

I'm aware of a house sale in Pattaya, buyer presented a bank cashiers cheque at the land office. Seller said "I'm not handing over the keys until my bank clears this cheque". It took 5 days to clear. Buyer went back to land office and complained. Land office senior said "until the seller gets the money (cheque is cleared) you have not paid, you have to wait". 

And buyer should have replied .......... then no sale!

[rexpotter]

Its kind of luck, the whole process. You never really know till later on. Construction quality, who owns what next door, zoning if any at all. A new disco arrives, the neighbors are not kind etc etc. Its hard enough back where we come from, but it can get real ugly here as we have very little recourse. Have done it twice, once barely got out with an end result being the same cost if I had rented it. The other time was in Malaysia, but that is solid British Law. I would not do it again here.

[OneMoreFarang]

1 hour ago, DLButler said:

See, this is what frustrates me (and others, I suspect).  We join a forum to hear the views of others on the forum, and hope to get advice from people who aren't after our money and with whom we hope to develop relationships.  We want to hear your points of view and personal experiences, and thoughts on what you recommend and what you would do differently.  Sure, we can Google it.  And get lots of results too.  But many, if not most, will be ads for people who want to get our money.  I would imagine you've asked questions on forums you could have Googled, just as we're doing.

 

Telling us to "Google it" isn't helpful, it's dismissive.

 

I understand your point, so let me explain.

 

There are lots of things to know about real estate in Thailand. I.e. that foreigners can't buy land, that they can buy up to 49% of units in a condominium (and I think compound). There are rules how something is bought, like the money has to be transferred to Thailand in the outside currency (USD, EUR, not THB), which documents are required, what has to be paid at the land office, and all those things.

I am sure over time some of those things change. So, it is a good idea to get up to date information. Some time ago I found that information on property sites, listed in order, and accurate. And this is why I recommended to do that.

 

And then there is other information, which is open for discussion. I.e. with all those costs at the land office, who pays what. When I bought my condo, the seller suggested he pays all of that. I liked that idea, because I had a fixed price (the condominium price), and I didn't have to worry about additional cost (in the 6 digit range). Others split those costs. And some experienced buyer and sellers will have experience with that. Now that is the kind of information which might be discusses here. What are those additional costs? How much? Who should pay?

But IMHO those are not questions for a dummy guide. Those are detailed questions after the dummy question are answered. And they are often specific, like: I bought this 100sqm condominium in Bangkok in 2018 and now I want to sell it to a Thai person. What cost can I expect? Would you expect questions like that in a dummy guide? Would you want them, and hundred similar specific questions in a dummy guide? Probably not.

And this is why I suggested to learn the basics on property sites and then ask specific questions here. 

 

[rexpotter]

7 minutes ago, OneMoreFarang said:

 

I understand your point, so let me explain.

 

There are lots of things to know about real estate in Thailand. I.e. that foreigners can't buy land, that they can buy up to 49% of units in a condominium (and I think compound). There are rules how something is bought, like the money has to be transferred to Thailand in the outside currency (USD, EUR, not THB), which documents are required, what has to be paid at the land office, and all those things.

I am sure over time some of those things change. So, it is a good idea to get up to date information. Some time ago I found that information on property sites, listed in order, and accurate. And this is why I recommended to do that.

 

And then there is other information, which is open for discussion. I.e. with all those costs at the land office, who pays what. When I bought my condo, the seller suggested he pays all of that. I liked that idea, because I had a fixed price (the condominium price), and I didn't have to worry about additional cost (in the 6 digit range). Others split those costs. And some experienced buyer and sellers will have experience with that. Now that is the kind of information which might be discusses here. What are those additional costs? How much? Who should pay?

But IMHO those are not questions for a dummy guide. Those are detailed questions after the dummy question are answered. And they are often specific, like: I bought this 100sqm condominium in Bangkok in 2018 and now I want to sell it to a Thai person. What cost can I expect? Would you expect questions like that in a dummy guide? Would you want them, and hundred similar specific questions in a dummy guide? Probably not.

And this is why I suggested to learn the basics on property sites and then ask specific questions here. 

 

Good advice.

[KhunLA]

1 hour ago, DLButler said:

See, this is what frustrates me (and others, I suspect).  We join a forum to hear the views of others on the forum, and hope to get advice from people who aren't after our money and with whom we hope to develop relationships.  We want to hear your points of view and personal experiences, and thoughts on what you recommend and what you would do differently.  Sure, we can Google it.  And get lots of results too.  But many, if not most, will be ads for people who want to get our money.  I would imagine you've asked questions on forums you could have Googled, just as we're doing.

 

Telling us to "Google it" isn't helpful, it's dismissive.

Yep ... can be frustrating as all hell.

 

A lot has to do with your personal experience & knowledge of RE buying and or investing.   Also the replies have a lot to do, with the posters experience & knowledge in RE ...

... along with, was the experiences in TH positive or negative ... AND WHY

 

I'm extremely experienced, even had RE License back in USA.  

 

Much will also depend on how long you've been in TH, how long you plan on staying, and WHY are you buying ?

 

Last but surely not least, if all goes tits up, can you afford to walk away, as many found out, they couldn't, and it affected their happy factor, apparently for the rest of their life.

 

Actually no different than a divorce and losing everything you thought was yours in farangland.

 

When an OP comes on a forum, and needs to ask 'financial advice' ... I'm going to give them 'RENT', as a knowledgeable & experienced person, wouldn't need to ask  IMHO

 

Condo buying is safest bet, as you own it, but will rely again, and your RE savvy, but at least it's yours.  Generic questions are tough to answer, and if you have something specific, then better.  But that's rare on the forum, so many don't waste their time.  Many OPs never acknowledge or repost after receiving info, giving many the 'why bother' attitude, and just tell them to rent, as safest all around.

 

Unless in it for the long haul, more than 5 years ownership, as applies to most countries & RE, and rent is the way to go, especially if only been in TH for less than a few years.

 

You haven't answered 'if TH is for you ?' in that short of time.  The culture, heat, smog wears on people who didn't do their research or haven't been here.

 

I lived in Memhis TN USA area for 5 yrs before coming to TH, and 100°F +/- for month wasn't rare.  But TH can and is brutally hot, March, April & May till the rains  start.

 

Hua Hin & Northward have horrendous smog 4-6 months a year, whether some fail to admit or not, the numbers don't lie.

 

TH is NOT for everyone.  That might take a few years to realize, and maybe a year or so in different areas of TH, before buying.

 

 

Edited March 31 by KhunLA

[rexpotter]

51 minutes ago, KhunLA said:

Yep ... can be frustrating as all hell.

 

A lot has to do with your personal experience & knowledge of RE buying and or investing.   Also the replies have a lot to do, with the posters experience & knowledge in RE ...

... along with, was the experiences in TH positive or negative ... AND WHY

 

I'm extremely experienced, even had RE License back in USA.  

 

Much will also depend on how long you've been in TH, how long you plan on staying, and WHY are you buying ?

 

Last but surely not least, if all goes tits up, can you afford to walk away, as many found out, they couldn't, and it affected their happy factor, apparently for the rest of their life.

 

Actually no different than a divorce and losing everything you thought was yours in farangland.

 

When an OP comes on a forum, and needs to ask 'financial advice' ... I'm going to give them 'RENT', as a knowledgeable & experienced person, wouldn't need to ask  IMHO

 

Condo buying is safest bet, as you own it, but will rely again, and your RE savvy, but at least it's yours.  Generic questions are tough to answer, and if you have something specific, then better.  But that's rare on the forum, so many don't waste their time.  Many OPs never acknowledge or repost after receiving info, giving many the 'why bother' attitude, and just tell them to rent, as safest all around.

 

Unless in it for the long haul, more than 5 years ownership, as applies to most countries & RE, and rent is the way to go, especially if only been in TH for less than a few years.

 

You haven't answered 'if TH is for you ?' in that short of time.  The culture, heat, smog wears on people who didn't do their research or haven't been here.

 

I lived in Memhis TN USA area for 5 yrs before coming to TH, and 100°F +/- for month wasn't rare.  But TH can and is brutally hot, March, April & May till the rains  start.

 

Hua Hin & Northward have horrendous smog 4-6 months a year, whether some fail to admit or not, the numbers don't lie.

 

TH is NOT for everyone.  That might take a few years to realize, and maybe a year or so in different areas of TH, before buying.

 

 

well written....Rent it and Run

[DLButler]

13 hours ago, Skipalongcassidy said:

Good luck surviving without your mommy... 555

Hey, great response.  I've no doubt everyone is really impressed with your rapier wit and ability to put your deep thoughts into incisive words.  Not to mention how thoroughly intimidated people must be by you.  I know I sure I am.

Edited March 31 by DLButler