Do I really own my condo?

[rexpotter]

So, I spent a lot of money fixing my new condo up, new everything. Very satisfied, I sat down to have a cold beer.  As I was sitting there having this beer and I thought what do I really own? Well, nothing except the furniture etc. I just spent a lot of money renovating someone else’s property. And as the breeze flowed through, I realized all I owned was the airspace. Why don’t we just call it what is ? Airspace rental and perceived ownership?

[Dan O]

3 minutes ago, rexpotter said:

So, I spent a lot of money fixing my new condo up, new everything. Very satisfied, I sat down to have a cold beer.  As I was sitting there having this beer and I thought what do I really own? Well, nothing except the furniture etc. I just spent a lot of money renovating someone else’s property. And as the breeze flowed through, I realized all I owned was the airspace. Why don’t we just call it what is ? Airspace rental and perceived ownership?

 

You own inside wall to inside wall and from floor to ceiling and everything in that space. All interior walls and furnishing and fixtures. If you've done a good job at that remodeling and furnishi g that's what you've got to sell and that's about it. Amenities in the building help as those are commonly shared, funded and maintained. Pay attention to the management of the building and upkeep on those areas as thats what will turn on or off a buyer at resale before they ever step foot inside

your condo. 

[Lee65]

22 minutes ago, rexpotter said:

As I was sitting there having this beer and I thought what do I really own? Well, nothing except the furniture etc.

 

You might find you do not even own that if you suddenly run afoul of some whim at Thai immigration

[MangoKorat]

36 minutes ago, rexpotter said:

So, I spent a lot of money fixing my new condo up, new everything. Very satisfied, I sat down to have a cold beer.  As I was sitting there having this beer and I thought what do I really own? Well, nothing except the furniture etc. I just spent a lot of money renovating someone else’s property. And as the breeze flowed through, I realized all I owned was the airspace. Why don’t we just call it what is ? Airspace rental and perceived ownership?

 

You own something that you can sell.  If you buy sensibly and the building is well taken care of, that should mean that you get more than your money back at some point in the future.  Pay rent and every penny is lost.

 

Apart from the Thai Land Law that prevents a foreigner from owning land, structures that contain more than one unit with shared spaces are very difficult to convey and maintain if they are freehold.  Who owns the roof? Who's responsible for replacing the main entrance door? All sorts of problems exist.

 

That's why, even in the UK, many such properties are leasehold rather than freehold.

 

 

[marin]

Any chance you smoked a little killer Indica and got a little paranoid? 🙃

[sirineou]

1 hour ago, rexpotter said:

So, I spent a lot of money fixing my new condo up, new everything. Very satisfied, I sat down to have a cold beer.  As I was sitting there having this beer and I thought what do I really own?

If you really believe what you wrote.   you have little understanding of the condominium concept . My suggestion is that you research it. 

[oxo1947]

51% of the land its sitting on is owned by Thai's (or a Thai Company)

But don't worry, when I first come to live in this country (in the 90s) -- My Thai wife could not own any property if chose to marry a non Thai.

 

After reading some of the letters on here --I dont know if that alteration to the law in the late 90s was good for farangs or not.......

[SAFETY FIRST]

1 hour ago, rexpotter said:

 I realized all I owned was the airspace

How much is your air space worth, my air space keeps appreciating. 

 

[3NUMBAS]

when bkk floods for good no you wont own much at all

give it time for water to rise to make it unlivable

and its sinking as well 

[digbeth]

even if the whole building collapse for some reason like fire or earthquake and after clearing away the rubble, the land is sold to a new developer, you get a cut of that sale, that's a lot more than what you'd get if you try to own lands through other means in Thailand 

[ChaiyaTH]

8 minutes ago, digbeth said:

even if the whole building collapse for some reason like fire or earthquake and after clearing away the rubble, the land is sold to a new developer, you get a cut of that sale, that's a lot more than what you'd get if you try to own lands through other means in Thailand 

How to get rich in Thailand, buy a 3M condo and then get a payout of 500K baht one time, in the scenario written above.

[georgegeorgia]

On 3/28/2024 at 10:54 PM, marin said:

Any chance you smoked a little killer Indica and got a little paranoid? 🙃

Do you think that is ok to say ,I realise your trying to be I guess funny but in reality the "victim" your aiming it at may get PTSD

Please think of others 

[marin]

46 minutes ago, georgegeorgia said:

Do you think that is ok to say ,I realise your trying to be I guess funny but in reality the "victim" your aiming it at may get PTSD

Please think of others 

Most others are not numskulls like you. Go back in your hole please and check out your other post to me. I have responded to your silly post about the Red Line Stations.  

[KhunLA]

OP, if you bought, you own, or will when paid off.  Never a bad thing, as pointed out, could always sell, and at worst, break even & lived here rent free.  That's a win all around 👍

 

I paid for 2 lots and paid to have 2 houses built on those lots.  Didn't own either.   1st help pay for the second one.   2nd one paid for the 3rd one, w/solar system, an adjacent lot for garden and a bit left over for new EVs.   

 

AND .. I didn't own any of them.  Still don't, but reap the benefit of never paying rent for 18 or the 24 years here, which again, proceeds from the houses paid the rent in reality. 

 

24 years rent free, so far.  Hopefully electric & petrol free, the rest of my life, along with, equity built up, that all funds spent, could be returned, plus a profit, if sold.

 

Live smarter, live happier ... it really isn't rocket science 

[Captain Monday]

1 hour ago, digbeth said:

even if the whole building collapse for some reason like fire or earthquake and after clearing away the rubble, the land is sold to a new developer, you get a cut of that sale, that's a lot more than what you'd get if you try to own lands through other means in Thailand 

I never got a straight answer to that question regarding my condominium, If the if the building became unlivable or otherwise had to be torn down and redeveloped. It is on about the priciest land you could find. 

 

No worries as I never invested in Thailand more than I can afford to walk away from at 100 percent deadweight loss. 

[NickyLouie]

pay rent is called lost equity, unless you're a bum who doesn't have nice cash to buy and own 

[BritManToo]

37 minutes ago, NickyLouie said:

pay rent is called lost equity, unless you're a bum who doesn't have nice cash to buy and own 

Outdated old man thinking.

In western society only single men can own a home, why hand your assets to a woman?

[noobexpat]

59 minutes ago, NickyLouie said:

pay rent is called lost equity, unless you're a bum who doesn't have nice cash to buy and own 

 

Lost equity huh?

Opportunity cost anyone?

 

 

Stick to your crypto.

[noobexpat]

1 hour ago, KhunLA said:

24 years rent free, so far.

 

Only if you sacrificed zero capital over 24 years. 

 

Otherwise you need to account for opportunity cost at 10% pa.

 

[timendres]

15 minutes ago, noobexpat said:

Only if you sacrificed zero capital over 24 years. 

 

Otherwise you need to account for opportunity cost at 10% pa.

 

It is the "western mindset" that we (if you are over 40 yo) have been brainwashed with - ownership.

If you are young, and can leverage a mortgage, then okay. If you are older, it makes less sense.

Not only could the return on the investment of the capital exceed the cost of rent, but....

           liquidity!

Often overlooked, and often far more important than returns.

 

[noobexpat]

2 minutes ago, timendres said:

 

It is the "western mindset" that we (if you are over 40 yo) have been brainwashed with - ownership.

If you are young, and can leverage a mortgage, then okay. If you are older, it makes less sense.

Not only could the return on the investment of the capital exceed the cost of rent, but....

           liquidity!

Often overlooked, and often far more important than returns.

 

 

Indeed.

 

Mentally i add a 'portability premium' onto my rent ...how much am i willing to pay each month in order to be able to walk away, at a near point in the future.

 

I do recognise the benefit of owning and choosing decor etc. At some point i may sacrifice the portability factor.

 

[KhunLA]

2 hours ago, noobexpat said:

 

Only if you sacrificed zero capital over 24 years. 

 

Otherwise you need to account for opportunity cost at 10% pa.

 

The houses I lived in would have cost ฿10 - ฿20k to rent.  So average that

down to ฿15k X 18 years = ฿3.24M, saved.   Actually about what was spent

out of pocket, along with, value of present house.  Scratch the EVs, as

depreciating assets.   Though if adding cost of electric & petrol saved, 

that's going to be about ฿100k a year,  So another ฿1M in 10 yrs, with

฿0 addition investment.  Sort of pays for the EVs alone.

 

So not only paid for from RE profits, but solar & petrol savings, will 

buy the next one, if ever needed, or wanted.  Toys-R-Us 

 

Along with all that rent (฿180k yr) I'm still not paying, to be invested or frivolously spent.

 

100% ROI, from housed in TH, average about 5% a year,(20 yrs, easy math)

as good as any 'safe' investment, market wise.  And I got to live in

custom design houses of my choosing, with plenty of land, in locations

I wanted to be.

 

As some stated, would I do that with a mortgage, or start that at

65 years, old, probably not..   If knowing where I wanted to live,

I'd go the comfy condo route, knowing I owned it, wasn't

wasting money or rent.  Be quite happy living minimalistic.

 

Actually more practical, as I'd probably be single, w/GF or not,

and enjoy being single.  Definitely skipping the single parent to 

the village orphan.

 

After buying first house, USA, 40+ yrs ago, never understood the

rationale of renting.   Really is a no ROI, with your finances.  The 

way I bought, sold, rented RE in USA, I never paid for those houses

either, the tenants did, and I just enjoyed the equity the was built up.

[noobexpat]

38 minutes ago, KhunLA said:

The houses I lived in would have cost ฿10 - ฿20k to rent.  So average that

down to ฿15k X 18 years = ฿3.24M, saved.   Actually about what was spent

out of pocket, along with, value of present house.  Scratch the EVs, as

depreciating assets.   Though if adding cost of electric & petrol saved, 

that's going to be about ฿100k a year,  So another ฿1M in 10 yrs, with

฿0 addition investment.  Sort of pays for the EVs alone.

 

So not only paid for from RE profits, but solar & petrol savings, will 

buy the next one, if ever needed, or wanted.  Toys-R-Us 

 

Along with all that rent (฿180k yr) I'm still not paying, to be invested or frivolously spent.

 

100% ROI, from housed in TH, average about 5% a year,(20 yrs, easy math)

as good as any 'safe' investment, market wise.  And I got to live in

custom design houses of my choosing, with plenty of land, in locations

I wanted to be.

 

As some stated, would I do that with a mortgage, or start that at

65 years, old, probably not..   If knowing where I wanted to live,

I'd go the comfy condo route, knowing I owned it, wasn't

wasting money or rent.  Be quite happy living minimalistic.

 

Actually more practical, as I'd probably be single, w/GF or not,

and enjoy being single.  Definitely skipping the single parent to 

the village orphan.

 

After buying first house, USA, 40+ yrs ago, never understood the

rationale of renting.   Really is a no ROI, with your finances.  The 

way I bought, sold, rented RE in USA, I never paid for those houses

either, the tenants did, and I just enjoyed the equity the was built up.

 

A lot of words, but you spent 3m and now have a house. 

You saved an estimated 3m in rent. Fair enough, all good so far.

But where is the bit where it says the 3m would be now worth nearly 17m?? ...and that you recognise this is the opportunity cost.

 

Its almost like you wrote the big long story to show how savvy you are!!

 

 

 

 

 

 

 

 

[KhunLA]

11 minutes ago, noobexpat said:

 

A lot of words, but you spent 3m and now have a house. 

You saved an estimated 3m in rent. Fair enough, all good so far.

But where is the bit where it says the 3m would be now worth nearly 17m?? ...and that you recognise this is the opportunity cost.

 

Its almost like you wrote the big long story to show how savvy you are!!

 

 

 

 

 

 

 

 

Yes ... but got it all back + ฿3M worth of assets

 

I spent ฿3M, the 2nd house & land sold for ฿6M.   So got all the money back, and paid for everything we have now.

 

Yes, I could have invested it, if needing or wanting to, but didn't have to, as have more than enough already.   My time is more important, than time spent investing, did that, didn't get the T-shirt, but retired at 45.

 

And 10% a year, isn't worth my time.  

[metisdead]

An inflammatory post and the replies contravening our Community Standards have been removed:

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[noobexpat]

31 minutes ago, KhunLA said:

Yes ... but got it all back + ฿3M worth of assets

 

I spent ฿3M, the 2nd house & land sold for ฿6M.   So got all the money back, and paid for everything we have now.

 

Yes, I could have invested it, if needing or wanting to, but didn't have to, as have more than enough already.   My time is more important, than time spent investing, did that, didn't get the T-shirt, but retired at 45.

 

And 10% a year, isn't worth my time.  

 

So knock 6 from the 17 you didn’t get. Or whatever. Why so tricky? Rocket science is easier than explaining this to you.

 

Your 10% and my 10% are not the same. I don't need to buy/build/sell a house and land to make 6m in a year. Appears my time is even more important than yours. 

[KhunLA]

4 minutes ago, noobexpat said:

 

So knock 6 from the 17 you didn’t get. Or whatever. Why so tricky? Rocket science is easier than explaining this to you.

 

Your 10% and my 10% are not the same. I don't need to buy/build/sell a house and land to make 6m in a year. Appears my time is even more important than yours. 

Do you really think someone that retired @ 45 needs investing advice.   More like, should be giving it.

 

Simply gave my RE advice, to OP, or whoever might be interested in the 'topic'.   As did others, also good advice, if arriving in TH at a bit older age.  Though unless paying too much at the get go, buying is usually the way to go.   Though in TH, that does require cash purchase, usually, if a tad older.

 

Cash is never a bad thing, and avoid the higher cost of financing, as much as using other people's money can be an advantage, but not possible in TH, usually.

 

Making assumption about someone you don't know, usually doesn't reflect well.

 

Have a good one.