Forming A Company To Buy A Home

[eljeque]

In Pattaya, Bangkok and Phiket, foreigners form companies which can then own their homes.

Can the same be done in Issan cities like Udon, or is this company formation for property ownership only done in a few cities with large foreign populations?

[Diggerbasher]

Some local guys here in Sisaket have done it but they used Bangkok lawyers.Not sure local lawyer would have the knowledge.

[ray23]

Some local guys here in Sisaket have done it but they used Bangkok lawyers.Not sure local lawyer would have the knowledge.

<{POST_SNAPBACK}>

Try this Attorney in Nong Kia I think she can do what you need. I have used her in a different matter and several friends have used her for other things then you are talking about. She breached the subject with me at one time but I was not interested at the time.

Rayria Pokapan

01-2604338

[email protected]

Speaks english by the way

[eljeque]

Thanks for the information everyone.

[Sir Burr]

Forming a company to own a house is NOT a good idea.

You will have to pay some kind of corporate tax every year, or at least do accounts. This will bring you under the eyes of the authorities. Also, the government has talked about cracking down on companies whos sole purpose in being formed is to own a house. If you have a legitimate business, it is still not a good idea to register the house in the company. If the company goes bust, the house will be considered part of the company and can be sold to repay company debts.The best way for a foreigner to "own" a house here is to register it in a Thai name and take out a thirty year lease in your own name. Make sure the lease is registered at the land office and notated on the back of the land paper. That way, the land paper cannot be used as collateral against a loan.

[Som Nam Na]

I agree with Sir Burr.

I've looked into this and the aggro outways the benefits. I've never seen any reason to buy a house in Thailand at all. Rent is cheap and if you get yer missus to take out a mortgage, rent is Dirt cheap!) :0)

[Ajarn]

Make sure the lease is registered at the land office and notated on the back of the land paper. That way, the land paper cannot be used as collateral against a loan.

I've heard a couple of times that such land papers can, on fact, be used as security, but that banks, as part of their policies, won't give loans because of the inherrent difficulties in foreclosing on a house and removing occupants with a valid lease....

I also agree with the renting option in most cases. Cheaper, and keeps you flexible in case you want to move. Also, though I've known perhaps a hundred farangs who've bought houses, I've never ever known of one who has been able to sell it later... I feel sure some must have sold, but it still illustrates the point that it ain't easy to get out from under a house for most farangs, in my experience.

Unless someone takes it from you by force, which is a lot more common than many might realize...

Edited February 20, 2005 by Ajarn

[Cabana]

TRy renting here from a Thai - ridiculous tenancy agreements make it risky in the event of damage to the property or effects. I have bought from a farang who owned the house in a company name and he made about 3 million baht profit. anyone renting last 4 years would have lost money in relative terms to someone owning and selling (assuming they could sell the house). I know another farang who sold a house in CM and an apartment in bangkok making small profits but no probs selling. Knowing the market is the key as anywhere. Having said all this NOW may n ot be best time to buy the market looks toppy to me.