30-year Lease Question >>

[5ky]

Question 1: Is it possible to purchase a 30-year lease on a house from a falang who owns the property via a Thai Ltd co.??

Question 2: When the 30-year lease expires, what then ?? Because as i understand, a 30+30+30 yr lease is not really watertight.

(i'm not talking about Ufstruct)

[MJo]

1) Companies should be able to lease out their properties no probs.

2) Same as with any lease, it expires and owner can lease it again to you or someone else, sell it or find another use for the property. Up to him.

[loverboy44]

That's perfectly right!

[johnnyk]

30+30+30 is a fiction created to gain access to your wallet by real estate agents and developers. 30 and out or renew when 30 is up. Price increase may occur.

For those contemplating a 30-year lease on a housing estate, a note of caution. If the housing estate decides it wants to form a mooban legal entity it will need a majority vote of owners. If you are on a leasehold guess what? You have no vote and if 51% of the plots are leasehold the owner/developer holds the high cards.

[seaeagle]

Question 1: Is it possible to purchase a 30-year lease on a house from a falang who owns the property via a Thai Ltd co.??

Question 2: When the 30-year lease expires, what then ?? Because as i understand, a 30+30+30 yr lease is not really watertight.

(i'm not talking about Ufstruct)

On a point of detail..........

When you say "a falang who owns the property via a Thai Ltd co", do you mean LAND when you say PROPERTY?

If so, then that would be a foreigner owning land in Thailand using a nominee. Illegal, and plenty of info on TV covering this.

If you get a lease from an entity that is inherently illegal, then there are obvious risks - title renounciation being one of them.

Take care.

[5ky]

Thai property law could push a man to suicide what a mindfield !!

As we all know the setting up of a Thai Company to purchase land/house is deemed illegal by the authorities, but has anyone actually LOST their house or land ??

If its simply just pushed under the carpet, why worry ??

Perhaps Ufstruct is the answer (then again, i don't know much about it).

Thanks for all your replies!!

[katabeachbum]

Question 1: Is it possible to purchase a 30-year lease on a house from a falang who owns the property via a Thai Ltd co.??

Question 2: When the 30-year lease expires, what then ?? Because as i understand, a 30+30+30 yr lease is not really watertight.

(i'm not talking about Ufstruct)

Why not just buy the co ltd?

[monty]

As we all know the setting up of a Thai Company to purchase land/house is deemed illegal by the authorities, but has anyone actually LOST their house or land ??

Why would this be illegal?

As long as the 51% Thai shareholders are genuine, and effectively put the capital in the company as to acquire the property (and can prove they legally earned those funds), all is sound and solid.

Leasing from such a company is entirely legal.

[Naam]

As we all know the setting up of a Thai Company to purchase land/house is deemed illegal by the authorities, but has anyone actually LOST their house or land ??

Why would this be illegal? As long as the 51% Thai shareholders are genuine, and effectively put the capital in the company as to acquire the property (and can prove they legally earned those funds), all is sound and solid.

Leasing from such a company is entirely legal.

how many of these companies do exist? more than one twelfth of a dozen?

[xylophone]

30+30+30 is a fiction created to gain access to your wallet by real estate agents and developers. 30 and out or renew when 30 is up. Price increase may occur.

For those contemplating a 30-year lease on a housing estate, a note of caution. If the housing estate decides it wants to form a mooban legal entity it will need a majority vote of owners. If you are on a leasehold guess what? You have no vote and if 51% of the plots are leasehold the owner/developer holds the high cards.

As I understand it, you can draw up another contract with the lessor, which basically gives you the right to renew for another 30 years after the original term has been completed. The details can be included in this contract, and may well include an upfront payment to facilitate this renewal when it occurs???

[monty]

30+30+30 is a fiction created to gain access to your wallet by real estate agents and developers. 30 and out or renew when 30 is up. Price increase may occur.

For those contemplating a 30-year lease on a housing estate, a note of caution. If the housing estate decides it wants to form a mooban legal entity it will need a majority vote of owners. If you are on a leasehold guess what? You have no vote and if 51% of the plots are leasehold the owner/developer holds the high cards.

As I understand it, you can draw up another contract with the lessor, which basically gives you the right to renew for another 30 years after the original term has been completed. The details can be included in this contract, and may well include an upfront payment to facilitate this renewal when it occurs???

Not worth the paper it is written on.

The owner can sell the property, he can die, etc... 30 years is a very long time!

The buyer of the property with a lease on is only responsible for whatever is written/registered on the title deed. Whatever is agreed on between the person he buys the land from and the person leasing the land is none of his concerns.

Nor would it be of any worry of the people inheriting the property when the owner dies. They will have to honour the lease registered on the title deed and that's the end of it.

And the maximum registered on the title deed is 30 years.

Even if the lessor is still around, and he wants you out, even if you have a contract saying he should extend, it would end up resulting in a protracted, expensive legal battle which will likely see the owner of the land come out a winner.

The Thai law does not allow for a lease to be for more then 30 years, and the 30 years is what they will uphold. The owner could claim faulty advice from his lawyer when he agreed to sign the contract and come out the winner.

Thai law says you get 30 years, and you will get 30 years.

[JUDAS]

Question 1: Is it possible to purchase a 30-year lease on a house from a falang who owns the property via a Thai Ltd co.??

Question 2: When the 30-year lease expires, what then ?? Because as i understand, a 30+30+30 yr lease is not really watertight.

(i'm not talking about Ufstruct)

Why not just buy the co ltd?

Exactly what I was thinking. Better you have control of the company issuing the lease. What would happen if after a year or 2 the company you got the lease from went out of business, stopped trading etc...

[johnnyk]

30+30+30 is a fiction created to gain access to your wallet by real estate agents and developers. 30 and out or renew when 30 is up. Price increase may occur.

For those contemplating a 30-year lease on a housing estate, a note of caution. If the housing estate decides it wants to form a mooban legal entity it will need a majority vote of owners. If you are on a leasehold guess what? You have no vote and if 51% of the plots are leasehold the owner/developer holds the high cards.

As I understand it, you can draw up another contract with the lessor, which basically gives you the right to renew for another 30 years after the original term has been completed. The details can be included in this contract, and may well include an upfront payment to facilitate this renewal when it occurs???

A 2nd contract would be a personal agreement only. NOT recognized by the land office. Period. Full stop. If he croaks the heir or successor is not part of that agreement. Heir or successor is bound to honour the original 30-yr lease. The rest is paper. Be sure its the right kind to use in the loo because that's what its good for.