Land Ownership Methods For Foreigners In Thailand

[thaiwanderer]

The other point to add here is that big business has no problems with the Bank of Investment rules whereby investing Baht 40 mill for ten years allows the farang to OWN one rai of land in his/her own name.

Hi chiang mai - This is not my area but I do scan the threads - This has to be cleared by someone in goverment? - I don't think this has happened in many, many, years - I Think Naam may have tried this and commented on it in the past.

I THINK the answer is YES but is actually NO.

Has and does happen but is nothing more than bragging rights since tbh the restrictions are such that its less attractive than even using a nominee company or whatever is the current flavour of farang 'ownership' according to real estate alchemists.

Hi thaiwanderer - Can you point to a specific example? I can't. I am not being rude, I am just seeking information. I don't think anyone has been able to do this in some time, but I am happy to stand corrected if proved wrong

Know of several in the last year but with respect they are not public knowledge for obvious reasons.

By their very nature they are small fry sweetners for far bigger deals and the 'ownership' only last for as long as the investment.

[Fontane]

Two classes of falang owners here IMO.

One is int'l. business like hotels, factories etc. They invest big money and create jobs. Thailand must be competitive to attract and keep them so they aren't going to do anything to intentionally alienate them.

Second owner group are individual falangs. Thailand doesn't really give a <deleted> and likely regards them as being mainly drunks who require adult supervision. Take their pennies but don't let them have much that is substantial. Don't look for any improvement to land laws there.

Thankyou for putting that down in laymans terms and exactly my sentiments to a T.

[benchmark]

It's not at all speculation what a nominee is, though selective enforcement or otherwise is an issue any prudent investor will consider.

I however personally dislike any so called professionals of which there are many dressing up opinions of which way the wind will blow as anything over than a coin toss.

I'm not selling this, but fact is that many foreigners own property trough companies, and as it is now, the nominee problem for existing companies is only in theory, nothing changed in practice. Nothing is happening and for existing companies it's not different than it was in 2005, when most TV members were selling company ownership structures.

There is no need to panic.

I can up to a certain extent agree with you. Most of this negative talk about nominee companies are still speculation isn't it? I sometimes wonder whether most of these foreigners are overreacting on this issue. I must say that I have more than 5 inquiries a day for the last few days for buying houses. If the situation is as critical as some of the members highlight it here will these people want to buy houses here as foreigners??????? Some serious inquiries from these foreigners are for houses of over 1 million dollars.

I stress again why people are buying here is just because they simply can't resist what is on offer. Lifestyle, prices, food, warm climate, people, reasonable infrastructure, nightlife, shopping, etc as a whole package.

Asia as a region is also growing economically despite of the global recession even at a slow pace. So buying property here now could be a wise investment in the longer term. Yes we can talk about a lot of negative opinions if we really want to. But isn't this a time that everyone should be positive than ever before?????

[MrBike]

Two classes of falang owners here IMO.

One is int'l. business like hotels, factories etc. They invest big money and create jobs. Thailand must be competitive to attract and keep them so they aren't going to do anything to intentionally alienate them.

Second owner group are individual falangs. Thailand doesn't really give a <deleted> and likely regards them as being mainly drunks who require adult supervision. Take their pennies but don't let them have much that is substantial. Don't look for any improvement to land laws there.

The other point to add here is that big business has no problems with the Bank of Investment rules whereby investing Baht 40 mill for ten years allows the farang to OWN one rai of land in his/her own name.

According to a prominent Pattaya Lawyer a farang can own up to one rai of land regardless of the amount of money invested. The only stipulation is that the land can only be used for one main home and must not be used for comercial purposes.

[stgrhe]

MrBike, that is true but only if the foreigner has inherited the land and thereafter he/she must sell the land within six months but this time frame may be extended up to one year.

[Khun Jean]

I have been away for a while but it is still going on.

Still the same nonsense.

Companies with nominees are illegal. Simple law, simple advice to would be buyers.

Not enforcing laws is NOT something you can count on. Giving advice that it is possible is criminal because you are helping to setup a company that is illegal.

1 million dollar or 10.000 dollar. There is no difference. land can not be owned, period.

Investing gives you some possibilities, but would people be willing to do that?

Even if you own a place, you still have to make sure your visa and future visas are in order. Not nice to have a house in 'paradise' and are unable to visit let alone live in it.

Mr. Benchmark, Sponsor or no sponsor. The few post i read tells me enough.

You have no problems bending the truth to make a sale.

Shame on you.

10, 9, 8, 7, 6.......

Edited January 8, 2010 by Khun Jean

[Gary A]

It's VERY understandable why the government has not enforced the bogus company law. The thousands of foreigners who "own" property through a bogus company pay a LOT of money every year in taxes and to accountants. Politicians are not eager to bite the hands that feed them or their cronies. Will the law ever be enforced? that's the BIG question.

[minefield]

It's not at all speculation what a nominee is, though selective enforcement or otherwise is an issue any prudent investor will consider.

I however personally dislike any so called professionals of which there are many dressing up opinions of which way the wind will blow as anything over than a coin toss.

I'm not selling this, but fact is that many foreigners own property trough companies, and as it is now, the nominee problem for existing companies is only in theory, nothing changed in practice. Nothing is happening and for existing companies it's not different than it was in 2005, when most TV members were selling company ownership structures.

There is no need to panic.

I can up to a certain extent agree with you. Most of this negative talk about nominee companies are still speculation isn't it? I sometimes wonder whether most of these foreigners are overreacting on this issue. I must say that I have more than 5 inquiries a day for the last few days for buying houses. If the situation is as critical as some of the members highlight it here will these people want to buy houses here as foreigners??????? Some serious inquiries from these foreigners are for houses of over 1 million dollars.

I stress again why people are buying here is just because they simply can't resist what is on offer. Lifestyle, prices, food, warm climate, people, reasonable infrastructure, nightlife, shopping, etc as a whole package.

Asia as a region is also growing economically despite of the global recession even at a slow pace. So buying property here now could be a wise investment in the longer term. Yes we can talk about a lot of negative opinions if we really want to. But isn't this a time that everyone should be positive than ever before?????

We are shifting to Phuket in march to retire so we have been ,Over the past six months watching all forums and the real-estate market, And it's interesting realestsate agents say that things are on the move .....YET...The same houses are still there for sale and are still for sale 1 year latter and as Friends in Phuket say "There is no new money coming in",, The idea of a 30 year lease stinks , The renewal is not guaranteed and a lot of people appear to be sitting on the fence waiting.

It seems most are renting that what I have been advised to do and while farangs go along hat line it will cripple the building industry...IT HAS.......Developer's want to sell not rent they need the money to continue developments , Yet most of the places in Phuket for sale you can rent long term and I know for me I will leave my money here in New Zealand invested until it's a little fairer for the Farang, Thia's can buy freehold in New Zealand we should be able to do the same, until there are changes my money stays out of Thailand and we will rent

Edited January 10, 2010 by minefield

[bellste]

No. They are getting harder on it. Now the Thais who buy land have to prove that the money does not come from a foreigner. They must have earned it (and paid tax) themselves,or inherited it. They do not at all want any foreigner to own property or land in Thailand.

They are going to crack down on these things. Girlfriends that buy land in their name, paid for by a foreigner. Fictive LTD companies, all financed by foreigners etc.

This was made public in Phuket, by the boss of the Land Department on the 27^th May 2009.

Edited January 10, 2010 by bellste

[bellste]

From my part in Khanom I haven't seen any slowdown in the land sales .... most land I sell is freehold with the foreign buying the land in his wife's or his Thai Limited Company's name....only a few foreigners have bought leasehold.....

How do you bye a Leasehold? You pay to rent it, you don't bye anything.

[stgrhe]

No. They are getting harder on it. Now the Thais who buy land have to prove that the money does not come from a foreigner. They must have earned it (and paid tax) themselves,or inherited it.

This is not true and you talk a lot of nonsense Bellste! There are no such requirements nor is that supported by the law. The very reason why Thai women married to foreigners were permitted to buy land was because it was regarded unconstitutional to prevent them that right.

They are going to crack down on these things. Girlfriends that buy land in their name, paid for by a foreigner. Fictive LTD companies, all financed by foreigners etc.

Girlfriends/wifes no, unless they change the law. Fictive limited companies perhaps but if they do their actions will most likely be rather limited as the money talks here in Thailand and these companies bring home the bacon for so many Thais.

This was made public in Phuket, by the boss of the Land Department on the 27^th May 2009.

His comments at that time were his very personal comments and the statements must be seen in a broader context.

[craigt3365]

It's not at all speculation what a nominee is, though selective enforcement or otherwise is an issue any prudent investor will consider.

I however personally dislike any so called professionals of which there are many dressing up opinions of which way the wind will blow as anything over than a coin toss.

I'm not selling this, but fact is that many foreigners own property trough companies, and as it is now, the nominee problem for existing companies is only in theory, nothing changed in practice. Nothing is happening and for existing companies it's not different than it was in 2005, when most TV members were selling company ownership structures.

There is no need to panic.

I can up to a certain extent agree with you. Most of this negative talk about nominee companies are still speculation isn't it? I sometimes wonder whether most of these foreigners are overreacting on this issue. I must say that I have more than 5 inquiries a day for the last few days for buying houses. If the situation is as critical as some of the members highlight it here will these people want to buy houses here as foreigners??????? Some serious inquiries from these foreigners are for houses of over 1 million dollars.

I stress again why people are buying here is just because they simply can't resist what is on offer. Lifestyle, prices, food, warm climate, people, reasonable infrastructure, nightlife, shopping, etc as a whole package.

Asia as a region is also growing economically despite of the global recession even at a slow pace. So buying property here now could be a wise investment in the longer term. Yes we can talk about a lot of negative opinions if we really want to. But isn't this a time that everyone should be positive than ever before?????

We are shifting to Phuket in march to retire so we have been ,Over the past six months watching all forums and the real-estate market, And it's interesting realestsate agents say that things are on the move .....YET...The same houses are still there for sale and are still for sale 1 year latter and as Friends in Phuket say "There is no new money coming in",, The idea of a 30 year lease stinks , The renewal is not guaranteed and a lot of people appear to be sitting on the fence waiting.

It seems most are renting that what I have been advised to do and while farangs go along hat line it will cripple the building industry...IT HAS.......Developer's want to sell not rent they need the money to continue developments , Yet most of the places in Phuket for sale you can rent long term and I know for me I will leave my money here in New Zealand invested until it's a little fairer for the Farang, Thia's can buy freehold in New Zealand we should be able to do the same, until there are changes my money stays out of Thailand and we will rent

We spent a month looking at property in Phuket. We were at several real estate agents offices where deals were going down. But only for lower end properties. Anything over 20MM Baht or so is dead. But stuff is still selling. We visited many new developments where half or more had been sold. And went back a week later and several were then gone as they had just sold.

Here in Pattaya they are still building. And I know of quite a few folks who just bought. I met 2 farang couples this weekend who bought this past summer. Not sure how they did it, but I have to assume it was the nominee company route as they both own houses. Sure, there is a lot of inventory, but there is some movement. Not like a few years ago, but I doubt we will ever see that craziness again....or at least not for a long time. If the property is priced right, it will sell. We saw many houses that were just crazy priced. And yes, they have been sitting there for a year or more....and I can understand why!