Can farang buy house or land

[newbie001]

I am not really certain that it is 100% illegal to pay for the house for your wife. I know of many men that have cosigned loans, and also have their names printed in the landbook. What I had thought was that the Law stipulated that the Thais cannot act as a holding company for foreign investment. The property just cannot be in the foreign partners name. I would say at least 80% of the guys I know that have homes here in Thailand specifically CM, paid the majority of the house.

If it were 100% illegal, then wouldn't you think that the banks or land office would check people tax statements. If someone who makes less than 20,000 baht a month suddenly drops 2million baht down for a house, that would send up red flags.

I always thought that the Law only stipulated that the foreign partner could have no legal claim over owning the land, not that Thais cannot buy land that they got from foreigners. If it is a gift, there is nothing illegal about that.

I know of several gentlemen that had pre-nups that stipulated if they ended in divorce that the property had to be sold within a year and that the money would be split equally. I don't see how or why a lawyer would do that if it were illegal.

I am not saying that I doubt those that say it is 100illegal, but it just doesn't seem so cut and dry.

[BigWheelMan]

my point was if the op is a farang and he gives money for his wife to buy the house, it's illegal, full stop, no arguments, according to current thai law.

Is that so, I had bought a house for my g/f in hard cash, and it is under her name, is this illegal.....

You can buy a house for anyone in Thailand under Thai law.

But if the house is in your girlfriend`s name, than it`s classified as a gift, because as a Farang you cannot legally own it. Common law relationships are not recognised in Thailand.

Edited April 21, 2010 by BigWheelMan

[likite]

my point was if the op is a farang and he gives money for his wife to buy the house, it's illegal, full stop, no arguments, according to current thai law.

Is that so, I had bought a house for my g/f in hard cash, and it is under her name, is this illegal.....

would recommend you see a lawyer , ask the question, then ask him to put it in writing that its not illegal, and see what his reaction is, loads of people do it, the risk is that your gf could be asked to prove where the money came from, ie savings from a job etc, if she cant she could be under scrutinisation, now what the penalties are i dont know, you maybe be lucky and it never happens.

Doppa what you are saying is essentially correct, but trying to get others to understand what you are saying and to get them to hear what they don't want to hear is tough. This same thing was covered here some months ago and there was also an article in Chiang mai mail reporting on what a goverment official publicly stated. From memory it was if there was evidence that the money to buy the land/house came from an outside source (i.e from farang to Thai) then there was a legal problem, the source of the money should/must be Thai. Caused a bit of a stir at the time.

As an aside quite how this thread keeps going with so much posted which is totally off topic is a mystery........... from personal experience. Depends if your face fits I guess

[likite]

Peaceblondie thanks for using a bit of commonsense with these threads here ..............appreciated.

[chiang mai]

And I say it is 100% legal for a farang to purchase, own and register a house in his/her own name, how he/she manges the land aspect is something else entirely, eg leasehold, company, etc. If anyone doubts this then they need to pay a visit to the Land Office to confirm.

[elektrified]

my point was if the op is a farang and he gives money for his wife to buy the house, it's illegal, full stop, no arguments, according to current thai law.

Is that so, I had bought a house for my g/f in hard cash, and it is under her name, is this illegal.....

would recommend you see a lawyer , ask the question, then ask him to put it in writing that its not illegal, and see what his reaction is, loads of people do it, the risk is that your gf could be asked to prove where the money came from, ie savings from a job etc, if she cant she could be under scrutinisation, now what the penalties are i dont know, you maybe be lucky and it never happens.

Doppa what you are saying is essentially correct, but trying to get others to understand what you are saying and to get them to hear what they don't want to hear is tough. This same thing was covered here some months ago and there was also an article in Chiang mai mail reporting on what a goverment official publicly stated. From memory it was if there was evidence that the money to buy the land/house came from an outside source (i.e from farang to Thai) then there was a legal problem, the source of the money should/must be Thai. Caused a bit of a stir at the time.

As an aside quite how this thread keeps going with so much posted which is totally off topic is a mystery........... from personal experience. Depends if your face fits I guess

I concur with these two members; likite and doppa.

Edited April 21, 2010 by elektrified

[WinnieTheKhwai]

It doesn't seem to be clear-cut illegal. No Thai has ever gotten into trouble for exercising their right under the constitution to own land, no matter where the money came from. Trouble may only start when it's clearly a construction to circumvent the law, with a foreigner or foreign owned real estate company trying to control the land using a nominee. Keep in mind that the transfer of money may be very separate from the act of purchasing land. Unless there are laws that prevent married couples from controlling shared funds?

Also, I actually get tax deducted based on the mortgage payments I make. That would not sync with it being illegal for a foreigner to help pay for a house. (Either that or not all government agencies agree with each other, or even different officials within the same agency, which also wouldn't surprise me one bit. This, After all, Remains Thailand. (TART). )

Edited April 21, 2010 by WinnieTheKhwai

[iainiain101]

Doppa is 100% correct.

It is illegal to give your wife money to buy a house. You are asked to sign a statement saying you understand that she owns the house 100%.

The the problem that arrises is that there have been a number of foreigners who on divorcing their wives have challenged the statement in court showing the money transfer for the purchase of the property clearly coming from them. Under Thai divorce law, anything that was yours before the marriage is yours after divorce. The divorce law seems currently to be taking precedent and the foreigners have been 'winning' with the wife being given 12 months to sell the property and return the money. This cleary brings the validity of the 'statement' into question.

You then have to take into consideration the Thai fear of any foreign ownership. Clearly they can argue that wives of 'rich' foreigners are just nominees for foreign land ownership.

Winnie mentions the Constitution, but what you have to remember is that prior to the Constitution in 1997, Thai wives of foreigners were forbidden from owning land.

At the moment, as we are all aware there are all sorts of Constitutional changes proposed, as well as farmers complaining of foreign 'nominee' ownership of land.

Iain

Edited April 21, 2010 by iainiain101

[Loaded]

What do Thais say?

http://www.thaiembassy.be/index.php?option...5&Itemid=29

According to Section 86 of the Land Code, an alien may acquire land in Thailand only by virtue of the provision of a treaty providing him with the right to own immovable property. Obtaining such acquisition is subject to the provision of the Land Code and the Ministerial Regulations issued under the Code, and the permission must be obtained from the Ministry of Interior. Before the termination of the treaty which was made on February 27th, 1970, there were 16 countries bided to the treaty ; USA, England, Switzerland, Germany, Denmark, Norway, the Netherlands, France, India, Belgium, Sweden, Italy, Japan, Burma, Portuguese, and Pakistan. Since then, Thailand has no longer made any treaty with any country to allow an alien to acquire land in Thailand by virtue of a treaty.

However, the Land Code has been amended with Section 96 bis providing that since January 19th, 2002, an alien is allowed to purchase land in Thailand for residential purpose and the land to be purchased shall be not more than one rai in area, and the following rules and conditions must be met:

1. Bringing money not less than Baht forty million into the Kingdom for investment and maintaining the investment not less that five years;

2. Permission must be obtained from the Minister of Ministry of Interior;

3. Money brought into the Kingdom shall be invested in one of the following businesses or activities;

3.1 to purchase bonds of Thai Government, bonds of Thai National Bank, bonds of State Enterprise or bonds which the Ministry of Finance secures the capital or interest,

3.2 an investment in a property mutual fund, a property mutual fund or a mutual fund for resolving financial institution problems established under the law on Securities and Stock Exchange,

3.3 an investment in share capital of a juristic person who is granted permission of investment under the law on promotion of investment,

3.4 an investment in an activity as declared by the Board of Investment to be an activity eligible to be granted promotion of investment under the law on promotion of investment;

4. the land to be acquired shall be located in Bangkok Metropolis, Pattaya City, or Tessaban (Municipality), or in the area specified as residential zone according to the law on Town and Country Planning and shall not be located in a military safety zone according to the law on Military Safety Zone;

5. an alien, who is granted permission, shall utilize the land only for residence for his/herself and the family in a way that is not contrary to the local custom or good living of the local community;

6. if an alien, who is granted permission to acquire such land, does not comply with the rules and conditions specified, he/she shall disposes of such land in the portion of his/her possession within the period of time specified by the Director General of the Department of Lands which shall be not less than one hundred eighty days and not more than one year. If the time limit elapses, the Director General shall have the power to dispose of such land;

7. if an alien, who is granted permission to acquire such land, does not utilize the land for residence within two years as from the day the registration for land acquisition is made, the Director General shall have the power to dispose of such land.

Besides the aforementioned rules and conditions, an alien may acquire land by inheritance as statutory heir, in this instance, the land devolved when combined with the land already acquired shall not exceed that specified by law, for examples, land for residential purpose not exceeding 1 rai per household, land for commercial purpose not exceeding 1 rai, land for industrial purpose not exceeding 10 rais, and land for agricultural purpose not exceeding 10 rai per household.

An alien whose spouse is a Thai national either legitimate or illegitimate, that Thai national can purchase land but the alien spouse of that Thai national must give a joint written confirmation that the money which that Thai national will expend on purchasing the land is wholly the separate property or personal effects of that Thai national and not the Sin Somros or jointly acquired property.

[WinnieTheKhwai]

Sounds clear cut to me; Doppa would be right in the sense that it's illegal when the purpose or effect is 'ownership' (control) on the part of the foreigner. But with a statement that the funds (now) belong to the Thai partner, the Thai partner can legally purchase land.

( Fortunately I'm not married, AND I don't have money worth writing home about, so none of this really applies to me personally. Last time the missus bought land I did have the good sense to wait outside so as to not complicate or confuse things. (Even though the money of course didn't come from me but from various sources including (her) family and some constructions I don't really understand but seemed very much like filling one hole with another hole but like I said before, she's the financial brains in the family. )

I can recommend anyone to not get married formally; I think marriage is between two people and really none of the government's business. (Neither Thai nor foreign). And where money for a land purchase comes from is REALLY none of the government's business. Like other's said, Thailand is pretty much at Third World level when it comes to laws right up to the constitution, so better not to place any kind of bet on things staying fair for Thai citizens with foreign partners.

Edited April 22, 2010 by WinnieTheKhwai

[iainiain101]

Where money came from is very much for governments to worry about as it could be money laundering or for terrorism.

In a lot of cases the government is of course more interested in taxing that money.

Iain

[chiang mai]

The OP made the statement, "foreigners can not "buy a house" in Thailand. Only a condominium" and, once again, this is incorrect. You might feel I'm being pedantic but it's worth clarifying the position here because I'm aware of at least two farangs who have bought and registered houses in Thailand where they own the house but their wife owns the land and that's perfectly legal - it's within the law plus it satisfies the security needs that many farangs have whereby they actually have registered ownership of their property. Now clearly, by going this route the farang makes a gift of the land to his wife, but from a risk perspective he doesn't put himself in a situation whereby he could lose his entire investment overnight and that is a concern for many people.

[WinnieTheKhwai]

Where money came from is very much for governments to worry about as it could be money laundering or for terrorism.

Right. Note that I'm not claiming that government doesn't want to know everything, I'm saying that *I* think it's none of their business when it comes to MY personal affairs, and will typically not volunteer any information for any reason.

[tigerbalm]

If you can only lease the land then that is not ownership so could we say to the OP that no, a foreigner can not own the land the same as he can not own the land his condo sits on, or is that another story

[Boksida]

you know anyone who's still with the same woman after 30yrs in this country, mmmm, i dont,

You need to get out more.

[chiang mai]

If you can only lease the land then that is not ownership so could we say to the OP that no, a foreigner can not own the land the same as he can not own the land his condo sits on, or is that another story

It's exactly the same, you can own the house or the condo in your own name but you cannot own the land on which either one sits.

[iainiain101]

There is one piece of land where foreigners can own a plot legally in Chiang Mai, with a golf course view and fairly central....

[WinnieTheKhwai]

[GarryP]

Not being based in Chiangmai and not having visited in the last 18 years, I am not sure where you mean. Can only assume it is a graveyard.

This weekend I will be signing a contract to buy a house and the land on which it is located, but I will be signing as guarantor. My wife and son will be signing as joint buyers. I have been married to the same Thai woman for over 20 years, but not quite 30 and lived in Thailand all that time. What does that make me doppa, nearly an exception to your rule???? Once we pay off the house, it will be in my son's name. He is 21 and both Thai and British.

[doppa]

Not being based in Chiangmai and not having visited in the last 18 years, I am not sure where you mean. Can only assume it is a graveyard.

This weekend I will be signing a contract to buy a house and the land on which it is located, but I will be signing as guarantor. My wife and son will be signing as joint buyers. I have been married to the same Thai woman for over 20 years, but not quite 30 and lived in Thailand all that time. What does that make me doppa, nearly an exception to your rule???? Once we pay off the house, it will be in my son's name. He is 21 and both Thai and British.

aint my rules, matey!

[greyfriarsbobby]

Are you a Thai citizen? Because foreigners can not "buy a house" in Thailand. Only a condominium.

Absolutely correct.

Is the OP suggesting that members advise him on how to do something illegal?

I am confused. Both elektrified and bigwheelman seem to be replying to an OP that I cannot see. Am I doing something wrong or has the original post been removed?

[PeaceBlondie]

It's a thread broken off an innocent "where's a nice moobahn?" Carry on.

[barlinnie]

Are you a Thai citizen? Because foreigners can not "buy a house" in Thailand. Only a condominium.

Absolutely correct.

Is the OP suggesting that members advise him on how to do something illegal?

I am confused. Both elektrified and bigwheelman seem to be replying to an OP that I cannot see. Am I doing something wrong or has the original post been removed?

Look under the thread "Buying a House".