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Posted

Excerpt from the Pattaya Expats Club Newsletter:

Peter, our Immigration specialist told of a 'scam' involving land out by lake maprachan. It seems plots of 10 rai are sold for a maximum of 15 dwellings (a local regulation). The scam involves building 15 dwellings on 8 rai, and then selling two rai separately. The new ownership is legal, but when someone tries to 'plan' for a property it is refused, you own 'restricted use' land.

Reference here.

Posted

So use a good lawyer for your wife, or Thai partner's purchase of the land.

He should search for such things before you buy.

Or purchase with conditions on your side that the land shall be bought back at selling price plus 10% if it proves not suitable for the declared purpose (i.e. development for private housing).

Or use a good property agent of your own, rather than the vendor's agent.

This is just common sense and is followed in countries such as UK, where there are many green belt restrictions, land-bank regulations and so on.

Like most Thai scams, it will only trap the ill-prepared and those with too much money.

Posted
Or purchase with conditions on your side that the land shall be bought back at selling price plus 10% if it proves not suitable for the declared purpose (i.e. development for private housing).
It is a good concept, but I don't think most sellers would agree to it. One other point, it seems if you think of the idea first the lawyer can put it in the sales agreement, however they don't seem to be very good at proactively suggesting things that can keep you out of a bind. Like purchasing land subject to an area survey to verify the land area. Sure if you tell them to put that in there you're off and running. However if you just leave it to them they normally won't mention it and most first time buyers assume the land area stated on the chanote is accurate. Is it just the lawyers I've had experiece with?

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