I Am A Foreginer And Want To Invest In Real Estate In Thailand

[India]

Hi - I would like to invest in real estate in thailand (as a foreginer)

Purpose of investment is to generate rental income on a short term and sell the porpoerty after it appriciates significantly.

Please suggest do's and dont's !!

Also

What kind of budget should i look at to start small ?

What cities/areas should I concentrate on ? (would like to play safe with the frist investment)

Is it easy to rent out a good property to a company ?

What % of Returns should I expect ?

What period of lease do tenants usually prefer for comercial ? residential props ?

How is the market now ? is this a good time to buy ?

If I go for Condos - can I own a 100% or still would end up ownig 49 % of Condos - btw for Condos - is the builder a 51% thai owner ? can one trust these buliders ?

Are there laws that protect the Foregin Invstor as a 49% owner ?

Does the 49% owner have the right to sell or rent the prop to who so ever he wnat ? also does he have to share the profits generated by Sale or Rent of his investmen with the 51% thai owner ?

Could you please recomend a good broker ? or an estate Agent company ? that has exoerience working with Foreginers

I am open to any other thoughts or comments on the subject

Thanks

Regards

Samy

[richardt1808]

Hi,

As a foreigner, you cannot own land in Thailand.

You can purchase a condominium and fully own 100% of it. The 49% rule means that up to 49 % of the units in the building may be owned by foreigners.

Personally, I'd think you're crazy for thinking of investing in property here. Rental income would not beat the interest you would be able to earn in other safer investments and since there has been an over-supply for a number of years now, you would not be guaranteed to find tennants anyway. Similarly, trying to sell a second hand condo would be very difficult as most Thais prefer to buy new.

My Advice: move on and think of something else.

[Jdietz]

Bring as much as you want to lose

Anywhere will net you the same result

No

Something negative

As long as possible without paying

Bad, No

No, no, no

No, no, no

No.

Also multiple posts on this done to death subject.

[India]

Bring as much as you want to lose

Anywhere will net you the same result

No

Something negative

As long as possible without paying

Bad, No

No, no, no

No, no, no

No.

Also multiple posts on this done to death subject.

Mulit post was an error .. didn't mean to do it !

Thanks for ur input

Regards

Samy

[India]

Hi,

As a foreigner, you cannot own land in Thailand.

You can purchase a condominium and fully own 100% of it. The 49% rule means that up to 49 % of the units in the building may be owned by foreigners.

Personally, I'd think you're crazy for thinking of investing in property here. Rental income would not beat the interest you would be able to earn in other safer investments and since there has been an over-supply for a number of years now, you would not be guaranteed to find tennants anyway. Similarly, trying to sell a second hand condo would be very difficult as most Thais prefer to buy new.

My Advice: move on and think of something else.

Thanks for your reply...

Can you suggest any safer investment

Regards

Samy

[Arjay]

Hi,

As a foreigner, you cannot own land in Thailand.

You can purchase a condominium and fully own 100% of it. The 49% rule means that up to 49 % of the units in the building may be owned by foreigners.

Personally, I'd think you're crazy for thinking of investing in property here. Rental income would not beat the interest you would be able to earn in other safer investments and since there has been an over-supply for a number of years now, you would not be guaranteed to find tennants anyway. Similarly, trying to sell a second hand condo would be very difficult as most Thais prefer to buy new.

My Advice: move on and think of something else.

You are totally wrong. You can own land/house through a Thai Limited Company. I have a house here and several condo units. I average 7.5%-8.5% net return on my investments. Can you guarantee that much? In what? the stock market. Dont make comments unless you know what your talking about!

[Arjay]

Bring as much as you want to lose

Anywhere will net you the same result

No

Something negative

As long as possible without paying

Bad, No

No, no, no

No, no, no

No.

Also multiple posts on this done to death subject.

My guess is you do not have the capital to invest in anything. You probably lost your money in a Go-Go. I have made very good returns on my property investments here.

[Arjay]

Location, location,location then price. My advise is buy where you want to live. There is a lot of crap properties out there but, there is also prime real estate thats always in demand-LOCATION.Find a reputable property agent do your research. You can net 7-8% with the right property. A few years ago it was a guranteed 10%! Commercial property leases tend to be from 3-5 years long and piggy backed 3x max. allowed by Thai contract laws.

[Arjay]

Location, location, location. Concentrate on "tourist areas" close to transportation. If you have the capital it is always a "buyers market". Dont listen to the naysayers. They dont have capital so they cry in their beer!

[Arjay]

Hi,

As a foreigner, you cannot own land in Thailand.

You can purchase a condominium and fully own 100% of it. The 49% rule means that up to 49 % of the units in the building may be owned by foreigners.

Personally, I'd think you're crazy for thinking of investing in property here. Rental income would not beat the interest you would be able to earn in other safer investments and since there has been an over-supply for a number of years now, you would not be guaranteed to find tennants anyway. Similarly, trying to sell a second hand condo would be very difficult as most Thais prefer to buy new.

My Advice: move on and think of something else.

Where would you earn your interest? Greek, Portugal, Spain bond? Please! U.S. Treasury 10 year at 3.5% Come on! Junk Bond? You dont know what your talking about!

[Arjay]

Sammy. PM me. I will give you the straight scoop if your a good guy. Dont let these fools discourage you. I have NOTHING to sell you.

[pkrv]

Hi India - please check out the pinned thread on condominiums. We all put ALOT OF EFFORT into the pinned threads.

If you go the condominium route for an investment I would say you stick to Bangkok THAT IS IT!

Others have also commented BTS/MRT being key

And please don't listen to the guys who try to herd you off of the site, like a sheep. Stay here and talk openly, you may be surprised who that you bump into. There are some FANTASTIC posters on Thaivisa you have already encountered one http://www.thaivisa....5543-quiksilva/

PKRV

Edited July 14, 2010 by pkrv

[johninbkk]

Hi,

As a foreigner, you cannot own land in Thailand.

You can purchase a condominium and fully own 100% of it. The 49% rule means that up to 49 % of the units in the building may be owned by foreigners.

Personally, I'd think you're crazy for thinking of investing in property here. Rental income would not beat the interest you would be able to earn in other safer investments and since there has been an over-supply for a number of years now, you would not be guaranteed to find tennants anyway. Similarly, trying to sell a second hand condo would be very difficult as most Thais prefer to buy new.

My Advice: move on and think of something else.

You are totally wrong. You can own land/house through a Thai Limited Company. I have a house here and several condo units. I average 7.5%-8.5% net return on my investments. Can you guarantee that much? In what? the stock market. Dont make comments unless you know what your talking about!

ARJAY is 100% correct. I have made quite a lot of money from property, rentals I mean. 9% - 12% + capital return on the property when you eventualy sell it. And it's so true, location, location, location. Buy cheap in a poor position and that'll be your return. POOR. concentrate on houses cos I believe there is an oversupply in Condo's. Good luck. Just do your reasearch... DON'T BE LAZY.

[Theo007]

How to make a small fortune in Thai real estate?

Start with a large one.

[Arjay]

How to make a small fortune in Thai real estate?

Start with a large one.

You obviously dont know what your talking about. I started with a small investment condo here and made a profit on every transaction. I now have 3 properties and have never had to increase that original investment. I agree there are some "idiots" that loose their shirts investing in Go-Go bars but, they are not "true entreprenures". Just wannabe pimps. If you were a "failure" in your home country you will be one here! If you are a "true entreprenure" opportunies are everywhere. You have the same legal rights as all Thais as long as you do things legally. Notice all the wealthy Thais driving MB's even if they cost more here than there!

[Arjay]

Hi,

As a foreigner, you cannot own land in Thailand.

You can purchase a condominium and fully own 100% of it. The 49% rule means that up to 49 % of the units in the building may be owned by foreigners.

Personally, I'd think you're crazy for thinking of investing in property here. Rental income would not beat the interest you would be able to earn in other safer investments and since there has been an over-supply for a number of years now, you would not be guaranteed to find tennants anyway. Similarly, trying to sell a second hand condo would be very difficult as most Thais prefer to buy new.

My Advice: move on and think of something else.

You are totally wrong. You can own land/house through a Thai Limited Company. I have a house here and several condo units. I average 7.5%-8.5% net return on my investments. Can you guarantee that much? In what? the stock market. Dont make comments unless you know what your talking about!

ARJAY is 100% correct. I have made quite a lot of money from property, rentals I mean. 9% - 12% + capital return on the property when you eventualy sell it. And it's so true, location, location, location. Buy cheap in a poor position and that'll be your return. POOR. concentrate on houses cos I believe there is an oversupply in Condo's. Good luck. Just do your reasearch... DON'T BE LAZY.

[Arjay]

Cheers to you "johninbkk" tell it like it is. These naysers were "failures" in their home country and "failures" here now. My guess is most of them got cheated out of their money by an "uneducated bar girl" with more brains then they have

[India]

Hi India - please check out the pinned thread on condominiums. We all put ALOT OF EFFORT into the pinned threads.

If you go the condominium route for an investment I would say you stick to Bangkok THAT IS IT!

Others have also commented BTS/MRT being key

And please don't listen to the guys who try to herd you off of the site, like a sheep. Stay here and talk openly, you may be surprised who that you bump into. There are some FANTASTIC posters on Thaivisa you have already encountered one http://www.thaivisa....5543-quiksilva/

PKRV

Thanks ... didnt mean to put a mulit thread ... it was a mistake .. !..

Anyways ... thanks for your suggestions !!

[Kf6vci]

Samy, wake up and do the math.

Are you from India? Then you know the Thai Baht is rather overvalued. And as you will have trouble getting a mortgage, there are other ways to put your money to work. and other places, like the USA. there you can buy houses, own the land and think 8-9 years rent paying for the house, including a PM company handling the management.

At www.pgp.co.th where I rent rents have fallen. Over 10%! If we stay, then it will be another 8% off without serious haggling or driving a hard bargain. The place is full of vacant units and I'm mystified about the attitudes of some Thai landlords who do little to fill their vacancies. Moving in special, some incentives, ...

5,500 rent / 8XX,000 to buy plus HOA fees of say 700 Baht a month. Here in another thread, someone said about chiang Mai a house is costing 13,000,000 to buy and 25,000 to rent. How many years? The house will be a tear down after 2/3 the time it takes to pay for it with the rent. Oops, that will not happen if there is a mortgage, as mortgages for 13 million exceed 25,000 per month.

You my love RE, but this may not be the place to buy as an investor.

Good luck!

[Kf6vci]

[beginner]

Hi JohninBkk,

Did you manage to fire sale your house in Jomtien.

Did Arjay sell it for you?

Was that one of your portfolio that returns 9 to 12% net per annum?

John 081 376 1773

Valuation 10.6

FIRE SALE 8.6 inc full furniture

Baht : 69,000 inclusive:

DETAILS; 200 yards from jomtien beach and restaurants…

1. Single level house

2. 3 bedrooms

[generealty]

Although many people on this forum do have your best interests in mind, some are only speaking from what they believe to be true which might only be what they have been told on a night out with the 'Boys'(bar talk0 It might frighten as opposed to encourage, so please seek advice from people in the know who have been in Asia (Thailand particularly) for many years. Although most people would tell you to be careful and do some homework-there are people already here who can help with that side of it. You do not need to pay for this advice and it might help put your mind at ease. Then after you have had some good advice-make a decision one way or the other.

Good luck

[monty]

You are totally wrong. You can own land/house through a Thai Limited Company. I have a house here and several condo units. I average 7.5%-8.5% net return on my investments. Can you guarantee that much? In what? the stock market. Dont make comments unless you know what your talking about!

Indeed you can.

49% of the company, so 49% of the house.

51% of the shares have to be in Thai name, and it is totally illegal to have those 51% Thai shareholders without them actually putting 51% of the cash inside the company (and it's assets). Along with the fact that the Thai shareholders have to be able to prove how they acquired the cash they invested, i.e. they have to have earned it in a legal way themselves.

Yes you can get around it it, but basically by lying to the authorities, making your set-up illegal.

[yabaaaa]

Sammy if you are from India its not the same as the Indian market which is booming, Its really the wrong time to buy now in my opinion. You really need to live here to run it properly, the returns will not be that great "now" as they were if you bought 4 years ago. You might get 6%-8% at a push whereas I am still getting +10% due to the time that I bought and what I bought, the high end is very slow, recent troubles have not helped but mainly the worldwide recession has crippled things. there is oversupply.

Thats the state of things as I see it for Bangkok condos.

I bought 5 units at 1.1 odd million 4 years ago the rent is lowest 12640 to 13640 a month if you want to buy a unit where I am today you could pick one up for about 1.5-1.7 million..

Edited July 26, 2010 by yabaaaa

[pkrv]

Hi India,

You have obviously picked up on the fact that condominiums are the only option for you as a Farang with 100 % ownership possible (though there are caveats see the pinned thread)

Perhaps you could repay - What is available in India for foreigners? I think the answer is nothing., but I am unsure.

PKRV

Edited July 29, 2010 by pkrv

[SametLover]

Hi,

As a foreigner, you cannot own land in Thailand.

You can purchase a condominium and fully own 100% of it. The 49% rule means that up to 49 % of the units in the building may be owned by foreigners.

Personally, I'd think you're crazy for thinking of investing in property here. Rental income would not beat the interest you would be able to earn in other safer investments and since there has been an over-supply for a number of years now, you would not be guaranteed to find tennants anyway. Similarly, trying to sell a second hand condo would be very difficult as most Thais prefer to buy new.

My Advice: move on and think of something else.

Hi

What about those Real states that gives the buyer rental guarantee in 3-5 years ? It would be very interesting to know it!!!!

[PattayaPhom]

I would like also to know where these interest paying accounts are that give a return of 9%..UK is about 2.5% unless tied up for 5 years and then only 3.7%......US is even less and as for any of the European banks, you must be kidding....so where is better?....Pattaya property is selling well if it is priced correctly and in a good location......yes many inexperienced people bought foreign style villas miles out in the boonies and paid a fortune for them now they are almost worthless as nobody wants them,....condos, commercial and Thai houses are selling very well and the rental market is bouyant also. Dont be put off by a few barflys that have either been stung by their gf or just havnt got the money and are jealous.

[Darrel]

I would like also to know where these interest paying accounts are that give a return of 9%..UK is about 2.5% unless tied up for 5 years and then only 3.7%......US is even less and as for any of the European banks, you must be kidding....so where is better?....Pattaya property is selling well if it is priced correctly and in a good location......yes many inexperienced people bought foreign style villas miles out in the boonies and paid a fortune for them now they are almost worthless as nobody wants them,....condos, commercial and Thai houses are selling very well and the rental market is bouyant also. Dont be put off by a few barflys that have either been stung by their gf or just havnt got the money and are jealous.

The owner of the condo I rent is getting just 3.5% return on his asking price for sale, or about 4.5% on what I think it may be worth on a good day with a following wind. And I'm probably paying too much rent.

I cant imagine why anyone would be daft enough to pay 9% rent when Pattaya is riddled with vacant rooms. But hey, the guy before me in my place paid double what I am paying, and didnt bother to negotiate at all. So I suppose the daft people are there. My owner still thought that I was a better bet though. Bird in the hand.

My condo-buying money is sitting in the bank on the corner, earning good interest, awaiting the next round of price cuts. There is also the possibility that I will see a motivated sale that I like (the ones I've seen this year were in buildings that I dont like much), and of course those can represent discounts of up to 50% on the average asking price. Some would say that those are the ones that are priced realistically, and the % price I'm paying as rent would seem to bear that out.

[trogers]

What is available in India for foreigners? I think the answer is nothing., but I am unsure.

PKRV

Condo living in a country still practicing the caste system? So how will the project be occupied? Higher castes on higher floors?

[Hooters]

I would like also to know where these interest paying accounts are that give a return of 9%..UK is about 2.5% unless tied up for 5 years and then only 3.7%......US is even less and as for any of the European banks, you must be kidding....so where is better?....Pattaya property is selling well if it is priced correctly and in a good location......yes many inexperienced people bought foreign style villas miles out in the boonies and paid a fortune for them now they are almost worthless as nobody wants them,....condos, commercial and Thai houses are selling very well and the rental market is bouyant also. Dont be put off by a few barflys that have either been stung by their gf or just havnt got the money and are jealous.

The owner of the condo I rent is getting just 3.5% return on his asking price for sale, or about 4.5% on what I think it may be worth on a good day with a following wind. And I'm probably paying too much rent.

I cant imagine why anyone would be daft enough to pay 9% rent when Pattaya is riddled with vacant rooms. But hey, the guy before me in my place paid double what I am paying, and didnt bother to negotiate at all. So I suppose the daft people are there. My owner still thought that I was a better bet though. Bird in the hand.

My condo-buying money is sitting in the bank on the corner, earning good interest, awaiting the next round of price cuts. There is also the possibility that I will see a motivated sale that I like (the ones I've seen this year were in buildings that I dont like much), and of course those can represent discounts of up to 50% on the average asking price. Some would say that those are the ones that are priced realistically, and the % price I'm paying as rent would seem to bear that out.

I know people that have been sitting on the sidelines for years and now priced themselves out of the new condo market and are forced to look at used