Farlang Owning Land In Thailand

[farangafrique]

I will soon be settling in Thailand. Much has been said about property ownership in this forum. What I have been told by a few friends and colleagues is that one can basically own property in two ways -1 being married to a Thai lady and 2 as a business. Although my Thai lady and I are not married, I am pretty keen to buy property(not condo) but at the same time give me as a foreigner max protection. Can I set up a trust and both of us be members or some other business deal and the property be purchased in the name of this entity. Any guidance will be greatly appreciated. Thanks

[InterestedObserver]

I will soon be settling in Thailand. Much has been said about property ownership in this forum. What I have been told by a few friends and colleagues is that one can basically own property in two ways -1 being married to a Thai lady and 2 as a business. Although my Thai lady and I are not married, I am pretty keen to buy property(not condo) but at the same time give me as a foreigner max protection. Can I set up a trust and both of us be members or some other business deal and the property be purchased in the name of this entity. Any guidance will be greatly appreciated. Thanks

A foreigner cannot own land in Thailand, the exception being a 40 million baht investment. Trusts, in the western sense, do not exist in Thailand. A foreigner can occupy land in Thailand long-term through various business and land rights arrangements, but outright ownership - nope. Being married to a Thai does permit you land ownership either.

Edited March 31, 2011 by InterestedObserver

[InterestedObserver]

Tried to edit above incorrect post.

Being married to a Thai does not permit you land ownership either.

Edited March 31, 2011 by InterestedObserver

[InterestedObserver]

I will soon be settling in Thailand. Much has been said about property ownership in this forum. What I have been told by a few friends and colleagues is that one can basically own property in two ways -1 being married to a Thai lady and 2 as a business. Although my Thai lady and I are not married, I am pretty keen to buy property(not condo) but at the same time give me as a foreigner max protection. Can I set up a trust and both of us be members or some other business deal and the property be purchased in the name of this entity. Any guidance will be greatly appreciated. Thanks

A foreigner cannot own land in Thailand, the exception being a 40 million baht investment. Trusts, in the western sense, do not exist in Thailand. A foreigner can occupy land in Thailand long-term through various business and land rights arrangements, but outright ownership - nope. Being married to a Thai does not permit you land ownership either.

[Khun Jean]

Tried to edit above incorrect post.

Being married to a Thai does not permit you land ownership either.

And to be more correct. Being married actually makes it more difficult!

Stick with buying a condo or have land from a stranger with a usufruct.

Anything else will cost more and is not as secure.

Forget to get your money back for the land because you will not be the owner and thus you have nothing to sell.

If married then give it to your wife and hope for the best. At least when everything goes good you have the possibility to sell and move on or relocate when you both wish. With a lease or usufruct you are pretty much stuck to that place.

[klikster]

Okay, I'll see your f****** and raise you one alien.

It's always a really good idea to use non-legal terminology in these free-advice topics.

Actually, a f****** can own property in Thailand if s/he is a Thai citizen.

what?

What part do you not understand?

[farangafrique]

Thank you to all those who took the time to answer my query - much appreciated. A few questions to those in the know and who may have been in Thailand for some time and "know the ropes" so to speak. By definition, is a condo restricted to an apartment in a high rise building or does a "free standing" apartment/dwelling unit within a development or estate qualify as a condo as well? I can not picture myself, and my lovely lady, living a cooped up life in a high rise apartment block at this time, so would prefer a little land at least, perhaps a golf estate or similar development. In addition to the above, can anyone please let me in on the details regarding a usufract - how does it work, what property does it apply to and what benefits/protection would there be for me as a foreigner. Obviously as a foreigner, we look at property as an investment in the long term and it will always be nice to know that the property is secure and with a resale value which one can always use at a later time should one want to move to another location etc, etc.........Thanx in advance to those taking their valuable time to write replies - much appreciated.

[InterestedObserver]

1. A condominium can be any group of buildings, just as long as there are common areas etc. for use by all individual owners. Example, townhouses can be registered as a condominium development.

2. A usufruct allows the holder to occupy the land long-term and can be for life. As for resale value, an argument can be made that a usufruct actually would lower the value of the property.

[Pib]

You can own land but not by yourself. I own land legally but with my Thai wife. We were told many things, but it was a simple process once we found a the right lawyer. I am not sure how much of his fee included tea money but it was painless. I am aware if my wife dies the title must be transfer to Thai only owner or sold within a year. Our plan is just to transfer the ownership to our children in this case. I suggest a lawyer best answer your options.

Forgive me for being confused. If you own land legally but with your Thai wife, why would the lawyer's fee include any tea money, unless it was to spead up the legal process?

tea money comment was joke since it was a quick and painless process. Why wife owns large amounts of land on her own which I am not on the title but our home's land is in both our names.

For your home's land, the wife probably just gave you a Usufruct which means you have lifetime use of the land; but the Thai wife actually owns the land, not you as a true co-owner. There will be an annotation after your name on the chanote indicating the Usufruct. Usufruct's are harder than heck to impossible to get at some land offices but easy to get at other land offices. I have a Usufruct with my Thai wife for our home's land, and it was kinda easy to get at the Khet Bangkok Noi land office here in Bangkok. But Usufruct's can be removed from the chanote...depends on whether you had a good contract drawn up at the same time which details Usufruct terms of agreement and the contract filed with the chanote at the land office. Also good to remain on good terms with the wife. You probably just have a Usufruct and this is why you "think" you co-own the land. Big difference between having use of the land versus owning it. Cheers.

[wpcoe]

1. A condominium can be any group of buildings, just as long as there are common areas etc. for use by all individual owners. Example, townhouses can be registered as a condominium development.

Interesting to know. I was told that though it's technically possible to classify townhouses as condominium, that in reality there are barriers from making it a reality. Do you know of any actual townhouse communities that are legally classified as condominium? And, if so, are there any ownership restrictions for farang other than 51% of the townhouses' area (sq m) must be Thai owned?

[chickencurry]

I always thought that if a farang is married to a Thai lady and if land is purchased in Thailand by the Thai wife or in her name that she has to prove it is bought entirely with her money and not from any funds given by the farang husband, especially if there is no company involved.

Also that the farang must not become involved with certain business pertaining from the land such as, agricultural, live stock, fruit or vegatable growing.

Not an expert but if true that is the most idiotic rule I have ever heard of. Congratulations Thailand! But, as far as I know, a farang can own the house but not the land that the house sits on (only in Thailand ) To "control" the land you can create some type of 30 year lease but a lawyer will have to explain how to do it.

Yes.

[surayu]

I always thought that if a farang is married to a Thai lady and if land is purchased in Thailand by the Thai wife or in her name that she has to prove it is bought entirely with her money and not from any funds given by the farang husband, especially if there is no company involved.

Also that the farang must not become involved with certain business pertaining from the land such as, agricultural, live stock, fruit or vegatable growing.

Not an expert but if true that is the most idiotic rule I have ever heard of. Congratulations Thailand! But, as far as I know, a farang can own the house but not the land that the house sits on (only in Thailand ) To "control" the land you can create some type of 30 year lease but a lawyer will have to explain how to do it.

Yes.

No.

As already mentioned, the law allow to own the land too if the necessary requirements are met....and legally.

Hey by the way, you have one of the yummiest nicknames around, it makes me feel hungry everytime i look at it, honestly

[InterestedObserver]

YES a foreigner can own a house in Thailand, not the land the house sits on. To cover the land the foreigner would need a 30 year lease or usufruct from the land owner..

Edited April 10, 2011 by InterestedObserver

[surayu]

YES

Ok i give up, would you mind to contact the BOI and the other involved authority so they can cancel those already so restrictive laws which allow to own land in Thailand?

[InterestedObserver]

YES

Ok i give up, would you mind to contact the BOI and the other involved authority so they can cancel those already so restrictive laws which allow to own land in Thailand?

What restrictive law, the one where you can maybe get ministerial approval to purchase one Rai of land for a house after investing 40 million baht in a BOI approved scheme. Thais are very territorial and have legislated that they do not wish to sell their land to foreigners. It's their country after all.

Edited April 10, 2011 by InterestedObserver

[Delight]

YES

Ok i give up, would you mind to contact the BOI and the other involved authority so they can cancel those already so restrictive laws which allow to own land in Thailand?

What restrictive law, the one where you can maybe get ministerial approval to purchase one Rai of land for a house after investing 40 million baht in a BOI approved scheme. Thais are very territorial and have legislated that they do not wish to sell their land to foreigners. It's their country after all.

Thais are very territorial and have legislated that they do not wish to sell their land to foreigners. It's their country after all.

From a farang's perspective it would appear that this Thai attitude is more emotionally based than commercially based

Can you ever see a time when this Law only applies to designated areas? Issan and the like come to mind -but land buying could be legal for foreigners in other areas -Phuket ,Pattaya ,Bangkok ie non agricultural areas of Thailand.

What do you think?

[johnnyk]

YES

Ok i give up, would you mind to contact the BOI and the other involved authority so they can cancel those already so restrictive laws which allow to own land in Thailand?

What restrictive law, the one where you can maybe get ministerial approval to purchase one Rai of land for a house after investing 40 million baht in a BOI approved scheme. Thais are very territorial and have legislated that they do not wish to sell their land to foreigners. It's their country after all.

Thais are very territorial and have legislated that they do not wish to sell their land to foreigners. It's their country after all.

From a farang's perspective it would appear that this Thai attitude is more emotionally based than commercially based

Can you ever see a time when this Law only applies to designated areas? Issan and the like come to mind -but land buying could be legal for foreigners in other areas -Phuket ,Pattaya ,Bangkok ie non agricultural areas of Thailand.

What do you think?

Their motivation is irrelevant.

Short answer to the question: No. It will never happen. No Thai politician will ever sponsor such an idea, political suicide. They like it the way it is, the law is there if they need it as a hammer. And they get falangs to give them money for land they can't own. They get their cake and get to eat it, too. Wouldn't you?