In The Global Perspective, Siam Is Not A Good Deal

[hermespan]

Imagine you don't care about infrastructure, nightlife, western food etc. All you want to do is buy for cash property wherever in the world pays you back fastest and has the least sticky fingers from the government (plus potential to appreciate of course), rent it out, and sell it 5-10 years down the road. In that case Thailand has some serious competition.

Where I have my mind set on (Laos, Burma, Vietnam) is problematic but this is where the high risk-high reward (and minimal investment) comes in - if you ask me.

According to what I read it might not be worth the costs to the state to buy in Thailand - 5.13% tax on rental income, 37% capital gains tax when you sell. To me, this spells: 'please go somewhere else'. Like Jordan, Moldova, Egypt, Poland, Macedonia, Turkey and standby Malaysia. A few South American and African nations also look like much better deals. I always get the feeling that in Thailand the philosophy of the government is 'unless you are willing to pay through the nose and do a lot of paperwork, please leave.' I don't care how *nice* thai people are. I care about profit. I have a truly international perspective and am willing to go anywhere where the bargains are in emerging nations.

Or perhaps I am overwrought and nobody actually does business by the books therefore these taxes are all ficticuous. It's just I am a little nervous doing like a friend does and having a million dollars worth of houses in a 'trusted local friend's name.'

Comments?

[beachyman]

I think you are underestimating the importance of lifestyle and people who choose to move to a place rather than simply being relocated there. A lot of those places you mentioned are either somewhat dangerous places to live or lack the high developed lifestyle availability of Bangkok.

I think you may be right about the people who buy whilly nilly in Pattaya but, honestly, why the hell would you buy in Moldova? Have you been there? I have, it is not a walk in the park place to find tenants or do business. Uzbekistan as well.

I mean people need to do some fundamental review of their potential capital gains considering the local, expenses and rental rates and expenses to obtain both. That said, I think interest in living there is an important facet as well. Of course this is just considering expat populations. If you are buying real estate I think you would be remiss to not consider a local population interesting asset.

[Darrel]

"It's just I am a little nervous doing like a friend does and having a million dollars worth of houses in a 'trusted local friend's name.' "

So buy condos instead. I wouldn't even dream of buying anything anywhere that doesn't come with paperwork in my sole name. There are far too many crooks in Thailand (of all skin colours) to do otherwise.

[PattayaParent]

"Where I have my mind set on (Laos, Burma, Vietnam) is problematic but this is where the high risk-high reward (and minimal investment) comes in - if you ask me."

You can effectively only buy property in your name in Viet Nam if you are married to a VN, or are working there, or have a company that can buy it for an employee to live in.

You can't rent it out.