Buy Land

[Huaykwang]

I am legally married to Thai national with our oldest kid 6 years of age. I want to purchase a small plot for construction of cheap Thai rooms for rent.

Other than putting in wifes name are there any other options to safeguard myselfe. Put in childs name, wife lease to me??

Ideas please

HK

Edited April 20, 2012 by Huaykwang

[chiangmaibruce]

Mate you may not like this answer but ....

There are quite a number of different ways to try to own/control/protect Thai real estate. In many cases these can be implemented either individually or jointly. Each approach suits different people better/worse to varying degrees depending on their specific personal circumstances and the specific type of property in question. Each approach features some element of risk and uncertainty. You really need to scan down the list of threads in this sub-forum and start reading ... there are always a few active threads on topics like usufructs, land titles, leases, putting in a minor's name, etc. Once you've had your fill there you can move onto the web sites of some of the Thai law firms .... just google on "Thai property laws foreigners" or similar and you will turn up sites including "samuiforale", "thailawonline", "doing business in thailand", etc etc. There's a lot to come up to speed with, but it is essential to do so before putting pen to paper

[Huaykwang]

Mate you may not like this answer but ....

There are quite a number of different ways to try to own/control/protect Thai real estate. In many cases these can be implemented either individually or jointly. Each approach suits different people better/worse to varying degrees depending on their specific personal circumstances and the specific type of property in question. Each approach features some element of risk and uncertainty. You really need to scan down the list of threads in this sub-forum and start reading ... there are always a few active threads on topics like usufructs, land titles, leases, putting in a minor's name, etc. Once you've had your fill there you can move onto the web sites of some of the Thai law firms .... just google on "Thai property laws foreigners" or similar and you will turn up sites including "samuiforale", "thailawonline", "doing business in thailand", etc etc. There's a lot to come up to speed with, but it is essential to do so before putting pen to paper

Thanks for that but if everbody did google etc as you suggest what is the point in having forums. A lot of info is outdated on websites. If you are in the know Bruce you may have just posted the options available, probably been quicker

[taninthai]

If you have no trust in your wife then just live by the rule of do not invest more than your willing to lose. Simple really

[samsiam]

Also re the google thingy.....many people like me like to hear real experience from the horses mouth so to speak.

You can read tons of info....but still get no real useful accurate knowledge at times.

[Crossy]

Since this is going to be for a rental business is it not the perfect application for the land-owning company route?

[Huaykwang]

Since this is going to be for a rental business is it not the perfect application for the land-owning company route?

That would be the ideal and was my initial thinking as it would be a company that actually generates income, the downside of course is the taxes and accountants fees each year which would take some of the profit away. Taninthai, I understand what you mean, I dont want to get into the 'Thai Lady' thread thing so I want to look at options that would mean I am covered, hence investing for me and loosing dosnt come into that equation.

I cant understand about Usufruct, as I am married it cant apply???..but is a lease option available...Land in wifes name and leased to me 30 years, I get to keep income generated from the property? And again, if the land is in childs name, does income come to me or child?

Threads I have read are all about people wanting to live on the land for the rest of their life, this is not my case, I dont want to live there just build and rent?

[taninthai]

Since this is going to be for a rental business is it not the perfect application for the land-owning company route?

That would be the ideal and was my initial thinking as it would be a company that actually generates income, the downside of course is the taxes and accountants fees each year which would take some of the profit away. Taninthai, I understand what you mean, I dont want to get into the 'Thai Lady' thread thing so I want to look at options that would mean I am covered, hence investing for me and loosing dosnt come into that equation.

I cant understand about Usufruct, as I am married it cant apply???..but is a lease option available...Land in wifes name and leased to me 30 years, I get to keep income generated from the property? And again, if the land is in childs name, does income come to me or child?

Threads I have read are all about people wanting to live on the land for the rest of their life, this is not my case, I dont want to live there just build and rent?

I'm no expert but from what I've read on here your wife can cancel a lease if you split so not really worth the paper it's written on , waste of time and money setting one up imo

[Huaykwang]

Since this is going to be for a rental business is it not the perfect application for the land-owning company route?

That would be the ideal and was my initial thinking as it would be a company that actually generates income, the downside of course is the taxes and accountants fees each year which would take some of the profit away. Taninthai, I understand what you mean, I dont want to get into the 'Thai Lady' thread thing so I want to look at options that would mean I am covered, hence investing for me and loosing dosnt come into that equation.

I cant understand about Usufruct, as I am married it cant apply???..but is a lease option available...Land in wifes name and leased to me 30 years, I get to keep income generated from the property? And again, if the land is in childs name, does income come to me or child?

Threads I have read are all about people wanting to live on the land for the rest of their life, this is not my case, I dont want to live there just build and rent?

I'm no expert but from what I've read on here your wife can cancel a lease if you split so not really worth the paper it's written on , waste of time and money setting one up imo

Isnt it registered at the land office...so cant be cancelled?...or if divorced the lease isnt binding anymore?

[ThaidDown]

Contracts between husband and wife are unenforceable in Thailand and can be cancelled by either party at any time including up to one year after divorce.

Edit to add...

As Crossy says a trading company, in this case in the rental business ( as opposed to a company set up only for the purpose of owning land) is legally entitled to own land.

You can legally put the land in the name of a minor child. BUT the child will not be allowed to assign a lease or usufruct or take out a loan on the land without the courts permission. That is not likely to be granted unless you can convince them that it is in the best interests of the child. You also wil have to get court permission to sell the land.

Edited April 21, 2012 by ThaidDown

[Huaykwang]

Contracts between husband and wife are unenforceable in Thailand and can be cancelled by either party at any time including up to one year after divorce.

Thanks, so that option isnt any good,

Either company or childs name, which in kids name need to understand about generated income, does income go Directly to child or me?

Edited April 21, 2012 by Huaykwang

[LennyW]

Some good info on this thread, for those of you that think contracts between husband and wife are worthless best you read post 12.

http://www.thaivisa.com/forum/topic/547836-usufruct-is-it-possible-to-get-when-buying-house-and-then-transfer-ownership-to-the-wife/

[taninthai]

With regards to the other thread if it's acquired after marriage you are entitled to 50% so can either party force you to sell or buy them out if you end the marriage to claim their 50% of assets.

This is where it all gets a bit complicated and I really don't think it's worth all the hassle you either put trust in your wife or don't invest more than your willing to lose

[ThaidDown]

Some good info on this thread, for those of you that think contracts between husband and wife are worthless best you read post 12.

http://www.thaivisa....ip-to-the-wife/

I did not actually say "worthless" but Contracts between husband and wife in Thai law are unenforceable see http://www.samuiforsale.com/family-law/thai-marriage-and-contracts-between-husband-and-wife.html , in the case you mentioned , obviously not knowing all the details, appears wife transferred land to her mother, therefore usufruct was still valid so could be seen as fraud. Judges in Thai courts are also not so bound by precedent as in some western courts and can interpret the laws in their own way. That is why it is worth getting the "best" lawyer you can, at least better than your opponent. Brother of the Judge would be good !!

Again in the quoted case outcome was good , but my point was do not count on husband/wife contract.

[Huaykwang]

Thanks to Lenny also, some good points made. I really dont want to get into a Thai Wife bashing thread, looks like a company would be the logical way to do this, as said though, it will cost a proportion of the revenue. I wont want to sell the property so thats why I thought of kids name on Chanote.

The minimal investment will be recovered in 48-54 months so even with child having ownership at 20/1 its still is a good option whereas with company will take approx 12% pa.

Main concern is who the income generated legally goes to....child, me, 50/50 with wife..33/33/33 wife child and me......at moment I would get it but just in case something happens in the future.

[Langsuan Man]

Don't forget, she will own 50% of the company you set up since it was done after the marriage and thus is subject to Thai Community Property laws

[khunPer]

Your kid can legally own land or shares in a company. When etsablishing a company you can have preferred shared with fx. 10 votes a share, whilst ordinary shares have one vote - worth doing, just as an extra security of your 49% of the shares.

[Khun Jean]

Don't forget, she will own 50% of the company you set up since it was done after the marriage and thus is subject to Thai Community Property laws

That is'almost' always true.

If it is setup with money you owned before you were married it will not be 'sin somros'.

Meaning if you had money saved before marriage that money stays with you, like with a 'prenuptial agreement'.

This is also true for investments and real estate owned before marriage, also for inheritance and gifts.