Question About Rent With A Lease Contract

[cooL_guY_corY]

Hey When setting up a lease contract, how do a lot of you people setup the monthly rent between the owner and leasor ? Like the thing that is the value of land divided by 30 and then 12, so pretty much a monthly payment. Is this something that people usually ignore between the land owner (thai) and leasor ? How would this apply to someone who isnt doing this thru say a wife or girlfriend? Seems like it opens a lot more doors to paying lots of money. Say if it was agreed to not pay that between both parties what stops the land owner from asking for a couple years of back pay kind of thing? thanks

[johnnyk]

AFAIK, you pay the whole whack up front.

[Krub]

Hey When setting up a lease contract, how do a lot of you people setup the monthly rent between the owner and leasor ? Like the thing that is the value of land divided by 30 and then 12, so pretty much a monthly payment. Is this something that people usually ignore between the land owner (thai) and leasor ? How would this apply to someone who isnt doing this thru say a wife or girlfriend? Seems like it opens a lot more doors to paying lots of money. Say if it was agreed to not pay that between both parties what stops the land owner from asking for a couple years of back pay kind of thing? thanks

My 30 years lease contract stipulates that the toatl lease amount is paid up front. The amount is obviously agreed between you and the owner but the amount stated in the contratc itself does not need to be the actual amount. The amount stated in the contract is used to calculated the charges when registerring the lease at the land office.

[cooL_guY_corY]

so how big of a risk is this? the actual amount paid is between the land owner and the leasor right, but what if a couple years in the owner decides he/she wants the amount stated in the lease agreement? Out of all the stuff ive read about lease contracts every seems to say that losing your land in 30 years is the biggest threat but having to pay 5 years in back pay to the owner sounds really upsetting. is there ways around this ie. signed agreement saying owner has recieved payment kind of thing or what?

[Krub]

so how big of a risk is this? the actual amount paid is between the land owner and the leasor right, but what if a couple years in the owner decides he/she wants the amount stated in the lease agreement? Out of all the stuff ive read about lease contracts every seems to say that losing your land in 30 years is the biggest threat but having to pay 5 years in back pay to the owner sounds really upsetting. is there ways around this ie. signed agreement saying owner has recieved payment kind of thing or what?

The lease is registerred at the land office and yes it states that the lease fee for the 30 years has been paid.

I also understand that if the land is sold to a new owner the new landlord is obliged to honour the lease but maybe not the eventual + 30 years option build into the contract as this option is not recognized by the land offcie.

[Dragonman]

so how big of a risk is this? the actual amount paid is between the land owner and the leasor right, but what if a couple years in the owner decides he/she wants the amount stated in the lease agreement? Out of all the stuff ive read about lease contracts every seems to say that losing your land in 30 years is the biggest threat but having to pay 5 years in back pay to the owner sounds really upsetting. is there ways around this ie. signed agreement saying owner has recieved payment kind of thing or what?

If you are going to actually pay for the land, and the lease is only a mechanism to ensure your occupation of the land for 30 years, the rental can be a "peppercorn" ie nominal amount. It can also be written into the lease that there will be no rent reviews during the 30 years. Of course you may have to come to some agreement with the landowner that you will pay any taxes, as taxes will be due on assessed rental value, not actual.