Buying Vs Being A Lifelong Renter

[davejones]

LOL. My gf has land, so we can build on that if we want. Or buy in her name at Thai prices. Or settle in another country. We haven't decided where we will end up yet. But I think we'd always like some sort of base here.

Of course the problem is, unless she buys paying cash they will find out a foreigner is involved.

Especially if you get married. Foreigner husband must co-sign home loan, foreigner husband must be present at the land office for the transfer. Suddenly any prior agreement she made with the seller is out the window.

And of course not forgetting, gf mustn't be involved with gouging you.

Not to mention

Everyone's wife/gfs family land is in some mosquito and snake infested rat hole hell called 'Nakon Nowhere', surrounded by scrounging relatives where no person speaks any comprehensible (or learn-able) language and no civilized person could ever endure living (no Internet) for more than about three days.

Not true at all. You just sound a bit xenophobic/racist. Thais own land all over Thailand, including all the best locations. I've never been anywhere in Thailand that didn't have internet, and I've never been anywhere where people don't speak Thai. Sounds like you have some kind of problem with Thais.

No need for my gf to visit land office, as she already has the land, so no need to buy. Nothing to do with me. Her land, so why would I be expected to buy it? What you say is just nonsense.

Edited February 7, 2013 by davejones

[utalkin2me]

I wouldn't consider buying any property that I can't own one hundred percent. That leaves just a condo. I have absolutely no concern about a bubble because I have no intention of selling my condo. I bought what I liked and I still like it. It's in a nice, clean and well taken care of complex and is pleasant convenient living. I don't care if it is worth one million or ten million. I didn't spend more than I could afford to spend when I bought it, don't pay rent and I can do anything I want to the interior. I don't want to be a real estate agent or a land lord. I live in my wife's house upcountry most of the time but the condo is here when I want or need a change of scenery.

The best thing about buying what you can afford is that you don't have to be a slave to a piece of property. I was deeply in debt much of my working life and especially when I was raising a family. Those days are long past.

People can say whatever they want, but the truth is if you are renting you are paying somebody else's mortgage, or financing their vacation to krabi. It is just that simple. There is a price to pay for not being sedentary, and that is it. And i do agree, perhaps it is worth the price, but there is no reason to act like you aren't paying that price. You are if you are renting, plain and simple.

I feel the same exact way as you about bubbles btw.

[jamescollister]

LOL. My gf has land, so we can build on that if we want. Or buy in her name at Thai prices. Or settle in another country. We haven't decided where we will end up yet. But I think we'd always like some sort of base here.

Of course the problem is, unless she buys paying cash they will find out a foreigner is involved.

Especially if you get married. Foreigner husband must co-sign home loan, foreigner husband must be present at the land office for the transfer. Suddenly any prior agreement she made with the seller is out the window.

And of course not forgetting, gf mustn't be involved with gouging you.

Not to mention

Everyone's wife/gfs family land is in some mosquito and snake infested rat hole hell called 'Nakon Nowhere', surrounded by scrounging relatives where no person speaks any comprehensible (or learn-able) language and no civilized person could ever endure living (no Internet) for more than about three days.

Not true at all. You just sound a bit xenophobic/racist. Thais own land all over Thailand, including all the best locations. I've never been anywhere in Thailand that didn't have internet, and I've never been anywhere where people don't speak Thai. Sounds like you have some kind of problem with Thais.

No need for my gf to visit land office, as she already has the land, so no need to buy. Nothing to do with me. Her land, so why would I be expected to buy it? What you say is just nonsense.

Many where I live [older] do not speak Thai, it's a Lao speaking area. Real road only came 4 years ago, no electricity when I got here 10 or 11 years ago. Internet via a dongle 3 years ago.

Many villages further into the jungle, no power, dirt roads or tracks, stilt huts in the big green. People openly walk or ride with rifles slung over their shoulder. No police only border soldiers, still a lot of wild places in Thailand.

G/F may own land, but it will be farm land not residential, any house you build can be knocked down when someone higher up the food chain decides he doesn't like you, or is jealous.

Always step with caution and be prepared to walk or run away if things go bad. Jim

[TommoPhysicist]

[Not true at all. You just sound a bit xenophobic/racist. Thais own land all over Thailand, including all the best locations. I've never been anywhere in Thailand that didn't have internet, and I've never been anywhere where people don't speak Thai. Sounds like you have some kind of problem with Thais.

I'm glad to hear your gf is the first to own land somewhere we would all like to live.

I'm also glad to hear your gf comes from a place where they speak central Thai as their 1st language.

(Usually that's only people who live within about 200km of Bangkok)

Could you get her to mark on a map where this wonderful place is, so we and all join together in our admiration for this paradise. Unfortunately as James says, most of the girls we meet, don't actually come from civilized places ..... which is probably partly why they met us.

Have you been to the place where she has land?

You do speak central Thai don't you?

Could you speak to her family in Central Thai?

@ James does your village speak standard Lao, or a village variation.

My lot all speak village Lanna, which unfortunately is completely different to ChaingMai Lanna.

Not to mention my friends village up in the hills, which all speak Akha, no Thai speaking at all.

Edited February 7, 2013 by TommoPhysicist

[davejones]

LOL. My gf has land, so we can build on that if we want. Or buy in her name at Thai prices. Or settle in another country. We haven't decided where we will end up yet. But I think we'd always like some sort of base here.

Of course the problem is, unless she buys paying cash they will find out a foreigner is involved.

Especially if you get married. Foreigner husband must co-sign home loan, foreigner husband must be present at the land office for the transfer. Suddenly any prior agreement she made with the seller is out the window.

And of course not forgetting, gf mustn't be involved with gouging you.

Not to mention

Everyone's wife/gfs family land is in some mosquito and snake infested rat hole hell called 'Nakon Nowhere', surrounded by scrounging relatives where no person speaks any comprehensible (or learn-able) language and no civilized person could ever endure living (no Internet) for more than about three days.

Not true at all. You just sound a bit xenophobic/racist. Thais own land all over Thailand, including all the best locations. I've never been anywhere in Thailand that didn't have internet, and I've never been anywhere where people don't speak Thai. Sounds like you have some kind of problem with Thais.

No need for my gf to visit land office, as she already has the land, so no need to buy. Nothing to do with me. Her land, so why would I be expected to buy it? What you say is just nonsense.

Many where I live [older] do not speak Thai, it's a Lao speaking area. Real road only came 4 years ago, no electricity when I got here 10 or 11 years ago. Internet via a dongle 3 years ago.

Many villages further into the jungle, no power, dirt roads or tracks, stilt huts in the big green. People openly walk or ride with rifles slung over their shoulder. No police only border soldiers, still a lot of wild places in Thailand.

G/F may own land, but it will be farm land not residential, any house you build can be knocked down when someone higher up the food chain decides he doesn't like you, or is jealous.

Always step with caution and be prepared to walk or run away if things go bad. Jim

LOL. I don't see any houses being knocked down because someone doesn't like the owner. Her land is residential, not farm land. Why would she want to own farm land?

I am sure there are plenty of wild places, but Thais own almost all land in Thailand. That means they own land in places like Bangkok as well, not only in the jungle. And there is plenty of land here besides farm land, so not sure why you're fixated with that.

[davejones]

[Not true at all. You just sound a bit xenophobic/racist. Thais own land all over Thailand, including all the best locations. I've never been anywhere in Thailand that didn't have internet, and I've never been anywhere where people don't speak Thai. Sounds like you have some kind of problem with Thais.

I'm glad to hear your gf is the first to own land somewhere we would all like to live.

I'm also glad to hear your gf comes from a place where they speak central Thai as their 1st language.

(Usually that's only people who live within about 200km of Bangkok)

Could you get her to mark on a map where this wonderful place is, so we and all join together in our admiration for this paradise. Unfortunately as James says, most of the girls we meet, don't actually come from civilized places ..... which is probably partly why they met us.

Have you been to the place where she has land?

You do speak central Thai don't you?

Could you speak to her family in Central Thai?

@ James does your village speak standard Lao, or a village variation.

My lot all speak village Lanna, which unfortunately is completely different to ChaingMai Lanna.

Not to mention my friends village up in the hills, which all speak Akha, no Thai speaking at all.

Yes she speaks central Thai and so does her family. They are from Bangkok, so why wouldn't they? Yes, I've been there. I know a little Thai but not lots.

Edited February 7, 2013 by davejones

[TommoPhysicist]

LOL. I don't see any houses being knocked down because someone doesn't like the owner. Her land is residential, not farm land. Why would she want to own farm land?

I am sure there are plenty of wild places, but Thais own almost all land in Thailand. That means they own land in places like Bangkok as well, not only in the jungle. And there is plenty of land here besides farm land, so not sure why you're fixated with that.

The thing is, your impression that all Thais speak Thai leads us to believe you don't actually know much about Thailand.

The other thing is, you seem to assume that a girl whose family own land around BK would even talk to a foreigner.

Which generally makes you a potential 'mark'.

I really hope you are correct, and you have found a wonderful girl whose family is from BK, and own plenty of land in that region. For most of us that just wasn't the case. Rich BK family that have plenty of undeveloped land ready for you to build a house on ....... sounds nice ..... but not entirely believable.

Edited February 7, 2013 by TommoPhysicist

[richard_smith237]

LOL. My gf has land, so we can build on that if we want. Or buy in her name at Thai prices. Or settle in another country. We haven't decided where we will end up yet. But I think we'd always like some sort of base here.

Of course the problem is, unless she buys paying cash they will find out a foreigner is involved.

Especially if you get married. Foreigner husband must co-sign home loan, foreigner husband must be present at the land office for the transfer. Suddenly any prior agreement she made with the seller is out the window.

And of course not forgetting, gf mustn't be involved with gouging you.

Not to mention

Everyone's wife/gfs family land is in some mosquito and snake infested rat hole hell called 'Nakon Nowhere', surrounded by scrounging relatives where no person speaks any comprehensible (or learn-able) language and no civilized person could ever endure living (no Internet) for more than about three days.

LOL. My gf has land, so we can build on that if we want. Or buy in her name at Thai prices. Or settle in another country. We haven't decided where we will end up yet. But I think we'd always like some sort of base here.

Of course the problem is, unless she buys paying cash they will find out a foreigner is involved.

Especially if you get married. Foreigner husband must co-sign home loan, foreigner husband must be present at the land office for the transfer. Suddenly any prior agreement she made with the seller is out the window.

And of course not forgetting, gf mustn't be involved with gouging you.

Not to mention

Everyone's wife/gfs family land is in some mosquito and snake infested rat hole hell called 'Nakon Nowhere', surrounded by scrounging relatives where no person speaks any comprehensible (or learn-able) language and no civilized person could ever endure living (no Internet) for more than about three days.

It's so highly entertaining they way you tar everyone else with your own opinions and experiences !...

Don't hold back Tommo - tell it like you see it... Everyone else's wife will rip off her Western Husband, Every Thai will inflate prices for the Westerner, Everyones Wife's relatives are scrounging....

Your normal world is very very different to the normal world of many others I know !... Life in your shoes must be a daily adventure into the darkness of distrust...

But, if I haven't been ripped off by my Wife and all the Thai's around me yet, it will happen at some point right ???

[richard_smith237]

Edit: Double post.

Edited February 7, 2013 by richard_smith237

[richard_smith237]

LOL. I don't see any houses being knocked down because someone doesn't like the owner. Her land is residential, not farm land. Why would she want to own farm land?

I am sure there are plenty of wild places, but Thais own almost all land in Thailand. That means they own land in places like Bangkok as well, not only in the jungle. And there is plenty of land here besides farm land, so not sure why you're fixated with that.

The thing is, your impression that all Thais speak Thai leads us to believe you don't actually know much about Thailand.

The other thing is, you seem to assume that a girl whose family own land around BK would even talk to a foreigner.

Which generally makes you a potential 'mark'.

I really hope you are correct, and you have found a wonderful girl whose family is from BK, and own plenty of land in that region. For most of us that just wasn't the case. Rich BK family that have plenty of undeveloped land ready for you to build a house on ....... sounds nice ..... but not entirely believable.

Believe it - I'm not the only one in that situation and know a couple of friends who also have land in (or on the outskirts of bkk) passed on from In Laws as a present to build on.

Back On Topic: Another option is to Mortgage a condo (in Wifes name) - The weekly mortgage payments are cheaper than rent payments in similar properties and that money is returned (once the property is sold).....

[jamescollister]

[Not true at all. You just sound a bit xenophobic/racist. Thais own land all over Thailand, including all the best locations. I've never been anywhere in Thailand that didn't have internet, and I've never been anywhere where people don't speak Thai. Sounds like you have some kind of problem with Thais.

I'm glad to hear your gf is the first to own land somewhere we would all like to live.

I'm also glad to hear your gf comes from a place where they speak central Thai as their 1st language.

(Usually that's only people who live within about 200km of Bangkok)

Could you get her to mark on a map where this wonderful place is, so we and all join together in our admiration for this paradise. Unfortunately as James says, most of the girls we meet, don't actually come from civilized places ..... which is probably partly why they met us.

Have you been to the place where she has land?

You do speak central Thai don't you?

Could you speak to her family in Central Thai?

@ James does your village speak standard Lao, or a village variation.

My lot all speak village Lanna, which unfortunately is completely different to ChaingMai Lanna.

Not to mention my friends village up in the hills, which all speak Akha, no Thai speaking at all.

This village, area, speak an old Lao, have no idea what. When we cross over to Lao, Chong Mek they have problems being understood. Jungle and mountain dwellers all speak a different type of Lao. Am lead to believe that around 200 years ago a lot of Chinese from northern Vietnam settled here, you can see the racial difference. Some short and dark, others taller and pale skinned.

The very old speak a magic language, for blessings and such, think it is some Chinese dialect.

Wife went to school when she was 9 in BKK, then Uni, didn't understand a word from the locals, speaking Lao when we came for the Buddha blessing.

TV is here, schools teach Thai, next generation will be Parsat Thai, the rest will speak who knows what, words from 3 or 4 different languages mixed together. this farang will never lean the local dialect. may as well learn English as a Thai and end up in Belfast. Jim

[JomtienEats]

People can say whatever they want, but the truth is if you are renting you are paying somebody else's mortgage, or financing their vacation to krabi. It is just that simple. There is a price to pay for not being sedentary, and that is it. And i do agree, perhaps it is worth the price, but there is no reason to act like you aren't paying that price. You are if you are renting, plain and simple.

“The pure and simple truth is rarely pure and never simple.” - Oscar Wilde

Here's a different simple truth. Renter: You either rent the property, or you rent the money to buy the property. Either way, you're renting.

[BlackPuddingBertha]

Here's a different simple truth. Renter: You either rent the property, or you rent the money to buy the property. Either way, you're renting.

I dont follow that. I have more than enough sitting in the bank here to buy several condos, so if I did buy one I wouldn't be renting anything.

[JomtienEats]

I dont follow that. I have more than enough sitting in the bank here to buy several condos, so if I did buy one I wouldn't be renting anything.

Then you're an owner. You either own your property or you own enough money to pay enough interest to cover your rent. Either way, you own.

It's just a different way to look at who is really a renter and who is really an owner.

[BlackPuddingBertha]

I dont follow that. I have more than enough sitting in the bank here to buy several condos, so if I did buy one I wouldn't be renting anything.

Then you're an owner. You either own your property or you own enough money to pay enough interest to cover your rent. Either way, you own.

It's just a different way to look at who is really a renter and who is really an owner.

So I'm a renter because I rent, but I'm also an owner because I have enough money to buy if I wanted to?

I dont see the relevance of the second part at all.

[parallaxtech]

I moved to Koh Samui in 2004 and rented a nice townhouse near the beach for a few years. I then bought 1 rai of seaview land under the corporation and built a large estate (registered in my name at the land office). Even though I was gouged by farangs and Thais alike I still ended up with a lovely place that I am happy with and will probably keep for a long time. Recently, I wanted to add on to it so invited fifteen builders to place bids. The add on was 200% more than the main house so I declined. I then asked the builders how much they would charge to build my new house today and they said at least 300% more than in 2007 when it was built. If I moved here today I would rent for at least six months until I found a condo on or near a beach for under 2MB. I love my house now because it is like living in a luxury resort with the ocean below and lovely gardens, but it is a lot of maintenance and as I get older (now in late fifties) it is getting more and more difficult to handle. And, by the way, I have a Thai wife, but would never put anything in her name nor has she asked me to, although I have made other arrangements to secure her future in case I die suddenly. Lastly, I wouldn't worry about losing money on your house or condo as I have farang friends who have made a fortune buying land and houses, living there, and then selling at much higher prices. Everything is a risk right now, the stock market, gold, currency trading, so why not risk on something you can live in and enjoy?

[jamescollister]

I moved to Koh Samui in 2004 and rented a nice townhouse near the beach for a few years. I then bought 1 rai of seaview land under the corporation and built a large estate (registered in my name at the land office). Even though I was gouged by farangs and Thais alike I still ended up with a lovely place that I am happy with and will probably keep for a long time. Recently, I wanted to add on to it so invited fifteen builders to place bids. The add on was 200% more than the main house so I declined. I then asked the builders how much they would charge to build my new house today and they said at least 300% more than in 2007 when it was built. If I moved here today I would rent for at least six months until I found a condo on or near a beach for under 2MB. I love my house now because it is like living in a luxury resort with the ocean below and lovely gardens, but it is a lot of maintenance and as I get older (now in late fifties) it is getting more and more difficult to handle. And, by the way, I have a Thai wife, but would never put anything in her name nor has she asked me to, although I have made other arrangements to secure her future in case I die suddenly. Lastly, I wouldn't worry about losing money on your house or condo as I have farang friends who have made a fortune buying land and houses, living there, and then selling at much higher prices. Everything is a risk right now, the stock market, gold, currency trading, so why not risk on something you can live in and enjoy?

If I am reading this right, you want to get the land put in your wife's name ASAP.

Nominee companies where outlawed in 2009, any one caught now will have house and land confiscated and will be deported.

Believe they were talking a 20% of sale value as a reward for the person who informs on illegal foreign land ownership. Jim

[davejones]

I moved to Koh Samui in 2004 and rented a nice townhouse near the beach for a few years. I then bought 1 rai of seaview land under the corporation and built a large estate (registered in my name at the land office). Even though I was gouged by farangs and Thais alike I still ended up with a lovely place that I am happy with and will probably keep for a long time. Recently, I wanted to add on to it so invited fifteen builders to place bids. The add on was 200% more than the main house so I declined. I then asked the builders how much they would charge to build my new house today and they said at least 300% more than in 2007 when it was built. If I moved here today I would rent for at least six months until I found a condo on or near a beach for under 2MB. I love my house now because it is like living in a luxury resort with the ocean below and lovely gardens, but it is a lot of maintenance and as I get older (now in late fifties) it is getting more and more difficult to handle. And, by the way, I have a Thai wife, but would never put anything in her name nor has she asked me to, although I have made other arrangements to secure her future in case I die suddenly. Lastly, I wouldn't worry about losing money on your house or condo as I have farang friends who have made a fortune buying land and houses, living there, and then selling at much higher prices. Everything is a risk right now, the stock market, gold, currency trading, so why not risk on something you can live in and enjoy?

If I am reading this right, you want to get the land put in your wife's name ASAP.

Nominee companies where outlawed in 2009, any one caught now will have house and land confiscated and will be deported.

Believe they were talking a 20% of sale value as a reward for the person who informs on illegal foreign land ownership. Jim

Does this actually get enforced on a large scale? Or at all? I would have thought it would be quite easy to find out - just check the land registry to see if owner is a nominee company. Why would they need informers? And how would the property be registered at the land registry if it's outlawed?

[jamescollister]

I moved to Koh Samui in 2004 and rented a nice townhouse near the beach for a few years. I then bought 1 rai of seaview land under the corporation and built a large estate (registered in my name at the land office). Even though I was gouged by farangs and Thais alike I still ended up with a lovely place that I am happy with and will probably keep for a long time. Recently, I wanted to add on to it so invited fifteen builders to place bids. The add on was 200% more than the main house so I declined. I then asked the builders how much they would charge to build my new house today and they said at least 300% more than in 2007 when it was built. If I moved here today I would rent for at least six months until I found a condo on or near a beach for under 2MB. I love my house now because it is like living in a luxury resort with the ocean below and lovely gardens, but it is a lot of maintenance and as I get older (now in late fifties) it is getting more and more difficult to handle. And, by the way, I have a Thai wife, but would never put anything in her name nor has she asked me to, although I have made other arrangements to secure her future in case I die suddenly. Lastly, I wouldn't worry about losing money on your house or condo as I have farang friends who have made a fortune buying land and houses, living there, and then selling at much higher prices. Everything is a risk right now, the stock market, gold, currency trading, so why not risk on something you can live in and enjoy?

If I am reading this right, you want to get the land put in your wife's name ASAP.

Nominee companies where outlawed in 2009, any one caught now will have house and land confiscated and will be deported.

Believe they were talking a 20% of sale value as a reward for the person who informs on illegal foreign land ownership. Jim

Does this actually get enforced on a large scale? Or at all? I would have thought it would be quite easy to find out - just check the land registry to see if owner is a nominee company. Why would they need informers? And how would the property be registered at the land registry if it's outlawed?

Land office is just a registry, they don't care if the company is real or not. ,Not a law. find enforcement agency, that's a police agency's job.

Will find a newspaper article on the subject. Jim

[jamescollister]

From a law article.

The use of "nominee" shareholders is expressly forbidden by the Foreign Business Act of 1999. This is a criminal offense. Prior to the introduction of the revised act of 1999 it was common to have loan-pledge agreements to Thai shareholders. This entails the Thai shareholders borrowing funds from the foreigner and “pledging” the shares back as security. However, the Act of 1999 made this practice illegal. In 2006, two new regulations were issued further clamping down on the use of Thai nominees. While enforcement has been spotty, the practice is risky particularly if you have engaged the use of professional nominees whose name appears on multiple company registrations.

Posted earlier on Thaivisa.

Posted 2012-06-29 11:53:56

PROPERTY

Ombudsmen urge draconian new law

BANGKOK: -- Thai ombudsmen is drafting a carrot-and-stick law to protect Thai lands from illegal foreign nominee ownership, while developers and consultants suggest more legal transparency, a longer leasehold period and higher foreigner property taxes to prevent nominees.

Ombudsman Siracha Charoenpanij said the new law would comprise punishment for companies offering advice to foreigners on how to hold Thai property by disguising their legal transaction. This would include law firms and consultants.

The existing law enforced by the Lands Department requires foreigners found holding Thai property to transfer the plot to someone else or sell it within 180 days.

"The new law includes a reward to anyone providing information about foreigners owning land through nominees. They will get 20% of the market price of that piece of land as a reward after the plot is sold," he said at a seminar on foreign property ownership yesterday held by the Thai Appraisal Foundation.

Deportation

The new law would also deport foreigners found guilty of holding land plots in Thailand illegally.

Ombudsmen will submit the draft to parliament this year, and Mr Siracha thinks there is backing for the bill.

"Anyone related to the property business may be unhappy with this bill as it will make the market rigid. But this law can help protect the land for the next generation of Thais," he said.

Will there be any land left for our Thai children?

He pointed to a new scheme where foreigners disguise their ownership similar to multi-level marketing, where they are buying shares of an agricultural company that grows rice on large plots in the northeast.

"I've heard there was a broker buying land plots throughout a tambon in Surin to cultivate Hom Mali rice," he said. "If such an act is not prevented, will there be any land left for our children?"

Suphin Mechuchep, managing director of property consultant Jones Lang LaSalle (JLL) (Thailand), said any new law should not weaken Thailand's competitiveness. Yet too free a market would lead to a bubble, so balance is needed, she added.

"We should have transparency if we want foreigners to comply," she said.

She suggested clarity in regulations so foreigners could estimate their investment. Longer leasehold periods such as 50 or 90 years would lower their risk from the current 30 years, she added.

Higher tax on foreigner property transactions

When laws are clarified, she accepted Thailand may charge higher taxes on foreigner property transactions than on those of Thais.

Atip Bijanonda, president of the construction and real estate business department of the Thai Chamber of Commerce, agreed there needs to be balance while still welcoming foreign investment.

He suggested the government set guidelines for foreigners, forbidding their purchase of land banks, farm land, property in border areas, and locations related to the country's security. Foreigners are permitted to buy land in industrial estates because they generate income and employment. Residential units near industrial estates are allowed for foreign investors or executives working there to bring their compatriots to visit Thailand.

-- BKK Post 2012-06-29

Source: http://www.bangkokpo...aconian-new-law

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[davejones]

Very interesting. But this become law? Even if not, I suppose a clampdown will come one day. I'd never use this route, but I'm sure plenty would.

[parallaxtech]

According to the Samui Express newspaper, 75% of Koh Samui is owned by foreignors through nominee companies. My neighbor just invested 100M euros in land on my mountain under a nominee company so I'm not worried about my little investment relative to his. The chief of Samui police just built a 125M baht home next to mine. When I set the company up with the largest law firm on KS I asked the same question about nominee companies. He just laughed and said, "Yeah, prostitution is also illegal." I wouldn't think that a Thai lawyer would risk his license by setting up illegal businesses. My point is that there are loopholes in laws as well as laws that are never enforced and never intended to be enforced. Also, these announcements going after the evil farangs are usually made during elections and then forgotten about. Think about it for a second, if foreignors couldn't buy land, who would? Thai landowners sell their land at super high prices and are not interested in selling to Thais at 1,000 baht per rai. The "proof is in the pudding" so please tell me how many of your friends have lost their land because it was registered in a nominee company? My land has been under a nominee company since 2007 and always will be unless I decide to sell it, but thanks for the warning, anyway.

Edited February 8, 2013 by parallaxtech

[Gary A]

According to the Samui Express newspaper, 75% of Koh Samui is owned by foreignors through nominee companies. My neighbor just invested 100M euros in land on my mountain under a nominee company so I'm not worried about my little investment relative to his. The chief of Samui police just built a 125M baht home next to mine. When I set the company up with the largest law firm on KS I asked the same question about nominee companies. He just laughed and said, "Yeah, prostitution is also illegal." I wouldn't think that a Thai lawyer would risk his license by setting up illegal businesses. My point is that there are loopholes in laws as well as laws that are never enforced and never intended to be enforced. Also, these announcements going after the evil farangs are usually made during elections and then forgotten about. Think about it for a second, if foreignors couldn't buy land, who would? Thai landowners sell their land at super high prices and are not interested in selling to Thais at 1,000 baht per rai. The "proof is in the pudding" so please tell me how many of your friends have lost their land because it was registered in a nominee company? My land has been under a nominee company since 2007 and always will be unless I decide to sell it, but thanks for the warning, anyway.

The lawyer risk his license? Are you serious? He will write any contract you want but he is not responsible for that contract. The only one who will suffer is you. Maybe this scheme will never come apart but if it does, there will be wailing and gnashing of teeth for sure. Better you than me.

[davejones]

According to the Samui Express newspaper, 75% of Koh Samui is owned by foreignors through nominee companies. My neighbor just invested 100M euros in land on my mountain under a nominee company so I'm not worried about my little investment relative to his. The chief of Samui police just built a 125M baht home next to mine. When I set the company up with the largest law firm on KS I asked the same question about nominee companies. He just laughed and said, "Yeah, prostitution is also illegal." I wouldn't think that a Thai lawyer would risk his license by setting up illegal businesses. My point is that there are loopholes in laws as well as laws that are never enforced and never intended to be enforced. Also, these announcements going after the evil farangs are usually made during elections and then forgotten about. Think about it for a second, if foreignors couldn't buy land, who would? Thai landowners sell their land at super high prices and are not interested in selling to Thais at 1,000 baht per rai. The "proof is in the pudding" so please tell me how many of your friends have lost their land because it was registered in a nominee company? My land has been under a nominee company since 2007 and always will be unless I decide to sell it, but thanks for the warning, anyway.

You make a good point, but personally I'd rather not risk buying a house via an illegal route, even that particular law isn't being enforced at the moment. If your land becomes super-valuable, someone high up the chain than you may see to it that the law is enforced. If the higher up wants the land, he will go to court to show that you own it illegally. And what do you think the court will say?

By the way, some people do get done for prostitution, even though the law is rarely enforced. Some people will also come unstuck by this nominee buying. Might never be enforced 100%, but they can easily pick and choose their targets. Own some land in the sticks and most likely no-one will care. Own some nice land by the sea, and someone will show an interest one day. I don't see how having a policeman next door is going to help you.

[BlackPuddingBertha]

When I set the company up with the largest law firm on KS I asked the same question about nominee companies. He just laughed and said, "Yeah, prostitution is also illegal."

All sorts of things have been illegal in Thailand for ages, but it's only in the last 5-10 years that they have done anything about them. One day they will turn their attention to illegal property ownership structures. When they do your lawyer may be laughing even louder because as a Thai he will be able to buy the land that farangs may have to get rid of at any price.

[rgs2001uk]

When I set the company up with the largest law firm on KS I asked the same question about nominee companies. He just laughed and said, "Yeah, prostitution is also illegal."

All sorts of things have been illegal in Thailand for ages, but it's only in the last 5-10 years that they have done anything about them. One day they will turn their attention to illegal property ownership structures. When they do your lawyer may be laughing even louder because as a Thai he will be able to buy the land that farangs may have to get rid of at any price.

Does anyone remember the recent case on Phuket, French guy I believe was relieved of his "illegal" 20 million baht house.

[parallaxtech]

If you are saying that a Thai lawyer will draw up a government document and sign it knowing that he is in clear violation of Thai law then why would anyone hire a Thai lawyer? Your corporate papers will simply be rejected and your lawyer will be instructed on how to prepare it within the confines of Thai law. Should I get my massage girl to draw up my will or company next time?. This is not a contract that I fabricated but an official Thai document registered, stamped, and approved by the Thai government that he created so yes he is totally liable. I am 100% within the law, anyway, because I set up my company in Jan 2006 before I bought the land, and as you can read below the new "law" doesn't apply to nominee companies formed before August 2006 http://thaisolicitor.com/?p=122 Some of my friends have Thai Majority companies, which are allowed to own land. Your lawyer then issues the Thais ordinary shares while you have preferred shares thereby controlling all the assets. See http://www.thailand-...areholders.html If you are ever convicted of some crime try going to court and defending yourself because you feel a Thai lawyer doesn't have to follow Thai law. Nobody is twisting your arm to buy land, but all the millionaires/billionaires on this island own land this way. I will try to get their emails so people can warn them to sell their land.

Oh, and the reference to the police chief living next to me wasn't about him helping me. Having 125M baht on a 2M baht salary gives a clear indication of his character. He has been to my house several times and has surely checked me out so he would be the first to grab my house and land if I had done anything illegal.

Simply go to a reputable lawyer and tell him that you want to buy land under a company and retain control of it. He will then tell you how to do it and you will be safe within Thai law.

Edited February 8, 2013 by parallaxtech

[davejones]

When I set the company up with the largest law firm on KS I asked the same question about nominee companies. He just laughed and said, "Yeah, prostitution is also illegal."

All sorts of things have been illegal in Thailand for ages, but it's only in the last 5-10 years that they have done anything about them. One day they will turn their attention to illegal property ownership structures. When they do your lawyer may be laughing even louder because as a Thai he will be able to buy the land that farangs may have to get rid of at any price.

Does anyone remember the recent case on Phuket, French guy I believe was relieved of his "illegal" 20 million baht house.

Did he actually get the land taken off him though. I read the story that someone was looking into it, but I don't think anything actually happened, although I could have missed the follow-up story. If you think the land was taken from him, can you provide a link to where you read this.

UPDATE: I had a quick check, and it seems the dispute was only part of his land, and this was because someone though it encroached onto forestry land. Nothing at all to do with nominee companies. And looks like nothing has happened, so probably all is ok.

Edited February 8, 2013 by davejones

[rgs2001uk]

^^^^^^, cheers for the follow up, these things often go unreported.

[davejones]

For those that think that just because things aren't enforced now, they never will be, here's a story from Croatia. They have had a law since the 1960s that requires every property to have an usage certificate. But this was never enforced, and over 90% of properties didn't have one. In the 2000s, there was always talking of enforcing it, but nothing happened. Then around 2 years ago, the land office finally clamped down big time. They refused to register any property that didn't have an usage certificate. On the island where my condo was located, there were 5-6 estate agents, and they all went out of business. The biggest one had 10 staff and 2 offices. Now the owner works from home part-time on her own. Why? Because for over a year, next to no-one bought or sold property because the new owner couldn't register it in their name at the land registry. So people wanting to sell have been forced to get usage certificates. But to get these, they need to show original planning permission, plans of the house, etc, to show that the building complies with the original position. But the next problem was that there were only a handful of staff issuing these certificates, so everything ground to a halt.

The company I sold my condo through almost went bust as well. There were plenty of potential buyers, but they couldn't register the property they wanted, so they didn't buy.

So, this was a law that wasn't enforced for over 50 years, but it is now. Still think things might not change in Thailand? One day someone will order a clampdown, and all hell could break lose. Croatian government didn't care that 1000s of estate agents went bust, and didn't care that people couldn't buy and sell houses. All they were interested in was enforcing the law.

I think people who think nominee name companies law will never be enforced are living in dream land. One day it is almost certain to be enforced. One day, someone will be in power who wants it cleaned up. And it will be, They won't care what excuse you have.

If you're willing to take the risk, then it's your choice. But don't delude yourself into thinking you're 100% safe just because no-one's enforcing it at the moment.