Buying Condo Off Plan

[alyx]

I did

I sued

I won

I waited 10 years

I forgot about it

I saw an article that some Thai citizens ( I am not ) had regrouped, sued, won, got their money back

I went back to court....Too late

It doesn't mean that they are all bad but one has to be ready to lose their money

[TallGuyJohninBKK]

Alyx, would you do a brief post here saying what developer/project was involved, and what basically happened with your purchase? I think it would be informative for those reading here, myself included.

[alyx]

Sure. I'll do that later today or tomorrow

Actually it might shed some positive light on the way courts deal with the matter

[chris2004]

Why even consider buying off plan. There are thousands of condos already built so you can see what you are getting. Or get one in an existing building so you can see how it is managed. I wouldn't buy anything without seeing it first.

[oxo1947]

The company your dealing with--Sansiri-- is very sizable, they have a lot of projects on the board, I was looking at some government planing papers for Udon Thani (I will PM them to you if you like) they are mentioned a lot--& the projects they have up there for this year alone is Millions in Condos & looking for land to build an estate there for 573 houses.

I know little about the BKK market.

[technologybytes]

What you have to remember is that with these payments you are not buying a condo, the condo does not exist yet so you are buying a promise.

You have to decide if the company you are handing your money to is honest and trustworthy, it appears to me that they have demonstrated themselves to be a tricky outfit by moving the goalposts.. I'd back off and look for something that's already built and has a chanote ready for immediate transfer.

[realenglish1]

First let me tell you It is not the law The agent is doing this to make sure she gets her commission up front and does not have to wait

In reality you can negotiate most anything with a builder depending on their desire to sell

So don't be stupid drop this moron as an agent

PS.

If you are concerned about your money sitting without a condo the Government has an escrow account that the builder knows about , If you really want to protect yourself

Use the government Escrow. Albeit not to much faith in the government but maybe better than just a builders word

Edited February 4, 2014 by realenglish1

[Maseratimartin]

Yes for foreigner the first payments are generally higher, especially the first contract payment...Thais have lower rates.

Mostly the condos for foreigner are also more expensive.

Bought a condo last year (The Maledives) and finally put it on my daughters name (Thai). Reduced the price from 2mill to 1.8!

Just make sure that you buy only from well established companies as there are many bad guys out there.

If you do not need a condo immediatly, buying from the plan can save you good money and there are clear rules if projects do not finish on time.

In our case we get compensation after 10 months delay.

[dotpoom]

I just bought two condos off plan. Initial 5,000 booking deposit on each condo. 30,000 on each condo upon signing the contract..... 2,750 on each condo every month for 1 year and 11 months when completion is due, plus an extra 30,000 extra payment on each condo every eight months. In total...I should have paid 160,000 on each condo by date of completion....balance to be paid in one lump sum when taking over the condos.

[Suradit69]

Op could just offer them the Thai fee, and if they say no just walk. I have always thought it was good if you like a condo (or anything), give the people your number, and if they change their mind (ie units are not selling) and they call back, you have got some serious leverage cus you know they need your sale.

On a side note, I find Thais to be some of the hardest people in the world to negotiate with. I have heard Chinese are the best negotiators in the world, but when you deal with Chinese, at least you know slightly what they are thinking. They lowball you and hold out, keep a straight face, you gotta just hang in there and get what you want. It is kinda textbook.... not easy, but one can deal with it. Thais are just totally illogical in my opinion when it comes to negotiating. That same standards do not apply. It is like they would rather lose a sale and profits to save face and not "give in to the farang". I don't know, I find their "negotiating" good at times, but very hard to deal with, which either means they are better than I think, or much worse??

"That same standards do not apply. It is like they would rather lose a sale and profits to save face and not "give in to the farang". I don't know, I find their "negotiating" good at times, but very hard to deal with, which either means they are better than I think, or much worse??"

That's the farang mantra, isn't it? Everything in Thailand is "to save face."

If you've ever bought, or tried to buy, a car or house or anything else back in farangville and your counter-offer was refused, that would be described as tough negotiating or based on a study of prevailing market conditions, but in Thailand the only reason someone does anything you can't comprehend, it's down to face saving.

Oddly, despite this intransigence and refusal to accept the superior farang way of doing business, generally speaking Asian economies and businesses are on more solid footing than western economies or those businesses in the west that are not propped up by taxpayers. Maybe not rushing to sell at any price but sticking to original marketing plans is a better approach.

[MrMo]

Sounds touristland hogwash to me. Am in the process of buying a condo off-plan up-country. Payments over the first 12 months total less than 20%. Balance on completion.

[Cheapman]

If economy crash, it will... (Because people never learn) u can say bye bye to your money... Still I m sure u can get free shower at Buddha.

If economy crash, ur stocks lose value but you still own stocks.

Ur place may never exist, and forget about value when you resell it. Rat race for condo is finished, price will go down soon. Wait.

[rotary]

There were and are many condos in Thailand, and other countries in Asia to be fair, that were never finished, finished months/years late, and not finished to the same standard as promised. I would recommend only buying a finished condo or at least near finished where I could monitor the progress. Buyer beware.

[rotary]

If economy crash, it will... (Because people never learn) u can say bye bye to your money... Still I m sure u can get free shower at Buddha.

If economy crash, ur stocks lose value but you still own stocks.

Ur place may never exist, and forget about value when you resell it. Rat race for condo is finished, price will go down soon. Wait.

Remember 1997, many condos new never lived in selling for 25% of the first asking price. Mine was priced at B1,999,000 when it was B25 to $1. I bought at B960,000 when it was over B50 to $1.

It will happen again for sure

[mortenaa]

Many condos are of good quality. My building is almost 20 years, and in excellent condition. Units are selling for lower prices than new ones. You get 3 bed, spacious rooms, big balconies. All for the same price as a studio room next door .. Do a bit of research before buying in. Good Luck!

[mortenaa]

And if there is a change of law in immigration, you may be one day to ask to leave Thailand.

You are not home, you are in a foreign country.

When all condo vacant. Who is going to pay for the swimming pool or holes in the roof?

Have you seen the number of building taking fire due to bad electrical quality.? Do you know why?

Think about karaoke place in front of your window.

Unbalanced fan from neighbour.

Leaking sewage from top neighbour

Lift to maintain

...

Why not rent instead and free your mind? You pay little more but much safer.

200k at 5%=10000$

You can even rent a nice house with that and keep your cash.

For me, peace of mind is owning my own place. Its mine, and no one can force me out. The economy in the building is excellent. No leaks, no noise. Lifts we maintain on a service contract. We check fire systems, electrical systems. High occupancy rate. Who on earth wanna throw their money away renting, when they can be a home owner ???

[Cheapman]

And if there is a change of law in immigration, you may be one day to ask to leave Thailand.

You are not home, you are in a foreign country.

When all condo vacant. Who is going to pay for the swimming pool or holes in the roof?

Have you seen the number of building taking fire due to bad electrical quality.? Do you know why?

Think about karaoke place in front of your window.

Unbalanced fan from neighbour.

Leaking sewage from top neighbour

Lift to maintain

...

Why not rent instead and free your mind? You pay little more but much safer.

200k at 5%=10000$

You can even rent a nice house with that and keep your cash.

For me, peace of mind is owning my own place. Its mine, and no one can force me out. The economy in the building is excellent. No leaks, no noise. Lifts we maintain on a service contract. We check fire systems, electrical systems. High occupancy rate. Who on earth wanna throw their money away renting, when they can be a home owner ???

Throwing money away by renting? Ahahah.. since when?

I got rent for free. All paid by my Swiss bank.

300k $ at 6 or 7 percent interest. Give me around 20000$ a year to pay my rent. You are owner of the floor, ceiling, and the 4 walls. That s all.

The money I don't use go to my living expenses and even I m well under 600k bahts a year. Owning is only good to put your things like books, your TV, pc, and ur crap you have collected for life and taking dust like western people stuck with their things. Free your mind, rent!

[CapeCobra]

" I have a friend" who bought a condo off-plan. He paid 100% but did not get a title deed in the end. Same thing happened to others. Unthinkable in the civilized world. Why? The developer seems to be a notorious criminal, who managed to fool and betray ALL his customers. The legal battles will go on for a long time. Most institutions and courts were bribed, but perserverance of a few may bring him down after many years.

Just don't buy off-plan! Many developers sell project A, then sell project B to finance and finish project A. It's a snowball system. If sales for B stall, A will have to wait. Maybe project C will get the funds to finish A. Got the message?

[DepDavid]

I was looking at condo in BKK and spoke with the bank MBK Group, who told me it is banking policy that foreigners pay 30%down. I didn't buy due to the discrimination.

[JesseFrank]

If you do not need a condo immediatly, buying from the plan can save you good money and there are clear rules if projects do not finish on time.

In our case we get compensation after 10 months delay.

In Suan Sawarn they get compensation after a delay of 6 months.

The delay is currently over 5 years . I doubt they ever gonna see a single baht of compensation, in fact I'm almost sure that never gonna receive anything for the money they paid.

[TallGuyJohninBKK]

For me, peace of mind is owning my own place. Its mine, and no one can force me out. The economy in the building is excellent. No leaks, no noise. Lifts we maintain on a service contract. We check fire systems, electrical systems. High occupancy rate. Who on earth wanna throw their money away renting, when they can be a home owner ???

Not true, really. Unless you're on Perm Res status, Thai Immigration can send you and most of the rest of us packing any time they choose by changing the visa/extension rules.

You may own the condo all correct legally. But our right to stay in the country is hardly so secure. That's one factor, among others, that would give me considerable pause before buying any property here.

Edited February 4, 2014 by TallGuyJohninBKK

[JesseFrank]

For me, peace of mind is owning my own place. Its mine, and no one can force me out. The economy in the building is excellent. No leaks, no noise. Lifts we maintain on a service contract. We check fire systems, electrical systems. High occupancy rate. Who on earth wanna throw their money away renting, when they can be a home owner ???

Not true, really. Unless you're on Perm Res status, Thai Immigration can send you and most of the rest of us packing any time they choose by changing the visa/extension rules.

You may own the condo all correct legally. But our right to stay in the country is hardly so secure. That's one factor, among others, that would give me considerable pause before buying any property here.

In fact they can send you off whenever they like, even if you have permanent resident status.

http://www.thaivisa.com/forum/topic/701965-thai-indian-business-tycoon-to-be-deported-for-protesting/

Thai-Indian business tycoon to be deported for protesting

[mortenaa]

And if there is a change of law in immigration, you may be one day to ask to leave Thailand.

You are not home, you are in a foreign country.

When all condo vacant. Who is going to pay for the swimming pool or holes in the roof?

Have you seen the number of building taking fire due to bad electrical quality.? Do you know why?

Think about karaoke place in front of your window.

Unbalanced fan from neighbour.

Leaking sewage from top neighbour

Lift to maintain

...

Why not rent instead and free your mind? You pay little more but much safer.

200k at 5%=10000$

You can even rent a nice house with that and keep your cash.

For me, peace of mind is owning my own place. Its mine, and no one can force me out. The economy in the building is excellent. No leaks, no noise. Lifts we maintain on a service contract. We check fire systems, electrical systems. High occupancy rate. Who on earth wanna throw their money away renting, when they can be a home owner ???

Throwing money away by renting? Ahahah.. since when?

I got rent for free. All paid by my Swiss bank.

300k $ at 6 or 7 percent interest. Give me around 20000$ a year to pay my rent. You are owner of the floor, ceiling, and the 4 walls. That s all.

The money I don't use go to my living expenses and even I m well under 600k bahts a year. Owning is only good to put your things like books, your TV, pc, and ur crap you have collected for life and taking dust like western people stuck with their things. Free your mind, rent!

Great logic! Rent for free.. That money you could put down on a mortgage, and owning the place within 10 years. Owning a place means you can modify it, improve it, change it. You can live, and feel free. Coz it yours. And I can keep "the crap" I love. For me this is an important part of life.

[mortenaa]

For me, peace of mind is owning my own place. Its mine, and no one can force me out. The economy in the building is excellent. No leaks, no noise. Lifts we maintain on a service contract. We check fire systems, electrical systems. High occupancy rate. Who on earth wanna throw their money away renting, when they can be a home owner ???

Not true, really. Unless you're on Perm Res status, Thai Immigration can send you and most of the rest of us packing any time they choose by changing the visa/extension rules.

You may own the condo all correct legally. But our right to stay in the country is hardly so secure. That's one factor, among others, that would give me considerable pause before buying any property here.

Seriously? As a tax contributor and a contributor to Thai society in general, I think my status is fine. I will have permanent status soon. And if they decided to kick me out, I could sell my condo for a nice profit. I read you scaremongers post on Thai Visa for years. Foreigners have lived here for decades, and never has any of your prophecies fullfilled.

[thailandbeachisland]

Just rent!

Really. . .

Not a smart reply to someone who wants to buy and stop being a cheap charlie renter.

A lot smarter to recommend to buy a condo that is already built !

People who always look for trouble finally find them and should not be surprised !

[isawasnake]

I will say, most all the people I know who are doing well and working none/less as they get up their in age, they own property. I think owning property in Thailand is fine as long as you're not throwing darts at a dartboard to pick one.

[TallGuyJohninBKK]

For me, peace of mind is owning my own place. Its mine, and no one can force me out. The economy in the building is excellent. No leaks, no noise. Lifts we maintain on a service contract. We check fire systems, electrical systems. High occupancy rate. Who on earth wanna throw their money away renting, when they can be a home owner ???

Not true, really. Unless you're on Perm Res status, Thai Immigration can send you and most of the rest of us packing any time they choose by changing the visa/extension rules.

You may own the condo all correct legally. But our right to stay in the country is hardly so secure. That's one factor, among others, that would give me considerable pause before buying any property here.

Seriously? As a tax contributor and a contributor to Thai society in general, I think my status is fine. I will have permanent status soon. And if they decided to kick me out, I could sell my condo for a nice profit. I read you scaremongers post on Thai Visa for years. Foreigners have lived here for decades, and never has any of your prophecies fullfilled.

I haven't predicted or "scaremongered" anything. I just stated a simple fact.

Most foreigners living here do so, at best, on a year-to-year basis. Very few have any residency rights that extend longer than that.

I'm not suggesting or predicting the Thai government will kick out much of its foreign population. I'm simply saying, they effectively could if they decided to.

[peterbkk9]

When I contacted the agent I was told that the reservation deposit is 50K and the signing fee is 30% because I am a foreigner.

Never heard of that but you should check what the regulation says.

I bought a condo off-plan (LPN) and am totally satisfied with them. No issues at all.

But I think the golden rule is: do this with reputable developers only.

[mortenaa]

For me, peace of mind is owning my own place. Its mine, and no one can force me out. The economy in the building is excellent. No leaks, no noise. Lifts we maintain on a service contract. We check fire systems, electrical systems. High occupancy rate. Who on earth wanna throw their money away renting, when they can be a home owner ???

Not true, really. Unless you're on Perm Res status, Thai Immigration can send you and most of the rest of us packing any time they choose by changing the visa/extension rules.

You may own the condo all correct legally. But our right to stay in the country is hardly so secure. That's one factor, among others, that would give me considerable pause before buying any property here.

Seriously? As a tax contributor and a contributor to Thai society in general, I think my status is fine. I will have permanent status soon. And if they decided to kick me out, I could sell my condo for a nice profit. I read you scaremongers post on Thai Visa for years. Foreigners have lived here for decades, and never has any of your prophecies fullfilled.

I haven't predicted or "scaremongered" anything. I just stated a simple fact.

Most foreigners living here do so, at best, on a year-to-year basis. Very few have any residency rights that extend longer than that.

I'm not suggesting or predicting the Thai government will kick out much of its foreign population. I'm simply saying, they effectively could if they decided to.

If you read your own post, I would say you did a little more than just state simple facts. Borderline scaremongering

They could effectively wipe out corruption as well.. if they decided to.. lol

[mrfaroukh]

May be you should wait a bit. Due to political unrest the prices may crush. Now some well know developers giving almost 25% discount for new project. That means a condo that would cost 4.6 million you can buy it for 3.2. May be the bubble is about to burst.