New Property Law For Foreigners Spreads Confusion

[aartchm]

Typical for this forum is that most of the respondents do not know what they talking about. Yes, in this case we are talking about a letter from the Chonburi land office. But in general this is a topic that could happen all over Thailand and is not restricted to companys set up to purchase land but for all companies doing business. Point is that the nominees have to show that there are really investors and how they get there money for this investment. If it was through a loan from the foreigner than this is illegal. Just read about all this in magazines like Thailand Property Report where the real lawyers give there opinions. Regarding the purchase of any condominium (freehold): as long as you are shure you are on the 49% side of ownership in the buidling and you own a proper tittledeed in your name I don't see any problem.

Aart Chiang Mai

[BlimeyCharlie]

I lost a 250K house in the UK to my wife. I renovated it, paid for everything in there and lost it all.

Guess what, she is english not Thai.

I have since met a Thai woman in the UK. I have never been happier. I talked to her about buying property over in Thailand and she adviced me not to. Do i trust her, absolutely. Were of similar age and have a very understanding relationship.

No disrespect to some of you older folks. There's pleantly of gold diggers in the UK, but if you insist on risking it in Thailand and don't respect their rules and laws then you can only blame yourself.

The problem is not with Thai woman using the farang as a money tickit, it the naivity of the farang.

Poorer people and others with low wages in the UK are getting very pissed of over here because of the way the house prices have risen. It's totally understandable when a Thai local resents a farang when he or she has no hope of buying a home in their own country.

Another thing, to say Thais just think about the money is very contradictory when most foreigners want to buy cheap property in Thailand to make money.

Edited May 30, 2006 by BlimeyCharlie

[dboy]

a few years ago i worked in guernsey they had 2 markets for ownerership, one for locals , one for non islanders. the difference in cost was vast as they wanted local people to be able to live there,which i think is a good thing because once you lose that its all gone. maybe they have it right in thailand

[backflip]

The Post tried to be sensationalistic - on a slow news day - and it succeeded brilliantly. Fostered by TVers that only read a few highlighted sentences, and a few dozen beers, this forum has been a whiner's paradise - complete with the most outrageous misspellings. So many ranting "I told you so", with others that have been "a$$ f*cked". Calm down kids. Too, I believe that anyone using the pseudonym of "Einstein", should learn to use the English language.

[cdnvic]

Too, I believe that anyone using the pseudonym of "Einstein", should learn to use the English language.

Wasn't he Swiss?

cv

[KhunMarco]

Too, I believe that anyone using the pseudonym of "Einstein", should learn to use the English language.

Wasn't he Swiss?

cv

[Paul MBMG]

I do not understand the remark "the day the property boom ended". There must be some property agency behind this statement.

Actually the quotation is from Thailand's leading, best known and most successful property lawyer.

the bottom line here is that if your company was set up right you don't need to worry about your company - if it wasn't then you might have to worry and particularly if you want to transfer in the next few weeks.

The danger of all thus is the impression that it creates and the damage that does to the general economy and to the property industry.

[Nam Kao]

You guys want to see real gold diggers, come to the US, its rampant

but the US guys seem to have caught on and now they just use them and most are afraid to marry

Any pre-nuptials are void after a child is born

The US divorce laws are stacked agianst the man - probably WORSE than Thailand in the end

[LaoPo]

Too, I believe that anyone using the pseudonym of "Einstein", should learn to use the English language.

Wasn't he Swiss?

cv

Yes, but later in his life; he was a Jewish born German; at 17 he 'abandond' his German Nationality; became stateless for 5 years; at 21 he got the Swiss nationality; than in 1914 also Prussian Nationality, lost this again in 1933 (due to the Nazi regime).

Became American in 1940, next to his Swiss Nationality.

Off topic of course

LaoPo

[Pakboong]

"Because I intend to squeeze you. I don't like your kind of people. I don't like to see you come out to this clean country in your oily hair -- dressed up in those silk suits - and try to pass yourselves off as decent Americans. I'll do business with you, but the fact is, I despise your masquerade -- the dishonest way you pose yourself. Yourself, and your whole ######ing family."

What Thai official charged with enforcing this law, would not take great pleasure in doing such?

[wombat]

Nevermind who owns Thailand, before anyone here sets about changing their house ownership from Company route to Lease Route, or even giving it to the Mrs, find out who actually owns your house

If you are 49% shareholder in the company that owns your house (albeit a 95% vote owner) 51% of the collatoral in the company (51% of your house) is owned by the 7 Thais you got to be your silent share holders.

Now, you can vote to sell the house, but the collatoral belongs to the share holders, they are quite within their rights to take 51% of the money released in the sale.

This is the point when you realize why the guys who did all that legal work for you were so very helpful at finding silent share holders for you.

you dont mention what happens with the letters of resignation signed by the 7 thai's who are your silent partners?

[gdhm]

Hello,

Forgive my ignorance on this subject as I have only recently married and decided to apply to retire in Thailand permanently.

I agree that the Thai people have the right to make laws as they choose in their own country, and it is for foreigners to find solutions that comply with the law.

Accordingly, can anybody advise me on the following:

1) Is it within the Thai Law for the Wife (Thai National) to buy and own the LAND in her name (obviously funded from our joint money -originally mine) AND for me the buy and OWN the HOUSE outright in my name. My belief is that this is totally acceptable within Thai law – but I am no expert.

2) Additionally, am I allowed to set up a private BINDING (within Thai law) contract between my wife and myself PRIOR to land and house purchase that basically agree conditions such as

i) that she cannot sell the land from under me without my agreement or/and

ii) without us getting full market value or/and

iii) in the event we mutually agree to sell the land and house that I receive a specific percentage of the LAND value (which is in her and owned by her name)

OR SOMETHING SIMILAR, that protects my interests in the event of a divorce etc.

I would never seek to disobey Thai Law but obviously am happy to apply its rules that best protects my interests so that in the event of a divorce (which I do not anticipate) I am not left penniless in Thailand.

Regards

Dave

[DerringDo]

Someone in this thread (or the other related thread) mentioned 1 billion retirees in the next 20 years from "developed" countries: <deleted> is s/he talking about? That would mean ALL the residents of The USA AND Europe retiring in the next 20 years.

Now whilst i understand that a large number of people will retire and the general sensationalist tendencies associated with topics in this forum, why do illiterate idiots continue to post such obvious sh!t.

[Mason45]

one would have to be pretty resourceless to trust their 'wife' to be the owner of the houses, especially if we're talking an expensive house... 'wives' come and go, ESPECIALLY in Thailand.... just my .02

Its the old story " dont go in where angels fear to tread " I bought a home and fully furnished it etc for 1.5 million, its in my Thai wifes name. If we split which is highly unlikely she can have the house for services rendered, there will be no lump sum. If I die its her house and she inherits a sizeable amount from my retirement fund. Ive already made a will where the amount she inherits will be less the price of our house, the rest goes to my sister, so her family can do what they like with the house after Im gone. Think now because when your gone all sorts of games will start, it may be of little significance when you're dead but its peace of mind that the right people arent forgotten after you move on to Soi 6 in the sky.

[elGrande]

I lost a 250K house in the UK to my wife. I renovated it, paid for everything in there and lost it all.

Guess what, she is english not Thai.

What is the point here? Women in any country can take money from fools

I have since met a Thai woman in the UK. I have never been happier. I talked to her about buying property over in Thailand and she adviced me not to. Do i trust her, absolutely. Were of similar age and have a very understanding relationship.

LOL. Some never learn. I look forward to your post when she scams you.

[skippybangkok]

7 shareholders...duhhhhhhh... If you had 100,000 shares, the 5 ghosts would hold 1 each ( =5 ), and the nominee the remaining 51% (-5 shares ). If you gave the 5 shareholders the propostional amount.... waow !!!!

[jbowman1993]

I've got a condo for sale, if any of you displaced farangs are interested!

[rotorbreeze]

Thailand's new property law for foreigners spreads confusion

BANGKOK: -- Thailand's booming property sector has been thrown into confusion by a new regulation issued this month that requires all partly foreign-owned companies to prove the source of their funding before purchasing land, industry sources said Tuesday.

The new Interior Ministry regulation that went into effect on May 25 has already started to slow sales of housing estates in Thailand's popular seaside resorts, such as Pattaya, Phuket, Hua Hin and Samui Island, which have been specifically targeting well-to-do foreigners as vacation getaways or retirement homes.

Full story: (Bangkok Post)

[rotorbreeze]

Can anyone give me information on this..I am building house on wifes land, about 4 yrs now, not finished, she now has a Thai boy friend whom sleeps with her..I had been abandanded this spring with no money returned to Canada to get life back together, making money now..we are still legally maried in thaiand..wife lies so much I can not believe her. Can you help me out in what Ishould do with unfinished house, bull dose it down, or seak legal contract from her to lease property? You can please reply to my email address... [email protected].. I have had problem loging in on this site..thanks..Rotor Ron

[egeefay]

Many don't realize 75% of money held in Thai banks is actually held by the rich ethnic Chinese moguls like Thaksin. They didn't accumulate this wealth by fair and ethical business practices.

Many of the Thai Rak Thai party are ethnic Chinese and it costs a minimum 15 million baht just to join the party elite.

The Thai is no more than a serf under his Chinese lord in many places.

Some of your remarks about ethnic Chinese sound very much like the anti Semitic accusations some European directed at Jews shortly before the Holocaust . First, Jews were identified with political subversion and Communism in particular. And Second, the Nazis associated Jews with super capitalism and economic exploitation.

You seem to make similar claims that the Chinese are subverting the Thai political system and capturing all of the wealth in Thailand

You are entitled to your opinions but don’t forget that the ethnic Chinese in Thailand have blended in well. Most ethnic Chinese speak Thai as their first language. They have intermarried with Thais , and they have dropped their Chinese names in favor of Thai surnames. The children of these marriages identify themselves as Thai and no longer speak Chinese. They consider themselves to be Thai. They dress and act like Thais. And most of them are middle class citizens and not “super rich” as you make them out to be.

I have many friends of Chinese Thai heritage and I’ve never had one that spoke of the insidious plot to take over of Thailand’s wealth and political system that you seem to fear.

[bdenner]

.................

We have been married for close to 15 years now, she own the house, our daughter will inherit, her family leave us alone, basically no problems

Yep, no problem for me after >5 years of happy marriage. I have bought, in her name, 2 house and land properties, 19 rai of farm land, the DMax, the bike, etc. and could spend 3 times that much before ever coming close to what was screwed out of me by my ex.

IMO no matter how you spend it in Thailand you must think about the "What if's".

[taxexile]

Some of your remarks about ethnic Chinese sound very much like the anti Semitic accusations some European directed at Jews shortly before the Holocaust . First, Jews were identified with political subversion and Communism in particular. And Second, the Nazis associated Jews with super capitalism and economic exploitation.

You seem to make similar claims that the Chinese are subverting the Thai political system and capturing all of the wealth in Thailand

You are entitled to your opinions but don’t forget that the ethnic Chinese in Thailand have blended in well. Most ethnic Chinese speak Thai as their first language. They have intermarried with Thais , and they have dropped their Chinese names in favor of Thai surnames. The children of these marriages identify themselves as Thai and no longer speak Chinese. They consider themselves to be Thai. They dress and act like Thais. And most of them are middle class citizens and not “super rich” as you make them out to be.

I have many friends of Chinese Thai heritage and I’ve never had one that spoke of the insidious plot to take over of Thailand’s wealth and political system that you seem to fear.

well said , i agree entirely.

if it wasnt for the chinese in thailand with their generally accepted industriousness and economic sense then thailand would be a forgotten backwater like laos . dont judge all the chinese by what you read in the papers about thaksin and his buddies.

they have a sense of responsibility to education , work and family , that the thais would do well to learn from.

the thais are generally fun loving people , but have an underdeveloped work ethic and a strage sense of responsibility.

a racial mix of thai and chinese melds all these qualities into a pretty good brew in my opinion.

and , for better or for worse , it is the chinese who have pulled thailand into the 20th and 21st centuries.

2nd generation indian and other asian immigrant groups are doing exactly the same in the uk now.

they have good attitudes to work , education and family.

things sadly lacking in so much of british society these days.

these nasty racist comments about the chinese should not be tolerated by the moderators.

Edited May 31, 2006 by taxexile

[KhunMarco]

burn down the house and go back to Canada the same day

[thaigene2]

I told you this was going to happen..and the Government warned us too. Remember who controls the political eonomy in Thailand..it's a small ethnic elite who are determined to keep foreign 'competitors' out. They don't want us to establish ourselves in Thailand..and one way to do that is to stop us from buying property..they told us, others told you.. and I told you..

If you really want to buy something, you'll have to buy one of the over-priced condos (and guess who's selling those..he, he..) or buy a house in your wife's name and trust her. This could either push condo prices up, or down, not sure which yet, but we'll find out soon enough..

[jbowman1993]

I'm happy to raise the asking price of my condo, for any disenfranchised farangs who feel the need to throw money at me.

Currently asking 1.1 mil, but you can have it for 1.5, if you ask nicely.

Edited May 31, 2006 by jbowman1993

[Nuff Said]

The question I have is this. What will this do to condo values?

In the more popular condos, 49 percent are owned by farangs, a certain percent are owned by Thais, and another certain percent are owned by farangs running phony companies. The farangs owning condos under companies will be in a big fix. They cannout sell to foreigners (building already 49 percent) so they can only sell to Thais, who will of course take advantage of their desperation and pay lower prices. What about the remaining farang owned condos, do they go up or down? They are in a building of radically declining values for the Thai and company owned condos, but their ownership structure is limited by number and much more desirable, so what happens? Up, same, or down for those farang owned condos? I haven't a clue because I have never heard of a market like that.

Intersting point. A lot depends if the regulations are also applied to companies formed befrore May 25th, with these companies being subject to Department of Commerce investigation as to why they were formed. Assuming that this is not to be the case I see the situation in buildings where the 49% foreign ownership quota has already been taken as falling into 3 catagories.

1. The 49% already in legal foreign ownership. These will continus to attract the hightest prices as they give the foreign purchaser peace of mind. Most agents usually advertise such condo's as 'available for or in foreign ownership'.

2. Those 'owned' by foreigners but registered in company names. There is normally no land office involvement when sold on to another foreigner as the sale usually includes the holding company, with only a name change of the Managing Director being necessary. This is not done at the land office. These condo's usually attract a slight lower price than those in legal foreign ownership and are not quite so easy to sell.

3. Those in Thai nationals names. Up to now they could be 'sold' to anyone, with a foreign purchaser simply forming a company in order to register the transfer. If the new regulations are strictly enforced these condos will only be transferrable to either Thai nationals or Thai companies which have passed the new regulations. They will probably continue to atract the lowest prices.

If the new regulations are applied retrospectively, with companies, and there are a lot of them, formed prior to May 25 being subject to investigation, then I would see the owners of condo's in paragraph 2 as being in the same boat as those in paragraph 3.

[Narratio]

I must be one of the few who has a Thai wife that I trust. I've been married to her for almost 20 years, two kids, two houses, a few more plots of land in odd places. Yes, I'm the families ATM, but on the 2 occassions I've been out of work, they've covered me for everything including beer.

So I agree with some of the other posters.

If you're that paranoid about loosing everything due to your poor taste in women, then don't buy.

If you're half paranoid, buy it in your wives name but then lease it back for 30 years or death.

If you just trust, then buy in your wives name and then transfer it into your kid's names.

And stop stressing yourself. In ahundred years you're dead, in a thousand, forgotten. No problem.

[Wiggy]

Let's face up to reality - Thailand is a racist society. Just look at the name of the ruling party and the term "aliens" for evidence of that. If the law states that foreigners cannot own land/houses (apart from condos) then so be it, regardless of whether or not a Thai can buy property in our home country. This is why we appreciate democracies more than dictatorships, which Thailand is rapidly turning into. Yes, many more Thais will be thrown onto the unemployment scrapheap, but that's not on this government's list of problems. Making money is their priority, and they are obviously not making any out of "selling" property to foreigners. Plain and simple.

Sorry to those who will lose out.

[Jai Yen Yen]

Can anyone give me information on this..I am building house on wifes land, about 4 yrs now, not finished, she now has a Thai boy friend whom sleeps with her..I had been abandanded this spring with no money returned to Canada to get life back together, making money now..we are still legally maried in thaiand..wife lies so much I can not believe her. Can you help me out in what Ishould do with unfinished house, bull dose it down, or seak legal contract from her to lease property? You can please reply to my email address... [email protected].. I have had problem loging in on this site..thanks..Rotor Ron

"Rotor Ron" What yarns are you spinning now?

[bquick]

this is not about the individual Farang buying land and a house, it's about foreign conpanies/organisations buying the land from Thais and building on it to make profit, it seems that the capitalistic style is getting less popular with the locals, quite understandable if you ask me

I am an idividual farang who wanted to buy one house as a safety net in case of breakup and i got refused in land office.

So now After spending about 5 million total I'm screwed. Amazing and disgraceful that Chinese-Thais and cronies led us up the garden path like this to screw us hard and fast.

Taksin and his kind can buy a lot more now with his money and latter maybe lead tens of thousands more foreingers up the gaden path to screw them too. It's the information age now so their kind of behaviour is a lot more difficult to get away with unhurt. People will remember and talk.