Paying rent 5 years in advance.

[fozzy58uk]

I got my discount by taking out a 1 year renewable contract, the proviso was that if I left before the contract ended I would have to refund the difference to the full price if I wanted to leave earlier, or pay up the full year whichever was cheaper for me. Very agreeable terms and I stayed there 5 years eventually.

[off road pat]

A lot of things can happen in five years, but one thing for sure I am certain you would not get your money back.

Exactly,....To many things can happen in five years....

[Jiggo]

NOT.....Answer.....2 months deposit max plus monthly in advance, with a agent as a contract that is required if you are on a long term visa...

[notmyself]

What are you doing if a Karaoke opens next house or you get some noise neighbors ????

Very likely!

[GOLDBUGGY]

To pay up front rent for 5 years is a terrible idea at any price. Forget about it! There are so many factors that come to play on this that I could write a book about it, and none of them would be in your favor.

Who knows if you still want to live their after a year (I moved 6 times in 9 years in Thailand)? That your neighbours don't drive you crazy and their 3 dogs bark all night or bite your kids through the fence? That a Thai Sing-along-bar doesn't open across the street from you and blaring Thai Music all night long (which happened to me)? That you meet some Thai Woman who lives in a different city and now you want to move their? That that smiling and friendly owner you met won't fix that leaking roof now or that totally plugged up toilet? That he doesn't have you killed for 2 months rent money? This list goes on and on My Friend.

If you are new to Thailand rent for a year. I have no idea what your house is like but 30,000 Baht seems quite high, if it is the standard type. House rentals are based on short term rentals so on a year least you should be able to get this rental price lowered. Perhaps to 20,000 Baht but for sure no more than 25,000 Baht. There is a better than good chance you won't get your 2 month rent damage deposit back so factor that into your equation.

The kind of advanced 5 year rent money you are talking about is enough to buy a house here. You can't really own land in Thailand but their is ways around that. One, in which I am totally against, is to set up a fake company then buy your house through the company. But if you are just going to throw your money away on paying 5 years of rent money anyway, if I was you I would rather do this.

If you are single and of marrying age, which in Thailand is 85 years old or younger, there is a very good chance you will meet someone here, even if you said never again. Then you would be better off to buy a property in her name for the same money, and get a 30 Year Lease for you. At least you won't be paying rent again and after 5 years. But do be careful who you choose as your partner for this.

Speaking from experience as a renter here for a long time, your plan to lease a place for 5 years, and yet pay for it now, is a terrible idea and the worst I have ever heard. I don't think you can even legally do that as I think Land Titles will not accept anything over 3 years (if registered). So probably not legal in case you have to go to court either.

[Bigstef]

No way i only pay in advance when i go out of the country, what if the owner sell the house? No you better pay each month easy and secure, and what if next year you want to move out?

[GOLDBUGGY]

Would be a very foolish thing to do. What recourse would you have if the owner decides to sell and you are evicted. That money will not be "held" in trust.........

Very interesting point you raised, but what does a person who lease a resort/ hotel for 30 years do as they must pay a large amount in advance, can the owner simply sell the property and take the money from that person? surely there are laws to protect such a thing?

A 30 Year Lease in Thailand is far different than a signed Rental Contract Contract.

For one thing, a 30 Year Lease or a "Unufruct" is registered at the Land Titles Office and attached to this property. In the event that the owner now wants to sell this property, or put a mortgage on it, he cannot do this legally until this Lease has been cleared first. You are the only one who can cancel this Lease.

I believe you may be able to do this on a Rental Agreement but quite honestly I don't know anyone who has tried over a house rental. It is quite expensive as you may need to employ the services of a lawyer, and registration fees, which is not feasible for just a rented house. Besides that I do not think they will resister you longer than 3 years, if they will at all.

I think someone mentioned you are safe paying 5 years rent money up front, as you are covered and protected under a Contract. I hardly think so! To put it bluntly, when you give someone 5 years rent money in advance, what you have done is give him a lot of temptation on his table to screw you. I am an honest man, or try to be, but if you did that with me I may be looking at ways to screw you to.

So unless you do everything perfectly, especially with this Contract, you will more than likely get screwed Big Time. So perhaps it says in the Rental Contract he cannot sell the property for 5 years, so you think you are safe. Big Deal! Does it say he can't mortgage the property to the hilt to, then fail to make a single payment afterwards and have the bank come and take it away. He would not do that for 1 months rent, but for the price of his whole house plus 75% more from the bank, he might.

Okay, so now you put in the Contract that he can't sell this house or mortgage it, so now you are safe? Who is going to know if it is not registered at the Land Titles Office? So now you register this to. Then 6 weeks after you move in he gets hit by a truck and is now dead. His son now owns the property and says to you "Poppa Die and No Have Money!" "You pay me now Okay?".

Even if you had the perfect Contract and cover all your bases are you willing to go to court and spend more time and money just to get back what is rightfully yours? Personally, I try to avoid this kind of potential future trouble.

[GOLDBUGGY]

Please kindly expand on the scams you were referring to, are you talking about people who claim to own the property but are not really the owners? are these Thai, falangs or both?

Local "Thais" only see themselves as Thais when it suits them - they call any Thai not native to KPG/Samui "outsiders". So let's call them locals to avoid confusion. Nowadays there seems to be little difference between greedy locals and farangs involved in any KPG property deal, so caveat emptor.

If you are dealing with an islander, ask for their Chanot land deed with their ID card name on it, and be very careful with potential forgeries.

If you are dealing with a Thai (e.g. from Bangkok), ask for their Chanot land deed with their ID card name on it.

With farangs (who cannot personally own land anywhere in Thailand), ask for the company's Chanot, and proof that said company director(s) match their passport name - you'll find that often there is a lease involved.

But whatever you do, never, never offer more than three months' rent in advance - any request for more cash is very likely to be part of a scam.

Good Points!

Just to expand on this a little bit I am a Farang. I do not own the land I live on. But with a Unufruct I can rightfully and legally rent this property out to a third party, and as stipulated in the Unufruct.

[notmyself]

Even if you had the perfect Contract and cover all your bases are you willing to go to court and spend more time and money just to get back what is rightfully yours? Personally, I try to avoid this kind of potential future trouble.

It'll cost in excess of 2m to see it through court which is fine (?) on a 10m lease or contract but on a 1.5m contract... Do the math.

I rent 6 months in advance with no deposit. I do get one of the standard rental agreements usually weeks or even months after I have paid but I'm in no hurry as I know fully that it is worthless. Should anything fail in the house then I just fix it myself and don't even bother giving the owner the bill for the parts. I like to be in a position where I can just walk away if needs be and having a 5 year contract would spoil that

[Kaoboi Bebobp]

I just scanned the last few posts, but . . . What about all the imponderables when committing for 5 years: political instability such that dire changes could follow, the unpredictability of conditions when He Who Cannot Be Named passes on, bad neighbours, good landlord turned bad, necessity of moving after a bad relationship, necessity of moving after meeting a wonderful partner, decision to leave because of a great job offer, natural disasters, etc etc. No one in his right mind should commit to a 5-year lease. OP, you need to reboot your brain.

[Henderson]

I just scanned the last few posts, but . . . What about all the imponderables when committing for 5 years: political instability such that dire changes could follow, the unpredictability of conditions when He Who Cannot Be Named passes on, bad neighbours, good landlord turned bad, necessity of moving after a bad relationship, necessity of moving after meeting a wonderful partner, decision to leave because of a great job offer, natural disasters, etc etc. No one in his right mind should commit to a 5-year lease. OP, you need to reboot your brain.

Already rebooted thx.

[justinnsamui]

I don't think it's a very good idea at all.

[islandguy]

I lived for 4 years in a place owned by a lovely local family. I only paid 3 months in advance despite being able to get a larger discount for longer prepayment because I wanted to be able to move if local conditions or my own situation changed. 2 years ago I had a chance to rent a nicer house. I had two months left on my 3 months and paid double rent. So I didn't save the most possible money but I kept my options open. If I had gotten the larger discount, I may not have moved to the better house because of the longer time committed to the first house. Or a karaoke bar might have moved next door..........

[mrfaroukh]

A long term rental contract here is usually 6 months or one year. The price then will be little bit lower. I stay in a project a room 46 sqm rent for 23000 a month with all the amenities. Same room went for 15000 a month for a one year contract and he has to pay every month and not the whole thing in advance. May be you can have a one year contract (fully guarded against sell of the property, renovation etc) for 15000 a month and then tell the owner if he reduce to 12000 a month I pay everything in advance. Do not pay for more than a year. You never know what is going to happen in 5 years. Will still be alive, would you still like to live in the same city or area and many other issues.

[khunPer]

Just a note to those posters saying that 30,000 baht a month is way too much; it’s all about location, and at places like Phangan and Samui the rent for many houses may seem fairly high, compared to other areas, but 30,000 is far from the higher end at those islands, where a well-located 2-bed house can cost you in the level around 100,000 baht per month. OP did not inform any details about the house, 30,000 baht might even be cheap...

[Langeman]

Would be a very foolish thing to do. What recourse would you have if the owner decides to sell and you are evicted. That money will not be "held" in trust.........

If you whant rent in Thailand, maximum kontrakt is 3 year.

Check owner biu book end id card so this is same name.

Dont pay deposit for more then 2 month.

[shirtless]

Pay nothing in advance in Thailand , you will only lose in 5 years Thailand could be a country that tourism has forgotten

[Tchooptip]

If there's not some kind of discount involved in paying in advanced like this, I see no reason to do so. Just make sure you negotiate with them that they won't increase your rent for the duration of your occupancy. Make it in the contract terms.

But I'm sure you should be able to negotiate it down from 30000 to at least 25000 or even 20000 if you pay 5 years in advanced.

Start asking them about discount if you pay 1 year in advanced, then tell how much if you pay 2 years, etc.

Most landlords are willing to give at least 10% if you pay 1 year in advanced. Try negotiate to 300 000 for 1 year in advanced.

I personally pay every year, I pay only 10 months instead of 12.

[Basil B]

If there's not some kind of discount involved in paying in advanced like this, I see no reason to do so. Just make sure you negotiate with them that they won't increase your rent for the duration of your occupancy. Make it in the contract terms.

But I'm sure you should be able to negotiate it down from 30000 to at least 25000 or even 20000 if you pay 5 years in advanced.

Start asking them about discount if you pay 1 year in advanced, then tell how much if you pay 2 years, etc.

Most landlords are willing to give at least 10% if you pay 1 year in advanced. Try negotiate to 300 000 for 1 year in advanced.

I personally pay every year, I pay only 10 months instead of 12.

Sounds like a good deal, could try negotiating a 5 year contract, pay annually, price held for five years, or even decrease over five years.

But there again if Thailand hits Hyper inflation any deal would probable be broken, better to go with the one year contract and insist your landlord confirm price for next year well in advance so you can plan in advance if you will be staying or looking for somewhere else.

[Laisze]

Even paying 25k/month for just a year in advance, that would be a 300k lump sum. And that is a lot of cash and temptation for some locals - over the years people have "disappeared" in KPG for a lot less.

KPG may be a backpacker's paradise, but it's a different reality when you get to live there permanently.

Edited June 11, 2015 by Laisze

[Expat Brad]

Don't do it.......simple as that

I know of someone that did similar & then one sunny day the police came & just happened to find drugs on the property. If that happens your lease is void & you lose the lot.......

[Razzler1973]

I think the OP has come to his sense but for sure, what's the benefit to you for renting for 5 years up front? Slightly reduced rent ... erm, that's it

All the negatives, take away the scary stuff about going missing but just on a personal level, you fancy a change, meet someone, ANYTHING that happens and you done your money down to repairs and things not getting done as the landlord got 5 years off you and isn't jumping through hoops for good service

Add to the fact are you sure it's even worth 30K a month? I imagine a 30K a month house is pretty decent on the island, could be a 15K a month house he's telling you is 30K and then you 'bargain' down to 20K a month and he's still laughing

Just SO many risks!

[KonaRain]

I'm thinking of moving to an Island over there.

How does a farang get a car?

How to establish credit it LOS..?

Thanks for advice.

Aloha

[Brit_Doggie]

pay in advance c'mon you can buy surely.

[billphillips]

I'm thinking of moving to an Island over there.

How does a farang get a car?

How to establish credit it LOS..?

Thanks for advice.

Aloha

How to get a car ... You can rent or you can buy.

Establish credit ..... by giving a bank a security deposit of ฿200,000, in return the bank will issue you with a credit card, limit = ฿100,000.

That's the way it works here, with few exceptions.

[sketcher]

I'm thinking of moving to an Island over there.

How does a farang get a car?

How to establish credit it LOS..?

Thanks for advice.

Aloha

How to get a car ... You can rent or you can buy.

Establish credit ..... by giving a bank a security deposit of ฿200,000, in return the bank will issue you with a credit card, limit = ฿100,000.

That's the way it works here, with few exceptions.

Actually many exceptions, I have bought a car on credit and also have a credit card, never had to give a bank a security deposit.

[billphillips]

I'm thinking of moving to an Island over there.

How does a farang get a car?

How to establish credit it LOS..?

Thanks for advice.

Aloha

How to get a car ... You can rent or you can buy.

Establish credit ..... by giving a bank a security deposit of ฿200,000, in return the bank will issue you with a credit card, limit = ฿100,000.

That's the way it works here, with few exceptions.

Actually many exceptions, I have bought a car on credit and also have a credit card, never had to give a bank a security deposit.

As I said before ... With few exceptions. Thanks for unwittingly confirming my point.

[sketcher]

I'm thinking of moving to an Island over there.

How does a farang get a car?

How to establish credit it LOS..?

Thanks for advice.

Aloha

How to get a car ... You can rent or you can buy.

Establish credit ..... by giving a bank a security deposit of ฿200,000, in return the bank will issue you with a credit card, limit = ฿100,000.

That's the way it works here, with few exceptions.

Actually many exceptions, I have bought a car on credit and also have a credit card, never had to give a bank a security deposit.

As I said before ... With few exceptions. Thanks for unwittingly confirming my point.

If you had said with A few exceptions I would agree. There are MANY exceptions, not few.

[notmyself]

I'm thinking of moving to an Island over there.

How does a farang get a car?

How to establish credit it LOS..?

Thanks for advice.

Aloha

How to get a car ... You can rent or you can buy.

Establish credit ..... by giving a bank a security deposit of ฿200,000, in return the bank will issue you with a credit card, limit = ฿100,000.

That's the way it works here, with few exceptions.

Actually many exceptions, I have bought a car on credit and also have a credit card, never had to give a bank a security deposit.

Good credit rating? Many institutions that offer credit do share information to some degree, internationally.

[KonaRain]

thanks..

google is the intell. arm of the nsa..

talk about sharing info..

alohz