Buying House In Foreigner Controlled Company Ok?

[Lost in LOS]

I am buying a house in a large development. I was already in too far when all these rulings came out. my developer just sent me this email since he knew i was worried about it. I thought i might have to do a 30 year lease with the option to transfer anytime i wanted. does anyone know about this?

Email from developer :

"We've had some news, that you may have already heard: It seems that the

rumour that finally foreigner-controlled companies will be able to own one

property with up to 1 Rai of land, has been put to paper. I'm waiting for a

proper translation, but our lawyers have already seen it and confirm it.

I know you were not too worried about this, as in Thailand there is always a

way, but it will make life easier anyway."

thanks

Jimmy

[Mobi]

I am buying a house in a large development. I was already in too far when all these rulings came out. my developer just sent me this email since he knew i was worried about it. I thought i might have to do a 30 year lease with the option to transfer anytime i wanted. does anyone know about this?

Email from developer :

"We've had some news, that you may have already heard: It seems that the

rumour that finally foreigner-controlled companies will be able to own one

property with up to 1 Rai of land, has been put to paper. I'm waiting for a

proper translation, but our lawyers have already seen it and confirm it.

I know you were not too worried about this, as in Thailand there is always a

way, but it will make life easier anyway."

thanks

Jimmy

I may be wrong, but this seems so unlikely as to be laughable.

I think this guy is having you on.

First of all, foreign controlled companies are illegal, so if they were to change the law, it would be individuals, not companies that would be given the right to own land; in a similar way that they can now own condos, under certain conditions.

I just cannot believe that in the current political climate that any government official iwould be concerned about foreigners owning land - political suicide at present, IMHO.

But I may be wrong

Edited September 14, 2006 by Mobi D'Ark

[Jimbo551]

I may be wrong, but this seems so unlikely as to be laughable.

I think this guy is having you on.

First of all, foreign controlled companies are illegal, so if they were to change the law, it would be individuals, not companies that would be given the right to own land; in a similar way that they can now own condos, under certain conditions.

I just cannot believe that in the current political climate that any government official iwould be concerned about foreigners owning land - political suicide at present, IMHO.

But I may be wrong

I do not see how a caretaker government such as we have at the moment could even consider such a major change in philosophy never mind change the law. All sounds strange to me.

[Lost in LOS]

The developer is a pretty honest guy with nothing to gain by telling me this, i am already in the deal no matter what happens, good or bad ................ maybe he misunderstood but just maybe thailand woke up just a little bit.....lets hope so

Jimmy

[steveromagnino]

The developer is a pretty honest guy with nothing to gain by telling me this, i am already in the deal no matter what happens, good or bad ................ maybe he misunderstood but just maybe thailand woke up just a little bit.....lets hope so

Jimmy

Is the developer Thai or foreign?

I personally doubt it is true, but hey, I know nothing, just like Manuel.

[Jimbo551]

If and when you get the translation I am sure we would all like to see it and in particular know which arm of government is suggesting this.

[splitlid]

If and when you get the translation I am sure we would all like to see it and in particular know which arm of government is suggesting this.

i know for sure that deals like this are going on with no questions asked

[Tornado]

Absolutely not true. He is having you on for some reason.

[splitlid]

Absolutely not true. He is having you on for some reason.

ummmmm where i live the LD are doing this for joe average farang wanting to buy a house.however i know of a farang who has managed to register alot of land at the LD also, things are returning to normal it appears.

maybe different where you are, for a few months to come.

[Jimbo551]

If and when you get the translation I am sure we would all like to see it and in particular know which arm of government is suggesting this.

i know for sure that deals like this are going on with no questions asked

splitlid - can you be clearer in what you say is going on please.

Do you mean that you have seen registrations into foreign owned and controlled companies or are you saying that your local Land Office is registering land up to one rai in foreigners names as the OP originally suggested?

[Tornado]

Absolutely not true. He is having you on for some reason.

ummmmm where i live the LD are doing this for joe average farang wanting to buy a house.however i know of a farang who has managed to register alot of land at the LD also, things are returning to normal it appears.

maybe different where you are, for a few months to come.

Im currently sitting with a laywer (I have 5 working in my office) reading this thread and he says there is no such law in place in Phuket. I am hoping that we are wrong.

A few lawyers in Thailand are registering companies for foreigners with 100% Thai ownership and then when the land has been transferred to the company, they change the company structure back to 49%/51% with the foreigner owning 49% of the company. I would suggest that this isnt the way to go ahead as Im sure it will eventually be investigated.

There is a pertition to the government for a 1 off 90 year lease, that they are currently in talks on when/if to implement it.

[Dragonman]

Absolutely not true. He is having you on for some reason.

ummmmm where i live the LD are doing this for joe average farang wanting to buy a house.however i know of a farang who has managed to register alot of land at the LD also, things are returning to normal it appears.

maybe different where you are, for a few months to come.

Im currently sitting with a laywer (I have 5 working in my office) reading this thread and he says there is no such law in place in Phuket. I am hoping that we are wrong.

A few lawyers in Thailand are registering companies for foreigners with 100% Thai ownership and then when the land has been transferred to the company, they change the company structure back to 49%/51% with the foreigner owning 49% of the company. I would suggest that this isnt the way to go ahead as Im sure it will eventually be investigated.

There is a pertition to the government for a 1 off 90 year lease, that they are currently in talks on when/if to implement it.

The 99 year lease suggestion has been forwarded by the Ministry for some time. There is little, if any, support from the Senate.

OP, there is no problem for foreigners to own 1 rai! You just have to invest 40 million baht in a recognised Company.

[Khun Jean]

The developer is a pretty honest guy with nothing to gain by telling me this, i am already in the deal no matter what happens, good or bad ................ maybe he misunderstood but just maybe thailand woke up just a little bit.....lets hope so

Jimmy

Please, now you are playing the ignorant, naive, easy to be taken customer.

And in denial mode too.

The guy is not 'pretty honest', he is lying so much his nose should be at least a meter long.

He not misunderstood, he understands perfectly in what mess he is, and now is in survival mode.

Demand something will be done about this.

Are you 100% in, or just for a downpayment?

Or are you mentally 100% in?

Buying with your heart instead of the brain can be costly.

It should be a balance between wise and nice.

[splitlid]

If and when you get the translation I am sure we would all like to see it and in particular know which arm of government is suggesting this.

i know for sure that deals like this are going on with no questions asked

splitlid - can you be clearer in what you say is going on please.

Do you mean that you have seen registrations into foreign owned and controlled companies or are you saying that your local Land Office is registering land up to one rai in foreigners names as the OP originally suggested?

have just re read the origional post and it says for foreign owned company.which is what im talking about,

foreign owned companies are doing land transferes here now.both buyer and seller. for sure

no checking no problem. however it is for plots under a rai and is obviious the buyers are not big time developers. maybe a different story if tornado went in to buy 20rai

[Lost in LOS]

The developer is a pretty honest guy with nothing to gain by telling me this, i am already in the deal no matter what happens, good or bad ................ maybe he misunderstood but just maybe thailand woke up just a little bit.....lets hope so

Jimmy

Please, now you are playing the ignorant, naive, easy to be taken customer.

And in denial mode too.

The guy is not 'pretty honest', he is lying so much his nose should be at least a meter long.

He not misunderstood, he understands perfectly in what mess he is, and now is in survival mode.

Demand something will be done about this.

Are you 100% in, or just for a downpayment?

Or are you mentally 100% in?

Buying with your heart instead of the brain can be costly.

It should be a balance between wise and nice.

I was a contractor / developer in America and did well at it so I'm playing with my head not my heart. I believe I will make money if and when i sell and at the very least live free. The developer has nothing to gain, I am not trying to get out of the deal but I will always look for a better way to buy if it comes up, I don’t need to make that decision till march. I believe the developer is telling the truth as he knows it and no I am not naive, whether it happens is another story, but I am sure he believes it. I hope it does happen but if not I am doing a 30 year lease [way past my lifetime I am sure] and leaving an option open to transfer it in any manner I would like during that lease. But thanks for looking out for me. I will certainly update any information I get, good or bad, when it comes.

Jimmy

[JimmyGreaves]

rumour that finally foreigner-controlled companies will be able to own one

property with up to 1 Rai of land, has been put to paper.

Jimmy

Someones having a giraffe!

[Khun Jean]

Poor Jimmy. You might be ok in your own country but you sure know nothing about Thailand.

If the developers tells you BS and you believe it, why ask guidance here, and when you get it, you ignore it.

Also they say in Thailand, up to you.

ps. Please read some more on this website. And check www.samuiforsale.com for some straight talk.

[Tornado]

If and when you get the translation I am sure we would all like to see it and in particular know which arm of government is suggesting this.

i know for sure that deals like this are going on with no questions asked

splitlid - can you be clearer in what you say is going on please.

Do you mean that you have seen registrations into foreign owned and controlled companies or are you saying that your local Land Office is registering land up to one rai in foreigners names as the OP originally suggested?

have just re read the origional post and it says for foreign owned company.which is what im talking about,

foreign owned companies are doing land transferes here now.both buyer and seller. for sure

no checking no problem. however it is for plots under a rai and is obviious the buyers are not big time developers. maybe a different story if tornado went in to buy 20rai

20? not this year mate.

This clamp down has affected the market greatly.

[Lost in LOS]

Poor Jimmy. You might be ok in your own country but you sure know nothing about Thailand.

If the developers tells you BS and you believe it, why ask guidance here, and when you get it, you ignore it.

Also they say in Thailand, up to you.

ps. Please read some more on this website. And check www.samuiforsale.com for some straight talk.

Hi Khun,

if you read my post, I never asked for advice, just if anyone heard about this information. Been coming to thailand since 68 but i grant you, i know nothing about thailand. Instead of the jibes, why dont we just wait and see what happens. I am happy in my ignorance, of course I get to enjoy it being retired in LOS.

Jimmy

[onlooker]

I am happy in my ignorance, of course I get to enjoy it being retired in LOS.

Jimmy - I think what the other posters are trying to tell you is that you'll be far happier and have far less chance of losing your house if you aren't ignorant.

There's nothing in it for the posters here - they have nothing to gain or lose from giving you their advice / thoughts. on your situation . . . on the other hand the developer has everything to gain from giving you his positive spin on things.

[HenryB]

Please put the house in my wife's name or her brother's name I trust both of them I put 8 in their names already.

I am glad I can help you

[Charma]

My guess is that they are referring to a local "application" of existing law (and recent "clampdowns") and are once again allowing company purchase of land, but maybe only for smaller plots. As other have pointed out, getting the land registered does not really make it safe for the future. There could be an investigation to see if the company is legitimate and that the Thai investors are not stooges. There could be another clampdown or a change of personnel at the land office. By this time the developer will be long gone wioth your cash.

I guess if you are happy with a 30 year lease, that would be the most certain option for you. Would be worthwhile updating here any further info you get from the developer though.

[Khun Jean]

Poor Jimmy. You might be ok in your own country but you sure know nothing about Thailand.

If the developers tells you BS and you believe it, why ask guidance here, and when you get it, you ignore it.

Also they say in Thailand, up to you.

ps. Please read some more on this website. And check www.samuiforsale.com for some straight talk.

Hi Khun,

if you read my post, I never asked for advice, just if anyone heard about this information. Been coming to thailand since 68 but i grant you, i know nothing about thailand. Instead of the jibes, why dont we just wait and see what happens. I am happy in my ignorance, of course I get to enjoy it being retired in LOS.

Jimmy

Thailand is getting more xenophobic by the minute, i wouln't count on it that you will be able to legally own your land and house. Rent/lease is the only sure way.

What your developer probably meant to say is that with the 'right' people and the 'right' tricks it can be registered again. Problem with that is that it wil still be against the law and you have the risk of being kicked out of your house in the future. Not nice when you plan to retire.

Why wait until you paid everything, decorated your house and live there comfortabley in an ignorant is bliss state.

The knock on the door will bring you back to earth again. Probably you will get a year to sell everything or otherwise it will be property of the crown.

Problem is when that happens, who is going to buy it.

I don't call that an easy retirement, you will worry the rest of your time here. Unless al the money you spend is just peanuts for you.

As i said before, up to you. Just go in with your eyes open and with knowledge of the law, not the law as told by the one who is benifitting from the deal.

It is not for any other reason owners and buyers are getting very nervous and are taking measures to try to protect there property, well actually the property of the 51% shareholders.

[Lost in LOS]

Thailand is getting more xenophobic by the minute, i wouln't count on it that you will be able to legally own your land and house. Rent/lease is the only sure way.

What your developer probably meant to say is that with the 'right' people and the 'right' tricks it can be registered again. Problem with that is that it wil still be against the law and you have the risk of being kicked out of your house in the future. Not nice when you plan to retire.

Why wait until you paid everything, decorated your house and live there comfortabley in an ignorant is bliss state.

The knock on the door will bring you back to earth again. Probably you will get a year to sell everything or otherwise it will be property of the crown.

Problem is when that happens, who is going to buy it.

I don't call that an easy retirement, you will worry the rest of your time here. Unless al the money you spend is just peanuts for you.

As i said before, up to you. Just go in with your eyes open and with knowledge of the law, not the law as told by the one who is benifitting from the deal.

It is not for any other reason owners and buyers are getting very nervous and are taking measures to try to protect there property, well actually the property of the 51% shareholders.

A much nicer post, thanks. I am satisfied with the 30 year lease or I would have bailed from the beginning. I know it is optimistic hoping Thailand will treat the farangs better, but I think Thailand is going to have to realize that sooner or later most farangs, without wives, will be living somewhere else in Asia where they are more welcome. I am single and support the Thai. economy much more than most married farangs as I eat out all meals, am out on the town most nights, do many more activities etc. If Thailand takes my house sometime in the future, what can I do, most likely the worst case scenario is I loose half of its value and move somewhere else. I wouldn’t like it but I could afford it.

The point of this post was asking if anyone heard this might be happening and written on paper. I do think it is referring to business as usual and yes, in the future the knock could come.

jimmy

[Thaibel]

I am buying a house in a large development. I was already in too far when all these rulings came out. my developer just sent me this email since he knew i was worried about it. I thought i might have to do a 30 year lease with the option to transfer anytime i wanted. does anyone know about this?

Email from developer :

"We've had some news, that you may have already heard: It seems that the

rumour that finally foreigner-controlled companies will be able to own one

property with up to 1 Rai of land, has been put to paper. I'm waiting for a

proper translation, but our lawyers have already seen it and confirm it.

I know you were not too worried about this, as in Thailand there is always a

way, but it will make life easier anyway."

thanks

Jimmy

Hey,

What your developer means is that it is still possible to put your home in a Thai company(51%-49%) name for properties under 1 rai but its still difficult, over 1 rai its almost impossible to do now with the new laws and scandals around property.

Tip: Buy the house ,lease the land for 30 years with the developer........and wait till the law maybe changes in a few years, you never know, this is thailand you know........30 years is a long time

Thaibel Asia Co.Ltd

[Khun Jean]

Yeah, you'll be 75 when you get kicked out.

At least you have 30 years to prepair for that certainty.

[Lost in LOS]

Yeah, you'll be 75 when you get kicked out.

At least you have 30 years to prepair for that certainty.

I wish, more like 89 which i am sure ill never see

[HenryB]

Well boys and girls now is time to bad Rel estate in Thailand.

My Thai wife and her brother just told that everytime the Gov't changes the price goes up for houses

So today I shall buy more and put then in her name.

Her brother found 6 more for me to buy

Wow I shall be richer than before.

[1Rai.com]

I am not overly convinced that this is a good or bad time to invest in Thai real estate.

Real estate doesn't sell for two reasons... price or exposure. Thailand has had some bad exposure over the course of the last six months, but it is exposure nonetheless, and I imagine there will be both investors looking to capitalise on the current plight and investors scared away by it.

But you can be guaranteed that, if property is selling now, it will sell faster once political equilibrium is restored, and that may prompt a price rise.

Back to the point though, is buying a house in a foreign-controlled company OK? Well, what sort of company is it? For example my industry, technology, is not on the prohibited list and companies may be wholly foreign-owned. There is also the Board of Investment, who can provide a foreign company which is particularly beneficial to Thailand with special priveleges.

If the company is a 49% foreign-owned business, you must have Thai partners. If this is not an issue and all your paperwork has been OK'd by your partners and yourself, lawyers and the the law, buying a house in a foreign-controlled company is definitely OK. In short, make sure you don't skim over the legal and administrative details and do a proper job - if you are legal, you are safe - so seek out a trustworthy and competent lawyer.

I hope I've helped a little.

[astral]

Well boys and girls now is time to bad Rel estate in Thailand.

My Thai wife and her brother just told that everytime the Gov't changes the price goes up for houses

So today I shall buy more and put then in her name.

Her brother found 6 more for me to buy

Wow I shall be richer than before.