Building a house-Advice needed

[hocuspocus]

I have been married to my Thai wife for one year and have known her for over three years. She wants us to build a house in her village with money she has saved and me putting in equal amounts. The plan is to build the house in stages as and when enough money is saved for the next stage. I am alright with this as the money will come out of my income and not my savings. At the moment I have no plans to live in the house myself so it is more of an investment for her future for when I am dead and gone. Of course she wants to build it quicker which would mean me putting more money in,out of my savings. I do not have objections to this with limitations but I have four children in the UK and I have to think about their inheritance and technically using savings would reduce their inheritance. I want to provide roughly equal amounts to my four children and my wife. So I guess what I am asking is what would be the best way to protect them all. At the moment the land is in her father's name, so would we need to transfer the land into my wife's name and get a lease on the land in my name?, so technically the house would be in my name and in the event of my demise, the house would be inherited by my wife (which would be roughly 20% of my estate). This would be covered by a Thai will and the remainder of my estate (80%) would be left to my four children under a separate UK will.

Is there anything wrong with this plan? With the original plan to build in stages I would not want any claim on the house in the event that the relationship ended but hopefully that would not happen and eventually I may even want to live in the house in her village. But obviously if I put savings into the house I would want something in my name. Thanks in advance.

[Thongkorn]

If i was you i would do some resurrect on this site Some scary story's about. Take care of your Four children , if you cannot afford to look after them and build a house , don't do it, look after your four children . also you would never own the land or house ,

Edited January 5, 2016 by Thongkorn

[CharlieH]

Moving to Real Estate

[JOC]

Why on earth spend (waste) money on a house, that you probably never are going to live??

Rent a house in a place, where you want to live and give your darling pocketmoney. If she wants to build a house in Isaan, tell her to get a job!!

What you are describing in your OP, is a recipe for disaster.

You will get endless requests for money for "the house", and everyone in the village will get their share of what they are overcharging you, probably even your little darling!!

So forget it. The "Isaan house" is a face saving exercise for many Thai ladies, borderlining a scam........................

[petermik]

I have just had a house built in southern Thailand for my girlfriend and myself 2 beds/2 baths 120 sq.metres cost me 1.3 million baht and the advice I give to you is simple.....do NOT spend more money that you cannot afford to walk away from if necessary...........the law in Thailand especially regarding land/house purchase is heavily in favour of the Thai person......take care and good luck

[NeverSure]

OP. if you want to leave something for your wife why don't you just do it in your will? Leave all of your money in the UK and make your will there. You have no protection via the rule of law in Thailand, and you can't own the land there either. The moment you build that house you have lost control of it. There are no tricky ways to assure your control including leasing the land. If some of her "brothers" want you out of the picture they'll assure it.

If you put her into your will you can always change that if she goes sideways on you. Not so if you build a house. If she doesn't want you after you decline to build a house you'll learn something important, won't you?

Cheers.

[hocuspocus]

OP. if you want to leave something for your wife why don't you just do it in your will? Leave all of your money in the UK and make your will there. You have no protection via the rule of law in Thailand, and you can't own the land there either. The moment you build that house you have lost control of it. There are no tricky ways to assure your control including leasing the land. If some of her "brothers" want you out of the picture they'll assure it.

If you put her into your will you can always change that if she goes sideways on you. Not so if you build a house. If she doesn't want you after you decline to build a house you'll learn something important, won't you?

Cheers.

The whole purpose of planning to build the house in stages is to protect my savings in the UK and use income to build the house. That way it is a way of saving.Yes it could always go wrong once the house is finished but I believe I could walk away from the house if it did go wrong at any stage of the construction. But sometimes you have to think positive and it could turn out to be a good plan. Maybe I want to build the house a bit quicker, which would involve us both putting extra money in from both our incomes and then I would have to decide at what point I would want the house to part of my estate for inheritance purposes. My four children in the UK are all grown up and are probably expecting a lump sum when I die but I have to also consider my Thai wife who makes me very happy. I have told my wife that if the house is to be built quicker then there would have to something in my name regarding a lease on the property. I know there are many horror stories with regards to buying a house for Thai partners but I am not talking about paying out 2 million baht outright to build a house and then run the risk that I could be kicked out of it as soon as it is finnished.

[sappersrest]

If this is what you want to do go for it, take a little legal advice here and there on the way, its you hard earned money to do what you please.

If it all goes well you will be happy and elated for the rest of your life, and if it goes sour well thats life.

Go with your heart you are only here once.

Good luck to and your endevour.

[ozyjon]

Make sure there are enough rooms for the family,,,

they will eventually move in.

Make sure you install a hot water unit,,,

Thais don't like washing themselves in cold water.

Make sure you buy a very big fridge,,,

Thais like to eat free food,,,

But this is my house

do you really think that ?

Keep a packed bag, you might have to exit in a hurry.

[akentryan]

And consider what happens if your wife dies first?

[chilli42]

Don't do it! If you are really looking for an investment then buy a confo in Bangkok that you own. Then rent it. This will go badly for you, it always does.

[Paul944]

Building a house in stages is a bad idea, if you want a nice construction. I have no idea how many years you still think to live but I suggest to tell your wife to be patient and start building after your death. She probably wants to support her family but does not want to use her own money. Paying for a house in a village you do not want to live is just giving extra spending money to your wife. A nice way to start an argument is to ask her to help supporting your childeren with some money.

[KunMatt]

We built a nice house in my wife's village in Ubon. We lived there for 2 years then moved to Bangkok and now the UK so the house is sat empty. At the time it seemed like a good idea cuz we were pregnant so it would always be there for them in the future but at the moment the place is virtually abandoned and is just a hassle for her dad to look after and maintain for nothing. We also pay a cleaner to go round once a week cuz being out in the countryside it's dusty and gets full of insects quickly.

Overall it was a massive waste of money. My kids will never live in Isaan. Maybe in 30 years I will retire to there but by then the place will probably be ruined with age. Also, we can never sell it because Thais don't buy 2nd hand houses and we'll probably never find any expat who wants to live out there.

Like someone else said, young Thais primarily want houses, cars and gold just for face. My wife's sister lives in Bangkok and cannot drive but her and her husband are trying to get a bank loan so she can buy a new car to leave in Isaan just to show everyone how well they are doing. Bonkers.

Save your money to look after your real family, or give it all away forever to your new wife. You buy her a new house you will give her the means to leave you and live by herself in her house, this will get brought up and threatened at every argument you have.

[mihalis]

if your having doubts, then why do so.... Taking advice from this forum, where im guessing 80% are burnt farang, is ridiculous.. go see a lawyer for advice.. I

[KunMatt]

if your having doubts, then why do so.... Taking advice from this forum, where im guessing 80% are burnt farang, is ridiculous.. go see a lawyer for advice.. I

If 80% of people have been burned on this escapade then surely that is a good indication for the OP of what to do.

[Ulic]

I say save, save, save, in a separate bank account that you and your wife put into. Then build

all at once. (You will get a better build) It may not be rentable so not really an investment.

Just a place for your wife's family and her when you kick off. The truth is you have concerns

and so does she. She needs some assurance. With the separate savings account she

has some assurances, and if the money goes missing you have your answers as well.

[PattayaPhom]

Father can gift land, tax is 0.5% so minimal costs. Village house should cost no more than 400K, that's about 7.5K Sterling, unless of course wifey wants something special other than a two bed standard house with kitchen living and bathroom.

[georgemandm]

If i was you i would do some resurrect on this site Some scary story's about. Take care of your Four children , if you cannot afford to look after them and build a house , don't do it, look after your four children . also you would never own the land or house ,

Yes yes yes good advice

[MaeJoMTB]

If you're gonna build a house,

Build it somewhere you would like to live, somewhere it has resale value, on land that has a chanote.

Building on family land in a rural Thai village is always a total loss.

Then,

When you're dead she can sell it and do what she likes with the money.

[SOUTHERNSTAR]

Most peoples comments show that they didn't read the post. OP yes the land must be transferred from your father in law to your wife, in this process make certain it is not used as security. You then have a choice you can either build the house and rent it from your wife for 30 years (no more 30 year leases with a renewal clause are allowed). The other choice is for you to own the house and she owns the land, this can be done at the land office. But I would as a starting point first speak to the land office about the leasing and split ownership options, there have been reports that expats had problems in the rural areas. If need be employ a lawyer. There is nothing wrong to say no in a relationship, so if the ownership can't be cleared just say no. If you want to phase the building you can do it but it needs proper planning from the start.

[cabanlit]

Could you not get a mortgage to facilitate an immediate build, but repay over the term longer you're looking for? You know, the way 'normal people' do it in the west. Having a loan in her name would give some responsibility to her, too........and maybe she won't like that! Wonder why?

[trogers]

Render unto Ceasear what is Ceasear's, and unto God what is God's!

[JOC]

OP. if you want to leave something for your wife why don't you just do it in your will? Leave all of your money in the UK and make your will there. You have no protection via the rule of law in Thailand, and you can't own the land there either. The moment you build that house you have lost control of it. There are no tricky ways to assure your control including leasing the land. If some of her "brothers" want you out of the picture they'll assure it.

If you put her into your will you can always change that if she goes sideways on you. Not so if you build a house. If she doesn't want you after you decline to build a house you'll learn something important, won't you?

Cheers.

The whole purpose of planning to build the house in stages is to protect my savings in the UK and use income to build the house. That way it is a way of saving.Yes it could always go wrong once the house is finished but I believe I could walk away from the house if it did go wrong at any stage of the construction. But sometimes you have to think positive and it could turn out to be a good plan. Maybe I want to build the house a bit quicker, which would involve us both putting extra money in from both our incomes and then I would have to decide at what point I would want the house to part of my estate for inheritance purposes. My four children in the UK are all grown up and are probably expecting a lump sum when I die but I have to also consider my Thai wife who makes me very happy. I have told my wife that if the house is to be built quicker then there would have to something in my name regarding a lease on the property. I know there are many horror stories with regards to buying a house for Thai partners but I am not talking about paying out 2 million baht outright to build a house and then run the risk that I could be kicked out of it as soon as it is finnished.

Why ask for advice, when you clearly have made up your mind??

Forget all the inheritance nonsense. Live the life now !!

Build a house, where you want to live. Get a 30 year lease in your name on the tittle deed, and take it from there.

Or

By into a project and get a 30 year mortgage in the bank, so if things go sour after a couple of years, your loss will be limited !!

But it seem like your wife of one year has done a good job, in convincing you fulfilling her dream. The Isaan Castle !!

You know in Thailand, you can only trust family, so make sure, that you make her "brother" head of construction !!

What can possibly go wrong......................................

[Mr Moo]

Leave the money in a brown paper bag by the tree in the square, the contact (family & villagers) will pick it up then you will be free to leave unharmed.

[NickJ]

You should have just asked. Should I use my money to build a house for my Thai inlaws........No Way x 1000

[steven100]

Sounds like you are being quite greedy .....

imagine this ....

honey .. lets build a house as I take care of you and you cannot get anyone as young and nice and would even touch you back home.

you ... yeah ...thats fine as long as it's in my name somewhere ...

damn .... what do you guys expect ???????????????

some younger thai girl 10-20 yrs younger take care of you and not get any future security out of it .... in that you want to protect yourself and own the land .....

[happy Joe]

Being in a similar situation I will not give advice but I indicate you the solution that seemed me the least bad for this project.

Currently I am building a house of village on parents land who should normally belong one day to my wife.

We have established a 30-year lease in my name. + additional 30 years unless terminated by me only. Monthly rent 1000 baht.

The House also in my name is built by the craftsmen of the village led by the father in law. The price is incredibly low: 700 000 b for a construction copied on this model.

Work funded by steps of 150,000.

I know that this arrangement is not perfect but the risk seems small compared of legitimate security provided to my sweet wife who will could live happily among her own people after me.

[1FinickyOne]

Trying all these lease back and whatever options are usually pretty silly - consider it a gift to your wife and an early inheritance - one she can enjoy while you are still alive and maybe you will enjoy it too someday, but building in a village, on her family land or not - it will end up being a gift most likely...

I did the same thing - but I always looked at it as a gift - I have been here 12 years now but I do not consider it mine in terms of investment or ever getting anything back from it - no more so than my aunt wants back the socks she gave me in 1975…

[steven100]

Trying all these lease back and whatever options are usually pretty silly - consider it a gift to your wife and an early inheritance - one she can enjoy while you are still alive and maybe you will enjoy it too someday, but building in a village, on her family land or not - it will end up being a gift most likely...

I did the same thing - but I always looked at it as a gift - I have been here 12 years now but I do not consider it mine in terms of investment or ever getting anything back from it - no more so than my aunt wants back the socks she gave me in 1975…

agree, to me it shows greed and insecurity within the relationship.

more like a business proposition .... in that I always own the building.

[bazza40]

Only put into the house what you can afford to lose, or can walk away from without regret.

Stuff such as chanotes, 30 year leases, mortgages etc. are all BS IMHO. Any Thai lawyer can twist them to suit.

I gave my Thai GF 600,000 baht to build her dream house on land her mother had left her. No strings. Either we trust one another, or we don't.

I look at it this way. If a split was to occur here, it would be a damn sight less expensive than any Western breakup.