Buying house owned by company

[williamgeorgeallen]

Xylophone

Thanks for your detailed response

Just one further small question

What would you think would be the economic impact on Thailand if the practice of nominee companies were actually stopped. That is companies current and future?

Others are of course free to comment

"What would you think would be the economic impact on Thailand if the practice of nominee companies were actually stopped. That is companies current and future"?

Okay, this is the last answer......................IMO The economic impact would be between almost zilch to zero!!

Why, well the people who want to own their land and house through a nominee company don't actually own it anyway even if they go down this route, they just have shares in a company which owns it and they can do nothing about it. Sure they may fix up some shenanigans about voting rights etc, but at the end of the day they don't own anything except a shell/illegal company.

Once this avenue is completely cracked down on, then farangs who want to "own" land/property will have to go down the lease/usufruct route (or buy a condo) which is what they should have been doing all of the time. Farangs simply won't stop wanting to live in houses long-term just because a particular illegal practice has been stopped, so they will continue down the only legal avenue. Anyway it is important to remember that even through the nominee company route, they actually don't own the land and this is particularly set out clearly in Thai law, so why do it?

As for those farangs who have this set up at present, well you can see from my previous post what has been suggested and it will not be pretty for the farangs although Thailand will definitely benefit!!

Economic impact will be just about nothing apart from just a few thousand baht per illegal transaction going to the bent lawyer and bent land officer and of course a few thousand baht per annum in supposed "company tax".

I am talking about those nominee companies set up specifically to buy property.

That's it and I leave it up to you to do as much more research as you wish.

here is my guess as to what would happen if the company ownership thing was made illegal. there would be a mad rush of people either trying to sell their properties or a mad rush of guys transferring their houses into their thai girlfriends or wives names names. both situations would probably mean alot more properties on the market. more supply means prices will probably go down. how much of an effect on house prices would probably depend on how many houses are held in company ownership. i wonder if there are any reliable stats on this.