Buying a Condo in Thailand

[turk56]

Has anyone in this forum purchased a condo in Thailand? I keep thinking about the “Take The Money And Run” scam that is characterized with real estate in Thailand. What are the Red Flags when it comes to these types of scams?

[Delight]

The first stage in the purchase of a new build condo is a contract between buyer and seller.

I am aware of one scam where contracts were issued by a gang of con artists . The con was that they were selling units in a condo project that existed-however it was not their project. The front that they presented suggested that it was.

They' sold' many units

This type of scam is very rare.

This should never apply to a pre-owned condo.

Your problems with a condo usually start when you move it. The management can be excellent or lousy.

[KittenKong]

Has anyone in this forum purchased a condo in Thailand? I keep thinking about the “Take The Money And Run” scam that is characterized with real estate in Thailand. What are the Red Flags when it comes to these types of scams?

Are you thinking of a second-hand condo or a new one? If new, an off-plan one or one that is already built? There's quite a big difference between the three types, and different scams apply to each.

The obvious problem with off-plan units is that they may not get built, or may end up very different to what you thought you were buying. So your advance payments may be at risk and you may end up with a pig in a poke. There are many examples of this.

Existing new buildings may not be properly managed, and may have many faults that the developer has not put right. But at least you dont have to pay anything in advance and you know that the building exists.

With a pre-owned unit you can see exactly what you are getting. Check the building finances (though these may not accurately reflect the truth). Check the management (if possible). Pay nothing until you are at the Land Office and the chanote is transferred to your name. Employ someone totally unknown to the vendor or the building management or the building to go over anything written in Thai.

With all types of purchase in Thailand it pays to assume that everyone involved is lying to you, as in many cases they will be. Many people here (of all skin colours, and especially the ones involved with selling things) will only care about their own profit and unlike Western countries there is little legal protection here. Nor can you rely on any sense of moral decency on the part of others as they often have none.

Edited June 21, 2016 by KittenKong

[mike324]

Always buy direct from the developer or developer appointed agents, try not to go through individual (single person) agents. Large developer usually sell through appointed agents such as CBRE, Century 21, etc. Many large scale developments only have one sole agent.

To get the cheapest price, buy during pre-sale from reputable developers (eg. Sansiri, AP, Lumphini), this is usually where you get the lowest price.

For peace of mind, buy right before the condo is about to complete, there are always units available just at a higher price from pre-sale price. But many times you can find resale units close to presale price as well.

Developers like to advertise "sold out" but usually it means the allotted floor for sale is sold out. Developers like to sell limited floors each time. Once the X number of floors is sold, they will advertise as "sold out" to generate more interest and demand. But be patient, if you find that it is sold out, very likely the agent will call you back in a week saying someone "changed" floor or that they are giving up their deposit.

Hundreds of foreign buyers purchase condos...it is pretty safe if you stick with establish developers and agents.

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