Want to purchase property in Thailand? Foreigners can purchase property in Thailand but is not allowed to own the freehold land in his or her name. However, the building structure can be legally registered to the foreigner’s name. The freehold land title should be registered at the land office under a Thai person’s name or company name.
Purchase Property in Thailand
There are different Land Title Options which are available in the Thai Real Estate Market. You may have heard people say Chanote or Chanod, which basically is the legal title deed to a freehold land. If the rubber stamp on top of the document is any other color, then that document is not a Chanote title deed.
Land purchase through a limited company is considered as legit if a company is incorporated with a foreigner as Director, and a minimum of two Thai nationals as shareholders with all transactions for the purchase backed up by a qualified accountant. Usually, issues arise when using Thai shareholders names without their knowledge that their names are used for property purpose. You may also choose to have two good Thai friends or partners become shareholders in forming your Thai limited company.
Purchasing land through BOI (Board of Investment)
Another method of land ownership for foreigners in Thailand is the Board of Investment, which allows foreign investors to purchase and own freehold land up to 1 rai or 1,600 sqm. The foreigner is required to invest 40 million Thai Baht, with conditions that the land should only be used for residential purpose or any that could be claimed beneficiary to the country. This type of investment should be stated in the assets or government bonds which benefits the Thai economy, and is only limited to the lifetime of the foreigner owner and cannot be transferable by inheritance.
Purchasing land by marrying a Thai national
Also, a foreigner can buy land in Thailand if he or she is married to a Thai citizen, with some limitations such as: the non-Thai spouse should waive the right to claim the property or land; the land cannot be directly registered to the name of the foreigner, but in the name of the Thai spouse; the couple may be asked to sign a declaration from the Land Department stating that the funds used to purchase the land is separate property of the Thai spouse; proving that the land is marital property can be very difficult, hence the assistance of a reliable lawyer can be very helpful to minimise the risks.