Buying a house in Thailand

[CamelToe]

Yes i know this has been asked frequently and i know about the 2 Thai partner structure and the foreigners 49% share,but i have been looking at the Sea view villas they have for sale in Koh Samui and they are not over the top expensive except for the top shelf Villas and i can envision a lifestyle there and keeping my condo in Pattaya for when i need to speed things up a bit

I have read the odd story of foreigners getting done for exploiting the loopholes for land ownership,but does it happen often?is it a reality to be concerned about,also does the yearly paperwork make it just not really worth doing?

I certainly wont be putting it in my GF's name,so its either form a company or a 30 yr lease with the 30 plus 30 year option which i see on offer ,but research tells me they can only offer a 30yr lease and anymore is up to the landholder at the end of the lease

TIA for any feedback

 

[Luv2Phuket]

I was hoping to see a little more detail here!  555

Clearly I need to do some more research, as I am clueless on the "2 Thai partner structure and the foreigners 49% share," as well as the 30 year lease option.  555

Would love to hear if you moved forward with the Koh Samui purchase and how you structured it.

[Edge]

 

 

Just don't   

[petermik]

6 hours ago, Edge said:

 

 

Just don't   

Unless you can afford to walk away with nothing if the shit hits the fan....👍

[Edge]

3 minutes ago, petermik said:

Unless you can afford to walk away with nothing if. when the shit hits the fan....👍

Sorry I don't like it when people do it, but..........

I have recently been taken back to my own T & T thread and in particular re-read a post @Fired Up Paul wrote.
I survived, but I suggest that the OP visits Paul's bar and has a chat with him.

[Petesie]

The 30 year lease ++ is a scam which was banned in many areas. Company name has it's complications & the property is difficult to sell on as it rules out any Thai interest as the banks will not lend them money for a company name property. 🤔

 

[Gary Loei]

On 04/11/2023 at 16:08, CamelToe said:

Yes i know this has been asked frequently and i know about the 2 Thai partner structure and the foreigners 49% share,but i have been looking at the Sea view villas they have for sale in Koh Samui and they are not over the top expensive except for the top shelf Villas and i can envision a lifestyle there and keeping my condo in Pattaya for when i need to speed things up a bit

I have read the odd story of foreigners getting done for exploiting the loopholes for land ownership,but does it happen often?is it a reality to be concerned about,also does the yearly paperwork make it just not really worth doing?

I certainly wont be putting it in my GF's name,so its either form a company or a 30 yr lease with the 30 plus 30 year option which i see on offer ,but research tells me they can only offer a 30yr lease and anymore is up to the landholder at the end of the lease

TIA for any feedback

 

Many years ago after I permanently retired here, I wanted a safe way to buy a house.That turned out to be a hopeless goal. I looked at a 30 year lease. That is the maximum length of a legal lease. It is a fairly safe way, BUT, I knew that I would eventually get married and at the end of the lease my future wife would have nothing. A common way is through a Thai company. In the first place forming a company for the purpose of owning a house is NOT legal. Then hiring a lawyer, employing an accountant to file tax returns and paying taxes didn't appeal to me at all. The bottom line is that there is no safe way to own a house. I bought a condo in my name before I got married. Before marriage, it is not marital property. That condo was a major part of my plan "B" in case my future marriage went  on the rocks. I would always have a roof over my head. Over the 20 years I have been married to my Thai wife, I have bought her several small farms and each time I had to sigh a paper stating that I had no financial interest in the property. Many guys believe that they are entitled to half of the marital property in case of a divorce. Even if the court grants you half, Just try to get it. The civil court has no powers of enforcement. After all these years with my wife and living upcountry in her house, one never knows what a woman will do. Never spend more than you can afford to walk away from. I could pack a bag today, walk away and have no financial concerns. A vehicle, my condo and my pensions belong to me.

[forcebwithu]

9 hours ago, Edge said:

Sorry I don't like it when people do it, but..........

I have recently been taken back to my own T & T thread and in particular re-read a post @Fired Up Paul wrote.
I survived, but I suggest that the OP visits Paul's bar and has a chat with him.

A good friend of mine who has been a long time resident here and owns a house he bought through a Thai company recently told of how that has come back to bite him in the ass and wallet big time. He's not alone in the shake downs that are now occurring, but for obvious reasons are not being reported publicly.

As you posted "just don't". Good advice for any that might be still considering using a Thai company for a home purchase.

[forcebwithu]

^^^
Good to see at least a couple of BM's weren't confused by my post. 

[Edge]

The 'Flock of Starlings' principle can be applied to the Thai Company way of avoiding land ownership regulations....

.....but the hammer can fall any time, individually or generally.

Edited January 4 by Edge

[Pheat]

10 hours ago, petermik said:

Unless you can afford to walk away with nothing if the shit hits the fan....👍

I purchased a house in central Pattaya about 3 years ago and put in my Thai Mrs  name at the time we had been together for 11 years and still together now.

I just wanted her to have some security if something happened to me 

 

If we split I just walk away with no hard feelings just a house at the end of the day and this wouldn’t affect me financially at all as i writ the money off soon as I transferred the balance for the property.

I certainly wouldn’t have done this if losing the property would drastically affect me financially if I had to walk away

[Garzan]

17 hours ago, Luv2Phuket said:

Clearly I need to do some more research, as I am clueless on the "2 Thai partner structure and the foreigners 49% share," as well as the 30 year lease option.  555

Here's a possible start on your reading...

https://www.siam-legal.com/realestate/Usufructs.php

 

[Garzan]

11 minutes ago, Pheat said:

I purchased a house in central Pattaya about 3 years ago and put in my Thai Mrs  name at the time we had been together for 11 years and still together now.

I just wanted her to have some security if something happened to me 

 

If we split I just walk away with no hard feelings just a house at the end of the day and this wouldn’t affect me financially at all as i writ the money off soon as I transferred the balance for the property.

I certainly wouldn’t have done this if losing the property would drastically affect me financially if I had to walk away

Perhaps a similar situation to you, I have two federal government pensions as well as retirement savings, so if my long-term partnership ended, life for me would comfortably go on. When I moved here my plan was always to rent until I die. For me personally, I see no financial reward to finagle a house or buy a condo, only pitfalls and limitations. 

Some things change, and some things stay the same. I still have no personal Desire for homeownership for myself, especially in Thailand. But, a couple of brushes with my own mortality changed my mind about providing something for the person who has put up with me for over a decade. She stopped working outside the home when we became a couple, and were she forced by circumstance to reenter the workforce, I don't think it would be all that pleasant an experience for her. 

With all that in mind, I am in the process of building a house, something I long said I would never do in Thailand. The dirt is in her name, and when finished, the structures will be in her name, and when I'm dead and burned at the temple, it will be a comfortable place out in the countryside for her to stay until it is her turn for that last trip to the temple BBQ. 

The money I'm using for construction came to me in an inheritance, and I've already provided for my US children's inheritance. All this is providing for hers. As I mentioned earlier, if I walked away tomorrow, or got booted out tomorrow, I'd still have a comfortable income so long as I keep breathing. I'm a firm believer in my living overseas motto--never invest more than you can afford to walk away from. So far, I've been able to keep true to that pearl of wisdom. 

My own bit of advice to the OP would be to rent and forget about buying property in Thailand. If I did not have the Desire to provide for my long-term Thai partner after my demise, I personally would have continued to rent until I died. Having all the property documentation in her name is not an issue for me. And if the long-term partnership ended, I'd thank her for a decade-plus of happy enjoyment and walk away without a moment of regret about the property expense. That's been money I've chosen to spend on her from the first baht, so I've never had any expectation of getting a single baht back out of it.

The TL;DR version, if you can't afford to walk away from it, don't buy it in the first place. 

[Edge]

55 minutes ago, Pheat said:

I purchased a house in central Pattaya about 3 years ago and put in my Thai Mrs  name ..............

 

9 minutes ago, Garzan said:

.........................I am in the process of building a house, something I long said I would never do in Thailand. The dirt is in her name, and when finished, the structures will be in her name,.............

All honourable and sensible, but the OP clearly stated that he won't do that...

"I certainly wont be putting it in my GF's name,s"

[Garzan]

36 minutes ago, Edge said:

 

All honourable and sensible, but the OP clearly stated that he won't do that...

"I certainly wont be putting it in my GF's name,s"

Which I'm guessing is why you and several others have advised against purchasing. 

I wish him luck with whatever he decides to do. If it's purchasing, he'll certainly need the good luck. 

[Harry Brown]

If you can't offer anything constructive, then best not to post.

[Luv2Phuket]

Glad I bumped this -- some great feedback!  Thanks to all who have posted!

Curious to hear where the OP stands at this point (about 6 weeks later).

[jetdoc]

11 hours ago, Garzan said:

If I did not have the Desire to provide for my long-term Thai partner after my demise, I personally would have continued to rent until I died. Having all the property documentation in her name is not an issue for me. And if the long-term partnership ended, I'd thank her for a decade-plus of happy enjoyment and walk away without a moment of regret about the property expense. That's been money I've chosen to spend on her from the first baht, so I've never had any expectation of getting a single baht back out of it.

That said I find owning has always been more satisfying and beneficial.

[petermik]

23 hours ago, petermik said:

Unless you can afford to walk away with nothing if the shit hits the fan....👍

 

12 hours ago, Pheat said:

I purchased a house in central Pattaya about 3 years ago and put in my Thai Mrs  name at the time we had been together for 11 years and still together now.

I just wanted her to have some security if something happened to me 

 

If we split I just walk away with no hard feelings just a house at the end of the day and this wouldn’t affect me financially at all as i writ the money off soon as I transferred the balance for the property.

I certainly wouldn’t have done this if losing the property would drastically affect me financially if I had to walk away

I had a house built down in the South for my TGF 10 years ago...we go down monthly from here in Patts for a 10 day visit....and as you have stated to give her security when my toes curl up....I knew beforehand roughly what the cost would be and a figure I was comfortable with to walk away from if needs be....we are still happily together 👍

[Garzan]

15 minutes ago, jetdoc said:

That said I find owning has always been more satisfying and beneficial.

Growing up, we moved every couple of years, and in my working life, I also frequently moved. I'm sure it's shaped my outlook. While I ended up doing quite well out of the few houses I've owned in the past. I always viewed real estate as a boat anchor to my freedom of movement. Relocating to Thailand didn't change that core feeling--if anything, it enhanced it with foreigners being unable to own dirt here. 

I've sometimes envied people who can put down long roots in to a place, and for them, I'm sure property is a valuable feeling of security. I know that is true for my partner about land and structures in Udon Thani province. For me though, my bias is toward mobility, even if it's a false sense of mobility. 🙂 

[Gary Loei]

As a side note, I also have a will that leaves my condo and vehicle to my wife when I cash in my chips. I rest easily knowing that my wife is going to be well provided for. She deserves to be comfortable for putting up with this crotchety old farang for all these years.

I had two children in the US. My daughter passed away several years ago from a dreadful disease called leukemia. That poor girl fought it for several years but finally lost the battle. My son will inherit my US bank account but he has done well in life and certainly doesn't need it. I sleep well at night knowing that my wife and son in the US are well provided for.

I have a farang friend who is also getting up in the years. He lives with a Thai woman but they are not married. I talked to him about making a will providing for her after he is dead and gone. If he were to die without a will she would get nothing. He went ahead and made a will.

Edited January 5 by Gary Loei

[jetdoc]

Growing up from 6th grade (4 different schools in one year) on was an Air Force brat and many different friends, schools, and moves. Once on my own endeavored to cut back in moves but as an airline employee, at roughly 20 years in became a migratory worked for the remaining 25 years. During my 25 years of home ownership I had a place to park my sailboat, and work shop to disassemble my aircraft engines/components for repair and overhaul. Once on the go, had to sell the planes and boats and readjust to a new life stile. I was lucky as the last 17 years I was senior mechanic at HNL and bought a Choy Lee 46 live aboard and as owner could make repairs/up grades not having to consult anyone, not even the bank. I rented planes, boats, cars, and houses and renting has a time and place but owning at least for me was always more rewarding/satisfying. 2eachthereown

[CamelToe]

On 05/01/2024 at 02:30, Luv2Phuket said:

Glad I bumped this -- some great feedback!  Thanks to all who have posted!

Curious to hear where the OP stands at this point (about 6 weeks later).

Yes sorry i had forgotten all about this thread i started,and yes some very good feedback....no i did not go ahead with any purchase yet,the money that i would put into a koh Samui villa would not be much ,as the villas that i looked at  Emerald Bay View Villas were cheap around the 3.5 mill mark with a private pool and view with 60sqm...it is money that i could afford to lose if push came to shove,but i was quite smitten by Koh Samui when i visited and inspected these villas with a Seaview a pool and a canopy of coconut trees for the price of a parking spot in Sydney.I would never put serious money into a house in Thailand

I made the right decision to buy a condo here in Pattaya 6 yrs ago as i wanted a place of my own to hang my hat,which i have,the place is very well furnished to my liking with Netflix,big screen TV,fantastic views and everything else and i am very comfortable living here,and the idea of a cheap villa in Samui appeals to me,everything set up to my liking as well ,and an hours flight away

There is also only very limited condos for sale in Samui so that is not really an option.I may return to Koh Samui when i arrive back in Patts in a week,to see if the place still holds its appeal to me.I am semi retired so at the moment i am doing one month Thailand one month Australia until i retire full time

If i don't proceed with the Samui option then i will look to buy a Seaview Condo around the Jomtien area or pratnamak,i have been scoping out a few lately and will either rent out or sell the condo i have now and upgrade...hard to decide,so many options with real estate in Thailand