Land & Property Law in Thailand

Thailand is an incredible country much famed forrequired to register leases up to three years. It
its serenity and rich culture. In fact, the country ishas been made mandatory to register any kind of
much popular among the tourists, and is now thelease renewal that has been agreed upon with the
number one tourist spot in South-East Asia. Withland owners at the local land office.
its mind blowing scenery, stupendous beaches,Company Ownership - Registered companies in
idyllic tropical islands, and a myriad of attractionsThailand with majority Thai ownership could buy
covering palaces, ancient shrines, interestingland in Thailand. In general, only Thai majority
museums, historic monuments, and places ofcompanies are allowed to own land in the country.
cultural significance, Thailand has been drawingHowever, in certain instances, the Board of
holidaymakers from across the world per year.Investment (BOI) allows a foreign registered
Of which many of the people, especiallycompany registered in the country to own a land
Europeans and Americans, settle down herefor a short period of time.
permanently, inspired by the incredibility of theThai Spouse - A Thai wife of a foreigner is
place. Some westerns have even chosen certainallowed to own a land or property in the country
destinations in Thailand such as Koh Samui,in her own name. This option is a very good way
Pattaya, and Phuket, to spend their retirement life.to own to a property in Thailand if there is not
Factors such as exceptional low prices andany marital problem between the couples.
excellent investment potential have also luredHowever, it has been made mandatory for the
large number of people to invest in the country'scouples to sign declarations with the Land
property market. All these have led to increasedDepartment. This in turn is to specify that the
demand for property in Thailand. Property marketfunds used are the property of the Thai spouse.
in Thailand is highly active, with a number ofBut, it may sometimes become a problem in case
options, ranging from land and houses toof divorce. In such a situation, an expertly
condominiums, villas, and serviced apartments.prepared prenuptial agreement may prove helpful
Discussed further in this article are laws as well asfor the non-Thai spouse.
procedures involved in connection with owning aInvestment - As per the Thai property law, a
property in Thailand.foreigner is allowed to purchase a limited amount
The laws with regard to owning a property in theof land, on the basis of investment of about 40
country is quite confusing. A foreigner cannotmillion bahts for five consecutive years, provided
easily own a property in Thailand. In other words,if the land is for residential purpose.
Thai law strictly prohibits a foreigner to own aDespite any other aforesaid options, one of the
freehold land in the country. However, there arebest ways to purchase a property in Thailand is
certain loopholes in the law regarding this issue. Avia the purchase of a condominium unit. The Thai
foreigner can own a land or property in thegovernment does not impose any kind of
country through a number of ways such as landrestrictions on foreigners to own a condo unit in
leases, company ownership, investments, andPattaya, except for some requirements to be
above all, through Thai spouse.met under the Condominium Act (1979), such as
Land Leases - Although Thai law prohibits landbringing in 100% of funds for the purchase of
ownership rights to people, foreigners are allowedcondo unit in foreign currency and recording of it
to hold 100% interest in a land lease in theby a Thai bank on a Foreign Exchange
country. In other words, land lease is one of theTransaction Form (FETF), which in turn is
simplest as well as straightforward options for aconsidered an evidence to submit it to the Land
foreigner to acquire a property in Thailand.Department.
According to the Thai lease law, a maximum ofA number of firms are now in the scenario to
30-year lease year is provided, and that too withhelp you deal with the legal procedures in
the option to renew the lease for an additionalconnection with the owning of a land or property
period of 30 years.in the country. They undertake a plethora of
Additionally, lands for commercial as well asservices such as purchase as well as sale
industrial purposes could be leased up to a periodagreement, asset purchase transactions, transfer
of 50 years, with options for further extension ofand lien registrations, title searches, and industrial
lease. All kinds of land lease must be registeredestates.
with the Land Development. However, it is not