Legal Information

General Information for Customers 🌴🏡

All new housing in Thailand adheres to the same high standards:

  • The house and yard must be enclosed by a fence.
  • Essential amenities like parking, security, shlakbaum, and 24-hour video surveillance are provided around the perimeter.
  • Apartments come fully equipped with ready repairs and furniture, making them move-in ready.
  • Enjoy shared facilities like a pool, children’s area, fitness room, library, home cinema, and billiard room without additional charges.
  • Each house has its own management company responsible for the project’s territory.
  • The management company can handle renting your apartment and transfer the income to your bank account during your absence.

Property Ownership in Thailand 🇹🇭

In Thailand, there are two primary forms of property ownership: Freehold and Leasehold.

Freehold:

  • You own 100% of the property and have full rights to sell, rent, donate, or inherit.
  • 49% of the living space can belong to foreigners (foreign quota), and 51% can be owned by Thai citizens or entities (Thai quota).
  • Foreigners can register under the Thai quota by opening a company.
  • Freehold property tax is a one-time payment, up to 7% of the property value, shared between the buyer and seller.

Leasehold:

  • Involves a long-term lease for 30 years, extendable for two additional terms (total 90 years).
  • Can be sold, inherited, or rented for the remaining term.
  • Attractive for investors as market values are usually 5-10% lower than freehold.
  • Tax on leasehold property is 1-3%, paid once every 30 years.

Registration of Villas in a Company 🏡📝

Townhouses and villas are often registered under two contracts: the structure in freehold and the land in leasehold.

  • Land in Thailand is usually under leasehold since it cannot be sold to non-residents.
  • Lawyers handle the company opening and maintenance, with a 49%-51% share distribution (foreigner-Thai side).
  • The foreigner holds the controlling stake and exclusive signing rights.
  • The buyer becomes the owner of the company, and the company owns the house.
  • The ownership is secured with a certificate called Chanot.
  • A Bluebook, equivalent to a “house book,” is issued for the structure, listing ownership details.

This mechanism has been proven safe for decades, providing flexibility and control over your property in Thailand. 🌟

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