Many people nowadays have gone on vacation to destination countries and find they really fell in love with the location, the people, and the general way of life. For those who are fortunate enough to be able to afford to purchase vacation homes in Pattaya, or retired couples who want a change of environment, there are things to consider before purchasing a property.
Speak with the Experts
If the country of choice is Thailand, there are a few steps included in the process of buying land or a home that you need to keep in mind. First and foremost, because buyers are considered foreign or not residents of the country, getting in contact with an expert in Thailand would be very beneficial and a great place to start. Not only do they understand the language and can act as a liaison between yourself and the seller, but there are also many steps involved that require legal documentation and proper signing of land/property transfers that should be reviewed by a professional. There is nothing worse than buying a vacation home, only to realize your money went straight into the bank account of somebody who is suddenly impossible to reach.
Another important item to consider when buying property in Thailand is to have someone run a check on the land or property to ensure there aren’t any zoning restrictions or other legal restrictions that will stop you from building on land or moving into a home. In addition, there needs to be a check on property taxes included on the land.
Making the Transfer
After you have worked with a Thai realtor to help find you the perfect property, it’s time to transfer a deposit to the seller. This is important to have an expert involved because it involves the transfer of international funds, and you want to make sure it gets transferred successfully. Your money would also need to be transferred to Thai currency.
What Properties Can Foreigners own in Thailand?
There are specific rules in Thailand about how much and what type of property you are allowed to own as a foreign buyer. For example, condos cannot be 100% owned by a non-Thai person. There is a cap at owning only 49% of a property, whereas the other 51% is recognized as a long-term lease (i.e., generally decades long). Basically, foreigners cannot be complete owners of land, property, or a home – they are technically partial owners. When selling property, it acts similarly to how it would in any other country, but rather than transferring a mortgage; you transfer the leasehold to the buyer.
When purchasing property in Thailand, start by getting in touch with a realtor who lives in the area and knows it well. They will be able to show you the best properties for your price range and make the process of communicating with the seller much easier. It is also important to have a Thai contact who understands all the legal paperwork involved in land ownership. This is the best way to avoid getting scammed or encountering roadblocks due to bad communication.