Thailand is considered to be one of the most beautiful countries not only in South East Asia but in the entire world. Its lush, rich and exotic land is a sight to behold and attracts millions of foreigners from all across the world. Enraptured by the country, many foreigners seek to invest in its lands to gain some real estate for themselves.
According to www.conradproperties.asia, investing in Thailand’s real estate not only gives you a piece of property that you can use for yourself but also opens up an investment opportunity that can give you amazing returns if you invest properly. There are several cities and spots in Thailand that are amazing prospects for profit such as the luxurious property in Koh Samui.
Apart from the property in Koh Samui, there are several other places as well that have amazing untapped profit potential that foreigners often seek to utilize. However, many foreigners get confused at this point and have no idea if purchasing property in Thailand is legal or not. Unfortunately, owning any estate in Thailand, even the luxurious property in Koh Samui, is off the limits for foreigners and they are strictly forbidden from directly owning land in their name.
There are several reasons why you can’t own a property in Thailand. However, with a legal bypass, you can own any Thailand property indirectly without any hassle and get your revenue from the place. In this article, we will tell you exactly how to do that, the reasons why you can’t own property in Thailand, and also what things you need to keep in mind when you are buying property in Thailand this way.
Why are foreigners not allowed to buy property in Thailand?
The most significant hurdle in a foreigner’s way while purchasing property in Thailand is that Thailand laws prohibit any and all outsider individuals without Thai citizenship to purchase any land in their own name. If you are a foreigner and hearing this sentence has shattered all your dreams of owning property in Koh Samui, then don’t worry because there are other ways through which you can buy your own property without considerable difficulty.
While these methods mostly won’t give you full ownership of the property, they will ensure that you at least have partial ownership and in some cases even full ownership of the property. Read on to find out the various ways through which you can purchase your own property in Thailand.
What are the various ways to bypass the laws and hold property in Thailand?
While Thailand’s laws are very strict and unfair, several foreigners have actually found different ways through which they can own property in Thailand or the other. These ways are:
Owning structural property on owned land
One of the most straightforward ways you can own an estate in Thailand is by having the ownership of the structural property or housing that is built on land owned by a Thai citizen. There are no laws prohibiting you from having the ownership of your own structural property or housing in Thailand.
That being said, the land you build your property on should be leased to you from the landowner otherwise you may lose all rights to your estate as well as your housing. However, if you decide to go down this route and ensure everything with marginal success, you can obtain amazing property at extremely affordable prices and that too in prime locations of Thailand.
Purchasing property via the means of your own company or another third-party company
Another simple way of purchasing property is by letting a third-party company purchase land for you and then buying the land’s shares from them. The only caveat to this method is that you can only own 49% of the land’s shares this way. If you want to own 100% shares via a company, you need to set up your own company in the name of a Thai citizen that you trust.
This individual will own 51% of the company for you and the other 49% will be owned by you. You are then free to purchase any property you want in the company’s name. However, you need to ensure that the individual you will be signing your company to is someone you can trust, or otherwise they can abuse their rights and gain full control over your property as well as your company.
If you wish to own your own luxurious apartment building and have some property in Koh Samui, there is another way you can do this. The Thai government allows any foreign individual to hold a 49% share in any living space such as a condo, hotel, or luxury property as long as the rest of the shares are owned by Thai individuals. This not only gives you a share in the property itself but also gives you a place in the owner’s association.
You can hold your property in this way as long as you like without worrying about anything. When you have no need for the property anymore, you can choose to sell off the shares you own.
What things do you need to keep in mind while purchasing property this way?
While buying property through these methods certainly allows you to own your own luxurious property at various places such as the property in Koh Samui, there are certain things you need to keep in mind before you go ahead with the purchase.
The first and most important thing is to ensure that you trust the individual who will be involved in your property ownership projects. If you do decide to get assistance from a friend, family member, or an acquaintance to obtain property for you, you need to ensure that they are fully trustworthy.
Additionally, it is important to note that you mostly don’t have full 100% estate ownership. Thus you cannot do whatever you want with the place.
While foreigners are not allowed to directly own land because of Thai laws, there are other ways through which they can easily do so. We hope this article was helpful for you and if it was, please consider following our website for regular updates as it will help us out immensely.