FAQ
Is it possible for a foreigner to own real estate in Thailand?
When you buy a villa, you have several ways to purchase.
There are proven and effective ways in which you are able to purchase land and own it while complying with Thai laws.The most popular form of land purchase, extremely popular with foreign investors is through a Limited Liability Company.
The foreigner can own a maximum 39% of the company shares, but can easily and legally organize to be the only director of the company who can commit or bind the company in any contractual dealings. This effectively allows the buyer total & secure control of the company and its assets.
Setup is a simple procedure and the owner, as Managing Director, has 100% control. We make all the arrangements and use a law firm who are specialists in these matters. If you prefer to use your own lawyer, please make sure they are a respected registered law firm, as many are only secretarial offices who contract out the contract. Many thousands of foreigners have purchased property in Thailand by this procedure, it is the safest current for of ownership.
Another form of land purchase for foreigners is through a Leasehold Agreement. These are generally written up as 30 year leases with two additional prepaid 30 year renewals for a total of 90 years. The lease will include clauses that automatically allow freehold ownership if Thai law ever changes to allow foreign ownership, and the right to sell, sublet, or transfer the property. This makes Leasehold purchase effectively ownership.
What government taxes are charged when buying in Thailand?
There is a once only tax of approximately 3.3% (of the “Government Land Office” price which is less than the purchase price) when the title is transferred.
Are there any council taxes and rates.
There are no annual council taxes or water rates.
What would a typical water bill be for an average size villa?
NONE!! All our properties come as standard with a deep well (120m) to give you unlimited free water.
What would a typical electricity bill be for my villa?
The average electricity bill ranges between 1000 to 2000 Baht (£14.00 – £28.00)* per month unoccupied (including pool running) fully occupied and depending on how much one uses air-conditioning the cost can be around 3,000 to 6000 Baht (£43.00 - £85.00)* a month.
What are the costs for the external and internal maintenance of my new villa?
The cost of maintenance for a villa depends on the size of the land, size of pool and garden, but you can budget for around 6000 to 7500 Baht (£85.00 - £110.00)* per month for security, pool maintenance (including chemicals), garden maintenance and a maid to clean once per week
What taxes are payable on investment properties?
The ‘profit’ on the sale of a house or land is 30% on the ‘declared’ profit which is always a conservative government figure. When it comes to houses, usually the Thai company is sold with the property. In this case all that is required is for a change in the name of the Managing Director and therefore there are no taxes due.
How does one travel from Bangkok to Pattaya and what is the cost?
Via the expressway the new international airport is currently a comfortable width=100% width=100% one hour and twenty minutes drive. This will be reduced after completion of the new motorway extension. A taxi should cost about 1,400 Baht (£20.00)* plus tolls on the expressway.
* exchange rates are based on 70 Thai Baht to the UK Pound.