Thailand is a country that attracts more and more expatriates from all over the world. On the real estate side, it offers very wide housing possibilities: you can find an apartment located in the heart of the city like a villa nestled in the jungle.
However a question arises, should you buy or rent your home? To make a decision adapted to your case, it would be best to rely on your relationship with real estate and Thailand, but also on elements related to the market that you do not necessarily master.
Renting: freedom and simplicity
You dream of moving to Thailand? It’s to your credit, but if it’s the first time you’re coming for a long stay, renting is the easiest way to get used to the country. By renting a property, you will avoid many restrictive procedures that can sometimes be long. Renting is also an excellent way to test several places easily and then be able to plan to buy a property in complete peace of mind.
On the other hand, the properties offered for rent in Thailand are very attractively priced and most of the time benefit from top-of-the-range services.
If you are not sure to stay more than one or two years in the same place, or if you don’t have the money to buy, then renting is for you.
Buying: stability and returns
Buying a property can be done for several reasons, settling or investing in Thailand. Indeed, buying a villa or an apartment to settle down is a real life project. By buying your home, you will be able to decorate it and do the work you want to do, unlike renting which often does not allow it. Moreover, let’s not forget that long term rents are a lost fund.
Buying a property has another important advantage: the possibility of generating rental income if you do not occupy your home permanently. If you want to live 6 months a year in Thailand, you can then rent it for the remaining 6 months.
TPG has a complete rental service for landlords: we take care of finding tenants, collecting rental income, routine repairs and generate quarterly statements of your rental property for you.
When you own the condo you are allowed to rent out the unit. As long as it is not considered a business you are basically free to rent out your condo in Thailand. Only when it comes to the intent to do this as a business the requirements under the Foreign Business Act and Foreign Employment Act must be complied with.
To answer that question, plain and simple, it IS legally possible for foreigners to buy property in Thailand. Foreigners are allowed to own property with some restrictions. Foreigners are allowed to own condos but are prohibited from entirely owning land (such as villas or townhouses).
Thailand's property market offers some of the best rental yields in Southeast Asia for those looking to generate a steady passive income from their investments. According to the Global Property Guide, you can expect rental yields in Bangkok to average 4.45%, with a range between 1.89% to 8.00%.
Foreigners are under the Land Code Act prohibited from owning land in Thailand therefore making it impossible for foreigners to obtain outright ownership over land and house in Thailand. Foreigners are allowed to own a unit in a condominium building under the Condominium Act.
Economic Factors: Thailand is considered a developing country, and its economy may not be as robust as those of more developed nations. As a result, property prices may be lower due to factors such as lower demand and purchasing power. Foreign Owne.
According to Royal Thai Police Bureau Order No. 327/2557, dated June 30, 2014 and effective Aug 29, foreign owners of condominium units in Thailand are eligible to extend their stay in the country for a period of one year, renewable each year, through means of a one-year visa.
It is to be stated that there is no general annual property tax in Thailand, but if individual owners rent out or put their property to commercial use, housing and rent tax is imposed at the rate of 12.5% yearly.
Legal Planning with your Property Lawyer in Thailand
You are buying property in Thailand as a foreigner and you need to know the correct legal process for you to acquire the property. Before you sign any deposit agreement or contract, you should sit down with a Thai property lawyer to discuss the legal process.
Avoiding the purchase of property from a mismanaged project is paramount when going through the real estate landscape in Thailand. Investing in a development plagued by mismanagement can lead to a cascade of issues, ranging from construction delays to compromised quality.
If the plan for you is to retire in Thailand, you'll need to start by getting a Non-Immigrant Long Stay Visa – also known as a retirement visa – which entitles you to a one-year stay in Thailand. You'll be eligible for this visa if you are over 50, have a valid passport, and pass a criminal background check.
Conclusion. Thailand offers options for just about any budget. It's possible to get by on THB20,000 per month and it's possible to spend THB20,000 in a single day. To retire in Thailand comfortably with Western standards of living, we recommend budgeting THB50,000–100,000 per month.
For quality real estate, starting prices range from $100,000 to $140,000. This can get you a decent 45 sq. meter furnished apartment in the city. If you are looking to buy a villa in Thailand and you are looking for something grander, then starting price for that luxury is around $200,000.
How much it costs to live in Thailand per month will differ based on individual needs, wants, and budgets. As the food and utility costs are affordable in Thailand, you can expect to shell out anywhere between $650 to $3,000 per month — which is around 2.6 times less than what you'd spend living each month in the U.S.
Are Foreigners allowed to own land in Thailand? Generally, foreigners are not allowed to directly purchase land in Thailand. Simply put, Thai laws prohibit foreigners from owning land in their own name, although theoretically there is an exception but it is yet to be seen in practice.
The average salary for Real Estate Agent is THB 2,42,000 per month in the Thailand. The average additional cash compensation for a Real Estate Agent in the Thailand is THB 2,22,000, with a range from THB 23,250 - THB 5,40,000.
Introduction: My name is Eusebia Nader, I am a encouraging, brainy, lively, nice, famous, healthy, clever person who loves writing and wants to share my knowledge and understanding with you.
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