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What can a foreigner buy in Phuket, Thailand

Condominium Freehold , Free hold , Lease hold , Leasehold with a share of freehold

Summary Ownership in Phuket, Thailand

Foreigners can buy and own "freehold condominiums"

Foreigners can buy and own Building and structures , such as villa(as distinct from the land on which it sits)

Foreigners can take leases on Land or Property.

Foreigners cannot own Land

A condominium comprises title to a private Apartment unit, together with co-ownership of common Property.

Condominium freehold is special legal type of freehold that foreigners can directly and legally own in Thailand.

The condominiums Act clarifies the law related to condominium freehold properties and provides a degree of consumer protection for buyers

Only 49 % of the Registable area of condominium development can be allow toted to foreign purchase.

It is still possible for foreigners to purchase the non “foreign quota” units, although only on a leasehold basis or through a Thai company

Leasehold with the option to purchase the freehold gives the lease control over the freehold through the right to transfer the freehold.

If Thai law changes to allow foreigner freehold ownership of land, the lease can transfer the freehold to himself.

Alternatively, the lessee has right the transfer the freehold to an entity under the lessee’s control, such as a Thai company

This structure could not be perceived as equivalent to direct freehold ownership

Summary Leasehold

The lease is right to use property, while the freehold owner retains ownership.

All property can be leased, including land, apartments, townhouses and villas

A lease can registered by a foreigner in his or her personal name

The maximum period stipulated for lease in Thailand is 30 years

A30+30+30- Years leasehold structure is not the same as a 90-year lease; the first 30 years is a legally registrable lease, while the second and third 30 year periods are contractual options to renew that are unenforceable in case where the freehold land is sold

Lease is a rental contract, which can be terminated prior to the expiration of the lease due to breach of contract by the leases. The terms of the lease must therefore be carefully checked.

Leases are personal rights that terminate upon the death of the lasses, which means the issue of inheritance needs to be considered

Summery Freehold

Freehold is the closest thing to absolute ownership of property

In Thailand , foreigners can own condominium property, and structures (buildings) on a freehold basis

Foreigners cannot own direct freehold interest in land

Land ownership by foreigners is therefore done by leasehold or through a Thai company that owns the land while the foreigner controls the Company

Summary Leasehold with a share of freehold

    As only the first 30 years of the 30+30+30 years leasehold structure is guaranteed, the crucial issue is control over the renewal of the second and third 30 year lease terms

    With a " Leasehold with a share of the freehold " structure, in addition to legal registration of the initial 30-year lease, purchasers also become part owners of freehold, which grants control over leases renewals.

    It is crucial to ensure the landowning company is properly set up to provide effective control over renewals

What is Condominium Freehold

MORE DETIAL

Why Foreigner should buy a Condominium Freehold in Thailand

Thailand condominium developments are booming in cities like Bangkok, Phuket, and Pattaya. Many foreigners who decide to purchase real estate in Thailand look at purchasing a condominium. Here are the benefits of owning a condo in Thailand:
- Foreign buyers can own the condominium in their own name
- The condominium is issued with a title deed similar to a strata title
- Owners may use the title deed as collateral in Thailand
- Maintenance fees are relatively lower compared to other countries
- Can be a lot more affordable than houses with land
- Easier to rent out due to its general size and location
- Condo resale is faster and more straightforward compared to a land and house.

Many foreigners acquire Thailand Real Estate either for residential purposes, be it to work or to retire in Thailand, or as an investment in what is known as an extremely dynamic and robust economic region.

What is a purpose of investment and Buying

Before you buy or build a condominium or property in Phuket, Thailand, contact any Real -estate or any salespeople, do some homework first, an essential question to asked yourself is what is the purpose of the Investment. The answer to this question is crucial because it should influence subsequent decision making to each stage of the property purchasing process. Make sure you know what is important to you before contacting a Real-estate or salesperson. For example, What is the purpose of investment and buying a Condominium or property in Phuket, Thailand as a:
- Primary residence /Buy or build what you want and furnish according to your taste
- Rental Property/ Location is a key, Must consider target market, take into consideration the optimal size and type of property for the rental market.
- Holiday home./ will the property will rent out when not in use, Furnish with the rental market in mind, Live in staff or security
- Place for retirement, Proximity to friends golf, shopping and hospitals, Timing of retirement
- Combined objective, Evaluate relative importance of each objective, Assign weighting to each objective to provide guidance on property type and location
- Investment for capital appreciation. Without going too deeply into investment or financial jargon, the two main investment objectives are usually capital appreciation or rental income(or a combination thereof)