Buying property in Hua Hin can be risky. The first obstacle to overcome is the fact that foreigners are not allowed to own land.
Then the next problem is how to find a reputable property agent as anyone can be a property agent in Thailand as the industry is unregulated and no licenses are required or available. Another issue is that all of the paperwork is in Thai, so common sense says, up have to engage a lawyer.
Armed with the knowledge that foreigners are not allowed to own land, what are the options for you, if you who wish to live or invest in Thailand
Legal restrictions when buying property in Hua Hin
Foreigners are not allowed to own land in Thailand by law. All foreigners have the following options: either a leasehold or purchasing through a Limited company. Condos and apartments can be purchased by foreigners if at least 51% of the development is owned by Thai nationals. Foreigners with a Thai partner have another option. In this case you may register the land in their name and register the building on the land in your name, with a legally-binding lease agreement between you and your partner at the land office in Hua Hin.
Leasehold is a very popular way for foreigners to buy property in Hua Hin and the Thai authorities encourage foreigners to go this route. The most popular type of lease agreement involves registering the property for 30 years, which can then be re-assigned or passed on only if these clauses are written into the lease agreement before the registration at the Land Office.
Company Set Up
Setting up a Thai company is another way for foreigners to own a home in Hua Hin, but it can be complicated and expensive. You would certainly need good legal advice before considering this option.
If your partner is Thai, the land can be registered in their name and you could register a lease agreement at the Land office in Hua Hin.
Transfer fees and taxes
All property transactions are subject to government fees in addition to annual property taxes. As the guidelines vary between, Leasehold, Freehold & Condo’s it is important to get these figures confirmed in writing before buying property in Hua Hin.
Make a Last Will and Testament
It is highly recommended that you prepare a Last WILL and Testament for Thailand when buying property in Hua Hin. It is not a pleasant thought to think of your demise, however the last thing you want to do is cause additional stress to your family & loved ones during this time. Probate without a Last WILL & Testament in place can take years and the costs can be expensive.
Find a lawyer
Engaging a lawyer is the most important step to protecting your interests in Thailand and should be one of the first issues you deal with when considering living or investing Hua Hin.
ElephantBricks recommends Legal Services Hua Hin for Free advice on Thai property law for foreigners.
If you think it could be beneficial to arrange a FREE consultation to discuss your needs, simply contact Legal Services Hua Hin