Foreigners and international juristic individuals are allowed to very own a condominium device in Thailand in their personal name, but hold in brain that this refers to ownership of an apartment unit in a condominium constructing registered underneath the Condominium Act of Thailand. Not all condominium structures in Thailand are registered underneath the Condominium Act. Unregistered condominium structures are common in the tourist locations of Thailand and foreigners are often not informed of the distinction among a unit in a condominium registered underneath the condominium act and a device in an unregistered apartment building. The two buildings and models may possibly look the identical, nonetheless, in scenario of an unregistered condominium the lawful defense is minimal in comparison to the defense offered to the house owners and purchasers beneath the Condominium Act, and only registered condominiums supply freehold ownership above the units.
In SengKang Grand Residences showflat of an apartment developing which is not registered below the Condominium Act the models do not have possession device title deeds (ownership of the models is not lawfully separated from the building as a total) and the units can only be leased as component of a constructing, or the creating as a complete should be in joint ownership by all unit purchasers with each other, however, this will not consist of the land the constructing stands on, as foreigners can’t own land in Thailand. Only in scenario of a real condominium the person models supply freehold ownership and the land is jointly owned by all the unit proprietors.
The major document of possession in a accurate condominium is the device title deed issued and administrated by the local Land Office. The regional Land Place of work is responsible for the transfer of possession and registration of ownership of the person units in the condominium developing. The apartment unit title deed is evidence of ownership. Evidence of ownership should not be baffled with a ‘house book’ in Thailand or Ta.Bian.Baan, which is an official doc issued by the neighborhood Administrative Place of work and contains the full handle and the occupants of an condominium (not automatically the owner of the creating or condominium). Residences in a building not registered below the Condominium Act the units may possibly have a independent Thai ‘house books’, however this should not be confused with an ownership doc.
Freehold possession of condominiums by foreigners is restricted underneath the Condominium Act and the primary limits / requirements for foreign possession are:
one. Not more than forty nine% of the whole ground region of all units in a condominium building extra together might be overseas owned. In situation of one hundred equal flats in a complex forty nine can be overseas-owned, the remaining 51 have to be owned by Thai nationals.
In scenario the 49% quota for foreign freehold ownership in a condominium task is ‘sold out’, the remaining models may possibly be leased below a registered thirty year lease agreement. There are no lease constraints and typical ‘hire of property’ regulations (as for land or property) implement on condominiums.
2. To be qualified to sign up possession the foreigner who purchases a unit under the Condominium Act should bring foreign currency into Thailand, at minimum to an sum equal to the overall obtain cost.
The managing lender in Thailand should trade the currency into Thai baht and will issue a (FET-sort) International Trade Transaction form or Credit score Observe for smaller amounts. Without evidence of remittance of international forex into Thailand the Land Place of work will not sign up the condominium unit into the foreigner’s title (unless of course you are a resident in Thailand).
As in all residence investments (specially in a foreign place) it is important to employ the service of the provider of a reliable attorney or trusted real estate agent who can suggestions and assist you in the buy and who tends to make confident that every little thing is checked out, the condominium is registered underneath the Condominium Act and to make sure the unit is appropriately registered into your name.
The models in an condominium constructing which is not registered underneath the Condominium Act the models can only be leased as ‘part of the building’ or jointly owned by all the purchasers. Each in circumstance of a lengthy time period rent (in excess of 3 years) above this kind of models or joint possession over the building as a entire by the unit purchasers this have to be registered at the regional Land Business office exactly where the home is positioned. Unregistered residences need further warning.