Frequently Asked Questions (FAQ) 

Frequently Asked Questions (FAQ) 

1. Do I need to register the property under a company?

In Thailand, foreigners are not allowed to own land directly but can buy property (such as apartments or condominiums) under certain conditions. The rule is that no more than 49% of the apartments in a single condominium can be owned by foreigners. In the case of purchasing land or houses, foreigners must set up a company in Thailand that will be the legal owner of the property. It’s important to consult with lawyers to ensure compliance with the law.

2. What is the difference between new and secondary real estate?

New property — properties that are newly built or under construction. Buying new property may be more advantageous due to modern technologies, improved materials, and guarantees from the developer. However, there may be additional costs for finishing or decorating.
Secondary property — properties that have been used and resold. Typically, such properties are priced lower than new ones, but they may require renovation or repairs, which should be considered when budgeting.
3. How do I calculate the return on investment?

The return on investment for real estate in Thailand can be calculated as follows:

Rental return: This is calculated as the annual rental income divided by the property’s cost. Typically, rental returns for condominiums in popular areas range from 5% to 8% per year.
Capital growth: Consider the potential for the property’s value to increase over time. This depends on the location, infrastructure development, and the overall property market.
To accurately assess the return on investment, all costs, including taxes, maintenance, and possible repairs, should be taken into account.

4. How do I sell a property in Thailand?

Selling a property in Thailand involves several steps:

Prepare the documents: Ensure that you have all necessary documents for the property, including the title deed, contracts, and payment receipts.
Find a buyer: You can approach real estate agents or list the property on specialized online platforms.
Sign the sales agreement: The seller and the buyer sign the sales agreement, which must be registered at the land department.
Pay taxes and fees: When selling a property, taxes and fees need to be paid, which depend on the type of property and the length of ownership.
It’s advisable to consult with lawyers or real estate agents to ensure the sale process runs smoothly and without issues