The process of buying real estate in Thailand is not much different from what Russians are used to. However, there is a slight difference: land rights are arranged differently here, the registration of the transaction works differently, and the payment procedure depends on the form of ownership. It is important to know these features in advance so as not to get hung up on issues that are easy to resolve at the very beginning: you can enter a freehold only when transferring money from abroad, villas are almost always registered through a lease on land, and transactions are registered only with the Land Department.
Choosing the location and format of the property
The first step is to determine which type of property you are considering. In Thailand, the form of ownership depends on the object: apartments are most often bought in freehold, and villas are issued through a lease (long-term lease) on land. This determines the cost, the order of registration and the set of documents.
Condominiums are available to foreigners in the freehold format if there is a free quota in the project. In the absence of a quota, the apartment is registered in a lease. Villas are almost always sold according to the leasing model, because the land under them cannot belong to a foreigner directly: only the building is registered as property, and the plot is transferred to a long-term lease.
How does the object search and verification work
Most foreign buyers are selected through an agency. This is normal: the developer pays for the agent's participation, so the costs of the buying party do not increase. It is important to focus on the facts: the status of the land (Chanote), the building permit, the availability of a hotel license (if you are interested in daily rent), the reputation of the developer.
The contract itself is checked on the primary market. The secondary one shows the object, the owner, and the history of the site. A lawyer can be involved at will, but when dealing with villas, the participation of a specialist is always justified.
Reserving an object
When the object is selected, the parties sign a preliminary agreement. It is needed to fix the cost of an apartment or villa. The deposit is about 1% of the value of the property – most often it is non-refundable. This is not yet the completion of the transaction, but a reservation, which is necessary to consolidate the conditions, and so that the seller does not offer the object to other buyers. This is especially important if you are going to buy a highly liquid property.
What happens after
Drafting and signing of the contract
A week or two after making a deposit, the buyer receives a draft of the main contract. The documents for new buildings are prepared by the developer. For the secondary market – an agency or a lawyer. The contract includes information about the property, the payment procedure, the terms of the transfer of the object, the allocation of costs and sanctions for violating agreements. The passports of the parties and documents for real estate are attached to it.
Payment
The payment procedure depends on the type of housing.
New buildings
The payment is transferred to the developer's account. The transfer is possible from a foreign bank if the account belongs to the buyer. Payment is allowed from the account of a legal entity where the buyer is the founder. Some companies accept cash and payments after converting cryptocurrencies.
Secondary market
It is usually required to open an account at a local bank and transfer money from abroad. Upon registration, the buyer hands the seller a bank receipt. If the object is registered in a freehold, the transfer must come from abroad - the bank issues a FET certificate. The source of the transfer does not matter to the lease holder.
Transaction registration
All transactions go through the Land Department. The documents are drawn up in Thai, so foreign buyers act through a representative – an employee of the developer or a lawyer. After registration, a set of documents is issued, which includes a purchase and sale agreement, a title to the object (chanote or Unit Title Deed) and a house book.
