FAQ
Can you own a property in Thailand permanently?
Foreigners can legally and permanently own the property rights of "condominiums" (which are freehold), but they must comply with regulations such as foreign ownership not exceeding 49% of the entire building. However, according to the Thai Land Law, the "land" itself (including villas and vacant land) cannot be directly and permanently owned by foreigners. Therefore, they are mostly leased or obtained through structural arrangements.
Can I apply for a local bank loan when buying real estate in Thailand?
While home loans are available in Thailand, the requirements are quite stringent for foreign buyers, and interest rates are relatively high. Therefore, it is generally not recommended to use local loans in practice. In contrast, our company has partnerships with Taiwanese banks, which can provide more competitive interest rates and more flexible financing terms, offering a greater advantage in overall financial planning and cost control.
Can Thai real estate be jointly purchased and registered?
Yes, but it depends on the type of property rights and the registration method.
In Thailand, condominiums can be jointly owned and registered, with two to four people jointly listed as owners and registering their shares according to proportion or agreed method.
However, if it is land or villa-type real estate, foreigners cannot directly hold land ownership. Therefore, even if they purchase it together, it must be handled through a lease structure, corporate ownership or other legal arrangements, which is more complicated in practice and needs to be planned according to the specific structure of each case.
How do inheritance tax and gift tax apply when owning real estate in Thailand?
Foreigners holding real estate in Thailand are also subject to Thailand's inheritance and gift tax system, but the tax is levied only on assets located within Thailand.
Inheritance tax: Tax is levied only on estates valued at over 100 million Thai baht. The tax rate is 5% for immediate family members and 10% for non-immediate family members.
Gift tax: Gifts made by immediate family members up to 20 million baht per year are tax-free; any amount exceeding this limit is taxed in accordance with the law.
Other expenses: Transfer fees and related taxes may still be incurred when real estate is donated.
Worried about the risk of fraud when investing in overseas properties?
To mitigate the transaction risks of overseas property investment, we partner with well-known and reputable local developers in Thailand.
In terms of the transaction process, all signed documents and payments are handled directly between the buyer and the developer, without any third-party intermediaries, ensuring transparency and transaction security. We also assist clients in confirming contract details, payment procedures, and property-related information, making the entire home-buying process more secure and reliable.
What are the differences between residential and commercial real estate?
Residential Property
Primarily residential properties, owned and managed by the homeowner, available for owner-occupancy, rental, or resale.
feature:
It has full ownership rights and can be held long-term.
You can rent it out yourself or entrust someone to manage it.
Suitable for owner-occupancy and long-term asset allocation
Rental yield is approximately 4 to 6% (depending on location and product).
Commercial property
Primarily consisting of commercial properties such as hotels and resorts, these properties are managed by a professional operations team, eliminating the need for homeowners to participate in daily operations.
feature:
Unified operation by professional team
Includes rental, room booking, customer service and maintenance management
Suitable for those seeking stable passive income
The return on investment is approximately 9% or higher (depending on project and operational performance).
In short
Residential properties are suitable for investors who prioritize asset appreciation and intend to live in or rent out their properties; commercial properties, on the other hand, are managed by professional teams and are more suitable for investors seeking stable passive income and long-term cash flow.
