Guest kjun12 Posted May 30, 2008 Posted May 30, 2008 Have any of you purchased a home and placed it in your boyfriend's name? What is the best way to purchase property (a home) in Thailand? Quote
Gaybutton Posted May 30, 2008 Posted May 30, 2008 Have any of you purchased a home and placed it in your boyfriend's name? What is the best way to purchase property (a home) in Thailand? That is precisely what I did, but I didn't leave it at that. I also, at the time of final payment on the house and with the help of a Thai attorney, took out a pre-paid thirty-year lease on the house. That lease is in my name and registered in the Land Office. That makes the house, for all intents and purposes, mine for the next thirty years. The lease also includes subleasing rights. When I took out the lease, thirty years was the maximum Thailand allows on such a lease. From what I understand, Thailand is now considering allowing leases up to sixty years, but I don't think a decision has yet been made. You might want to check into that with a Thai attorney. Whatever you do, no matter how close you are with your boyfriend, don't put the house in his name without doing something to protect yourself, such as the lease. Please don't make the mistake of simply trusting that all will go well with him 'till death do you part. That's how many farang have lost their home. If something ever goes wrong with your relationship, without any protection he can put you out the door and there won't be a thing you can do about it. Make sure you are the one who retains control, especially since it's your money buying the house in the first place. Quote
Bob Posted May 30, 2008 Posted May 30, 2008 GB, if you're willing, a couple of questions. I've considered the 30-year-lease deal as well as outright purchasing a condo. With respect to the 30-year-lease deal: (1) Is buying a house this way about the same cost as the outright sale price to a Thai (meaning, do you end up paying less because you're not really getting full ownership)? (2) Can you will the balance of your lease to, let's say, your thai friend? (3) Do you, the lessee, pay all ownership costs? And, in connection with that, am I right that there are no property taxes per se? [something inside me - the idea that I hate to spend $60,000.00 to $90,000.00 on a house and then have it evaporate (for me or an heir) after 30 years - just tells me it isn't a good deal, at least not for the long term. On the other hand, I'll be dead by then so why should I care? hehe] Quote
Gaybutton Posted May 30, 2008 Posted May 30, 2008 (1) Is buying a house this way about the same cost as the outright sale price to a Thai (meaning, do you end up paying less because you're not really getting full ownership)? You don't pay any less. The price of the house is the same no matter who is paying for it. You not only don't get full ownership; you don't get any ownership. (2) Can you will the balance of your lease to, let's say, your thai friend? I have no idea. You'll have to ask a Thai attorney that question. (3) Do you, the lessee, pay all ownership costs? And, in connection with that, am I right that there are no property taxes per se? That's between you and your Thai friend. How much you pay and how much he pays is a private matter between individuals. For my house, there was a one-time tax, which I assume was a property tax, payable at the time the final payment on the house gets paid. It wasn't much, about the equivalent of US $300, or some figure close to that. I really don't remember. There have been no property taxes since then. Quote
Guest MRSBUCKET Posted May 30, 2008 Posted May 30, 2008 Kjun12 The other alternative is to buy a house using a Company. the Lawyer will obtain this for you or if you buy a house from a Farang a Company will be included with the purchase. It works that the Company owns the land and house as assets. You will be a Director and share holder and your boyfriend could be another Director and lesser share holder. The Lawyer usually supplies other named share holders etc. All very easy adn yo can make a Will leaving what you want to whoever you like. Should you be looking for a house that will be an easy purchased etc, I am at the moment wanting to sell my house and move to my boyfriends area in the North. Have a look at http://www.daveellis.net Which ever way you go, don't put the whole thing into a Thai name. Quote
Gaybutton Posted May 30, 2008 Posted May 30, 2008 The other alternative is to buy a house using a Company. It is my understanding that this is no longer an option unless there are at least 5 Thai shareholders, all of whom can prove they have sufficient funds to purchase their shares. It is also my understanding that Thailand now checks these corporations to make sure they are legitimate corporations and not merely front corporations so that a farang can buy a house. I remember about a year or two ago there was a major upset about this because many farang who had bought that way were afraid they were going to lose their homes. What I recall is Thailand agreed not to do anything to existing corporations, despite the fact they were technically illegal, but would enforce the regulations with new corporations. I could be wrong, of course, but that's the way I remember it. I would certainly advise anyone who wishes to buy that way to first check with a reputable Thai attorney. Quote
Up2u Posted May 30, 2008 Posted May 30, 2008 I agree with GB, the company route is still in a state of flux and has contributed to the depressed real estate market. It might take years but I would wait until it all got sorted out. GB what happens if you want to sell and let's say buy I condo in your name or forced to return home? Want happens if the bf dies and you must deal with his heirs? Each to his own but give me condo in my own name. Quote
Gaybutton Posted May 30, 2008 Posted May 30, 2008 GB what happens if you want to sell and let's say buy I condo in your name or forced to return home? Want happens if the bf dies and you must deal with his heirs? Obviously I can't sell the house. It's not mine to sell. The house can be sold while I still hold the lease, but the buyer is legally obligated to honor the lease. If I voluntarily consent to the sale and voluntarily relinquish the lease, that would be a different story, but nobody can do anything without my consent until the lease expires. That holds true even if the bf dies. The heirs can't touch the house until the lease expires. You are fully protected for the duration of the lease if it's a prepaid lease and registered with the Land Office. If it's not a prepaid lease or if it's not registered with the Land Office, I don't have any idea what can happen. If I'm forced to return to the USA or otherwise forced to leave Thailand, it's still a prepaid lease and I do have subleasing rights. As far as I know, the only way I could lose the lease would be if I am deported and blacklisted. If I want to buy a condo, that has nothing to do with the lease. I would have the choice of holding the house for as long as I wish while the lease is in effect or subleasing the house. Quote
Guest fountainhall Posted May 30, 2008 Posted May 30, 2008 I remember about a year or two ago there was a major upset about this because many farang who had bought that way were afraid they were going to lose their home If I recall correctly, one of the points the government people made is that when a company owns a house and 'leases' it to a farang, the company must have and register accounts, and these must show that a reasonable rent is being paid in to the company by the farang. Owning a house is certainly a lot more complicated now than it used to be. Quote
Bob Posted May 30, 2008 Posted May 30, 2008 Given I'll be older than dirt this year (i.e., 60), there would be absolutely no intelligent reason for me to do the 30-year-lease deal unless, at a minimum, I was allowed to transfer the balance of the lease after my death to my thai friend. So, unless I could transfer a the lease balance by a Last Will and Testament (and, as GB suggests, I'd verify that for sure with a competent Thai lawyer), this option will go out the window. Based on the newspaper reports over the last couple of years (indicating there is some momentum to blow up the house "company" deals many falang have done), I don't believe the company deal is either safe or legally viable. That leaves buying a condo or renting a house or condo. The rents I've seen appear to be quite reasonable and perhaps that's the best, economically, choice to make. That option also allows you to not be on the hook forever should you wish to abandon the Thai scene due to ill health or other reasons. I saw one very nice condo in Chiangmai that the sale price was $130,000.00 (US) whereas the rent was $700.00 per month. With those numbers, it makes no sense to buy the thing in my view (but, of course, the rentals can always increase over the years). Hopefully I'll be in Chiangmai for the next entire winter (definitely renting during that time) and that'll give me the time to hopefully make a semi-intelligent decision. Quote
fedssocr Posted May 31, 2008 Posted May 31, 2008 Should you be looking for a house that will be an easy purchased etc, I am at the moment wanting to sell my house and move to my boyfriends area in the North. Have a look at http://www.daveellis.net Which ever way you go, don't put the whole thing into a Thai name. wow, you have a beautiful home! Quote
Guest fountainhall Posted May 31, 2008 Posted May 31, 2008 With those numbers, it makes no sense to buy the thing in my view . . . apart from having an asset that should appreciate in value over the years. Condo prices in Bangkok have gone up more than 100% in the last 7 - 8 years - though admittedly from a pretty low base after the property crash at the end of the '90s. Quote
dapitt Posted May 31, 2008 Posted May 31, 2008 (2) Can you will the balance of your lease to, let's say, your thai friend? Hi, Bob. I think I'm missing the point of your question. When you "take the dirt nap" {as you so picturesquely phrased it in another of your recent posts...555!}, then the Thai in whose name the house had been placed {your BF, presumably} would acquire the house fully, right, with the lease evaporating at your death? What am I missing here? Quote
Gaybutton Posted May 31, 2008 Posted May 31, 2008 What am I missing here? I think he is trying to ask if it is possible to leave the lease to somebody in a will. For example, suppose his death occurs ten years before the lease expires. Suppose he also has a Thai boyfriend, but the house is not in that particular boyfriend's name. I believe he is asking whether it is possible, with a prepaid lease, to make arrangements so that the boyfriend can have the house for the duration of the lease. If I am correct about the question, I don't know the answer. I believe it is possible, but you would need a Thai attorney to put it together. Quote
dapitt Posted May 31, 2008 Posted May 31, 2008 Suppose he also has a Thai boyfriend, but the house is not in that particular boyfriend's name. I believe he is asking whether it is possible, with a prepaid lease, to make arrangements so that the boyfriend can have the house for the duration of the lease. Ahh... I see, now. Otherwise, upon your 'expiration' it would revert to the listed owner of the house, right? Thanks! Quote
Gaybutton Posted May 31, 2008 Posted May 31, 2008 Otherwise, upon your 'expiration' it would revert to the listed owner of the house, right? That's right. When I expire, just like a magazine subscription, if there is no other legal leaseholder, then everything reverts back to the owner. I'm not sure what happens if I have sublet the property to someone. I don't know whether the property owner would have to honor the sublease or not. I believe he would, but again it would take a Thai attorney to clarify that circumstance. Quote
Guest wizemen2 Posted June 1, 2008 Posted June 1, 2008 Dont take it for granted that your Thai attorney is an OK guy. I have met farang returning to Australia that have been well screwed over by their Thai legal representive,and lost their house and money accordingly. One guy was asked to sign papers by his attorney, did not check them and lost the house,yeh to the sleazebag attorney. Hey its Thailand, beware of anything on 2 legs!! Quote
Guest fountainhall Posted June 1, 2008 Posted June 1, 2008 Dont take it for granted that your Thai attorney is an OK guy This is one transaction where I would go to a lawyer in a top legal firm and chalk the extra cost up as insurance. Quote
Gaybutton Posted June 1, 2008 Posted June 1, 2008 Don't take it for granted that your Thai attorney is an OK guy. That is good advice, also quite useful in the USA. I would advise finding attorneys with whom others have had positive, successful experiences. Obviously, I am quite satisfied with the attorney I use. I'm sure others here can recommend reputable attorneys as well. You're right. I would not advise going to an attorney just because he hung a shingle outside his office door. Fountainhall is also right. It can't hurt to go to a top legal firm. Now all you have to do is find one . . . I found my own attorney through a reliable recommendation and, as I said, I have been quite satisfied. Another way to go about it might be to seek the recommendation of the Expat's Club. Also, your home country's embassy probably can provide a list of recommended reputable law firms. Quote
