Buying Property in Hua Hin Thailand

Buying a home in Thailand for investment, vacation or retirement purposes may be one of the most important decisions you might make in your lifetime. Some expatriates that are looking to purchase property in Thailand are scared off by the often cumbersome restrictions relating to foreigners owning property. But, fear not – the process of buying a property from the first property search to the day you move in can be easy if you have the correct resources and information found here.

How to Buy a Condo

You can have your dreamy city or oceanfront condo in one of Thailand’s booming condominium developments. Condominium developments are popping up everywhere in Thailand to meet the demand for accessible luxurious lifestyles inclusive of multiple amenities and community.

There are condos and there are apartments. What is the difference? Condominiums are those with a condominium license that are registered under the Condominium Act (1979). Apartments are not registered under this Act. It is very important for you to know the difference and to ask talk about it with your property agent when searching for property. If a building is not registered under the Condominium Act, then by law, it is not a Thai condominium and cannot issue freehold titles to foreigners in Thailand. You should look ONLY for condominium units in buildings registered under the Condominium Act. ONLY these can have units that are fully owned by foreigners (as long as there is a government issued title deed for unit ownership).

Thai Property Law in the Condominium Act also regulates the percentage share/ownership of units in a condominium building. Foreigners cannot own more than 49% of the units in a building. This is why some condominium buildings ‘max out’ their foreign owned units and reach a point when they cannot sell to foreigners regardless of how many Thai-national-allocated units are still available.

Condominium developments are advancing, with many new developers seeing need to provide “the full package” and meeting the need by creating new developments that exist almost as independent mini-cities that can cater to every single need you and your loved ones could have – entertainment, fitness, medical, beauty…etc. This is one of the many reasons why buying a condominium in Hua Hin and elswhere in Thailand is a great choice for you. The following is a list of more reasons:

  • Your condo will be in your name and no one else’s, fully owned by you.
  • Your condo will probably be more affordable than a house or villa that comes with land
  • Your condo will be easier to buy in terms of administration and legal paperwork
  • Your condo can increase your income if you participate in the many rental programs available for the months when you are not in Thailand
  • Your condo maintenance fees are lower than surrounding countries
  • Your condo will be easier to re-sell as size, location and buying process are desirable to buyers in the current market
  • Your condo’s title deed can be used as collateral in Thailand

Property in Hua Hin Thailand

How to Buy a House or Villa in Hua Hin

Do not pay any attention to those who say that it isn’t possible for foreigners to purchase property in Thailand – It is and more and more expatriates are resettling in Hua Hin and elswhere in Thailand on a permanent basis. What is important to understand is that even though you are free to own property in Hua Hin or elswhere in Thailand, you cannot own the lease on the land. Foreigners in Thailand cannot own freehold property unless it is a condominium. As a result, some expats choose to own a condominium in their name, and others who are looking to own houses or villas obtain a long-term lease on the land that their house will be. Each term for a lease on land can go up to a maximum of 30 years.

Once you apply for a construction permit – you can have your ideal house or luxury villa built in your own name. You will own your dream house and have a very secure long-term lease on the land.

Another route that some take in order to buy a house or villa in Hua Hin is the option of registering a Thai company that will hold ownership of land. Most Thai lawyers will suggest that Leases, superficies and Usufruct are the best legal structures for buying a house or villa.

Even though buying a house or villa may not be as straightforward as buying a condominium, expatriates in many of Thailand’s booming cities are filling up the housing market with new housing and villa communities increasing in demand. The market is still hungry for more houses and villas due to these and more benefits of owning a house or villa in Thailand:

  • Your house/villa gives you and your family a spacious large living space
  • Your house/villa provides you with a valuable level of privacy
    • Your house will most probably have beautiful grounds which you can tend to and create an amazing garden that will be easy to maintain in Hua Hin Thailand’s tropical weather
  • Your house and the maintenance of it will be fully under your control
  • Your house’s value will appreciate in time

It is important for you to know that because you as a foreigner cannot own land in Thailand, You will most probably own the house and have a long-term land title deed/lease agreement for the land underneath it. You MUST start by creating the land lease/superficies/usufruct first before you can obtain ownership of buildings on the land. Your house or villa is different from a condominium unit because it does not have and title deed showing ownership.

Talk to your agent about the following things needed for you to be able to own a house/villa separately from the land:

 What is needed to own a house/villa
If building/buying through a DeveloperIn the case of a finished house/villa:·  Land Lease·  Sale and Purchase Agreement·  Land office transfer procedure
In the case of building a new house/villa:·  Land Lease·  Building Construction Contract·  Building permit issued in your name
If building on an individual plot of leased land·  Land Lease·  Land building permit with the same name as the land lease (Building permit stands as proof of house ownership)
If buying an existing house from a previous owner·  Signing of Sale of Structure document (Thai) signed by you and the current owner (signed in front of Land department official)·  Posting of public announcement about the house sale (posted for 30 days before completion of transfer)·  Final stamping of Sale of Structure document by Land Department official to complete the transfer

If you do not follow the above procedures, you are in danger of having the developer or the previous owner or the owner of the land.


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