Buying Real Estate in Thailand: Condo Purchase Procedures for Turkish Investors

Thailand has become an attractive real estate market for Turkish investors in recent years. The country’s thriving tourism sector, in particular, has made it one of the most popular holiday and investment destinations in Southeast Asia.

However, there are certain procedures that foreign investors must follow when buying real estate in Thailand. In this article, we will examine the procedures for buying a condo in Thailand step by step.

Condo Purchase Procedure in Thailand

1. Foreign Ownership Rate in Condominiums

In Thailand, foreigners can buy condominium-style properties, but the foreign ownership rate in these properties must not exceed a certain limit. In Thailand, no more than 49% of the total independent units in a building can be sold to foreigners.

Foreign ownership rate: A condominium cannot have more than 49% foreign ownership in total. Therefore, it is important to pay attention to this limit, especially in popular areas.

2. Procedures Required for Purchasing a Condominium

When purchasing a condominium, payment is usually made through a foreign currency transfer. The bank in Thailand will review these transfers to verify that the purchase is legal.

Foreign Exchange Transfer Document: The payment is made through a bank in Thailand and the foreign currency transfer documents are presented. These documents ensure that foreigners are compliant when purchasing property in Thailand.

Land Registry: Once the land registry process is completed, the owner of the condominium is officially registered.

3. Taxes and Duties on Condominiums

The taxes and duties to be paid when purchasing a condominium are as follows:

Land Registry Fee: A land registry fee of 2% of the sales price is paid during the land registry.

Annual Occupancy Tax: Condominium owners are required to pay an annual municipal tax.

4. Legal Advice and Purchase Agreement

When purchasing a condominium, it is important to seek legal advice. A real estate agent or lawyer will prepare a purchase agreement that complies with local laws. In addition, there are some items to consider in the contracts between the buyer and seller:

Payment Plan: The payment plan should be clarified between the seller and the buyer.
Registration and Transfer of Title Deeds: During the purchase process, it is necessary to correctly register the title deeds and complete the property transfer.

Things Foreigners Should Pay Attention to When Buying Real Estate in Thailand

Foreign Ownership Rate and Land Laws: Foreigners are prohibited from purchasing land in Thailand. It may be necessary to establish a local partnership to buy a villa.

Foreign Currency Transfer: Payments must be made through a bank in Thailand and foreign currency transfer documents must be submitted.

Taxes and Fees: Expenses such as title deed fees, sales tax and annual tax must be paid when purchasing real estate.

Legal Support: It is important to get legal support from real estate offices or lawyers in Thailand to follow the correct procedures.

Thailand offers an attractive real estate market for Turkish investors. Contact us for detailed information.

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