Thailand Law Online
Thai law by real lawyers with real experience
Lease or rent of land, house or condominium apartment unit for residential purpose by foreigners is governed by civil and commercial code sections 537 to 571. Foreigners are under Thai law allowed to lease real estate property for up to 30 years and the law is applied in the same manner if the lessee is a foreign or Thai national.
Foreigners cannot own land in Thailand but are allowed to lease land under a land lease agreement registered with the land department and own the structure built on leased land. Obtaining the correct legal ownership of the building upon the leased land greatly increases the land lessee's rights and long term interest in the property. The right to own a building upon another man's land however always relates to the right to use and possess the land, i.e the term of the land lease (and optional the term of an additional right of superficies).
Prenuptial/premarital agreements in Thailand can cover matters relating to personal and common property between husband and wife. A prenuptial must be made in contemplation of marriage, must be in writing and signed by both parties and registered in the marriage registers together with the registration of the marriage. A prenuptial agreement can in its content not eliminate the statutory system of property between husband and wife but it can modify the management over certain common property. A prenuptial agreement in Thailand between a couple planning to marry is commonly used to list personal assets of each spouse and to establish rights and responsibilities regarding management of the properties during the marriage. It can include the intention how common assets are to be divided upon termination of the marriage, but the prenuptial should not cover subjects like child and spousal support or the making of a will.
A Thai national married to a foreign national may acquire land in Thailand but it must be assured that the land will be a personal property of the Thai spouse and not a joint asset between husband and wife based on marital property laws.
When a foreigner wishes to purchase a vessel and register it under Thai law, many considerations have to be taken into account. This article aims to provide a general guideline for foreigners on the procedures and regulations involved in the purchase and registration of a vessel for commerce.
What is a tabien baan or Thai house book?
Tabien baan or Thai house book is the official local government issued house or apartment address and resident registration booklet. It is an administrative document issued by the local municipality (amphur). The persons having their domicile or legal residence at the house or condo unit are registered in the house book.
There are no general property taxes (capital tax on property imposed by the government) in Thailand, but real properties put to commercial use (residential houses not 'owner occupied' and commercial buildings) must under the Building and Land Tax Act pay a 'rental' tax at a rate of 12,5 % of the annual rental value or the annual assessed rental value, whichever is higher.
The taxes and fees imposed and collected upon transfer of ownership of a real property (condominium apartment, land, house, land and house) in Thailand are: transfer fee, specific business tax (if applicable), stamp duty (if applicable), income withholding tax.
For the registration of rights, obligations or transfer of ownership of immovable property by someone else than the owner of the land the government provincial and local land department's branch offices in Thailand ONLY accept the official standard land department's Thai script 'power of attorney' (the tor dor 21). Any other forms of power of attorney, e.g. a lawyer drafted power of attorney, will not be accepted by the land offices. Below a sample of a translated Thai script 'Tor.Dor.21' land office power of attorney.
for a resale or off-plan condo in Thailand
In case of a resale condo unit/ apartment in Thailand the purchase price for the unit could be paid by cashier's check to the seller at the time of transfer of ownership of the unit at the land office (standard practice). In this case the buyer of the condo must obtain a cashier's cheque and the foreign exchange documents (FET-form) from his bank inside Thailand required for registration of foreign ownership under Thai condominium laws.
Under Thai law, a “condominium” refers to a building that is legally registered and licensed under the Condominium Act, allowing it to be divided into individual units with separate ownership rights. These units come with joint ownership of common property such as the land, hallways, elevators, and other shared areas. Ownership is evidenced by government-issued unit title deeds registered with the Land Department. In contrast, private apartment or "holiday" projects that are not licensed under the Condominium Act do not confer legal ownership of the individual units or common areas. Instead, they typically offer only possession rights through private contractual arrangements, such as lease agreements or tenancy contracts, without any legal title or shared ownership.
under the Thailand condominium act
In the nineties (the decade that began in 1990) foreigners could own 40% of the aggregate unit space in an apartment building registered under the Thailand Condominium Act (i.e. in case of 100 equal units 40 could be owned freehold by foreigners). Between April 1999 and April 2004 there was an exception created (condominium act no. 3 1999) which under certain rules and conditions and in specified areas allowed foreigners to own 100% of the aggregate unit space in a condo project. Currently foreigners are allowed to own up to 49% of the aggregate unit space in a condominium.
Marriage in Thailand is governed by the Civil and Commercial Code book 5, sections 1435 to 1535. A marriage (section 1457) can take place only if the man and woman (who are at least 17 years old (with parental consent required if under 20)) agree to take each other as husband and wife, and such agreement must be declared publicly before the Registrar in order to have it recorded by the Registrar. Marriage in Thailand is created and completed on formal registration and inclusion in the government's marriage register.
The main legal requirements and limitation of foreign ownership of condo units in the Kingdom of Siam can be found in section 19 of the Thailand condominium act, that is, (1) not more than 49% of the total floor area of all units in a condo licensed apartment building combined can be foreign owned (51% must be Thai owned), and (2) every foreigner buying a condo in Thailand must qualify for foreign ownership under section 19 paragraph 1 of the condo act.
Foreigners who qualify for foreign ownership of an apartment unit under section 19 obtain a personal non-transferable right of foreign ownership of the unit. Ownership of the unit is not freely transferable between foreigners and restricted by condominium laws. Also foreigners who inherit a condominium unit by succession must again personally qualify for foreign ownership under section 19 of the condominium act or they must dispose of the unit within one year of the date of acquisition.
Divorce in Thailand is governed by the Civil and Commercial Code and may occur either by mutual consent or by court judgment. This article outlines the legal grounds for divorce, how the process works for Thai and foreign spouses, and what the law specifically states. Whether you're considering divorce or just seeking to understand your rights, this guide explains the essentials of Thai divorce law. Divorce in Thailand is the formal legal process that ends a marriage.
Only multi unit apartment buildings licensed under the condominium act B.E. 2522 and registered with the land department as 'condominium' offer freehold ownership of the apartment units and government issued ownership unit title deeds (image on the right). Private apartment projects (not having obtained a condominium license) do not offer ownership nor individual unit title deeds but only possession of the units under private (lease) contract structures.
Land documents and deeds evidencing a person's legal right or title to land. Large areas of Thailand do not have the status of titled land or land confirmed for private use and possession but are government or public land or at the best forms of land claims generally used by farmers. No juristic acts like a sale, lease, superficies or usufruct can be registered over these types of land, this is only possible over land titles offering private ownership or a confirmed right of possession, issued by the land department of Thailand.
To qualify for foreign ownership under the Thailand Condominium Act a foreign purchaser of a condo unit is required to remit the full purchase price for the condo in foreign currency into Thailand, unless he is a resident in Thailand or eligible for foreign ownership under one of the other less common grounds of section 19 of the Condominium Act.
The unit ownership 'title deed' is the official ownership document of an apartment unit in a condo registered under the Thailand Condominium Act and is issued and administrated by the competent official of the Land Department. The apartment title deed contains the following main particulars:
Prenuptial agreements in Thailand, as a pre-marriage contract, are specifically governed by sections 1465 to 1469 of the Thailand Civil Code. Worldwide the content of a prenuptial can vary widely, but under Thai law a prenuptial contract can only deal with personal and marital property of husband and wife. In addition, the tough standard for drafting a prenup in Thailand is that the content may not be against the law or good morals.
Contract DownloadWhether you lease land or purchase real property in Thailand, the property ownership title deed needs close scrutiny. The seller must be able to identify himself as the owner and provide complete certified copies of the documents of the land, land and house or condominium unit (e.g. a copy of the office government issued ownership's title deed front and back side, the previous land office sale agreement and other relevant documents). When the property includes a house the seller must submit a copy of the house book and building permit or previous sale agreement confirming his ownership.