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How to rent a house in Thailand

House in Thailand / How to rent a House
After the first Thailand holiday in a hotel or resort, a rental villa or holiday apartment is usually the first foreigners’ contact with the Thai property market. Although renting a house in Thailand is a straightforward process, considering the following points will never hurt:

Contracts with Thais in Thailand are usually in Thai language and rental agreements are no exception. A translation of the contract from Thai (even with official seals) should be treated with caution; it will often be simply Google translated, which doesn’t handle Thai language well. Furthermore, Thai landlords will hardly accept an English contract. An established broker could be a solution: His service is free (In Thailand, the broker is paid by the landlord), he knows his way around, will use English contracts and will always be available in case problems occur later.

Contract / Legal Rights
Most frequently, templates from a stationery shop are used for lease agreements between individuals, which are corresponding to the current legal situation. However, the landlord’s legal position in Thailand is much stronger than the one of the tenant. If the agreed rent is paid on time, there are rarely any problems. If there is rent overdue, the landlord often calls the police directly, who then pressure the tenant to pay or leave. To hold back rent from the property is rarely a good idea. In Thailand you usually rent the property as it is and you are responsible for its maintenance. If anything else is agreed, that should necessarily be written in the rental contract.

Rent / Deposit
In order to reserve a rental property, a down payment is always required, which usually is the equivalent to a one month’s rent. In addition to the first rent, a deposit is the latest to pay at the beginning of the rental period. For longer rental periods, three month rent deposits are common, and for shorter vacation rentals, one month rent is the usual deposit. At best, the deposit is held by a broker, who will insure the direct pay back at the expiration of the lease.

Features of the rental property
Particularly for rental villas or holiday apartments, the equipment of the property should be clarified with the landlord, because it can be surprising how different the view of the description “completely equipped” tends to be. An equipment list, which should be check together with the landlord on check in, is the best solution to avoid problems later on the check out. Any existing defects of the property and what to do with them should be agreed upon check in.

Additional Services
In addition to the features, additional services may also be important for the right property. Are gardener and pool service included in the rent? Is a maid or laundry service available? Transport from the airport, maybe? Thailand is very service orientedand just about anything that makes life easier can be arranged. The best is always to clarify what services will be required and at what cost before renting the place. Choosing only the cheapest offer for needed services can quickly damage the holiday mood. Before placing an order you should have seen references from satisfied customers; otherwise, simply ask your local broker, who should know responsible companies.

Booking trough Internet
Especially with the rental of vacation properties, it is not always possible to view the accommodations yourself before. The web page of the tat (tourism authority Thailand)is a good start for an internet search. Established brokers can be found easily in Google under the search of House in Thailand. Not only that the service is free for the tenant, it can also save a lot of time and avoid trouble. As paying in advance is a must at online bookings, you should always choose a broker with a proven track record. Brokers with many years of praxis, a large number of rental properties, and offices in several locations, will be the best guarantee for professional service and a smooth payment process.

Buying a House in Thailand?

On the subject of buying property in Thailand there are many exotic stories and rumors. However, the facts are quite clear. To prevent a sellout of the still relatively cheap land to foreigners, the Thai government has strictly limited the sale of land to foreigners. Nevertheless, there is of course an interest from the Thai side in foreign investments, and real estate can also for foreigners be secured reliably within the legal rules.

Most important, of course in real estate business are the right partners. Particularly in Thailand real estate should be purchased through established brokers. Especially since the cost of a broker in Thailand is generally borne by the seller and the brokers assistance is free for buyers! Established brokers know the market and prices, as well as the legal background, and examine the ownership situation before preparing a purchase.

To purchase a property of short-term acquaintances (No. 1 cause of legal problems) should be prohibited, especially if one has not mastered the language and does not know the legal situation.

The legal background for real estate business in Thailand is far from exotic. The system of official documentation of property ownership was taken over almost 100 years ago from Germany and is well organized. Each district has its own Land Registry. Here the official land register is held, with a separate page for every single land plot which is registered in the district. On this page of the land register all relevant information is listed about the property, type of title, ownership, encumbrances, rights of way, etc. An original copy of the Land Registry page is given as a land title to the registered owner. The land register is public and can be viewed by anyone.

The main differences for foreigners to land law in most Western countries are:
1.  Foreigners can’t purchase land.
2.  The land plot and the development of the property are legally separate from each other.

This legal situation allows foreigners to legally purchase a building and long-term lease the plot where the building is build on.

There are several different ways for foreigners to secure a property. Qualified real estate agents and lawyers can find within a consulting session the best way to own a house in Thailand, matching the client’s particular request. Consultation with a real estate specialist before purchasing a property is the best way to avoid problems later. The most widely used two forms for foreigners of real estate acquisition are:

Individuals who only want to purchase a property for private use, can purchase the building and long-term lease the land plot.

          1. Individuals and businesses who want to purchase property as an investment or to operate a business in Thailand, a Thai company should be registered, which is entitled to acquire land.With proper consultation and preparation an acquisition of property in Thailand is a safe investment with appreciation of value mostly well over 10% pa.

- (THB)
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