Costs when buying property in Thailand


What expenses should a foreign citizen purchasing real estate in Thailand take into account:

  • legal services for checking the preliminary purchase and sale agreement and agreeing on terms and conditions between the parties (from $500);
  • checking the purity of the transaction (presence of encumbrances, establishing the number of owners, checking legal entities participating in the transaction, etc.) costing from $500; this clause is not required when dealing with a developer;
  • legal assistance when registering a transaction with the Land Department – from $300 (possible free of charge with a representative of the developer);
  • fee for transfer of ownership – 2% of the cost, as a rule, paid equally by the parties participating in the transaction;
  • fee for registration of property rights – the amount depends on the value of the property in the Land Department itself, the exact amount is usually clarified a few days before the transaction.

Typically, transfer and title registration fees (points 4 and 5) are paid equally by the buyer and seller. As a result, the buyer pays approximately 2-3% of the cost of the property. This should be discussed before concluding a purchase and sale agreement.

The costs of legal services and examination of the property are fully borne by the buyer. If registration of a legal entity is required to complete the transaction, then when purchasing real estate in Thailand it is worth considering the following costs:

  • from 1,900 to 2,500 dollars for opening a legal entity;
  • from $1,000 per year for maintaining tax and accounting records (even if the company does not actually operate).



Source link