A Guide to Buying a Condo in Pattaya Thailand
3 min read
If you are looking to acquire a holiday home in Thailand, you probably know about the law that prohibits foreigners from owning land, which was set up in the 1920s to prevent Japanese investors from buying up large parts of Bangkok. You can, however, buy a condo unit and that is what many foreigners do, as they look to spend their retirement years in a tropical paradise.
Legal aspects of condo ownership
As a foreigner, the only thing you have to show is that the fund came from outside of Thailand and a condo for sale in Pattaya can best be found at a leading Thai real estate agent. There is a law that states a condominium development must have at least 51% Thai ownership, while the remaining 49% of the units can be owned by foreigners. The real estate agent is well-versed in the process and would advise you accordingly.
New or used?
The condo market is vibrant, with used units coming onto the market regularly; if you prefer to buy a new unit, do your due diligence on the property developer to ensure that the development will be properly managed. Most retired people are not looking to live in a house, which involves a lot of maintenance, rather they prefer to live in a luxurious development with 24/7 security a pool, a fitness room, and even a few restaurants.
Maintenance fees
When a condominium development sells units, the owners pay an agreed monthly amount that covers all upkeep and repairs. The development is managed by a 3rd party company and it is crucial that they know what they are doing. If the development is badly managed, everyone suffers and this is one reason why retirees like to buy a unit in an established complex, rather than one that is under construction. Upon purchase, you are given an owner’s folder that contains everything you need to know about unit ownership. Click here for the qualities of a good real estate agent.
Making a deposit
When you buy a condo unit in Pattaya, the normal procedure is to pay 10% as a form of deposit, with the balance to be paid during the process (upon receipt of the contract). In the event you should change your mind after signing the contract, you would forfeit the deposit.
Foreign Exchange Certificate
When you transfer the funds from abroad into your Thai bank account, you need to complete the paperwork and a Foreign Exchange Certificate is issued. Without this certificate, it is not possible to buy a condo in Thailand.
The importance of legal advice
You should hire the services of an English-speaking Thai property lawyer to ensure that everything is above board and the transaction should be completed within a couple of weeks. There is a myth that condo owners have a special privilege regarding visas, this is not the case and whether or not you own a condo, the visa rules are the same.
Check out the Thai BOI website for more information on purchasing a condo in Thailand.
