Thailand is a perfect blend of cosmopolitan culture with majestic locales. If you are looking for an investment in real estate you should invest in Thailand property. The topical climate, lush green flora, rare fauna, stunning scenic beauty, mouth-watering cuisine and above all extremely courteous people make Thailand a preferred destination from an investor’s point of view too.

When looking for land for sale in Thailand, you should first be clear about what type of property you are actually interested in. You may look at investing in a holiday home, villa, town home, commercial property etc depending on how you are planning to utilize the property. Thailand has lately become a hot real estate investment destination mainly because the real estate prices are still lot lower than any European or American destination. Secondly, Suvarnabhumi-Bangkok International Airport has made international air travel to Thailand more conducive than before. Thirdly, it has an impressive rental potential thanks to the huge tourist turnover every year.

For any foreigner who is looking for buying land in Thailand he may do so by either of the two options: leasehold or freehold. Foreigners are generally comfortable by investing in condominiums, i.e. out of the total condo units in any building where you are looking to invest, foreigners may own 49% and Thais own 51%. Condominiums come under the category of a freehold property and with proper assistance from a professional lawyer it is possible to own the land completely too.

While buying a condominium it is advisable to check the following as safety measures:
• Title check to ensure that you are buying legal land from a legal owner.
• Have your lawyer draw up a purchase contract.
• Negotiate the payment of the transfer fee and decide the amount that would be paid by you and the amount that would be paid by the seller at the time of sale.

For a leasehold property, a 30 year lease would be mandatory on the home you wish to lease and a renewal would be required after the aforesaid period. Alternatively, you may also hold a 30 year lease on a plot of land and construct a house on it and rent it out. In such cases the ownership of the house stays yours and the land continues to be leased. Later if you wish to sell the house you may do so too. If your buyer is a citizen of Thailand you get to sell the land along with the house. If not then the lease on the land continues and the house owner changes.

First and foremost, you have to make sure you have enough money for a down payment – the portion of the purchase price that you furnish yourself.

To qualify for a conventional mortgage you will need a down payment of 25% or more. However, you can qualify for a low down payment insured mortgage with a down payment as low as 5%.

Secondly, you will require money for closing costs (up to 2.5% of the basic purchase price).

If you want to have the home inspected by a professional building inspector – which we highly recommend – you will need to pay an inspection fee. The inspection may bring to light areas where repairs or maintenance are required and will assure you that the house is structurally sound. Usually the inspector will provide you with a written report. If they don’t, then ask for one.

You will be responsible for paying the fees and disbursements for the lawyer or notary acting for you in the purchase of your home. We suggest you shop around before making your decision on who you are going to use, because fees for these services may vary significantly.

There are closing and adjustment costs, interest adjustment costs between buyer and seller and (depending on where you live) land transfer tax – a one-time tax based on a percentage of the purchase price of the property and/or mortgage amount.

Finally, you will be required to have property insurance in place by the closing date. And you will be responsible for the cost of moving.

Remember, there will be all kinds of things you’ll have to purchase early on – appliances, garden tools, cleaning materials etc. So factor these expenses into your initial costs.