So you’ve decided to invest in the Bangkok real estate market, but which location is best and why? Investing in real estate whether it is in Bangkok or anywhere else is a huge decision and one that likely to be a one–off purchase for most people. This means you have to make sure you buy the right Bangkok property. And which Bangkok real estate development should you invest in and why? In the following paragraphs we will look at the options open to a foreigner buying real estate in Bangkok.
Buying a Bangkok condo: The most popular choice in purchasing real estate in Thailand and Bangkok is a condominium, for reasons covered in Pt. 1 of this series of articles Investing in Bangkok, Real Estate, Apartments and Condos Pt. 1 As previously mentioned the Condominium Act of 1979 allows foreigners to own a finite number of condominium units 100% and in freehold status.
|This law simplifies real estate purchases in Thailand and therefore Bangkok greatly, and so is easily the most popular format in which foreigners invest in Thai property. The other advantages of investing in a Bangkok condominium are reduced maintenance, access to communal facilities such as swimming pools, security and fitness studios and finally proximity to the nearest BTS or MRT station often makes renting out or selling much faster than other types of property.
Buying a Bangkok apartment: Buying an apartment in Bangkok does not literally mean the same as buying an apartment in another city like London, Paris or Milan. In many countries the word ‘apartment’ means a one-off unit inside a large building with many such similar units. However buying an apartment in Bangkok means buying the whole apartment building and all the units within. If someone in Bangkok lives in an ‘apartment’ this means they have to rent the unit they are in from the landlord (often a registered company) that owns the whole building and rents out all the units.
Buying an apartment in Bangkok is therefore rephrased as to buy a condo in Bangkok, as a condominium is the term that many Europeans and others would refer to as an apartment. Therefore understandably very few foreigners buy an apartment in Thailand or Bangkok, unless they are real estate magnates.
Buying a Townhouse in Bangkok: It is of course possible for an individual to buy a townhouse in Bangkok or Thailand. However given the nature if the laws in Thailand it proves a bit trickier. If you are looking to invest in a townhouse in Bangkok and you are a foreigner, you will need to form a Thai company to purchase the property for you.
| By Thai law a townhouse is ‘grounded’ and therefore there are land issues. Foreigners cannot own land in Thailand, they can however own up to 49% of a Thai company, and the company if registered in Thailand can own property, including land. Investing in a townhouse in Bangkok can be an excellent choice as the value for money compared to other major capitals of the world is excellent. Bangkok townhouses can be bought for as little as THB 20 000/ sqm (US$ 650/ sqm), well built and brand new. You will often get the further advantages if living in a secure gated community with communal facilities such as gardens, swimming pools and fitness areas as well as 24hr security.
| Buying a Detached House in Bangkok: As with purchasing a townhouse in Thailand, purchasing a detached house in Bangkok will mean negotiating the legal difficulty of buying ‘grounded’ property in Thailand. Once again the formation of a Thai registered company is necessary and then the property can be purchased under that company.
So investing in all types of Bangkok real estate is indeed possible and a professional Real Estate agent like EasyHomes Property Services Co., Ltd. can indeed help you through the procedure.