Foreigners living in Thailand with Thai wives are likely to have run into the issue of land co-ownership and inheritance. However, it can also be for a condominium in some instances. When a Thai spouse buys land or inherits a condominium unit, there are certain procedures to follow. By following these steps, you can have a control over you Property in Thailand.
Is Foreign Ownership of Land possible in Thailand?
In Thailand, a foreigner cannot own land in his or her own name. However, the Department of Lands allows a Thai national married to a foreigner to own land. Anyways, this is after signing a letter of certification with the foreign spouse. Additionally, this is to prove that the purchase of the land is the Thai national’s personal property. Furthermore, it attests that it is not the foreign spouse’s personal property or common marital assets.
Thai spouses have only been able to legally own and register land in Thailand since 1999. Initially, Thai nationals married to foreigners cannot own land. It is because the previous legislation accidentally allowed foreigners to obtain an interest in the land. Furthermore, it was a common property between the husband and wife.
Land Purchase Procedure for a Thai Spouse
The Thai spouse must meet the following requirements when purchasing land, land and house. However, this is also applicable for a condominium and registering ownership with the Department of Lands:
Note that, every payment in the purchase of personal property must be in line with Civil and Commercial Code sections 1471 and 1472. Additionally, there must be supporting document to prove this.
Section 1471 – Acquiring property by any of the following means:
- Property by either spouse during marriage through a will or gift,
- Property for personal use, clothes or adornment fit for stations in life,
- Instruments necessary for carrying on either spouse’s vocation, and,
- Engagement present are all examples of Sin Suan Tua.
Section 1472 – This section is applicable if the following happens:
- Trading of Sin Suan Tua for other property,
- Purchase of other property,
- Receipt of money through the sale of Sin Suan Tua.
In all of the above cases, the property or money acquired shall be Sin Suan Tua. If the Sin Suan Tua has been completely or partially destroyed but has been replaced by other property or money, that other property or money is considered Sin Suan Tua.
Must confirm that any money paid for the property is the Thai spouse’s personal property. It must not be a common property (Sin Som Ros) between the wife and husband. Moreover, there must be a letter of certification from the Department of Lands local or provincial office to prove this.
Can Foreigners inherit Land in Thailand?
A statutory heir is a foreigner who marries a Thai native. Statutory heirs forms six classes under section 1629 of the Civil and Commercial Code, with each class inheriting in the following order:
- Descendants
- Parents
- Brothers and sisters of full blood
- Brothers and sisters of half-blood
- Grandparents
- Uncles and aunts
The Ministry of Interior shall permit the inheritance of land by an alien who is the rightful successor under section 93 of the Land Code Act. However, such acquisition, in addition to already existing property, may not exceed the amount under section 87.
Section 93 refers to statutory heirs who receive land as a result of a treaty’s stipulations (section 86 of the Land Code Act). However, there is currently no treaty in place with any country that allows the Ministry of Interior to allow a foreigner to register land ownership.
The foreigner cannot register ownership of the Thai spouse’s land after the Thai spouse’s death. However, the foreigner must sell the land within one year of its acquisition, according to section 94 of the Land Code Act.
Can a Foreigner inherit a Condominium in Thailand?
Foreign heirs or legatees may register ownership of a condominium unless doing so would exceed the 49% foreign ownership quota in the building.
Foreigners who are qualified include:
- Aliens who have permissions to live in the kingdom under the Immigration Law.
- The investment promotion statute allows foreigners to enter the monarchy.
- Juristic persons as defined in sections 97 and 98 of the Land Code and as defined by Thai law.
- Juristic persons who are aliens under National Executive Council Announcement No.281 dated November 24, B.E. 2515 and have received a promotion certificate under the investment promotion law.
- Aliens or juristic individuals who have brought in foreign currency into the kingdom or withdrawn money from a Thai baht account of a person who has a residency outside the kingdom or withdrawing money from a foreign currency account are considered aliens by law.
Foreigners who are not listed above must notify the municipal or provincial land office in writing within 60 days and dispose of the condominium unit within one year of obtaining ownership of the condominium through inheritance.
If this is not done, the Director-General of the Department of Lands will have the authority to sell the unit on behalf of the foreigner.
The Bottomline
The foreigner has no title to the property if it is registered in the Thai spouse’s name, and the Thai spouse has the right to sell, mortgage, swap, or transfer the property without the approval of the foreign spouse. This is where there is a great risk in owning a property in Thailand in the name of a spouse.
There are other methods to own property in Thailand for foreigners. The most crucial aspect which serves in the process is genuine and veteran legal counsel. If you are a foreigner and want to own a property in Thailand, get in touch with Konrad Legal. Mail us at [email protected] for more clarification and assistance in property ownership in Thailand.
