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Crackdown on Phuket condo owners confirmed


webfact

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The 49/51 percent Thai ruling is not always accurate as the Thai 51 percent ratio has many Thai company owned units where both the condo unit and the company that owns it are controlled by foreign people. I welcome the enforcement of this law that protects residential condo owners from short time renters.

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This comes up every other year. Next will be that farangs who purhased a home with a thai company will lose them. Then all the guys who cant afford to buy one will write I would never buy a house here. Followed by zillions of questions by guys wanting info on setting up Thai companies to buy a house.......The never ending cycles.

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This comes up every other year. Next will be that farangs who purhased a home with a thai company will lose them. Then all the guys who cant afford to buy one will write I would never buy a house here. Followed by zillions of questions by guys wanting info on setting up Thai companies to buy a house.......The never ending cycles.

Good point about the full circle.

Given the multitude of news articles about Thai people losing their investment to dodgy land papers and fake titles (not to mention the Drummond blogs about shady foreign land swindlers that put the Thai swindlers to shame), I've come to believe that the Thai law preventing foreigners from owning the controlling interest in land is a kindness that has probably saved expats $$ billions in snookering.

I've even toyed with the idea of buying a condo or 3 to rent to tourists through AirBNB. Not any more...

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This is another nail in the coffin of the Thai property market. Most people who buy condos in Phuket buy for investment purposes if you are not allowed to rent them out why would you buy. Lets face it 90 percent of condo owners are farang so its just another slap on the face for farangs.

I don't think this applies to single owners doing a 3 month sublet for instance.

It says "on a daily basis", which implies hotel type rentals to suit a short term changing clientele.

A company with a single unit and 3 or 6 month occupancy by the owner, subletting long tern to others

is not a daily rate rental such as a hotel, but a sublet.

Of course this could be interpreted by the officer on the ground as he sees fit,

depending one if he likes or dislikes the owner, or how much their tip is.

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This comes up every other year. Next will be that farangs who purhased a home with a thai company will lose them. Then all the guys who cant afford to buy one will write I would never buy a house here. Followed by zillions of questions by guys wanting info on setting up Thai companies to buy a house.......The never ending cycles.

Good point about the full circle.

Given the multitude of news articles about Thai people losing their investment to dodgy land papers and fake titles (not to mention the Drummond blogs about shady foreign land swindlers that put the Thai swindlers to shame), I've come to believe that the Thai law preventing foreigners from owning the controlling interest in land is a kindness that has probably saved expats $$ billions in snookering.

I've even toyed with the idea of buying a condo or 3 to rent to tourists through AirBNB. Not any more...

As I have mentioned before the so called government needs to change the law so that the lawyers who most people take there advise from are made responsible for their legal advise. The lawyers not only promote the waus to get around the law but actually make money setting up these Thai companies. Make the lawyers pay with imprisonment for advising people how to break the law and actually promoting it then you will see that this will stop investors having a false sense of security. And maybe change the law so that foreigners can get 99 year leases or min 50 so the law is clear and there is no need to try all these illegal methods. This would also stimulate the property market giving safety to investors.
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This is another nail in the coffin of the Thai property market. Most people who buy condos in Phuket buy for investment purposes if you are not allowed to rent them out why would you buy. Lets face it 90 percent of condo owners are farang so its just another slap on the face for farangs.

"90% of condo owners are Farangs"blink.png

Impossible otherwise 90% of most condo buildings would mathematically be owned by farangs, the law does not allow it smile.png

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I wouldnt buy anything in this country it isnt worth it. Having said that and to be fair to everyone our home countries should do the same for Thai's. Must be good or Thailand wouldnt do it.

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This is another nail in the coffin of the Thai property market. Most people who buy condos in Phuket buy for investment purposes if you are not allowed to rent them out why would you buy. Lets face it 90 percent of condo owners are farang so its just another slap on the face for farangs.

"90% of condo owners are Farangs"blink.png

Impossible otherwise 90% of most condo buildings would mathematically be owned by farangs, the law does not allow it smile.png

please read the other threads then you will understand exactly how this is not only possible but factual with regards to Phuket tourist areas maybe not so much in Phuket town
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This is another nail in the coffin of the Thai property market. Most people who buy condos in Phuket buy for investment purposes if you are not allowed to rent them out why would you buy. Lets face it 90 percent of condo owners are farang so its just another slap on the face for farangs.

"90% of condo owners are Farangs"blink.png

Impossible otherwise 90% of most condo buildings would mathematically be owned by farangs, the law does not allow it smile.png

please read the other threads then you will understand exactly how this is not only possible but factual with regards to Phuket tourist areas maybe not so much in Phuket town

Sorry, not correct. Your statement is far from factual.

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I would love to here from anyone who has been able to successfully register their units as a Hotel and the process and costs involved.

About 6 months ago, all 'known' owners of short-rental condos, guesthouses and small hotels were invited to a meeting at Thalang Amphur offices to discuss this requirement - that all such properties be properly registered as hotels.

There were more than 50 owners present, but only myself and 1 other guy as non-Thais.

Many of the property owners admitted to renting out condos on Airbnb.

The Amphur explained that they would help everyone to correctly register their property as a hotel,and to upgrade the old guesthouse licences to a hotel licence.

For my property, I submitted a few documents to upgrade from guesthouse to hotel, and this process was managed efficiently by both the Amphur and local OrBorTor offices.

To date, they have not asked me to pay 1 baht for this admin work :)

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I would love to here from anyone who has been able to successfully register their units as a Hotel and the process and costs involved.

About 6 months ago, all 'known' owners of short-rental condos, guesthouses and small hotels were invited to a meeting at Thalang Amphur offices to discuss this requirement - that all such properties be properly registered as hotels.

There were more than 50 owners present, but only myself and 1 other guy as non-Thais.

Many of the property owners admitted to renting out condos on Airbnb.

The Amphur explained that they would help everyone to correctly register their property as a hotel,and to upgrade the old guesthouse licences to a hotel licence.

For my property, I submitted a few documents to upgrade from guesthouse to hotel, and this process was managed efficiently by both the Amphur and local OrBorTor offices.

To date, they have not asked me to pay 1 baht for this admin work :)

was your property a guesthouse or a condo??? Do you own the freehold or is it leasehold or does it not make a difference.
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This is another nail in the coffin of the Thai property market. Most people who buy condos in Phuket buy for investment purposes if you are not allowed to rent them out why would you buy. Lets face it 90 percent of condo owners are farang so its just another slap on the face for farangs.

"90% of condo owners are Farangs"blink.png

Impossible otherwise 90% of most condo buildings would mathematically be owned by farangs, the law does not allow it smile.png

please read the other threads then you will understand exactly how this is not only possible but factual with regards to Phuket tourist areas maybe not so much in Phuket town

So only 10% of Thai people are condo owner? If you say so! To be honest being not a condo owner my self I do not care, but it would means 40% of condos would be owned by farangs through Thai companies?

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Its not only phuket, thai company or girlfriend ownership is all over thailand. In Phuket its mainly Russians isnt it ?

No matter the ownership, All condos "can" be rented out monthly, and the rental return is often very good, 5%-10% return on purchase price.

Not a chance of 10% return. 5% would be more realistic IF good occupancy. Right now occupancy is terrible here in many parts of Phuket.

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This is another nail in the coffin of the Thai property market. Most people who buy condos in Phuket buy for investment purposes if you are not allowed to rent them out why would you buy. Lets face it 90 percent of condo owners are farang so its just another slap on the face for farangs.

"90% of condo owners are Farangs"blink.png

Impossible otherwise 90% of most condo buildings would mathematically be owned by farangs, the law does not allow it smile.png

please read the other threads then you will understand exactly how this is not only possible but factual with regards to Phuket tourist areas maybe not so much in Phuket town

So only 10% of Thai people are condo owner? If you say so! To be honest being not a condo owner my self I do not care, but it would means 40% of condos would be owned by farangs through Thai companies?
ok let me clarify I have been in the Phuket property market for 15 years nearly all developers who build in the tourist areas target only foreigners in 15 years the only Thais that I have sold to are spouse or girlfriends of foreigners. Thai people of course buy condos but mainly in town or they buy houses normally not beach front villas there are exceptions of course. If I am not mistaken a year or two ago there was a statement from the Phuket government that suggested that the majority of phuket land / property near to or on the beach was directly or in directly in the hands of foreigners I am not sure if this is true or not but it would not surprise me. If the market was Thai driven then why is the market so flat at the moment.
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