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Ownerships in Thailand

Foreign Freehold

Foreigners can own property in his own name freehold by the condominium act which not exceed 49% of total floor space. This type of ownership is the most popular and straight forward in term of the foreigner investment.

It is important for buyer to realize that buying money need to be transferred from bank oversea to Thai ban. Also the receiving bank in Thailand need to issue Foreign Exchange Transaction form(FET) to prove of money transaction. If the amount is less than $20000 USD, the bank will issue a "credit advice".

III. Leasing:

Leasing is practical and legal way to acquire a property in Thailand of 51% floor space of building. Under Thai law, the maximum lease is 30 years and it is renewable for 2 additional periods of 30 years if it was agreed by seller and buyer in written lease contract. 

IV.Freehod with Thai Company Limited:

Using Thai limited company to acquire land, construction or apartment as freehold. It needs a minimum of 2 Thai shareholders and one director who can be a foreigner. First to start, the director may have to be Thai in order to apply for the Tax ID and VAT registration of the company. By law, 51% of the shares are held by Thai and a maximum 49% of the shares may be owned by foreign shareholder. There is no restriction under Thai law that one share must equal one vote, it is allowed to issue classified shares: The A-Shares ("Ordinary Shares") where the holder one share is entitled to one vote and the B-Shares("preferred Share") where a shareholder must have multiple shares in order to obtain one vote. The foreign shareholders will subscribe to all A-Shares, whereby the B-shares are held by Thai holders. This structure enables the foreign minority shareholder to hold fewer numbers of shares, but in fact control the company by voting rights.