New company ownership rules might affect you

[appleman_thai]

It sure does sound like the Agents are trying to put a positive spin on this!! What a surprise!

Fact of the matter is that (except for exceptional circumstances) you are NOT allowed own land in Thailand as a foreigner!

THe more negative publicity there is - the bigger the impact will be on the real estate market in the short term.

However, property investment should not be for the short term! I think once the dust settles things will improve but for now it is a dodgy time!!

Is it time to buy? Not yet, wait till things drop even further and then when people feel the pressure to sell then move in!!

I still cannot rent out my condo in Bangkok!

[johnnyk]

Try making the rent more attractive.

[canada1]

Hi Burgher

Really would like to tie you down on this one.

all the residents on our estate have as advised registered companies in order to buy their properties, not one to my knowledge actually does any buisness and pays around 10,000bht per annum for tax and fees.

Are all these people now safe, if not what was this all about.

See, I told you all not to panick ..........

Or

So to summarise, once again they had the chance to clampdown on foreigners owning companies to buy land and house, and once again they exempted us.

Clampdown on foreigners my ar$e.

Are all our investments safe or not and please dont tell us about the lease option, I bought to own and not lease for 30 years.

If the company route is safe then maybe the developers would agree to an insertion into the contract stating that if there is a problem with owning a property in the future they would give a full refund plus interest of say 3%.

This would seem the way forward to regain confidence in the housing market here, and after all you yourself have stated that property here is such a great investment it follows that you would of course not lose one baht due to huge price rises.

Your thoughts please.

ST

[Winkie]

I think th emeaning of Burger's post is 'Everything is back to normal'

Safe or not is up to you, technically it never was totally safe, and for sure the same is true today.

[Burger]

canada1 wrote:

Really would like to tie you down on this one.
all the residents on our estate have as advised registered companies in order to buy their properties, not one to my knowledge actually does any buisness and pays around 10,000bht per annum for tax and fees.

But they should all show some business in their account, renting the office back to yourself etc and pay a reasonable amount of tax each year.
Not 10,000, as they are just being tight/greedy and may attract attention from someone.
The people in power know full what our companies are for, ie: just for investment in house. They're not daft.

Are all our investments safe or not and please dont tell us about the lease option, I bought to own and not lease for 30 years.

Ask your solicitor.

Cheers,

Burger

[appleman_thai]

Ask a REPUTABLE Solicitor!

Dont forget that some of these Solicitors have a vested interest in maintaining the property boom for foreigners!

IMHO, if you have a company already then just sit tight and wait a little to see how things pan out.

If you are thinking about buying a house now, do NOT use the company route! If you want to invest (rather than just rent) then use the Lease route.

Take everything you hear with a pinch of salt and BUYER BEWARE!

Remember you cannot legally own land in THailand as a foreigner (except in exceptional circumstances).

However, you CAN legally own a Condo! That is the safest route!

[canada1]

Ok guys so i will try again.

The property market has taken a beating lately, this of course we all really know to be true whatever anyone else may say.

The answer is very very simple,

To install renewed confidence in the housing market the developers must offer a BUY BACK OPTION.

This would overnight renew peoples confidence, we have all heard from the developers what a wonderfull investment Thai houses are.

The last edition of the Observer states on the front page to expect 40% ROI per annum, if this is true then where is the drawback for them.

Come on guys put your money where your mouth is and help everyone to reinstall confidence in the market, or is the hype just hype.

ST

[Wanderlust]

The last edition of the Observer states on the front page to expect 40% ROI per annum, if this is true then where is the drawback for them.

I don't know where you saw that but it most definitely is not on the front page of this or any issue of the Observer!

[Jockey]

The last edition of the Observer states on the front page to expect 40% ROI per annum, if this is true then where is the drawback for them.

I don't know where you saw that but it most definitely is not on the front page of this or any issue of the Observer!

Correct! - It states 30% ROI ... but is it on the front or back page?

[Wanderlust]

The last edition of the Observer states on the front page to expect 40% ROI per annum, if this is true then where is the drawback for them.

I don't know where you saw that but it most definitely is not on the front page of this or any issue of the Observer!

Correct! - It states 30% ROI ... but is it on the front or back page?

Firstly, that is not on the current (April) issue, it is the March issue.
Secondly, it is on the front cover of Bricks and Mortar, which is the back page of the Observer.
Thirdly, it is an advertisement not any statement by the Observer.

[canada1]

Fair enough wanderlust.

So for several months it has shown 30% ROI, you agree.

advertisment or not if developers feel they can print these sort of returns then my case is already made, so why does it not appear this month.

You seem to be missing my point, let the developers lead by example and show the confidence they clearly seem to have in the market.

This will of course pass on to potential customers and we will all be happy.

ST

[johnnyk]

fatuous musings in dreamland.

[Jockey]

If the company route is safe then maybe the developers would agree to an insertion into the contract stating that if there is a problem with owning a property in the future they would give a full refund plus interest of say 3%.

This would seem the way forward to regain confidence in the housing market here, and after all you yourself have stated that property here is such a great investment it follows that you would of course not lose one baht due to huge price rises.

Your thoughts please.

ST

I think you are missing a big point. If a developer sells a house, only a percentage of that money is profit. A developer need to pay for workers, materials, land tax etc. Lets say a developer sold 10 houses at 5 million baht each. Thats a total of 50 million. Lets say he makes a profit of 1.5 million on each house. Thats a total of 15 million which is only enough to buy 3 of the 10 houses back!

If you sold your house would you give the buyers an option to get a full refund on their money 6 months or whenever down the line you think they may change their minds? I think not!

If a foreigner is worried about buying a house there's an easy answer - don't buy it! If a foreigner thinks its a good investment - let them enjoy their new home without having to listen to worry mongers everywhere they go.

People of Hua Hin, expats and Thai, should be proud of the way the town has developed into a very pretty beautiful desirable place to live. It's Songkran - Thai new year. Lets hear less of the repetitive negativity and acknowledge the achievements of those who have taken big risks and accomplished a lot. Sure, things can go wrong, just as things go well. When it comes to investment in property, my experience is it usually works in the buyers favour and the dread mongers who don't buy usually lose out. There's pros and cons to renting / buying / condos / houses etc. etc. In the main, people who buy property here do not want to hear how stupid they are, day after day by the same people with the same rhetoric over and over. Its these people who quite frankly I suspect are a tad jealous.

[Wanderlust]

Fair enough wanderlust.

So for several months it has shown 30% ROI, you agree.

advertisment or not if developers feel they can print these sort of returns then my case is already made, so why does it not appear this month.

You seem to be missing my point, let the developers lead by example and show the confidence they clearly seem to have in the market.

This will of course pass on to potential customers and we will all be happy.

ST

All I was doing was pointing out inaccuracies in your post. I have no idea why the advert is not there this month I'm afraid. An advert can claim almost anything though, and it is up to the buyer to investigate whether it is true, particularly when larger sums of money are involved. I am sure there could be an average of 30% ROI per annum on the project being advertised but I'll bet there is no guarantee in any contracts signed! I would doubt that any developer in the world would offer what you are asking for, which is why buyers of property should always tread cautiously, and as has been said numerous times on this forum, only risk money that they are prepared to lose if it comes to that.

The developers, construction companies and estate agents are all in business to make money, and normally that dovetails nicely into providing customers with what they want, but they are just as much at the mercy of governments and the world economy as anyone else, possibly more so, and they would be extremely foolhardy to make guarantees on future values; all they can do is point to past history, future known developments such as (in this instance) a new golf course nearby, and put forward the likely outcome - it is up to the buyer to assess this and decide if they are right.

[Burger]

canada1 wrote:

The answer is very simple,

To install renewed confidence in the housing market the developers must offer a BUY BACK OPTION.

This would overnight renew peoples confidence, we have all heard from the developers what a wonderfull investment Thai houses are.

Ok, you're on.
Can we also add a condition that says the developer gets 30% of the profit your house makes down the line ? Fairs, fair.

The fact is YOU have made the decision to invest in Thailand, but you want SOMEONE ELSE to take on your risk.

Dream on mate, take responsibility for your own actions.

Burger