5 Important Things to Look for while Buying a Second Home in Thailand
If you want to purchase a second home and if are wondering where to buy it, Thailand is perhaps the most deserving destination. Why? Reasons are obvious. Thailand is a great country with respect to many things like climate, food, hospitality, living costs and more. If you move there yourself you will come to know why Thailand is such a livable country.
Why should You Move to Thailand?
There are many reasons. Some of them are:
- Thai people are primarily Buddhists and so, are super calm and nice people.
- Living costs in Thailand are quite low, i.e. you can work less and still your standard of living can be quite high. If you buy a second home in Thailand, get paid more in your own country and spend less (thus save more) in Thailand.
- Thai food is world-famous for its taste and nutrition.
- Thailand’s climate is much better than that in many parts of the world.
What Should You Look for while Buying a Home in Thailand?
1. Take Fluctuation of Exchange Rate into Account: When you are buying a home in Thailand which is quite a handsome amount, exchange rate fluctuation of even 10% makes a big difference. If Thai Baht (THB) is up by 10% – 12% you lose much more while buying a luxurious beachside villa with a pool. So, keep an eye on the fluctuation and then make the transaction.
2. Freehold or Leasehold: Foreigners are not allowed to own a land in Thailand! You can own a house above the land, but not the land itself underneath. This is the reason why many Westerners who married Thai girls and then got split had so many problems as they paid for the house, but the land on which the house stood was on the wife’s name. You have two ways to sort this out (in case of a house and not an apartment the land of which you share with others):
- Leasehold: You rent the land usually for 30 years. Some contracts guarantee of 2 x 30 years of lease, while some others even agree to 3 x 30 years. But you have to see if the courts have accepted only those contracts with 2 x 30 years. It’s still not clear whether 3 x 30 years is legal.
- Freehold: In this option, you or a lawyer on your behalf set up a Thai company 49% shares of which are owned by you and two Thai people own 51%. This is seemingly risky so better you take the help of a trusted lawyer. Make all the documents in English and get them explained well. This Thai company can own a land.
Warning: The freehold option is slightly in the grey area.
Get all the costs explained so that you get no hidden surprises. Read the contract and understand what for you will have to pay. Some of the things which you probably have to pay for are:
- Air conditioner
- Package of Accessories (everything from TV, DVD and even kitchen utensils)
4. Seek Only Finished Properties
This means buying only ready homes and not properties on which homes are still to be built. If there are no homes built yet, there can be a lot of problems. If all the homes (on paper) are not sold, the community areas are not built due to lack of money. So, you don’t get proper roads, pools, restaurants, clubhouses etc. as they are built in the last after homes are built if there is any money left.
5. Have Someone to Look After Your Home in Your Absence
This might not be very important when your home is guarded by a compound. Otherwise you can hire a company to look after your house, garden or pool in your absence and update you with emails etc.
If you take care of these things you can be a proud owner of an amazingly huge luxurious second home on some beautiful island of Thailand like Koh Samui like that of horizonhomes-samui.com, some of which are given in this article too.