Freehold is an unconditional form of ownership which transfers all rights of possession and disposition of the property in perpetuity. This means that the owner may dispose of his villa as he wishes (sell, donate, rent, inherit, etc.) without anyone's permission. Freehold ownership is evidenced by a document (Chanot) which is issued by the Land Office of the Kingdom.
A leasehold is a form of ownership which is time limited (90 years). A leasehold may also be resold, given as a gift, leased, left as an inheritance or be used for the remaining years. The document proving lishhold ownership is also the Chanot, which states the term of the contract.
A leasehold is similar to a long-term lease, but fundamentally different. The object of the leasehold, for the term of the contract is fully owned by you and you can do with it whatever you like, including renovating, remodeling, selling, etc. Your title is guaranteed by Thai law. Also, the lishold properties are very attractive for those who want to invest their money in real estate, as their market value is usually 5-10% lower than the freehold.
Freehold is an unconditional form of ownership which transfers all rights of possession and disposition of the property in perpetuity. This means that the owner may dispose of his villa as he wishes (sell, donate, rent, inherit, etc.) without anyone's permission. Freehold ownership is evidenced by a document (Chanot) which is issued by the Land Office of the Kingdom.
A leasehold is a form of ownership which is time limited (90 years). A leasehold may also be resold, given as a gift, leased, left as an inheritance or be used for the remaining years. The document proving lishhold ownership is also the Chanot, which states the term of the contract.
A leasehold is similar to a long-term lease, but fundamentally different. The object of the leasehold, for the term of the contract is fully owned by you and you can do with it whatever you like, including renovating, remodeling, selling, etc. Your title is guaranteed by Thai law. Also, the lishold properties are very attractive for those who want to invest their money in real estate, as their market value is usually 5-10% lower than the freehold.
Under Thai law, a foreigner can only own 49% of the company. Accordingly, it is necessary to bring in Thai nationals as shareholders. As a rule, several locals are involved or securities with a smaller "weight" are transferred to them so that the foreign owner's vote is decisive.
In this case, the transaction takes place through a change of shareholders, after which the foreigner will own the property, which is on the balance sheet of the firm. Most of the new villas from developers are bought this way, the developer beforehand opens a company, and during the transaction - re-register them to the buyer.
Under Thai law, a foreigner can only own 49% of the company. Accordingly, it is necessary to bring in Thai nationals as shareholders. As a rule, several locals are involved or securities with a smaller "weight" are transferred to them so that the foreign owner's vote is decisive.
In this case, the transaction takes place through a change of shareholders, after which the foreigner will own the property, which is on the balance sheet of the firm. Most of the new villas from developers are bought this way, the developer beforehand opens a company, and during the transaction - re-register them to the buyer.
It all depends on your goals and priorities.
We will be happy to help you make the right choice by providing all calculations and a table of pros and cons for specific properties. We will also be happy to advise you on any questions you may have regarding the purchase of a property in Phuket and to guide you through the entire process, using qualified lawyers if necessary.