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Freehold Ownership; Phuket Condo's

Freehold Ownership; Phuket Condo's

07 Mar 2023

In Thailand, there are two types of condominium ownership: freehold and leasehold. The main differences between these two types of ownership are:

  1. Foreign Ownership: Foreigners are allowed to own freehold condominiums in Thailand, whereas they can only leasehold condominiums for up to 30 years.
  2. Ownership Period: Freehold ownership gives the owner permanent ownership of the property, while leasehold ownership gives the owner the right to use and occupy the property for a specific period of time, usually 30 years.
  3. Renewal: Upon expiration of the leasehold period, the lease can be renewed, but this renewal may be subject to negotiation with the property owner, and renewal conditions may be different from the original lease agreement. In contrast, there is no need to renew freehold ownership as it provides permanent ownership.
  4. Resale value: Freehold ownership has a higher resale value compared to leasehold ownership, which is due to the permanency and flexibility of ownership.
  5. Cost: Leasehold ownership is usually less expensive than freehold ownership as it is only for a limited period. However, leasehold ownership may involve additional costs such as renewal fees.

It is important to note that the rules and regulations surrounding foreign ownership of property in Thailand can be complex, and it is advisable to consult with a reputable lawyer or property specialist before making any property investments.