Investing in real estate is a secure way to invest your money, which should, if done right, give you a good return on your outlay.
This page aims to give information to foreigners regarding investing in the property market in Thailand.
- Location
Anywhere in the world, one of the most important things when planning to start an investment property portfolio is to find the right location for the properties. It goes even further when investing in Thailand due to the number of tourists that visit the Kingdom each year.
When investing in a place like Thailand, where the property prices are currently very cheap, it is worthwhile looking around for the prime location for your investment property.
Whilst the property in Chiang Mai may be excellent value and hold a good resale value, the number of foreign tourists, when compared to Pattaya or Phuket, is minimal.
It is well worth looking around the whole country to determine where to buy the property. After that you should choose the actual area of the city (or island) that you would like to buy, much as you would if buying an investment property back home.
- Long term or short term?
You should always have a definite long term strategy when you are planning an investment property purchase. This is important in any country, but especially so in Thailand, due to the year-round, short-term letting income that is possible in resort cities / islands here.
It is very easy to ‘turn around’ a property in Thailand; to renovate it and then sell it on for an immediate profit.
That said perhaps a longer term strategy will work better. If you can sit on the investment for a longer period of time and let it out to tourists on a weekly or monthly basis, you will be able to sit back and watch as the market value of the property increases. This is very often a better option than short-term profit.
- Legal advice
Whatever you plan to do with your property purchase in Thailand, whether it will be used as a holiday home for you and the family or a short-term holiday apartment for tourists, remember to get good legal advice before agreeing to any deal.
There are lots of good, reliable and trustworthy brokers and agents in Thailand, but, as with anywhere else, there are also some less scrupulous ones.
If you check the internet there are lots of English speaking law firms out there to choose from, so pay the little extra and get one that is tried and tested.
If you choose your investment wisely and broker the deal sensibly you shouldn’t have any problem finding your perfect investment property in The Land of Smiles.
