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Review of Thailand’s foreign ownership laws should be cheered

Proprty Report
Review of Thailand’s foreign ownership laws should be cheered - Thailand - property law - ownership - foreigners

The Joint Foreign Chambers of Commerce in Thailand (JFCCT) should be congratulated for raising the issue of foreign ownership and seeking to improve inbound real estate investment into Thailand.

CB Richard Ellis (CBRE) Thailand adds our wholehearted support to a review of Thailand’s policy regarding foreign ownership. CBRE Thailand would like to state, on behalf of our clients who are principally Thai developers, “that the foreign buying segment is a significant part of the market.” Whilst typically in the Bangkok condominium sector foreign buyers represent approximately 20% of the market, in areas such as Pattaya, market demand is 80% foreign versus 20% domestic demand. The one location where foreign and local demand is equal and able to comply with existing legislation which restricts foreign freehold ownership of a condominium to 49% of the sellable area is Hua Hin.

In Phuket, the demand for resort property is virtually foreign. The impact of an effective improvement in foreign ownership legislation on the construction industry, the real estate sector, and associated services would be significant.

Properly handled, the contribution to the wider Thai Economy could be significant without any material risk to issues of sovereignty or adversely affecting social or economic conditions.


Disclaimer: The information presented and opinions expressed herein are those of the authors and do not necessarily represent the views of Estates Report and/or its partners.