also not long ago The “Board of Investment” announced the rules to allow foreign lawyers who have been promoted to invest at least 50 million baht in order to own the land for the headquarters of the offices. and residences ranging from 5-20 rai, which opens the door for foreigners to occupy land in Thailand as before
For this reason, “investment groups bought land” until some of them fell into the hands of capitalists both domestically and internationally. and multinational capitalists “for speculation” and whether it is a good position There are many people who want the price even higher. Doctor Sopon Pornchokchai Chairman of the Thai Real Estate Research and Valuation Information Center Real Estate Affairs Agency Co., Ltd. said
According to the Council of Ministers withdrew the draft ministerial regulation for foreignersbuy 1 rai of land In exchange for an investment of 40 million baht for 3 years, “it hasn’t been completely cancelled”, but because it has reduced resistance, he has withdrawn the ministerial draft. To report to listen to the views of all parties involved to improve and carefully prepare.
this means “This draft ministerial regulation” has the possibility of being re-proposed. Because, as far as I know, there are rumors that “Real estate group OR a large land developer “tried to dismiss this story.
But when the draft ministerial regulations were withdrawn “I have to go back and use it. The Land Code Amendment Act, 1999 issued as a ministerial regulation in 2002 “allows foreigners to invest at least 40 million baht in Thailand for 5 years, with the right to purchase 1 rai of land as before. But in the context of the year 1999, the value of 40 million baht was different from today, which can reach 240 million baht.
Easy to compare, “Gold cost 5,000 baht per baht in 1999, but now the price is almost 30,000 baht.” Therefore, an investment of 40 million baht is a small number. “Which paves the way for foreigners” Chinese, Indian, Arab, Saudi who come to speculate on land rights? Thus, it is seen that “the 1999 law is inconsistent with this era” that amending law should also be repealed.
Underlined with “investment promotion” as specified by the Board of Directors. Announcement of the criteria for the attribution to foreign legal entities beneficiaries of the investment promotion of owning land for offices and house number 6/2565
That is, “foreign legal entities” invest at least 50 million baht and can own land for the establishment of commercial offices not exceeding 5 rai or land for executives. Experts not exceeding 10 rai and rest land for workers not exceeding 20 rai
In the past, “investment promotion policies” usually operated in industrial areas. But now you can buy land anywhere “in Thailand” to do hotel, restaurant or other service business.
when this “The price of land in good locations in Thailand has increased” according to a continuous survey from 1985 to the present. “Despite the occurrence of COVID-19 Land prices are still rising in many places”, indicating that the epidemic has affected the economy. but it does not affect the land price in the country which is different from “Tom Yum Kung Crisis in 1999”, at that time the land price dropped by about 20%.
If you look at the year 2022, the most expensive land price is “Bangkok area”, specifically Siam Square, the price is 3.5 million baht per square wah (or 1,400 million baht per rai), Chidlom, Ploenchit, Nana sells for 3.3 million baht per square wah or 1,320 million baht per rai, Asoke intersection. 2.9 million baht per square wa or 1,160 million baht per rai; Wireless area 2.9 million baht per square wa or 1,160 million baht per rai.
Compared with the land price in 1994, Siam Square, Silom was 4-500 thousand baht per square wa, but if in the part “electric train line also makes land price change soar” 1 million baht per square meter , Rama 9 is 5.5 hundred thousand baht, when compared with the year 1994, it was 1.6 hundred thousand baht -2 hundred thousand baht per square meter.
The situation follows in the second half of this year. “Foreigners appear to be purchasing more than 2,000 units of housing units.” The most popular area for purchase is Ratchada-Ladprao 435 units, central Bangkok 399 units, Bangna-Theparak 372 units, “average price 4.9 million baht per unit” shows the importance of setting minimum price measures for foreigners.
For example, in the case of a foreigner to purchase a house Or an apartment building in Malaysia must cost 1-2 million ringgit or 8-16 million baht, so as not to buy a house cheaply and raise the price of the house, which will cause problems for low-income people.
Next is the “eastern land” according to 29 major points examined, with the most expensive land area Beach Road, Pattaya Soi 8, the price is 6,100 thousand baht per square wah, an increase of 5.2% over the previous year. If this is a land estimate for tax purposes by the Treasury Department, it is 1,900 baht, 34 percent below the general market price.
while Pattaya Sai 2 Road, opposite Pattaya Night Bazaar, sold 5.3 hundred thousand baht per square wa, an increase of 6%, Central Pattaya Road opposite Mae Sri Ruen, 3.4 hundred thousand of baht per square wa, North Pattaya Road directly crossing Health Land Pattaya, 3 hundred thousand baht per sq. m.
When considering the highest rate of increase in 1 year, Sukhumvit Road, opposite Toyota showroom, Rayong Province, the price is 1,100 thousand baht per square wa, an increase of 13.4%.Sriracha tiger, price 4.5 thousand baht per square wa, an increase of 12.5%
Next is “Land in Phuket Province” as it is a world-class tourist city that can continue to flourish. causing land prices to continue to rise especially around the beach and key islands according to the 2020-2021 data cycle Beaches suitable for resort construction increased by 3.9%, “rather than inflation”, indicating the potential remains good.
only then “Not very welcoming to tourists. Due to the COVID-19 outbreak”, the beach with the highest land price is “Patong Beach”, estimated at 250 million baht per rai or 625,000 baht per square wa. continued Sq.w., the lowest it is 2.5 thousand baht or 10 million baht per rai.
Whereas from mid-2004 to mid-2021, over the past 17 years, “land prices around Phuket have increased by an average of 10.5% per year, or 5.4 times.” Island, even during the “tsunami crisis”, land prices in 2004-2005 almost never rose.
In fact, “the Chinese like to buy real estate in Thailand more” because there is no minimum purchase price limit like in Malaysia, which must buy at least 8-16 million baht. And condos in Thailand are cheaper than many countries. “Freehold” is also not a long-term lease like in China or Vietnam.
He points out that “There is no land acquisition tax”, for example in Singapore, for foreigners who buy land need to pay 20% tax, Hong Kong levies 30%, but in Thailand, especially in the “EEC”, no tax is also required There is no land tax system yet. and buildings Including inheritance tax, despite the enactment of these 2 tax laws, but are they almost ineffective or not?
This makes property purchases by “foreigners” exempt from purchase tax and almost no land and building taxes. For this reason, the Chinese are increasingly turning to buy real estate in Thailand. Despite the good results that Thai land development companies have a large market, the disadvantage is that “people” have to buy expensive houses due to the higher purchasing power of the Chinese and other countries.
Therefore, when each country’s “population” is increasing, but “land” is a limited need, then “Thailand” is open for foreigners to own land. “The price must always be higher.” The beneficiary is inevitable from the land development company, but for the Thais it is almost nothing…
