Top 3 terrible mistakes when buying property in Thailand

Thailand is wonderful. Enamored by an azure seascape and white sands, Thailand seems to be on a perpetual vacation. Many of those who visit this beautiful country decide to settle down by buying a property. While it is a commendable decision, you should be careful. Real estate deals are typically the largest one-time investments, and buyers have to be very careful. One mistake and the entire deal can turn sour, running you into losses. Check out these top three terrible mistakes that you should avoid if you do not want to regret them later on.

Mistake # 1: Buying the property without an agent

The biggest mistake that a buyer might make is to try buying the property without a local real estate agent. In the same line, you will also need to hire the services of a Thai lawyer to seal the deal. A local agent has good knowledge of native culture and is also aware of the unique characteristics of the geographical area.

An expat buyer may not have sufficient knowledge about the community. He/she may find it difficult to communicate with the seller in the Thai language. The agent will serve as your conduit with the seller. A good agent will also make property search easy as he will remove disputed properties from the list. Furthermore, the agent will act on your interest and ensure that you get the best price on the property. If you think that hiring an agent is expensive, consider the fact that without an agent, you may be led to buy an overpriced or disputed property.

Mistake #2: Buying the property without a Thai lawyer

You would also need the assistance of a good Thai lawyer to complete the deal.  A lawyer in your home country would not be aware of Thai laws. The local lawyer would be up-to-date on the current legal process in Thailand for a foreigner to obtain a property. A competent lawyer would speed up the legal process, removing the roadblocks of obtaining a property in Thailand. Working with a local lawyer and real estate agent ensures that you have the peace of mind of going through a property purchase deal without any problem.

Mistake #3: Not doing a title search on the property

Instead of being an impulsive buyer, adapt due diligence in researching the property. A title search offers a detailed examination of the history of the property as registered at the land department. It will trace the status of the property through all its handovers right up to the first owner. Before buying a property, you should always examine that it has a clear and legal title.

The title search would also reveal any possible disputes over the property. You will come to know whether the property has any mortgages, liens (creditor right of ownership), and leases on it. It also tells you about area zoning, environmental, and planning codes. There have been several instances of foreign nationals buying a property only to find out that the structural height on the property is limited on that piece of land. This is especially true when you try to buy properties in the beach area.

Conclusion

Choosing a good Thai real estate service can help with resolving all these problems. The real estate agent will act on your behalf and conduct the title search. The agent would also see that you get to work with a competent Thai lawyer on their references.

IBG property was established in 2016. Since then, the company has sold properties worth more than 31 million USD.