The unique charm of Chiang Mai sets it apart from the other tourist destinations in Thailand such as Pattaya and Phuket. Chiang Mai does not have as many options as Pattaya or Bangkok however it is a great place to live! Chiang Mai is likewise famous for the architecture of its older structures which reflect a delightful blend of eastern and western influences.
Through the years, the expat community in Chiang Mai has grown. Its good climate that lasts almost the whole year round, the world class golf courses, developed infrastructure, and low cost of living have attracted foreigners to this quietly classy beach resort town. This development has led to the boom in the property industry in Hua Hin. Today the town is rapidly expanding with many planned subdivisions, golf courses, and commercial centers springing up. Both Westerners and locals are investing in property in the area. The foreigners are either purchasing or leasing property in Chiang Mai to have a place of they can call their own,while Thais, in particular Bangkokians, are building their second home.
Thai law does not allow foreigners to own land in Thailand except for condominium units which they can own on freehold. Another property concession given to foreigners is that they are allowed to own buildings and structures but not the land on which these stand. Considering all these legal structures, leasing property in Hua Hin is the most practical option for most foreigners. In Thailand, the maximum lease term is 30 years with an option to renew for another 30 at the end of the first term. Using this approach, a foreigner can have a home built in his name on leased land. Foreign companies on the other hand, may lease land for 50 years and upon it build structures for industrial or commercial use.
Despite its popularity as a method through which foreigners can acquire land, leasing property in Chiang Mai has its risks especially since the land still technically belongs to the lessor. A lessor can refuse to honor a lease extension which has been previously agreed upon. A dishonest lessor can draw up and register a leasehold agreement for the lifetime of the lessor without the latter’s knowledge. Also, when a lessee dies, the leasehold agreement loses its validity along with his demise. These are just some of the potential risks a foreign lessee faces thereforethose contemplating on leasing property in Chiang Mai are strongly advised to enlist the services of a lawyer to draft a property agreement for you.
Siam Legal International is a highly respected law firm that specializes in providing a full range of legal services to expatriates in Thailand. Our lawyers in Chiang Mai have years of experience handling all the typical legal concerns of foreigners including visas, marriage, setting up a business, business registration, divorce, real property transactions, escrows in Thailand and many others. With their help, you can secure a risk-free lease on a Chiang Mai property.
