"Freehold and Leasehold: What's the Difference?
In short: the main difference is how much money you want to pay."
In short: the main difference is how much money you want to pay."
〽️ Freehold is suitable for acquiring property for yourself and your family.
It is full ownership, and it comes with a higher cost.
It is processed when purchasing a home for personal or family use.
〽️ With apartments, everything is straightforward; we process it, pay all the taxes, and it's all set.
〽️ With villas, there are nuances.
According to Thai law, a foreigner can own a house but not the land. There is a solution: open a company within the country. This incurs additional annual expenses for owning the company, but in return, the villa is entirely yours, plus the possibility of obtaining a work visa for yourself and your family.
The tax on the sale of freehold can reach up to 6.5% of the sale price
It is full ownership, and it comes with a higher cost.
It is processed when purchasing a home for personal or family use.
〽️ With apartments, everything is straightforward; we process it, pay all the taxes, and it's all set.
〽️ With villas, there are nuances.
According to Thai law, a foreigner can own a house but not the land. There is a solution: open a company within the country. This incurs additional annual expenses for owning the company, but in return, the villa is entirely yours, plus the possibility of obtaining a work visa for yourself and your family.
The tax on the sale of freehold can reach up to 6.5% of the sale price
〽️ Leasehold - for investments for rent and resale.
This option is suitable for real estate investments for leasing or subsequent resale.
It involves a long-term lease for 90 years, initially processed for 30 years and then extended twice for an additional 30 years each time.
Pros:
The tax on the sale of Freehold can reach up to 6.5% of the sale price.
This option is suitable for real estate investments for leasing or subsequent resale.
It involves a long-term lease for 90 years, initially processed for 30 years and then extended twice for an additional 30 years each time.
Pros:
- No extra cost for ownership acquisition.
- Lower taxes in case of sale: 1.1%.
The tax on the sale of Freehold can reach up to 6.5% of the sale price.