The condominium is the ideal investment for any foreigner in Thailand. It’s the only the form of real estate that expats and foreign retirees can place their money into, as according to the laws of Thailand. The 1979 Condominium Act of Thailand lays out the rules for foreign ownership of condominium units in the country.
Just in case that you do not remember, click here to refresh your knowledge on what the law says about foreign condominium ownership.
As with any investment, your purchase of a condominium unit can and should give you excellent returns. It can function more than just a place for you and your family to stay in. Let’s take, for example, that you’re a businessman who has to frequently go to Thailand every year on official matters. You stay 30 days at a time, and then you go back to your home country to manage your business there. What happens when you are gone and there’s no one living in the unit?
Some people actually purchase their condo units as a preparation for their eventual move to Thailand in the future. Even if it is still years away, some people do acquire condos already in advance. They then just make use of the condominium as a means to make some money to at least recoup some of their investment in the unit.
You, too, can do that. If you have purchased a condominium unit that you leave in the care of a local Thai that has your confidence, you should start thinking about how you, and possibly your caretaker, can make money out of that. The answer: sublease the condominium unit.
Because Thailand is such a beautiful place, you might find your friends wanting to go over to the country but they don’t have a place to stay. Temporarily renting out your condominium unit to them is a good idea – you can work on affordable rates so that they’d want to pick staying at your condominium rather than going to a luxury hotel and spend a lot of money on astronomical accommodation rates. It is perfectly legal, because you are the owner of the condo unit.
In the event that you are engaged in a long-term lease on the condominium unit, but you are not staying there permanently for now, you can negotiate a clause in the contract to allow for subleasing. This is the only way that you can legally rent out the condominium to your friends who are coming over to Thailand for a holiday. It would take some negotiating and maybe some additional terms on your contract, but it would totally be worth the effort on your part.
Real estate is indeed a great investment anyone can make. With a condo unit in Thailand, you are opening plenty of doors of opportunities for yourself. It’s more than just a place to call home in Thailand – it can also be a means to earn residual income.
Photo Credit: Timothy Smith