Spouses' Thailand Property Ownership


July 8, 2010     By Siam Legal International

PhoneCall the Attorney at +66 2 2598100   Free Consultation

Law Firm in Bangkok: Siam Legal International
Introduction: Since 1999, the Thai government has allowed its citizens who are married to foreigners to own land in Thailand. This was a stark contrast to a former law which did not allow even its own nationals to own land within the State owing to their marriage to a foreigner. Back then, the government considered a mixed couple as entirely foreign and thus, not qualified to own land in Thailand.
Requirements: Though the Thai spouse of a foreign national can now own land, the land cannot become communal marital property. Therefore, the couple must take several steps when purchasing the land. First, the couple must certify that the funds used to purchase the property belong to the Thai spouse. Sometimes, the foreign spouse is asked to submit an affidavit or statement that the funds used to purchase the property in Thailand came from the Thai spouse. Next, the couple must certify that the foreign spouse will not state a claim for property rights regarding the land in the case of a divorce. The couple must sign and file these certifications with the Land Department.

Rights of the Foreigner Spouse: Ultimately, it seems that foreigner will have to cede his entire property interest to the Thai spouse. However, the foreigner spouse may still protect his rights. One option involves signing a contract granting a usufruct over the property. Another option involves devising a building via contract. The reason for this is while foreigners may not own land, they may own buildings. Therefore, a married couple can contractually agree that a building on land owned by the couple is the property of the foreign spouse.

Some couples enter into a loan agreement instead. The agreement provides that in case of a divorce, the Thai spouse shall return to the foreign husband a certain amount representing the foreigner’s share in the property.

Foreigners have fewer options when dealing with undeveloped land. First, the foreign spouse may agree to register a right of superficies with the Thai spouse. If the couple chooses to build upon the land, they must decide who will file for the building permit. The couple can apply jointly, but a foreign spouse seeking to protect their interest may choose to apply alone.

Considerations: While a foreign spouse may retain a legal right to real property or an attached building, this may not matter as a practical matter. As usual, the foreign spouse will be disadvantaged against a Thai citizen. Even if the foreign spouse retains some right to use land or a building, they may be stopped, in a number of ways, from doing so. This is particularly true in the more rural areas of Thailand. Therefore, the spouses may agree that the foreign spouse will retain the liquid assets of a marriage while the Thai spouse retains real property.

Conclusion: Foreigners interested in purchasing land in Thailand face an uphill battle, even when that foreigner is married to a Thai citizen. Before investing in any property in Thailand, It is always wise to check on all available options and remedies afforded by law.

ABOUT THE AUTHOR: Rebecca Ponce
Rebecca Ponce works as Legal Advisor at Siam Legal Thailand. She is a licensed lawyer in the Philippines. Her field of specialization is foreign divorce, marriage in Thailand, Adoption in Thailand and other concerns related to Family laws.

Copyright Siam Legal International
More information about Siam Legal International

View all articles published by Siam Legal International

Disclaimer: While every effort has been made to ensure the accuracy of this publication, it is not intended to provide legal advice as individual situations will differ and should be discussed with an expert and/or lawyer. For specific technical or legal advice on the information provided and related topics, please contact the author.