Real Estate lease agreement under Thai law

As foreigners are prohibited from owning land into a foreigner or foreigners under a lease agreement.
Thailand a long term land lease agreement is a popularOnly land owners who have an officially  recognized
legal contract for foreigners to possess land and toright of possession or ownership (a proper land title
obtain an interest in land in Thailand.deed), including the right to transfer the land to others,
A land lease contract in Thailand is the bindingcan record a lease in the registers of the land office.
agreement between two or more persons that isTherefore only properly titled land is viable for long
enforceable by law and confers the right of one orterm lease in Thailand. The land office will note the
more persons to possess land (property) belonging toexisting of the lease on the backside of the land title
another person to the exclusion of all others.deed of the owner and on the original copy as kept in
The consideration for the lease is called rent or thethe official land register.
rental. Payment of rental is an essential element of aIn the lease agreement is among others specified if the
lease agreement. The relationship between the lesseelessee is allowed to sub-lease the property or assign
and the owner is governed by the lease agreementthe lease to a third party and if the lease is
and in addition by the Thai Civil and Commercial Code.transferable by inheritance to the heirs of the lessee. If
The lessee's right of possession (his leasehold interest)these matters are not specified in the lease
is in certain situations further specified by the Thailandagreement properly Thai law specifies that  the
Supreme Court.lessee in this case is not allowed to sub-lease or
Only a written lease agreement is enforceable byassign the lease and that the lease agreement is
action and a lease agreement exceeding 3 years is interminated at death of the lessee.
principle only enforceable if the lease is officiallyA long term lease agreement should be drafted by
recorded and entered into the local land office landexperienced legal professionals. And as in any long
registers. A lease agreement in Thailand cannotterm leasehold or freehold purchase of property due
exceed a period of 30 years, but may be renewed ondiligence should be conducted on the property (land)
expiration of the first lease.and the owner prior to signing the lease agreement or
Thai land owners with proper ownership rights are inhanding over money.huahinlawonline is a website and
principle at liberty to do what they want with their land,service by Siam Expat Law Co., ltd is a licensed law
including the right to hand over possession of his landfirm offering licensed online legal services in Thailand.