The two sides of Thailand's real estate market

Potential investors currently considering overseas real estate purchases in Asia are likely to be listed in Thailand on their initial list, but then examine whether Thailand's real estate investment is currently a two-sided coin: of the world's twenty tourist destinations, which serve a good investment objective. But to deepen it a little bit further, and find that the capital accumulation in Thailand earlier – together with all the factors that must be taken into account before investing – is disadvantageous to the recent political turmoil, namely the September 2006 coup.

Never less Thailand is still among the best Asian countries for foreigners to invest, no inheritance tax or tax debt, capital income tax is billed as a standard rate and foreigners can freely own condominiums. Foreigners can purchase other ways in Thailand, but buying a condominium is the simplest. And even because of political turmoil, as rental yields still represent 8% of the most popular tourist destination in Bangkok. Another tourist sector in Asia is the neighboring island of Koh Samui, and most of the potential investors find a resort.

Since tourism is emerging on the island and increasingly attracting the high-end market, as opposed to primarily decoders, the properties of the holiday villa can quite easily account for 10-12% yield and capital growth is conservatively 15% -20%

Transaction costs are moderately 10% -12.3% in Thailand, but there is a small complication in calculating purchase costs; special business tax and stamp duty payable at a higher, declared or estimated value, both parties must have their own lawyer.

Overall, a Thai real estate property can be a highly profitable pursuit, especially if you are buying a holiday home in order to lease it if it is not used.

Source by David S Redfern

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