To know before you invest
Who is the real estate investor? In addition to having knowledge on investment The future profit is expected. There is also another thing that the investor must have with the knowledge of the Assembly, that is, the subject of “Law on property” that is like the mandate to buy real estate. All investors are required to study and be informed by the main topics to know, ranging from real estate buying and selling. To make a letter of sale, sales contracts, fees and taxes, and rentals that have recently been resolved
Property rules related to real estate purchase
A legal act relating to buying real estate is the first priority that investors need to know because when a trade occurs. Real estate changes will be made for home and condo trading contracts. Registration Transfer documents in the subject of a legal matter What investors should know
Book house and condo sales contracts
Real estate investing requires a frequent change in hand, and the most important thing is to make a book. Home and condo sales contracts The key ingredient is the real estate purchase confirmation which the contract is divided into 2 versions.
- The contract of sale or purchase agreement to be used for registration to the authorities.
The contract is required by law and to be registered to the staff by the person who is currently making a purchase of property, but does not find the following two steps. The legal hold is deemed void.
- Purchase contracts are sold.
This contract is not mandatory to be done, but to express the intent of real estate purchases in the future. Most vendors make this contract of sale and the condo in order for the buyer to place a deposit before and after it can be used as a legal basis. If a deposit is fraudulent or a contract is made, the buyer agrees to the seller.
Property rules related to expenses when selling real estate
If you ask why investors are required to know the costs that the law has to offer when buying a real estate, it is said that these costs affect the price of buying real estate for a profit because the difference is paid. In most words, the appraisal price is determined to cost a fee of 4 different fees and taxes, including:
Every time a ownership transfer is registered, a fee of 2% of the appraisal value must be paid at the rate of the exemption. Generally, sellers and buyers often share this fee at a rate of 1%.
The seller’s stamp duty must be paid solely at the rate of 0.5% of the appraisal price or market price, depending on which price is higher, which is exempted only when a foreclosure trade has a specific business tax that will be detailed in the next verse.
Specific Business tax
The seller occupying the property for a period of less than 5 years, or the name in the House register for more than one year, is subject to a specific business tax at 3.3 percent from the appraisal value or market price, whichever is higher. This will be excluded if the property is trading from the inheritance.
When the seller has income from the sale of property, it is necessary to pay taxable personal income as required by law. The cost of this seller must be all responsible. Based on the number of years on hand. From 1 January to 31 December if trading within the same year. It is a 1-year holding.
Holding period 1 2 3 4 5 6 7 8 years and above Income tax calculation 8% 16% 23% 29% 35% 40% 45% 50%
Property rules related to rental lease
The law is a must-know because it relates directly to investors who are currently in the public sector, it is relatively strict with the lease, and the middle of the year 2561 has begun to use new legislation. Therefore, this law is not an issue that the investor will not be able to say the main parts directly related to the investors who want to rent a property by 2.
- New legislation on rental and rental of residential buildings
In addition to the release of the daily rental building, it is not possible to include the main content that the investor should know.
-It is forbidden to collect a rental fee of more than 1 month in advance and receive a security deposit which is able to terminate the contract. There must be a notice of not less than 30 days in advance.
-Electricity and water charges, telephone charges and other expenses. The tenant must send the invoice and details to the tenant in advance, not less than 7 days prior to the due date.
-When the lease contract ends or the termination of the contract is cancelled. The renter will be required to refund the insurance fee immediately, except for an additional charge after checking for the internal damage.
-The tenant can cancel the lease agreement at any time, but must inform the property at least 30 days in advance, the renter must not pay for rent or not to pay the rental.
- Foreign Rent Control Law
The Thai law does not prohibit any of the lease, only before renting the rental provider must comply with the law. As follows:
-Renter or condominium owners are required to inform foreign visitors of the property in their suites with immigration and foreign tenants must be allowed to stay in the kingdom temporarily at the time of the move.
-The renter must provide information and submit documents about foreigners renting a suite to a corporate officer, kept as evidence. Contains a copy of your ID or passport. A copy of the tenant’s residence voucher and the residence in the suite. Copy of receipt of the incoming alien notice In addition, the foreign tenants cannot stay more than 3 persons per room.
All three of the main terms are legal about the property. The basis whether a new investor or an old investor is required to know The most important thing is the legitimate leasing process, and it is also possible to prevent the cheats from occurring after the sale.