Thailand’s Board of Trade vice chairman is calling for changes to restrictions and processes for foreigners to buy condos and invest in the country. He said the process is unnecessarily complex and steps must be taken to improve procedures and conditions if Thailand’s plan to attract wealthy retirees is to gain traction.
He requested that money transfer procedures in particular be reviewed, as they may involve forcing condo buyers to transfer their money out of Thailand into their national currency and then return to Thailand in order to show the exchange transaction. required at the Land Department. For buyers who have businesses or families in Thailand, this is an unnecessary burden.
Most countries don’t care about money going into their country, just money going out, so the vice president suggested Thailand’s rules are overbearing. He also objected to the feeling that Thais view foreign ownership of property in Thailand as betrayal, although Thais can buy property abroad without the same stigma.
He pointed out that Thais and foreign buyers are rarely in competition as the homes and locations desired by foreign retirees are generally different from what Thai buyers want. In fact, a senior researcher at the Thailand Development and Research Institute suggests that without foreign investment in the real estate sector, the economy could struggle.
Skilled labor shortages, 1.5 trillion baht in debt, and slowing Thai population growth are all hurting the housing market, but Thailand is attracting foreigners like digital nomads looking to relocate or retirees seeking to retire in the country. Long-time foreigners are pumping money into the Thai economy, boosting employment, and investing in the country.
Thailand aims to generate 800 billion baht of investment from 80,000 rich retirees and 10,000 other rich, plus an additional 270 billion baht in taxes. The government’s comprehensive plan aims to attract 1 million foreigners, each of whom is expected to spend 1 million baht per year to generate 1 trillion baht per year.
The plan is to set up a service center for long-term residents to help them overcome all the complexities and obstacles for foreigners who want to buy condos and invest in Thailand now. The researcher suggested increasing the amount of medical support available as well if Thailand attracts many older foreigners. They expect the program to resume in the first or second quarter of 2022.
THE SOURCE: Bangkok Post
For more information on property insurance, CLICK HERE