Foriegners not being able to buy land.........

[lembeh]

 

So, let say I live in Thailand, work legally in Thailand, I pay tax in Thailand, social security and maybe even have a Thai wife, maybe Thai kids, but I cannot own a house? Gee thanks.

 

Its even moe asinine than that. Even though I earn my money in Thailand, if I wante to buy say a condo, I have to bring the money into Thailand from outside! I cannot use my salary to finance the purchase (plus the difficulty of egtting a loan here).

 

As to the land issue, most people are not really looking to buy a house in prime farmland. They want a house where they can live, work and send their kids to school from.

 

The *real* reason that all these restrictions are in place is so that "powerful" thais have a free playing field and *they* should be the only ones to buy land up a bargain basement prices.

-j-

[shygye]

[color:"green"] Same here in San Francisco. We have all these forigners, cooming here, buying land/apartments Houses etc, and leaving...absentee ownership. [/color]

 

That is BS. Do you have ANY statistics of how much housing is owned by foreigners in SF? The reason home prices are continuing to rise you can blame on the banks and other mortgage companies. They introduced 0 down payment and interest only loans. This has fueled speculation by AMERICANS buying and flipping houses. People expecting home prices to increase 20% per year.

 

So is a foreign absentee owner any worst than an American absentee owner? Each has to pay property taxes and meet health and safety regulations.

[Guest]

You appear to have a rather Luddite view on economics, since you can't take your land home with you, any land sale should be viewed as an inward investment, and Thailand is certainly in need of inward investment to take it out of the third world sector and into the developed world. Would you also support a ban on foreign investment on the infrastructor and manufacturing sector of the Thai economy? if not, why not, there is no real difference between the two. If your argument is that prices will be driven up, then I would point out foreigners renting or leasing property will also drive the price of land and houses upwards. There are also several methods where a foreigner can already effectivley own or control a property in Thailand, since it's happening anyway, why not make it simpler and control and regulate the foreign ownership instead of having it exist in the grey area. IMO until Thailand moderates its nationalistic, zenophobic tendancies and eliminates its institutionalised corruption it will struggle to continue its previous remarkable economic performance, which was only made possible by massive amounts of inward foreign investment. China waits in the wings, and the smart money has already relocated.

Good post, and eliminated the tempatation of my jumping in with a longer post explaining why these sorts of restrictions are such bad policy.

 

I will just add this: while this issue might make for interesting political arguments, there is no serious debate in financial and economical circles that Thailand's policies in this area are absolutely ludicrous. That is all I will say...for now.

[asiafun]

Wait till that bubble starts to burst in 6-12 months...

[Old Hippie]

"...That is BS..."

 

 

Not BS at all really, a simple fact. Statistics as to % of land owned by forigners...? Nope sorry, don't have it. I do know of severel place though. Frankly, I think 1 is too many. Shopping centers, large apartment complexes, office buildings etc, all owned by absentee owners from India, China, Phillipines etc..., some have never even been here to the USA. Sorry, I think that is wrong, and should not be allowed.

 

"...The reason home prices are continuing to rise you can blame on the banks and other mortgage companies. They introduced 0 down payment and interest only loans. This has fueled speculation by AMERICANS buying and flipping houses. People expecting home prices to increase 20% per year..."

 

Oh, I agree this is part of the problem. When the US dollar dipped against forigner currencies, it didn't help either. Hell if you could come over here put 0 down, and play the system/market that's not bad at all is it?

 

The other part of the problem was the BS Dot.Com pyramid scam that took place here a few years back. People came to this area in droves, were paid rediculisly high salaries, and over bid the cost of houses by 20% or more. Additionally, people came from over seas on special visas, which added to the demand, that is a simple fact. There is as I said, a finite amount of land, there was a serious shortage of housing available here, the demand over ran the supply, hence the cost was high. That is simple economics.

 

I am not blaming forigners 100% here, far from it. I am mearly saying they are part of the the problem fueling the market. Again, I have no issue with them owning land, as long as they are citezens/residence, and LIVE in it. I have a serious problem with high ranking members of the Phillipine government owning complexes and shopping centers in Daly city, Indians buying up Berkeley, Chinese buying up San Francicso, and everywhere, And not living here. Sorry, we can't do it in their country, why let them do it here? A weird joke in Hawaii is "...the Japanese won't attack us again, they'll just evict us..."

 

"...So is a foreign absentee owner any worst than an American absentee owner? ..."

 

Yes, in my opinion, it is. Basically, if I grow up here, have the dream of owning land, and want to own a complex of some sort in Reno, but live in SFO, I should be allowed to do so, I live here, my country right? Why should I have to compeate with some guy who just stepped off a plane, buys a place, and goes home? Why should I have to compeate with a forigner for the American dream? Especially if he doesn't have to compeate with me in his country.

 

Again, I am not saying forigners are the entire problem. I am mearly saying they add to the demand, which fuels the prices...especially when added to the BS financing you mentioned earlier.

 

I work with a lot of people from the Phillipines. They all own houses here, some own more than one. Some are not US citezens, most are. I asked one of the guys who is not, why I shouldn't be able to own land in the Phillipines. He answer was simple. "If forigners go over there and buy land then the locals won't be able to afford it...true enough. Odd question is, does it matter if a Pinoy who has lived here for 40+ years returns home with big forigen money, or a 40 year old Native born American does it? Still forign money right? PI is a slightly different story though it could be argued, as they were once a US colony. But my own feeling is What goes for me in their countries, should go for them here.

 

"...Each has to pay property taxes and meet health and safety regulations..."

 

Yes, they pay taxes, not all all follow the safety standards...but then there are plenty of US born dead beat slum lords as well, so it is a moot point in that case...My main point is if I can't own land in their country, they should be bound by the same laws in my country.

 

BTW, I believe you are from UK? Can I own land there? What are the rules/laws etc. regarding foreigners owning land? Thanks.

[gummigut]

pe7e said:

Would you also support a ban on foreign investment on the infrastructor and manufacturing sector of the Thai economy? ... there is no real difference between the two.

 

Property is a long term asset and has unique properties. Investment and infrastructure and manufacturing needs continual maitenance to extend it's usefulness.

 

Very little needs to be done with property if laid fallow. Though the improvements to real estate does have the same properties as infrastructure and manufacturing capital investment.

 

If property rights were opened up, the people who would be forced out of the market would be poor and middle class Thais. Large scale industrial farming would occur. Given the way money = power with little enforcement, I think it's much better this way. The environment would be decimated even quicker if land was opened up to exploitation by large foreign businesses.

 

Additionally, the rich Thais wouldn't go for it. Land is an extremely powerful base for them.

 

During the 1997 crisis, many families had to open up and accept foreign investors into their companies as they exchanged debt for equity.

 

BUT look how much of it was actually done!!!

 

Let's say family Somchai owned an office building. What Somchai did was create a Thai Company. Call it THAICOMP. Signed a lease for THAICOMP to operate the building for 30-years. Then sold off part of THAICOMP to the foreign debt holders.

 

What happens after 30-years? The asset reverts back to the family and the foreign company is totally out of the picture. Family Somchai had to tighten it's belt for one generation, but aside from the cashflow loss, they lost NOTHING in terms of their land value.

 

<<burp>>

[whosyourdaddy]

There are many ways to buy land. over 40million investment in the property, put it in your thai wifes or childs name, put it in the companies name. Or if you are single, buy a condo. Simple. Mortgages are much easier to get for foreigners and properties are plentiful.

[texascity]

>>it would drive up the cost, so Thais could not afford it<<

 

EXACTLY!

much like native hawaiins that are now unable to enjoy the prime spots on their native islands. .. or pinapple plantations .. the foreign companies & japenese retirees own the good stuff.

 

Ollie's & Ronnie's Iran Contra Affair began because Dole Banana plantations were being retaken by the indegenious peoples..

&

the current US problems in south america are due to the likes of Venezuela & now Bolivia striving to re-nationalize the assets of their country.

( note the US uproar when China attempted to purchase Unocal & it's oil assets in 2005 )

&

course the Palestinains claim to the land they were run off from / robbed of is slightly topical..

 

if we can get the falang land rights into a religious text & get some literal word of god reading providing farang's unquestionable right to the land we might have a chance to have it.

( is money 21st century god? )

 

the Thai have the correct solution .. if you are not Thai you are a non land owning guest

 

21st century money colonialist shut the f' up!

[shygye]

[color:"green"] EXACTLY!

much like native hawaiins that are now unable to enjoy the prime spots on their native islands. .. or pinapple plantations .. the foreign companies & japenese retirees own the good stuff. [/color]

 

Well the native Hawaiians could not afford these prime spots when the rich Californians, like OH, bought the beach properties.

[Hidy Ho]

>>The other part of the problem was the BS Dot.Com pyramid scam that took place here a few years back.<<

 

I used to think this was true as well .. and it's a lot easier to blame the dot come folks .. but dot.com pretty much fizzed out in 2001. So tell me, how come hosing demand/price continued to rise until very recently???

 

I think Shyguy's reasoning is more close to reality.

 

I believe your rational is driven ,more by emotion than fact.