While the company will be the “promoted person,” and therefore the owner of the land, the foreigner may control the Thai company under the BOI scheme. This foreign ownership of the company is not possible with a standard Thai Company Limited, and because the foreigner controls the company, they also control the assets of the company (including any land).

For a foreigner with the resources to take advantage of this program, it is another route to legal control of Thai landed property.

Buying in a Thai Spouse’s Name

Prior to 1998, a Thai woman who married a foreigner gave up her right to own land in Thailand. This restriction was removed, however, a foreign husband is not permitted to co-own the land with his wife. (Because it is the most common relationship dynamic, we will continue to use the example of a Thai wife and foreign husband, but it applies equally the other way around.)

When purchasing land in a Thai wife’s name today, a joint declaration must be made stating that the wife purchased the house with her own personal funds. Because the foreign husband has no claim on the property, it may therefore be mortgaged or sold without obtaining his consent.

It was once a common practice for the wife to be the legal owner of a plot of land, which she would lease to the husband on a 30-year basis. The husband would then pay to construct a villa, which he could own through a right of superficies. Even if the wife were to sell the land, the husband’s right to live on it would be protected for the duration of the lease.

But any agreement between a husband and a wife pertaining to property, which was formalised during marriage, may be voided by either the husband or wife at any time (or within 1 year of the dissolution of the marriage). At present, it appears as though the Land Office will not even register any agreements signed between husband and wife (i.e. long-term lease, superficies, usufruct, lifetime living rights).

A foreigner may inherit landed property from their Thai wife, but he may not assume permanent legal ownership. If the wife were to precede her husband in death, he could inherit the property as a statutory heir, but would not be permitted to register the land in his own name. Under present law, as a sole non-Thai beneficiary, he must dispose of the land to a Thai national within a reasonable period (typically not longer than 180 days).

A foreigner would also be permitted to act as the executor of his wife’s estate, which would allow him to rent out, dispose of, or manage the property in any way he sees fit. But unless a period of time is otherwise fixed by the testator, by a majority of the heirs, or by the Court, the executor of an estate must perform his duties and complete the distribution of assets, including the property, within 1 year.

As always, it is highly recommended that any foreigner consult a reputable lawyer when purchasing a property together with their Thai spouse.