Property Conveyancing
Conveyance is the act of transferring property from one party to another. Property conveyancing commonly used in real estate transactions when buyers and sellers transfer ownership of land, building, house or any immovable property. A conveyance is done using an instrument of conveyance—a legal document such as a contract, lease, title, or deed.
When it comes to real estate transactions in Thailand, it is necessary to have the guidance of a knowledgeable and experienced property lawyer. Property lawyers in Thailand play a crucial role in providing legal advice and representation for every real estate transaction.
The Property Conveyancing Procedures
There are standard property conveyancing procedures which are generally observed under the context of Thai law. The following procedures are as follows:
Title Search and Due Diligence
This first step is the most important when it comes to transfer of ownership of properties. This procedure ensures the potential buyer of the property of the legal standing of the seller to sell the property as well as verify any lien or encumbrance on the property. This checking and verification will affect the real estate transaction. This will also prevent fraudulent and illegal real estate transactions which will eventually lead to rigorous litigations. Title searches and due diligence are generally done at the Land Office of the district or province where the property is situated.
Drafting and/or Review of the Sale and Purchase Agreement
The Sale and Purchase Agreement is the legal document that transfers ownership of real estate from the seller to the buyer. Both the seller and the buyer are protected by this contract or agreement. This Agreement acts as confirmation to the buyer that he or she purchased and owns the property from the seller. This document enumerates the essential terms of the transaction and cross-references the sale and purchase agreement for the remaining details. This is the document that is provided to the tax authorities when paying the necessary taxes, and to the Land Office when requesting for an updated title deed to be granted to the buyer when the registration and transfer of ownership is completed.
Registration of Transfer of Ownership at the Land Office
Accordingly, Thai regulations require the registration of the transfer of ownership of the property at the relevant Land Office. During this procedure, property lawyers and/or agents facilitate the transfer of the property. Appropriate taxes and transfer fees need to be paid during this transaction at the Land Office. The buyer and the seller may personally attend the Land Office during the registration of transfer of ownership. If this would not be convenient for both parties, they may opt to authorize their respective lawyers and/or agents through a power of attorney. Moreover, the services of a competent property lawyer are highly recommended during this procedure to ensure that the transfer is done efficiently and properly.
Conclusion
In conclusion, property conveyancing in Thailand is basically like any other jurisdiction. However, for foreigners acquiring properties in Thailand must seek an appropriate legal advice from experienced property lawyers to protect their interests from start to finish. The assistance of real estate lawyers and agents will surely provide an assurance to the client that the real estate transaction is compliant with the local laws and regulations including due diligence, drafting of sales contracts and transfer of ownership at the Land Office.
