Why Thailand's Property Tops the ASEAN List for Foreigners (vs. Other Countries)

@natzrealtor.bangkok

In this video I am going to talk about what set Thailand apart for foreign buyers who looking to buy properties in the ASEAN region for both own living and investment.
Please note that this video in BUY/SELL tax are mostly based on 2nd handed property practice.

1:07: Foreign friendly ownership in Thailand
1:30: Ownership other places in ASEAN
2:57: Property tax for buying
3:45: Property tax for selling VS other places in ASEAN
5:06: Annual property tax in Thailand
6:55: Summarize

In the video, I could not talk about all the countires in the ASEAN region, here's more information for every countries based on my study.

1. Brunei Darussalam
• Ownership: Foreigners are generally not allowed to own land or property. However, there are some exceptions for certain types of long-term leases.
• Taxation: There is no property tax in Brunei. Foreigners may be subject to stamp duty on property transactions.
2. Cambodia
• Ownership: Foreigners can own property, but they cannot own land directly. They can own up to 70% of the units in a condominium, provided the land on which the building is situated is Cambodian-owned.
• Taxation: Property owners must pay an annual property tax of around 0.1% of the property’s market value. There is also a 4% tax on the transfer of property.
3. Indonesia
• Ownership: Foreigners cannot own land directly but can own property through long-term leases or through a legal entity (e.g., a PMA company) that can hold land under certain conditions.
• Taxation: There are various taxes, including a 5% property transfer tax, annual property tax (PBB), and a 10% VAT on the sale of new properties.
4. Laos
• Ownership: Foreigners cannot own land but can lease land for up to 30 years (renewable) and own buildings on the land.
• Taxation: There is a property transfer tax of 1% of the sale value, and an annual property tax of approximately 0.1% to 0.2% of the property’s assessed value.
5. Malaysia
• Ownership: Foreigners can own property but must adhere to minimum purchase price thresholds which vary by state. Foreign ownership is typically restricted to high-value properties.
• Taxation: Property transfer tax ranges from 1% to 4% based on the property’s value. There is also an annual assessment tax and a Goods and Services Tax (GST) on new properties.
6. Myanmar
• Ownership: Foreigners cannot own land but can lease land for up to 50 years (renewable). They can own buildings on leased land.
• Taxation: There is a stamp duty of around 3% on property transfers, and an annual property tax that varies by location and property value.
7. Philippines
• Ownership: Foreigners cannot own land but can own up to 40% of the units in a condominium building. They can also lease land for up to 75 years (25 years renewable).
• Taxation: There is a documentary stamp tax of 1.5% of the property's selling price or fair market value, and a capital gains tax of 6% on the sale of property. There are also annual property taxes based on the assessed value.
8. Singapore
• Ownership: Foreigners can own property, but there are restrictions on landed property. Foreigners are subject to additional taxes like the Additional Buyer’s Stamp Duty (ABSD).
• Taxation: ABSD ranges from 5% to 30% depending on the buyer’s residency status. There is also a standard stamp duty of 1% to 4% on property transactions and an annual property tax based on the property’s annual value.
9. Thailand
• Ownership: Foreigners cannot own land but can own buildings or units in a condominium (up to 49% of the total area of all units in the building). They can also lease land for up to 30 years (renewable).
• Taxation: There is a transfer fee of 2% of the property’s appraised value, a specific business tax of 3.3%, and an annual property tax that varies.
10. Vietnam
• Ownership: Foreigners can own up to 10% of the units in a building or 30% of the units in a landed project. Land ownership remains with the state, and foreigners can only lease land.
• Taxation: Property transfer tax is approximately 2% of the transfer price, and there are also registration fees and land use fees. An annual property tax is levied but varies based on local regulations.