Investing in a Condo in Hua Hin

A panoramic view of Hua Hin, Thailand.

Investing in a Condo in Hua Hin

More and more people are buying new condos for investments and as second homes in Hua Hin, Thailand, as the Hua Hin property market is booming. The lure of a panoramic view of the Gulf of Thailand, a laid-back beach lifestyle, plus the easy drive from Bangkok are just some of the reasons why city-dwellers are investing in Hua Hin condos.

With condos ranging from just over THB 2 million to THB 8 million, buyers are snapping up units in this idyllic beachside town. Prices vary depending on how close to the beach a condo is, whether it has a view, the facilities, and the distance from shopping malls and other amenities.

Although foreigners are not permitted to own undeveloped property or free-standing homes in Thailand, they can invest in a Hua Hin condo for sale as long as the sale and the condo complex meet certain criteria. The most important rules are that all of the funds for buying a condo in Thailand must come from overseas, and Thai nationals must own at least 51% of the units in the condo complex before sales are permitted to foreigners. 

We’ll cover some of the other aspects of buying a condo for sale in Hua Hin, so you’ll be well-prepared when you start looking for the perfect condo. 

Choosing the Most Suitable Location

Many investors simply want the luxury of a panoramic view, and the closer to the beach, the better. Others want to be close to a variety of restaurants, shopping malls and other services. Some potential condo owners crave solitude and look for quiet areas away from traffic and noise. 

Spend some time touring the areas of Hua Hin and the condos that you feel would offer you the best lifestyle. Make a list of the best ones and check the availability of units in your top choices. 

Understanding the Costs Involved

You must understand any fees charged on top of the agreed-upon purchase price to avoid surprises or misunderstandings. Generally, the buyer is only initially charged a 2% transfer fee based on the selling price of the condo. However, there are still three fees charged by the government that can be subject to negotiation; these are:

  • Stamp duty (0.5%)
  • Income withholding tax (1% or a progressive rate based on the seller’s income)
  • Specific business tax (3.3%)

Usually, the seller pays these, especially the income withholding tax. However, you need to check your contract carefully to see who is expected to pay. 

The buyer may also be required to contribute to a sinking fund for new condo residents. This will be equivalent to one year’s maintenance fees. Be sure to enquire about the yearly cost of maintenance fees and when they are due. 

Future Resale and Rentals

Foreigners and Thai residents should be able to resell their units and rent them out legally without restrictions. When renting condos, owners should advertise the availability of their units through a reputable real estate agency. The agency would be responsible for all lease agreements and collecting all deposits and monthly rents. They can also handle the listing, negotiations, and paperwork if you decide to resell the condo. 

Researching the Developer and Property Manager

Every buyer is responsible for performing their own due diligence to ensure the condo developers and property managers are reputable. It’s also necessary to ensure there are no liens against the condo unit you’re considering purchasing. Hiring a legal professional to help you through this process may be a good idea. 

Completing the Sale

Engaging a legal professional can also help you negotiate the sale and ensure the financial and legal requirements are met, and the documents are filled out and submitted correctly. This will ensure that you’re the legal owner and can resell the condo in the future. It will also ensure that the condo can be legally listed as an asset in your estate. 

A row of hotels and beachfront condos in Hua Hin.

Buy a Condo in Hua Hin

Hua Hin offers a small-town vibe and beach lifestyle, yet it’s only a two-hour drive from Bangkok, making it an attractive location to city-dwellers for a second home. If you’re considering a condo for sale in Hua Hin, Thailand, contact Hua-Hin Supsiri Property Co., Ltd, to arrange for a tour of our condos. Call us today.

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