Real Estate
REAL ESTATE If you’ve made the decision to do something on Koh Chang, other than spending a week by the beach, you need to think about what you’d like to do and whether you will buy or rent land and/or property. Renting is by far the simplest and most common option and the one requiring least initial outlay. However, if you are thinking long term then buying is always the best option ... especially as the island is still at a comparatively early stage in it’s tourist development. There are a few basics that you should know before looking at any real estate for rent or purchase. These are the way land is measured in Thailand and the types of title deeds that are used.
LAND TITLES A ‘Chanote’ (Title Deed) is the best form of evidence that an individual owns a piece of land. However, title deeds are given only for areas of Thailand which have been surveyed accurately using satellite GPS. For all other areas, documents that indicate the possession of the right to utilise the land are used. If you are looking to buy land to use for anything other than agricultural purposes then the three land documents you’ll be looking out for are :
CHANOTE A freehold title which is registered with the Land Department in the province in which the land is located, and there is no waiting time required to transfer title. Chanote titles are accurately surveyed, plotted in relation to a national survey grid and also marked by unique numbered marker posts set in the ground. The land is also able to be subdivided and resold as smaller plots. Needless to say land sold with a ‘chanote’ is by far the most expensive.
NOR SOR SAM KOR This certifies that the person named on the certificate has the confirmed right to use the land, implying all requirements for the issuance of title deed have been met, and issuance of the title deed is pending. (How long it takes to convert the N.S.3 K. into a Chanote title is up to he local government.) This land may be sold, leased, used as mortgage collateral etc and also subdivided. The Chanote and the Nor. Sor. Sam. Kor. are the only titles over which registerable right of ownership or lease can exist. However, there is one more title that is worth considering:
NOR SOR SAM Similar to the above except that not all of the formalities to certify the right to use have been performed. Before a transfer can be made, a notice of intent must be posted and then 30 days public notice is necessary before any change of status over the land can be registered.
AGRICULTURAL LAND Any well situated land that is offered at a seemingly cheap price is unlikely to have any of the titles above. It will almost certainly have one of the other forms of land document that are basically a confirmation of user’s rights. You can farm this land but can’t build anything other than a house on it. Please note: Agricultural land is a popular choice for people who only want to build a house on Koh Chang. The popularity is mainly due to the cheap price when compared to ‘NS3’ or ‘Chanote’ titled land. However, we would always advise buyers to purchase ‘NS3’, ‘NS3K’ or ‘Chanot’ titled land if they have the finances to do so. Technically, your rights to a plot of agricultural land could be challenged by neighbours or even the national park although this would be very unlikely to happen unless the land was on a hillside, well inland and surrounded by other land under the park’s jurisdiction.
LAND MEASUREMENTS All land in Thailand is measured in tarang wah, ngarn and rai. 1 talang wah = 4 square meters 100 talang wah = 1 ngarn or 400 square meters 1 talang rai = 4 ngarn or 1,600 square meters (you’ve probably figured out that ‘talang’ means ‘square’) Another way to look at it is that: 1 acre = 2.529 rai 1 hectare = 6.25 rai Builders will work on the metric system and metres are always used in the measurement of buildings but prices for land are always given in baht/square rai or for smaller or very expensive plots of land, in baht/ square wah. Other measurements worth remembering should you do any building work are that the thickness or diameter of wood is measured in inches but the length is in metres & glass is priced per square foot. (Confused?... Welcome to Thailand) What these measurements mean in a real world situation is that . . . A half Rai is large enough to build a nice house and have a large garden with ample room for parking. 1 Rai is also large enough for a small resort i.e. 8 bungalows and a spacious restaurant (You could squeeze 16 large bungalows or 20 small huts onto 1 Rai but you’d be sacrificing appearance for potential profit) 2 Rai gives you plenty of room for a house and a guest bungalow if required. You’d also have enough garden area to ensure that any property built by neighbours wouldn’t overshadow yours. 2 Rai would also allow for a well laid out, boutique, 12-15 bungalow resort with restaurant and living quarters for a handful of staff.
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