Earlier, the government had proposed conditions under which foreigners were able to buy land into ownership in Thailand. The news was met with considerable enthusiasm in the expat community, but not everyone was excited about this idea.
Many people saw the Ministry of Interior's proposal to permit foreigners to hold property plots in exchange for investments worth 40 million baht as a temporary solution for the country's economy after more than two years of stagnation and recession brought on by COVID-19.
The Federation of Thai Industries (FTI) supports this proposal and suggests that foreign land ownership will boost the economy while helping the tourism sector. FTI said it would also provide assistance and support to real estate businesses that have been affected by the Russian-Ukrainian conflict.
Mr. Kriengkrai Thiennukul, Chairman of FTI, believes the plan will be useful for the economy and investment in the long run. Just because wealthy foreigners, especially businessmen, will enjoy time here long after retiring. One heaven on earth is not much. This should cause no harm to national security, Kriengkrai Tiennukul said.
However, the plan also has its opponents.
Ms. Wallaya Chirathivat, Director President and CEO of Central Pattana Public Company Limited, believes the government should take other measures to boost the economy through foreign investment. She says renting land for 30, 60, or 90 years would be the wisest policy.
Another opponent is Mr. Nipon Poapongsakorn, Distinguished Fellow at the Thailand Development Research Institute. He believes that this scheme will only attract investors seeking a short-term reward. He believes that the land purchased by foreign investors will be used for speculative purposes.
Currently, the scheme of the Eastern Economic Corridor is the only advantage for foreign investments unlike in Vietnam. This country can boast clearer investment promotion strategies and push foreign investment in several areas across the country.
Acquiring Thai residential property is still popular among foreigners under the old system. It means land is available only for a long-term lease, not for purchase.
For the 2018–2020 period, the number of apartments handed over to foreigners reached 34,653 units, for a total of 145.6 billion baht.
The most popular locations for foreigners to reside in the first quarter of 2022 were Bangkok and Chonburi, with 829 units (39%) and 677 units (32%), respectively.
The remaining three provinces included Samut Prakan (230 units), Phuket (164 units), and Chiang Mai (97 units).
The top five provinces among Chinese buyers were Bangkok (51 percent), Chonburi (22 percent), Samut Prakan (19 percent), Chiang Mai (4.8 percent), and Phuket (1.5 percent).
Phuket (55 percent), Chonburi (39 percent), Prachuap Khiri Khan (4.5 percent), and Rayong (1.5 percent) were the most popular locations for Russians.
Americans favoured Chonburi (58 percent), Bangkok (15 percent), Chiang Mai (11 percent), Phuket (8 percent), and Samut Prakan (2.6 percent).