What Are Thai deeds for ownership of property?
Title Deeds in Thailand may be mainly divided into 4 categories as follows:
Freehold Title deed (Chanote or Nor Sor 4): This type of title grants the holder of this document the full rights over the land. Thus, if you are planning to buy property in Krabi, this type of title deed is the best title deed to hold.
Nor Sor 3 Gor: A land awaiting a full title deed is granted the document Nor Sor 3 Kor. The land is measured by the Land Department; therefore, it has its exact boundaries. The owner knows exactly what he owns. This type of land may be sold, transferred, or mortgaged, as a land with freehold title deed (Chanote) as long as it is ready to be a full title deed. In order to change the title to a Chanote, the owner of the land may file a petition to the Land Department to file a request to change it to a full title deed (Chanote), and the Land Department may do so if there is no opposition made against the petition.
Nor Sor 3: The difference between this type of land title deed and the Nor Sor 3 Gor is that a land with Nor Sor 3 title has never yet been measured by the Land Department; hence the land has no exact boundaries. However, the Nor Sor 3 title may later be switched to a Nor Sor 3 Gor, then furthermore, transform that title to a freehold title deed (Chanote) in the future.
Possessory Right: A land with a possessory right has never been substantiated by Department, but is only recognized by tax payments at the Local Administrative Office. It is essential to bear in mind that title deeds other than one of a Chanote, is not able to register any leases against the land such as, usufructs, mortgages or superficies in order to gain or encumbrance.
Although Thai Law stipulates that a foreigner may not own land in Thailand, there are alternative options to owning land In Krabi. We would be more than happy to discuss the options available to you with a meeting, an over the phone conversation, or by email.