How to transfer ownership of land

When you have decided to buy vacant land to occupy to build a house, invest or keep as a legacy to pass on to your children. When a contract to buy and sell with the owner of the land is completed, it's time to transfer the land ownership. The transfer of land must be made in front of the officer at the Land District Office or the Provincial Land Office that you purchased. The important thing in the land transfer has 2 parts: the first part is the documents and the second part is the land transfer expenses.

Documents to be prepared include:

1. The original purchase and sale contract

2. An original identification card

3. In case of name – surname changes, a change certificate is required, along with a copy.

4. The original house registration

5. In the case of not going by yourself, there must be a power of attorney (Tor Tor. 21) for another person to act on his behalf along with attaching a copy of the identification card of the attorney, copy of the house registration of the attorney

6. Original land title deeds with copy (for seller)

7. In case of marriage (requires the consent of the spouse), documents include Letter of consent for the sale of land, copy of spouse's ID card, copy of spouse's house registration, copy of marriage certificate (In the case of marriage registration and divorce, additional copies of divorce certificates are required.)

Note: All photocopies of documents must be signed to certify true copy.

Land transfer process

1. Fill in the land transfer request along with attaching documents used in the transfer of land

2. Submit the documents to the staff to verify the documents. The staff will give you a queue card to wait to be called.

3. Professional staff will call the seller (transfer) and buyer (transferee) to sign the document in front of the officer.

4. Professional staff will appraise the land price and calculate the various expenses for land transfer. and handing over a bill of computation of expenses

5. After knowing the amount of expenses, bring the expense calculation sheet to pay at the Finance Department. to receive blue and yellow receipts

6. Bring the yellow receipt to the skilled officer. The original blue receipt - the seller keeps, the copy - the buyer keeps.

7. Professional staff will print the endorsement on the back of the title deeds to change the name of the owner of the land in the case of a loan with a bank. The bank will keep the original title deeds. Then, he will give a copy of the title deeds to the buyer (transferee), where the title deeds will be in the name of the bank as the mortgagee.

8. The officer will deliver the land title deeds together with the purchase contract (Tor Tor. 13) to the buyer or transferee. This completes the land transfer process.

Expenses for the transfer of land (information for the year 2021)

The cost of land ownership transfer depends on the agreement between the buyer and the seller under the specified purchase and sale agreement. In general, the buyer and the seller tend to agree to transfer in half or as agreed upon the cost of land transfer consists of

1. Land transfer request fee 5 baht

2. Duty fee 5 baht

3. witness fee 20 baht

4. A fee of 2% of the appraised value or selling price.

5. Mortgage fee 1% of the mortgage value.

6. Stamp duty 0.50% of the purchase price or appraised value

7. Specific business tax 3.3% of the purchase price or appraised value (except in case of holding real estate for more than 5 years or having a name in the house registration for more than 1 year, will not have to pay this part. but will have to pay the stamp duty instead)

It can be seen that apart from the money for purchasing land, there will be the fee for the land transfer as well. The seller will also have to pay personal income tax, withholding and business tax only if holding less than 5 years or having the name on the house registration for less than 1 year, including if the seller uses the services of a broker will have to pay a commission of 3% on buyer acquisition. Therefore, before calculating the trading price, do not forget to consider the various expenses. These include interested in buying vacant land to build a house.

Please view loan details here.

https://www.scb.co.th/th/personal-banking/loans/home-loans/home-builder.html

 

Resources:

https://money.kapook.com/view220755.html