When renting property in Bangkok, foreigners should be aware of several legal and practical considerations to ensure a smooth and legally compliant rental experience. Here’s a comprehensive guide on what to know:
1. Lease Agreement
Written Contract
– Importance of Written Agreements: Always have a written lease agreement.
Verbal agreements are not legally binding and offer no protection in case of disputes.
– Content of the Lease Agreement: The lease should detail the rent amount, payment schedule, security deposit, lease duration, maintenance responsibilities, and termination conditions.
In context, have a written agreement that states everything, which the renter and the landlord should both acknowledge and photos and chat records (Email, Line, messenger, Whatsapp)
can also be used as proof.
Lease Agreement Specifics: Key Clauses to Include
– Rent Increase: Specify how and when the rent can be increased.
– Subletting: Clarify whether subletting is allowed.
– Pets: If you have pets, ensure the lease explicitly permits them.
– Alterations: Define whether you can make any changes or improvements to the property.
Lease Termination
– Early Termination: Include terms for early termination, including any penalties or notice periods. (This should also be written in the lease agreement.)
– Renewal Terms: Specify conditions for lease renewal, including any changes in rent.
2. Lease Registration
– Lease Term Over Three Years: If the lease is for more than three years, it must be registered at the Land Department to be legally enforceable. This provides legal protection for both parties.
3. Tenant Rights and Obligations
Security Deposit
– Amount: Typically, landlords require a security deposit equivalent to one or two months’ rent.
( Usually they will first ask you to pay for a holding deposit, and then they will ask for an advance payment (1 month) and the deposit (2 months).
Example: Your rent per month is 25,000 baht, the landlord may ask you to pay 8,000 baht as a holding deposit.
On the day of signing the contract they will ask you to pay for the deposit + advance payment
= 25,000*3 = 75,000 baht but you will only need to pay 67,000 baht as they will include the holding deposit as the deposit.
– Refund: This deposit should be returned at the end of the lease, minus any deductions for damages beyond normal wear and tear.
Which should only take around 3-7 days of office day ( Thai bank account)
If they have to send money to an overseas account, it can take longer depending on the bank.
Maintenance and Repairs
– Landlord’s Responsibilities: Usually, the landlord is responsible for structural repairs and major maintenance.
– Tenant’s Responsibilities: Tenants are generally responsible for minor repairs and day-to-day maintenance.
Rent Payment
– Timely Payment: Pay rent on time as per the agreement.
Late payments can result in penalties and could affect your tenancy.
(This should be written in the agreement clearly which day the due date is)
If you have an emergency and need to pay later than the due date, please contact your landlord.
4. Financial Considerations
Rent Payments
– Methods: Discuss acceptable payment methods (bank transfer, cash, etc.).
– Currency: Confirm if rent is to be paid in Thai Baht or another currency.
Utility Costs
– Electricity and Water: Typically, tenants pay these based on usage.
( Usually for the water you can pay it directly to the Residential Juristic Person, they will usually leave an invoice for you in the mailbox, as for the electricity the electric provider will also leave an invoice in the mailbox monthly which you can pay for it in various ways.)
Read more about ways to pay bills and payment applications here: Blog: Payment methods in Thailand and what applications you need
Ensure you understand the billing process.
– Internet and Cable: Decide whether you or the landlord will set up and pay for these services.
( You can consult the landlord and come to an agreement whether you can pay it yourself or if you need to pay the landlord. This should be stated in the Leasing agreement)
Notice Period
– Termination Notice: Be aware of the notice period required to terminate the lease, typically one to two months, as specified in the lease agreement.
5. Landlord Obligations
Habitable Condition
– Property Condition: The landlord must provide the property in a habitable condition, with functioning utilities and appliances.
Legal Compliance
– Building Codes and Safety Standards: The property must comply with local laws, including safety standards and building codes.
6. Documentation
Property Inspection
– Initial Inspection: Before moving in, inspect the property thoroughly.
– Condition Report: Document any existing damages and ensure both you and the landlord sign this report.
– Photos: Take photos of the property’s condition when you move in to avoid disputes when moving out.
– Ongoing Maintenance: Regularly check the condition of the property and report any issues to the landlord promptly.
Preparing Documents for the Rental Agreement
– Identification: Provide a copy of your passport and visa to the landlord for verification.
– Lease Copy: Ensure you receive a signed copy of the lease agreement. Both the landlord and tenant should keep a copy for reference.
7. Legal Advice
Lawyer Consultation
– Seek Legal Help: Consider consulting a lawyer, especially for long-term leases or if you have any concerns about the lease terms.
– Professional Real Estate Agency: Consult or use a professional registered Thai real estate agency, knowledgeable and experienced in this field.
Translation
– Understand the Lease: If the lease agreement is in Thai, consider getting it translated to fully understand your obligations and rights.
8. Utilities and Services
Utility Bills
– Responsibility: Clarify how utility bills (electricity, water, internet) will be handled. Some landlords include utilities in the rent, while others require tenants to pay these separately.
Service Charges
– Additional Costs: Check if there are additional service charges, such as maintenance fees for common areas, and how these will be paid.
9. Security and Safety
Security Measures
– Safety Features: Ensure the property has adequate security measures, such as locks, security personnel, and surveillance systems.
Emergency Contacts
– Contact Information: Know the emergency contact numbers for maintenance issues and emergencies.
10. Cultural and Practical Considerations
Local Customs
– Respect Customs: Be aware of local customs and landlord-tenant etiquette in Thailand. This includes being respectful of neighbors and adhering to building rules.
Language Barrier
– Communication: If you don’t speak Thai, consider hiring a translator or a real estate agent who speaks both Thai and your language to facilitate communication with the landlord.
11. Dispute Resolution
Mediation and Legal Action
– Resolve Amicably: If disputes arise, try to resolve them amicably with the landlord. If this fails, mediation services are available, and as a last resort, legal action can be taken through the Thai court system.
Tenant Protection
– Consumer Protection: Familiarize yourself with tenant rights under Thai law. The Consumer Protection Board in Thailand offers resources and can assist in disputes.
– Registration with Immigration
– TM30 Reporting: Landlords must report the stay of foreign tenants to the Immigration Bureau within 24 hours of arrival. Ensure your landlord complies with this requirement.
12. Living Arrangements and Neighborhood Considerations
Location
– Proximity to Work and Amenities: Choose a location that is convenient for work, schools, shopping, and public transport.
– Safety: Research the safety of the neighborhood and the building.
Building Facilities
– Amenities: Check for amenities like a gym, pool, parking, and security services.
– Rules and Regulations: Familiarize yourself with the building’s rules regarding noise, garbage disposal, and use of common areas.
13. Post-Rental Considerations
Moving Out
– Notice Period: Provide written notice as per the lease agreement’s requirements.
– Final Inspection: Conduct a final inspection with the landlord and agree on any deductions from the security deposit.
– Security Deposit Return: Ensure you understand the process and timeframe for the return of your security deposit.
Parking Space and Permits
– Condo Rentals: If you are renting a condo, you might need to contact the landlord to organize a pass for your vehicle.
Most condos in Bangkok only allow one permit for one vehicle. In some cases, you may obtain another permit for an extra fee, depending on the building’s rules.
Renting property in Bangkok as a foreigner involves understanding your legal rights and obligations, ensuring clear and comprehensive lease agreements, and being aware of local customs and practices. Seeking legal advice and maintaining clear communication with the landlord can help ensure a smooth rental experience.
For more details on what types of accommodations foreigners can rent in Bangkok, you can read about it here: Blog : Types of Accommodations Foreigners Can Rent in Bangkok
