Hua Hin Home Finder’s Blog

Hua Hin is located 200km from the South of Bangkok on the East Side of the Malay Peninsula.

The drive from Bangkok to Hua Hin is an easy journey only taking about 2hrs. This is one of the many reasons why many foreigners invest in Hua Hin Property. The new highway is almost 100% done or one can take a flight from Bangkok, arriving in Hua Hin in only 40mins.

Hua Hin is much bigger than one would think. Regular Travel books do not include all the surrounding villages that are considered part of Hua Hin by most foreigners living here.

Here is a breakdown of the areas:

Bor Fai : North of Hua Hin City. Known for its scenic mountain views and amazing sunsets.
Hua Hin Center: This area is rapidly changing with a major facelift so to speak. New shops, restaurants and services are opening on a monthly basis. If one enjoys city living in a country style environment this is it.

Hua Hin West: This area is well known for its calm mountainous living surroundings and Sea Views.

Khao Takiab: This Quaint Fishing Village is 5km south of Hua Hin’s town center. This area offers many new condominium choices, restaurants, and boutique resorts on a long stretch of white sand beaches.

Khao Tao: This area is 10km from the center of Hua Hin and quickly becoming a major area for foreigners to view some exciting new development projects. I especially like that it has both lakes and the sea.

Hua Hin is located on the Gold Coast of Thailand. It’s about 200 km from Bangkok and near Cha-am, about 25km from Hua Hin. The Province Prachuab Kiri Khan is well known for its miles of beaches and the presence of the Royal Family.

Hua Hin, a Royal Town, is quickly gaining popularity with international visitors but has been a favorite spot of the Thais for well over 70 years. This relaxing getaway is still very popular with Bangkok’s elite. Why is this? Hua Hin has some of the best Resorts, Spas, Golf Courses and Family activities Thailand has to offer. The local atmosphere is tranquil, a great place to take it easy and unwind from the hectic life of the Bangkok.

The main attractions to Hua Hin are the impressive and clean beaches and International Standard Golf Courses designed by some of the best golfers in the world. The sea side villages and walking streets are also a favorite where fresh local Thai Food dishes are available 7 days a week as well as local souvenir shops to find unique gifts for loved ones back home.

Even though Hua Hin is known for its calm, in the evening, the Night Markets an Entertainment areas come alive and are becoming more entertaining by the year.

Some other cool activities if you are enjoy activities during the day are:

-Visits to the Royal palace
-Bike Tours
-Mountain Hike to the Hidden Treasure Buddha
-Paint Ball
-Kite Surfing
-Go Karting

Or visit the caves in the National park about 35km from Hua Hin.

Hua Hin is now an International Destination and is gaining more popularity each year.

Come to visit soon!

Mortgages are now being offered to Thailand-based foreigners who want to buy a condominium unit. Branches of Bangkok Bank can initiate loan applications that, if successful, will eventually come through its Singapore office.

The Bank requires borrowers to buy condo units priced above or at least 9.64 million baht or equivalent, while offering a credit line of around 70% of the price but not lower than $200,000 or equivalent.

Loans are available in three currencies, US dollars, Singapore Dollars, and Euros.

Mortgage Rates depend on the currency.

- US Dollars, 5% plus 1.5% per annum

-Singapore Dollars, 6% plus 1.5% per annum

-Euros, 6.5% plus 1.5%

The maximum term loan is 20 years.

(Source: Big Chilli, 06/08)

1. What attracts people to Rent or buy property in Hua Hin?

There are several factors, but we can say:

-The climate, long sandy beaches, good shopping options, the local & international restaurants as well as visiting the night markets and Its relatively competitive prices on houses and condos compared to BKK, Phuket, Koh Samui or Pattaya.

-Distance: it is only 2-to 2.5 hours drive from Bangkok on mostly multi lane highways

-The town’s atmosphere - being Royal and kind of “low key” so people who don’t like active nightlife such as in Phuket and Pattaya will find Hua Hin a suitable destination

-Safety, on account of the Royal presence, and Hua Hin being golf paradise. There are 8 international golf courses within 25 minutes drive distance from Hua Hin

-Close to Sam Roy Yod and Kaeng Krachang national Parks

2. Can Hua Hin’s infrastructure cope with an increase in tourism / long term stay residents from overseas?

The answer is yes, however a continuous improvement programs will also need to be implemented. Hua Hin already has English speaking hospitals, supermarkets which sell a variety of local/foreign foods and goods, but to further absorb new developments there is a requirement for improvements in areas such as water supplies, sewage system, flood prevention system, etc… The good news is that these projects are part of the election platform of the newly elected mayor of Hua Hin. Therefore we are expecting some improvement in the town in this area.

3. Who is currently buying property in Hua Hin and why? E.g. –nationality? for investment, retirement, family holiday home?

Hua Hin has been very popular among Scandinavian buyers. Other nationalities include Germans, English, Dutch who are looking to purchase retirement and holiday homes. Many of them also query about possible investment programs for those times they are not here.

There is also a large market for Thai purchasers who see Hua Hin as a close week-end getaway from Bangkok and an excellent opportunity for the purchase of a second home.

Furthermore, we see some new trends – in the past few months quite a few inquiries have been received from ex pats living in Middle East, HK and other South East Asian countries. People are starting to look and search for Thai properties outside of the traditional Phuket or Samui alternatives.
4. Have rising oil prices had any effect on the performance of the property market / tourism?
Yes, it has. — 2 - 3 years ago, the factors to increase property prices were mainly due to appreciation of land price or speculative reasons. However, recently, the developers are compelled to increase the price due to high construction costs (mainly cost of steel).

From a tourism point of view there has been an increase in the costs of airfares which on the whole has an effect of reducing the number of times the client visits Hua Hin. For example, clients who used to come to Hua Hin 3 times a year, now have reduced their trips to twice a year.

5. What are the current trends in developments – condo’s, villas, high end?
There are a number of trends in effect suitable for all budgets and tastes.

One trend is the emergence of luxury villas. Hua Hin used to focus on low - mid range properties such as 2 -7 million area however, we see some new luxurious villa/condo over 15 million recently launched.

Another trend is the emergence of middle to high end condominium projects which offer ‘freehold’ status which is the a ability to get title to the unit compared to villas which you can only lease on a 30-30-30 year basis. Furthermore many of the condo and some villas offer “rental guarantee/management”, or offer full resort facilities/services. Adding to the ‘condo momentum’ is the fact that before it was either “beach front condo” or “very reasonable house in land”, but the laws have changed and we cannot build beach front condos any more, and the customers found some drawbacks to housing which is far away from facilities without any services. So many new projects tend to offer more facilities and services, compared to before.

6. How do you see the future of the property market progressing in Hua Hin in terms of type of developments and target market?

We are witnessing some new types of properties such as, serviced apartments, condos with full rental management, resort ownership with rental income guarantee, fractional ownership, etc…

Many of the clients are in their 40s and 50s and still working, They can only spend a few weeks of the year staying in their properties, but require some kind of rental income to absorb on going maintenance costs and perhaps make a bit of additional monies to pay airfare and out of pocket expenses.. So the concept of serviced apartment or properties with rental income would be a very attractive choice for them.

The facts you need to know about renting a house or apartment in Thailand: the contract, the deposit, the lease and the legal obligations of the landlord and the tenant.
Thailand has maintained a reputation as being a safe place for foreigners to live. Compared to many Western nations there is less crime against people and property.
Renting property is relatively simple, often with minimal formality in rental procedures. It’s recommended for both parties to have a rental agreement.

Finding a Property
Properties can easily be found:
• with the help of real estate agents
• by checking the property section in the local newspapers and reading bulletins boards

Newspapers
• Hua Hin Today
• Hua Hin Town
• Observer Magazine

Real estate agencies

There are many real estate agencies throughout Thailand, some are members of the Thai Real Estate Association or the Real Estate Broker Association. Make sure that fees do not have to be paid until they have found a suitable property. Most fees are paid by the landlord and not the tenant.

Types of Property

There are plenty of furnished rooms, apartments, condominiums and houses for rent in Thailand. The majority of rental rooms have a bed, television, wardrobe and many come with a refrigerator. Some have a fully equipped kitchen.
It is relatively easy to find a fully furnished house although they tend to be more expensive. Many landlords will be willing to provide basic furnishings on request, including a rice cooker, refrigerator and a bed. However those planning to stay for more than a year or so may find it works out cheaper to buy the furnishings they need and rent a less expensive, unfurnished property.
Documentation

A foreigner renting property in Thailand is usually required to present the following documents:

•A copy of work permit (if applicable) or Certificate of Residence issued by Thai Immigration or Letter of residence from the person’s Embassy certified and translated into Thai
•Passport
•Proof of income (pay slips, bank deposits) must be provided if the landlord asks for them

The Lease

The lease is a contract between the landlord and the tenant. This contract protects both parties involved as it details the terms of the agreement made regarding the property.
Generally, rental agreements last for one year. However the retail period times can vary from a “short time stay” (usually three months) to a “long time stay” (one year).

Within the lease, the following should be clearly defined:
• The monthly rental fee
• How long the lease is valid
• What happens if either party terminates the lease agreement
• All other terms and conditions

It is advisable to have a signed an inventory listing all furnishing, fixtures, condition of rooms for example.
The rent on the property cannot be raised during the duration of the lease agreement; however it is open for negotiation when the lease agreement ends.

Securing the contract

Generally a lease and security deposit are all that is needed to secure property in Thailand. A good faith deposit is paid to the owner to secure the LOI to prevent a potential lease to another party.)

Guarantor
Although not a common practice for renting property in Thailand, the landlord may want the tenant to provide a guarantor who will be named in the leasing agreement and will co-sign that document.

Deposit
In most cases the tenant will need to pay a two-month deposit along with the first month’s rent. It is not unusual for a Thai landlord to request a three-month deposit.
At the end of the lease the deposit is refundable. The landlord will take an inventory and deduct any expenses incurred in repair or replacing damaged items. Assuming that the property and furnishings are in good condition, the deposit will be returned.

Tenancy obligations
The tenancy obligations vary with the type of property that is rented. For example, many of the apartment complexes do not require tenants to pay for water, trash removal and cable television. When renting a house, the tenant typically pays all costs associated with the running and maintenance of the house.

Basic tenant obligations include:
• Paying the agreed rent on the agreed due date
• Paying for water and electricity usage
• Ensuring that the property is not damaged
• Only having the specified number of people living there
• Give sufficient notice when terminating the lease agreement

Note: It is not legal for a foreigner to use his property for commercial purposes.

Sublease
Subleasing/subletting by tenants is generally not allowed. Owners will state in the agreement that subleasing is not allowed. (A sublease is when the tenant leases out the property to a third party who usually pays more than the original rent to the tenant. The tenant makes a profit after paying the owner.)

Terminating a Tenancy
The Tenant: Generally, if it is necessary for the tenant to leave prior to the agreed date they will forfeit their deposit. If it is stated in the lease agreement that the tenant can terminate their contract with sufficient notice (usually a 60-day notice is specified) then they will be able to collect their deposit.

The Landlord: The landlord cannot legally terminate the contract unless the tenant has broken a specific rule that was mentioned in the agreement. For example, if the tenant does not pay rent by the due date or if they use the house for illegal activities.
There is no requirement for the landlord to give notice of eviction to the tenant after the lease agreement has expired.

It is extremely important for a tenant to have a solid rental contract otherwise they may become vulnerable. Keep all rental receipts, agreements and receipts for all major household purchases as proof of payment. Those without sufficient proof that they have paid all rents, could be made to pay the rent again.

Utilities
In Thailand, most apartment rentals will cover main services. Utilities such as electricity and water will be measured in terms of unit usage and added onto the monthly rent. It is a good idea to know what the landlord’s policy is prior to moving in. Have each utility outlined with its price in the rental agreement.

Those renting a house and not an apartment will be able to have the utilities placed in their name. This can be done by providing the utility company with a lease agreement and a proof of ownership document that should be provided by the landlord.

Most utility bills can be paid directly from the tenant’s bank account. Utility bills can also be paid at the local 7-11 shop.

Electricity
In Bangkok the Metropolitan Electricity Authority (MEA) is the distributor, while the Provincial Electricity Authority (PEA) sells electricity in the rest of Thailand.
If the landlord is not arranging electricity, contact the local government office in the region responsible for electricity to connect or disconnect power to a home. At least one week’s notice is required.

Gas
There is no mains gas in Thailand. LPG (Propane) is used mainly for cooking and is provided in different sized cylinders that are widely available. If the rented property has appliances that operate on gas (stove), the tenant can have a gas cylinder delivered to their house or apartment and connected to the stove.

Water
Usually this is arranged through the landlord and included in the monthly rental. Where it is the tenant’s responsibility it is necessary to telephone or visit one of the branch offices of the appropriate water authority. At least one week’s notice is required for connection or disconnection.
• Metropolitan Waterworks Authority of Thailand (MWA) (in Bangkok, Nonthaburi, and Samut Prakan)
Tel: 1125
Website
• For a list of MWA branch offices: Click here
• Provincial Waterworks Authority (PWA) (outside Bangkok)
Tel: 1567

It is normally easier for the landlord to arrange a telephone connection. However, if the tenant is responsible for doing this they should visit the telephone company office with proof of ID and residence. The telephone company will also want to see a letter from the landlord and a copy of their house registration book (Tabien Baan).
• CAT Telecom
• Telephone Organisation of Thailand (TOT)
• Thai Telephone & Telecommunications (TT&T) (in Thai)
• True

Insurance
Rental insurance is not a common practice in Thailand and is not required by law (although with a more expensive property, the landlord may request that the tenant has insurance cover). Insurance companies offer rental coverage for foreigners as well as locals.

The following are usually covered by household insurance but it is necessary to check the individual policy’s fine print:
• Water damage
• Tsunami damage
• Theft and vandalism
• Fire damage
• Broken windows
• Furnishings and valuables

Taxes
The landlord is legally responsible for paying property tax which is 12.5 percent annually, however some landlords will insist that the lessee pay the tax in addition to the monthly rent, so make sure the tax procedures are clearly stated on the lease.

For any additional information, please contact an agent at info@huahinfinder.com

Article Courtesy of Mr.Gavin Wills

www.angloinfo.com
gavin.wills@angloinfo.com

For foreigners buying a condominium is probably the easiest option available. It is possible to purchase condominium in a foreigner`s name as long as the unit sold in the condominium block does not exceed 49% of the total units, and the funds for buying the unit have to be transferred from abroad to a Thai bank, recorded as such. The Thai law on this area is very clear and simple, since you will not be buying the land itself, but only a unit or more in the building.
When transferring the funds from abroad the owner must request a foreign exchange transaction form that states that the money transferred is only for the purpose of buying a condominium in Thailand. Purchases of condominiums by foreign individuals are governed by the Condominium Act B.E. 2535 (1992).
The owner of each condominium is issued with a certificate of unit ownership. The certificate also has a statement saying exactly what percentage of rights over the common areas of the building each owner has.
Step by step:

1. When you have found exactly the condominium that suits you, the procedure is straight forward. Together with your broker you go through the contract, and agree that all the details are in order. If you want to make any changes to the condo, make sure it is written in the contract before signing it. You could also have our own attorney look at the contract to see if there is anything out of the ordinary. Our standard contract is made by an independent law office, and is also approved by a real estate lawyer to make sure everything is in place. The contract is written in both English and Thai, because of the local authorities who have to approve the legal papers.

2. Deposit is paid on the same day as the contract is signed. When buying a condominium, the deposit is to hold the condo you buy.

3. Payments: It is Thai procedure that the payment is done in rates starting from day of signing contract to the handover.

Please contact us anytime to assist you in answering any questions

Cheers

It has been nearly five years since my wife and I first moved to Hua Hin, Thailand. At the beginning it was hectic, where to rent, place the kids in school, get to know the neighborhood, find a job, and so much more. With a bit of effort we were able to settle in nicely. We rented a house on soi 27 for the first year while our house was being built. We are still friends with the owner and now help her to find good tenants. When friends I stay in touch with using facebook send me a message asking if I am ever coming back to Canada or why I love Thailand so much , the reasons are endless or ever changing as to why I have made Hua Hin my home.
Here are some of the reasons:
Hua Hin, Thailand is promoted by the Tourism Authority of Thailand as The Paradise City of Thailand. This transformation began a couple of years before the 60th anniversary to honor his majesty the King’s ascension to the throne. Better roads, a new modern hospital for the King, Improvements to the Parks and such to pay respect to the King.
As well the number of activities to do in Hua Hin is growing every year. Some of my favorites are jogging on the beach, Mountain Biking, Trekking at Pala-Au Waterfall, or grabbing s bite to eat at one of the many night markets. Some of the new activities are ATV racing, Paint Ball, and More Challenging Golf Courses and Driving Ranges. As well, a new cinema in the Market Village Shopping Mall.
One of my favorite spots is Hin Lek Fai Mountain. It is a rather steep walk up or you can easily drive to really see the best panoramic views of Hua Hin. Another great place is the Queen’s Park on the beach with a new Kids playground: Take Naebkehars Road to get there. A few food vendors are stationed there as well for a nice snack after play.
Cheers
Geoff

I first discovered Hua Hin while living in Hong Kong. My Thai wife had some friends living there; we both had never been and decided to take our next holiday here and visit them. After arriving in BKK we hired a van to take us down south to this paradise fishing village which was also well known for the King’s Summer Palace. It use to take over 3 hours to get to Hua Hin from Bangkok but now with the new highways almost complete, the driving time is only 2 hours. Or you can take an SGA flight directly from Bangkok’s Suvarnabhumi airport to Hua Hin’s airport in just 45mins. The Hua Hin I visited nearly 8 years ago has undergone many changes but still retains its small town charm. You can still walk down to the beach and see the local fisherman coming in to dock and sort the fish out in preparation to be delivered to the local “Wet” markets to be sold to local restaurants. One of my favorite restaurants is called Madame Green; they have their own fishing boats and deliver the daily catch directly to its kitchen. It doesn’t get much fresher then that!
Hua Hin is small but still offers many activities for both ex-pats & tourists. Golf is big here and getting bigger. New courses are opening each year. Yearly events like the Jazz Festival or Vintage Car Show are increasing in quality and attendance. Between festivals & shows there is still plenty to do. The Beaches, Temples, Go-Karting, Cooking Classes, Shopping at the New Market Village Mall or Traditional Night Markets, Day trips into the jungles, Elephant trekking, Paint ball, Art galleries, and so much more. Even after living here for nearly 5 years I am still finding new activities and adventure for my family and me.
Hua Hin continues to increase with popularity and some tourists like it so much they decide to buy a holiday home here or even stay on a full-time basis. Here are some of the reasons why Hua Hin has retained its charm and continues to be sought out by foreigners from the international community:
Weather: Hua Hin is protected because it is located in the Gulf of Thailand and is less prone to violent weather. Thailand has three seasons, Hot (March to June, average temperature 29 degrees Celsius), Rainy (July to October, average temperature 28 degrees Celsius), & Cool (November to February, average temperature 26 degrees Celsius). The Hot season offers bright cloudless days with nice breezes in the afternoon, good for water sports. The Rainy season skies are partly cloudy. The rain only lasts 20-30 mins and it doesn’t rain everyday. The Cool season still has plenty of sunshine but not as strong as the Hot season. Days are milder and nights cooler.
Clean & Safe: The King lives in Hua Hin so it is relatively safe and very clean. Some cities in Thailand have grown too fast and the services haven’t been able to catch up. The Hua Hin municipality works hard to maintain and improve its infrastructure.
More Family Oriented: Lots of fun activities like bird watching, ATV Track Racing, Cinema & Bounce Castles if you have young kids. As well, a lot less bars compared to other tourist destinations in Thailand.
Quiet: On week-ends a lot of Bangkok Thais come down for the week-end. Otherwise Hua Hin is peaceful and set in natural ocean & Mountain surroundings.
If you are planning to move to Hua Hin and would like to have a chat about its many possibilities send us a commentl, call or drop by our shop anytime.
All the best

Geoff

The condo market in Hua Hin keeps getting better with new development projects being offered almost monthly at the moment. As an investment buyer there are several ways to maximize your return on investment.
A popular trend is for initial investment buyers to buy the condo Off-Plan by giving a deposit and making a few payments while trying to re-sell it at a higher price during the 1st phase of construction. The second buyer will pay more but construction has begun and the investment is more secure.
Some of the advantages/disadvantages when buying Off-Plan are: The development company usually has additional add-ons like kitchen and furniture packages. If you are buying as an investment and plan to offer the condo as a rental or re-sell, these packages will save you time but may be more costly. You can begin renting it out as soon as construction is complete, allowing you to get a return on your investment more quickly but at a slower rate of return due to the additional costs of the kitchen and furnishings.
An even more advantageous economical solution but requiring more effort on your part is to choose your own kitchen and furnishings elsewhere to both lower your costs and create a more unique condo.
If you decide to do it yourself and buy many pieces from various local shops in Hua Hin, it will most likely cost you more then if you would have chosen the developers furniture package. The best way is to work with a furniture shop who will offer major discounts to furnish your entire condo. One shop in Hua Hin Called Indo-Teak offers this service. An even more economical service offered by the same furniture shop is to take the customer to Chiang Mai on a 2-3 day buying trip, helping to choose quality furniture to achieve your concept and have it shipped back to Hua Hin for you as well.

If you have any comments or questions about this article, contact us anytime at info@huahinfinder.com

The Pros & Cons of Buying a Condo or House in Hua Hin, Thailand

Based on my own experience of living and operating an Estate Agency (www.huahinfinder.com) in Hua Hin for nearly 5 yrs, having built my own house and many others for our clients, if I had to do it all over again, I would likely and recommend to clients to buy a condo as a better option. Almost all projects I hear about have some sort of problem along the way, building standard is too low, workers need more training, the builder is late in delivering promised results, only 1 month guarantee on construction, and many more.

But before I present my obviously biased opinion, let’s look at the Pros and Cons of buying a house vs. condo.

House:

Pros:
• Larger Living space
• Private Garden
• Pets allowed
• Easier to do Renovations

Cons:
• More remote location
• Difficulties in transportation
• Slower Re-sale

Condominium:

Pros:
• Likely to be more centrally located
• Better Security
• Easier Re-sale

Cons:
• No private land or garden
• No private car port
• Possibly noisier
• Actual living space smaller
• No pets
• Restrictions in Renovations

The main obstacle for many foreign buyers is the language barrier. When you buy a house you are really on your own unless you have a Thai wife or girlfriend who can do some translation for you and even then it can be a hurdle to be understood. The majority of condominiums have staff who can speak enough English and many of the routine tasks associated with a home are the responsibility of the Juristic Person.

If you are planning to buy a house and only live in Thailand part of the year, you will need to find a property management Co. to take care of your garden, pool, pay bills, cleaning and possibly to rent it out. This is a higher cost vs. maintaining a condo.

If you are looking to get a return on your investment quickly, condos are much more easily rented out simply because of the location, support staff in place, security, and low maintenance costs.

Lastly, the main reason I highly recommend buying a freehold condominium in Hua Hin is simply, a foreigner can legally own it 100% vs. a house which a foreigner can only lease the land for 30years on which the house is built on.

If you have any questions regarding the above, e-mail me at info@huahinfinder.com

Geoff