Title Search, a "must do" before purchasing properties in Thailand

Buying a real estate is a big matter. It is not only about money but also about piles of documents and legal processes that we need to learn and deal with.

Whether you are considering buying your first dream house or looking for some estates in Thailand for a long term investment, before doing such a large purchase, it is better to be sure about what you are really paying for. The term “title search” is introduced and recommended in this case.

And here are some reasons why a title search is a “must” in a world of real estate in this country.

•          To know the right ownership: You will be informed if the person who is selling you the property is the true owner of the property, and as well to be notified whether such property has a restraint on alienation.

•         To be declared about any encumbrances: It is possible that the property you are buying has a registered loan, lien or mortgage by some reasons. It is VERY IMPORTANT to be acknowledged such encumbrance charge by checking back the property’s history.

•          To learn about your right to the property: Some lands in the Kingdom of Thailand are prohibited to do some kind of activities such as gas stations, factories, big department stores, racetracks etc., while some are limited on height or size of the construction. If you plan to build something, it is a must to check the city planning before.

•          To verify the exact size of the property: Despite the surface of the property is detailed on the contract or the title deed, it would be wiser to double-check it and to examine the onsite property’s environment in order to make a better decision. 

Moreover, doing a title search will help you estimate better the land’s value and price in the case that a bargaining is possible. As well, title search can trace back to find former owner(s) of the land before it had been transferred the ownership.

Types of title deeds and claims in Thailand

Before doing any title search, it is important to acknowledge about documents representing claims on lands and properties in Thailand which can be divided into two main categories:

•          Transferable Deeds: these title documents can be transferred, mortgaged, leased, and sold, such as

  o   Nor Sor 4 Jor or Chanote This is a certificate of true ownership for land and the only true ownership for land title deed. Issued by the Thailand Land Department, Chanote is considered as the most credible deeds.

  o   Certificate of Utilization - Nor Sor 3 Gor The document with a possessory right of the holder, awaits for a full title deed (Chanote) to be granted in the future. So it may be transferred or mortgaged in the same manner as Chanote.  

o   Certificate of Utilization - Nor Sor 3 This title deed similarly presents a possessory right as Nor Sor 3 Gor but has no exact proven boundaries measured by the Department of Lands. However, it is possible to file a petition to the Department of Lands to elevate this paper to Nor Sor 3 Gor and then Chanote.     

o   Or Chor 2 This condominium title shows the ownership for a condominium unit instead of a land. Or Chor 2 lists a sketch of the condo unit, its dimensions and area, and specific information such as the unit name, number, floor, building and the ownership ratio of common property. Also, the location and deed number of the land where the condominium is built on can be found on this paper.

•         Non-Transferable Deed: Issued by the government unit, some are served as a claim of land usage (Bai Jong or Nor Sor 2 (Pre-Emptive Certification)), some are proofs of local maintenance tax payment (Por Tor Bor 5), and some are just a  claim of possessory right of a property without any solid proof (Sor Kor 1). These types of paper cannot be used to claim an ownership nor a possessory right to any property. Despite a possibility that some of these title deeds can turn into a superior kind of document claim (e.g. Chanote) in the future, today it is very risky to do any purchase on these documents. 

How to do a title search in Thailand

                If you are meant to purchase or rent a property for more than 3 years, you can proceed a title search with the three methods below.

•          Hire a lawyer or an expert: Once you have all required documents, the person/organization that you hire will manage everything for you. It is an easy, convenient but pricy process. 

•         Contact directly the Department of Lands: A title search can be done by anyone who has an authority (means the person who is going to purchase, rent or inherit such property, in this case) or has a power of attorney (means the lawyer or the person whom you authorize). You can simply go to a land office where the property is situated with all the required documents and fill in a petition form (Tor Dor 9) in order to proceed a title search.

•          Online research: Simply go to website http://dolwms.dol.go.th/tvwebp or do a research via the application “Landsmaps” which is created by the Department of Lands. This is the quickest but the roughest way since you will get some basic information such as the land’s surface, the name of the Department of Lands office that is responsible for such area, price of a cadastral survey and waiting time for the survey, etc. but you will not be notified the name of the owner nor the encumbrance (if it has one).

Documents needed for title search

Please note that all official documents in Thailand are available solely in Thai, it is better to find a credible translator who can clarify all of the documents for you. And here is the list of documents basically needed in doing a title search in Thailand:

• Your identity card 
•  A copy of your house particulars
• A filled in petition form (Tor Dor 9)
• Any documents proving that you are an interested person

To fill in the Tor Dor 9 form, you need to know the title deed number, parcel number, mapsheet number, dealing file number and land location which includes sub-district, district and province of the property that you file the title search.

Apart from doing a title search, it is highly recommended to check the onsite property that you are going to purchase since there exists a law that gives automatically an ownership to a person or the government an abandoned land which does not have any utilization over 10 consecutive years (for a land with a title deed) or over 5 consecutive years (for a land with a certificate of utilization).

**Disclaimer** This article is not a legal opinion or advice, readers should recheck this information with lawyers, legal experts or the Department of Lands.

Content: Sawinan Wanitchakan
Images: Fat Brush