BANK HOME LOANS & MORTGAGES IN THAILAND
Just like most other countries, when it comes to buying a residential or a commercial property, you may elect to leverage your investment by borrowing funds against the value of the property that you are purchasing. The banks are in business of making money and they typically love to loan money on a real estate and make money by charging you an interest. In Thailand, similar to other countries, banks have their own criteria for evaluating you as a borrower to make sure you are a good risk as well as appraise the property that you are considering to buying to make sure that in case you are not able to make your loan payments, the bank can easily sell your property and get their money back.
In the old days, foreign expats who wanted to borrow money from the bank to buy a property, they faced difficulties from the banks but in the recent years the banks have become more comfortable in loaning for credit cards, automobiles, residential and commercial properties. These are some of the major banks in Thailand that will consider giving you a loan, if you meet their undertaking criteria.
It is important that you visit any of these banks or call us so we can arrange a meeting with one of our preferred loan officers so they can explain their requirements before you begin shopping for your new property. In general, these are some of the information that they will require to give an expat who lives in Thailand a loan but can vary slightly from bank to bank.
1) Having a valid passport with a long term visa in Thailand.
2) Evidence of work permit for at least 1 year
3) Copies of Pay Slip
4) In case of owning a company, you are required to show proof of business and personal income
5) A letter from the employer in regards to the status of your work and the probability of continuing to work
6) Foreign Credit Check by some banks
7) In case of home local your age at the time of application combined with the loan must not exceed 60 years of age
8) Marriage certificate in case that you are married
9) Appraisal on the property by Bank's approved appraisal company
10) Copies of land and deed title, (Chanod)
11) A letter from Juristic office in case of condominium that previous owner is not liable
12) Copies of Buy and Sell Agreement signed by both buyer and the seller
Banks typically provide mortgages based on the value of US dollar, Euros, Singaporean Dollars, to hedge them against fluctuations in Thai Baht. All home mortgages must follow section 702 of the Thailand Civil and Commercial Code. These laws protects both the mortgager and the mortgagee:
1) The mortgager shall be entitled to the right of ownership in the subject property.
2) All mortgages must be in writing and registered at the land office with the title deed. In case the property has no deed such as Nor. Sor. 3, the registration must take place at the District Office where the mortgage property is located.