Can foreigners get a mortgage here?

[pomozki]

I'm 64yo and too old to qualify for a mortgage based on my current/future earnings - anyway, I'm on a retirement visa.
I'm wondering if i can put down, say, 50% of the purchase price of a property and get a loan for the other 50%?

This is possible in the US - I was over there and approved for a mortgage by this very method a few years ago. And the mortgage rate I was offered was thye normal one, not an exorbitant rate.

The lender just uses the 50% you've put down as collateral (provided they're happy with the purchase price of the property, I suppose)

and can grab it if you default on your payments.

I'm planning to either live in the place and make the repayments the same way as I would pay rent

OR rent it out and pay back the loan out of the income.

The reason I'm thinking of this is cos there are some great deals to be had right now - cheers

[YT3k72Em]

In Thailand a mortgage must be payed off by age 60. But they don't give them to foreigners anyway.

[robertson468]

36 minutes ago, YT3k72Em said:

In Thailand a mortgage must be payed off by age 60. But they don't give them to foreigners anyway.

Please pm me to discuss a possibility.  David.

[Airalee]

With all the condos for sale, it would probably be a good idea for Thai banks to offer mortgages for foreigners with a substantial down payment (50%).

[Pilotman]

You won't get a cash loan by conventional means, say through a bank or finance company.  There are however,  many unofficial private deals around, that you can negotiate with property firms and owners to finance a house purchase but they are all fraught with risk here in Thailand. Get good sound legal advice and guidance from a reputable legal firm, before you make any move, not a one man Thai band. Approach it with the mind set that all of these private arrangements are trying to rip you off and check and double treble check details before you commit yourself or your money.  Sorry to sound negative, but this country is so screwed up with various scams and dishonesty, that as they say in the West,  "if  someone is trying to 'assist' you to spend your money, if they swallowed a nail, they will often sxxt a corkscrew".  Not a bad rule to live by.   

[bkk6060]

Yes, you can probably get better terms from a seller.

Arrange a low interest carry back with them for up to 10 years.

I would use a reliable agency that has experience with these type transactions.

I have a friend who has been in the business in Pattaya for 10 years. She said this is probably the slowest time in history and told me many foreign sellers are now doing these carry backs to enhance their sale potential.

 

Edited July 7, 2020 by bkk6060

[Jane Dough]

Never let people tell you it can't be done. Go to a bank's head office, be presentable and plead your case. You never know!

 

Rooster

[BTB1977]

Why not pay cash ?? If you don't have any savings you don't belong here, let alone retiring here. 

[mikeyjj]

52 minutes ago, BTB1977 said:

Why not pay cash ?? If you don't have any savings you don't belong here, let alone retiring here. 

Who the hell are you to say who dose and who don’t belong here ?

[sammieuk1]

How spooky I was about to write a near identical post with another reason to just put 50% down the raging Baht that is if I ever get back in ???? 

[wwest5829]

1 hour ago, BTB1977 said:

Why not pay cash ?? If you don't have any savings you don't belong here, let alone retiring here. 

Never dip into capital ...

[richard_smith237]

1 hour ago, BTB1977 said:

Why not pay cash ?? If you don't have any savings you don't belong here, let alone retiring here. 

 

How to announce your arrival to the world as an absolute tool !!!!  

 

‘You don’t belong here’ is one of the funniest things I read on ThaiVisa for a while !!!... The hubris of a visitor telling another visitor where they don’t belong !!!!.....  this is ‘A1 d!<kheaderry’ at its best.... 

 

[Jenkins9039]

On 7/5/2020 at 2:09 AM, pomozki said:

m wondering if i can put down, say, 50% of the purchase price of a property and get a loan for the other 50%?

This is possible in the US - I was over there and approved for a mortgage by this very method a few years ago. And the mortgage rate I was offered was thye normal one, not an exorbitant rate.

Yes foreigners can get a mortgage, providing they're working for a recognised company in Thailand (not mom and pop), and have a long history of WP.

 

First mortgage i was offered was 15,000,000 THB based on 150,000 THB monthly salary (onshore) with SCB, back in 2012. 

 

Currently have SCB Platinum CC which i have had since that period, with a real credit line, spend roughly 200k on it monthly and repay monthly for the points.

 

Current SCB Mortgage I am entitled to as off 2018 is 25,000,000.

 

Note that is condo/sky-villa focused, if landed (i can buy land based on the amount invested in Thailand, a small amount in my own name), but if you factor in the wife also then you can also support the mortgage.

 

As to the idiots who say you can't, they're simply not in a position to be able, as for land ownership, when you invest a few bob, you can legally own land also for residential (home).

[Pilotman]

44 minutes ago, Jenkins9039 said:

Yes foreigners can get a mortgage, providing they're working for a recognised company in Thailand (not mom and pop), and have a long history of WP.

 

First mortgage i was offered was 15,000,000 THB based on 150,000 THB monthly salary (onshore) with SCB, back in 2012. 

 

Currently have SCB Platinum CC which i have had since that period, with a real credit line, spend roughly 200k on it monthly and repay monthly for the points.

 

Current SCB Mortgage I am entitled to as off 2018 is 25,000,000.

 

Note that is condo/sky-villa focused, if landed (i can buy land based on the amount invested in Thailand, a small amount in my own name), but if you factor in the wife also then you can also support the mortgage.

 

As to the idiots who say you can't, they're simply not in a position to be able, as for land ownership, when you invest a few bob, you can legally own land also for residential (home).

BS

[tifino]

 It just won't work... if you are no longer working!

 

 

 

[timendres]

Just now, Jenkins9039 said:

as for land ownership, when you invest a few bob, you can legally own land also for residential (home).

And can you explain precisely how that is done, aside from setting up a company to own the land?

[bino]

Bangkok Bank has a specialty division for this in their head office at Silom, called Foreign Lending, or something like that. It is managed by a very charming English lady.

 

If you are a foreign citizen and want a loan or mortgage from Bangkok Bank, they will tell you to go to Helen Waite.

[Aussieroaming]

11 hours ago, BTB1977 said:

Why not pay cash ?? If you don't have any savings you don't belong here, let alone retiring here. 

 He might not want to throw all of his savings down. You should learn not to judge people so quickly, he might want to release his cash in a more controlled manner. Thats doen't mean he can't afford to carry a loan and nor does it mean the purchase price cleans him out. I paid cash for my place and mybe you did too but not all do it like us. I do agree though that yppeople shouldn't set up for retirement without a sufficient nest egg to see you through, whether through savings or a steady income stream.

[YT3k72Em]

15 hours ago, Jenkins9039 said:

Yes foreigners can get a mortgage, providing they're working for a recognised company in Thailand (not mom and pop), and have a long history of WP.

 

First mortgage i was offered was 15,000,000 THB based on 150,000 THB monthly salary (onshore) with SCB, back in 2012. 

 

Currently have SCB Platinum CC which i have had since that period, with a real credit line, spend roughly 200k on it monthly and repay monthly for the points.

 

Current SCB Mortgage I am entitled to as off 2018 is 25,000,000.

 

Note that is condo/sky-villa focused, if landed (i can buy land based on the amount invested in Thailand, a small amount in my own name), but if you factor in the wife also then you can also support the mortgage.

 

As to the idiots who say you can't, they're simply not in a position to be able, as for land ownership, when you invest a few bob, you can legally own land also for residential (home).

Have you actually managed to get one of these mortgages that you are "entitled to"?

 

[MangoPineappleBanana]

15 hours ago, timendres said:

And can you explain precisely how that is done, aside from setting up a company to own the land?

It isn't done any other way. If what he means by investing  'a few bob' as setting up a boi company, perhaps with american ownership, and purchasing company land okay sure. A foreigner is just not owning land in his/her name in this country, period. 

[murraynz]

21 hours ago, BTB1977 said:

Why not pay cash ?? If you don't have any savings you don't belong here, let alone retiring here. 

Brutal,but well said.

Many wont like hearing this sort of reality.

At 64 you have had 40+ years to save for retirment.

I still think a cheap condo will be struggling to give you a decent return in the current thai market.maybe Bangkok is ok.

 

[Leaver]

On 7/7/2020 at 9:11 AM, BTB1977 said:

Why not pay cash ?? If you don't have any savings you don't belong here, let alone retiring here. 

Paying cash up front significantly increases one's chances of "suicide" by being thrown of a balcony.  

 

In many cases here, a mortgage is like life insurance.  ????

[pomozki]

On 7/7/2020 at 2:51 PM, Airalee said:

With all the condos for sale, it would probably be a good idea for Thai banks to offer mortgages for foreigners with a substantial down payment (50%).

exactly what I was thinking - a good lender will do a deal if you've got enough equity in it

On 7/7/2020 at 3:02 PM, bkk6060 said:

Yes, you can probably get better terms from a seller.

Arrange a low interest carry back with them for up to 10 years.

I would use a reliable agency that has experience with these type transactions.

I have a friend who has been in the business in Pattaya for 10 years. She said this is probably the slowest time in history and told me many foreign sellers are now doing these carry backs to enhance their sale potential.

 

sound advice, esp re doing the finance through the seller, not a bank.

On 7/7/2020 at 4:11 PM, BTB1977 said:

Why not pay cash ?? If you don't have any savings you don't belong here, let alone retiring here. 

what a complete tosser you are. You know nothing about me or my finances - or anyone else's!
FYI, I have enough dosh  - it's currently earning very little interest in NZ - but don't want a great big chunk of it tied up in Thailand.
Also, the way to make money out of real estate is often through NOT buying the whole thing with cash - it's by getting someone else to finance it. But I guess you don't know about that.
Since I posted my question I've spoken to a guy at work (yes, I'm working) and he just bought a high-quality condo in a very good Bangkok suburb for 9 million baht. The asking price was 15m. He said "all I've got is 9m" and they said "okay, deal". There are some great bargains to be had now and likely for the next several months too, I reckon - especially developers who've got surplus stock on their hands
Thanks to everyone else for their contributions

[Leaver]

On 7/16/2020 at 2:29 PM, pomozki said:

FYI, I have enough dosh  - it's currently earning very little interest in NZ - but don't want a great big chunk of it tied up in Thailand.

You shouldn't want any of it tied up in Thailand.

 

On 7/16/2020 at 2:29 PM, pomozki said:

Also, the way to make money out of real estate is often through NOT buying the whole thing with cash - it's by getting someone else to finance it.

That's true in times of high capital growth.  Do you seriously think Thailand is in one of those times?  

 

On 7/16/2020 at 2:29 PM, pomozki said:

Since I posted my question I've spoken to a guy at work (yes, I'm working) and he just bought a high-quality condo in a very good Bangkok suburb for 9 million baht. The asking price was 15m. He said "all I've got is 9m" and they said "okay, deal".

Which means he could have got it for 7 million, and it probably worth 5 million.

 

On 7/16/2020 at 2:29 PM, pomozki said:

There are some great bargains to be had now and likely for the next several months too, I reckon - especially developers who've got surplus stock on their hands

Fine, if you are looking to live in it for a long, long time.  You can forget about even trying to sell it in the next 5 years, perhaps longer.