Thai bank loans with property as collateral

[drumbeat]

I don't have work nor business dealings in thailand but do you guys know if thai banks will lend money to foreigners to buy another property with a fully paid thai condo pledged as collateral? If so how much do they lend? 50% etc?  

[HeyHeyHey]

Unlikely, because they know the properties are not worth even 50%

[drumbeat]

20 minutes ago, HeyHeyHey said:

Unlikely, because they know the properties are not worth even 50%

Are you citing from experience or a guess? Anyone has insight to this? thanks

[1FinickyOne]

16 hours ago, HeyHeyHey said:

Unlikely, because they know the properties are not worth even 50%

 

15 hours ago, drumbeat said:

Are you citing from experience or a guess? Anyone has insight to this? thanks

Say Hey hey

 

Insight yes, facts no... but my guess would be that it can be difficult to sell a 2nd hand condo in a vastly overbuilt area... and depending on the condo, it could pose a risk for a bank... they likely have enough inventory from defaults already... if it were me, I would prefer gold or something readily saleable... but all depends on the situation... if it is a beachfront property in a highly desirable building and could be valued easily at 10+MM baht... then I would lend 2MM against that.. 

[BigFun]

In my experience they require proof of ability to service the loan i.e. income. Banks dont want NPLs, they want interest and principal repaid easily and smoothly.

 

Having said that you might be able to use a financing/leasing ccompany, Kiatnakin, etc. But they are quite proactive if you miss payments ????

[Surasak]

Not sure about condo's, but my wife borrowed money from a bank against our present property, land and apartment building, to purchase another piece of land. When the bank people visited the first property, they were not so interested in the building. They had the tape measures out to asses the land size and didn't enter the building. She got the loan but I had to sign as guarantor. KTB bank.

[ubonr1971]

11 hours ago, Surasak said:

Not sure about condo's, but my wife borrowed money from a bank against our present property, land and apartment building, to purchase another piece of land. When the bank people visited the first property, they were not so interested in the building. They had the tape measures out to asses the land size and didn't enter the building. She got the loan but I had to sign as guarantor. KTB bank.

its bc the land value is of the highest worth in the banks eyes. in thailand the land is the appreciating asset